I would like to thank the Heritage Foundation and Commissioner Bode for this opportunity to discuss the important role that natural gas can play in strengthening our economy, and the policy implications this role entails. I am Michael Johnson, vice president and general manager of Conoco, Inc. , a major domestic and international gas producer and marketer. Second, the ways that supply meets potential demand. Lastly, I will discuss the ramifications of government policies that restrict supply and interfere with market forces. Supply First, let me address supply.
Producers are highly optimistic about the long-term potential supply of natural gas.
In essence, new technologies are permitting us to increase recoverable natural gas resources at levels far faster than previously anticipated. One reason for this increased resource base is our expansion into frontier areas like the Mackenzie Delta, the Beaufort Sea, the North Slope, and the deep water Gulf of Mexico. Tapping into these resources is not inexpensive. Climate and terrain are frequently hostile. We must constantly balance cost, risk, and potential to remain competitive in the marketplace.