>Now, natural gas prices have tumbled to lows not seen in more than two years, putting more pressure on the plan's viability. However, Prentice said short-term markets would not determine if the project comes to fruition.

On a similar note, here's an interesting story about Canadian Shale gas. Even though the play is not yet considered economic, they are still working away at it trying to bring well costs down. In other words, these things are a lot more complicated that drilling a few wells and seeing if they flow or not.

http://www.calgaryherald.com/busines...

"This resource represents the future," spokesman Alan Boras said.

One of the keys to unlocking unconventional sources is focusing on basins that are spread out, as opposed to conventional basins were there are small pockets of oil and gas, he said.

"The question is how do you advance the technology to make it economic," Boras said.

The firm holds close to 250,000 net lease hectares in the Montney, and has drilled seven wells, drawing on experience honed south of the border in Wyoming and on the famed Barnett shale in Texas.

But EnCana has yet to call the monstrous B. C. play commercial, saying it needs more concrete numbers on recovery factors and production rates.

The region is remote, lacks infrastructure and hasn't provided the economy of scale the company seeks. EnCana wants to see well costs fall a third from the current level of around $10 million before deeming the play economic.