1. Natural Gas
Smarter Power Today
Florida Energy Pipeline Association
July 19, 2012
Paul Smith
Director, Business Development

2. About ANGA
ANGA is dedicated to increasing the
understanding of the environmental,
economic and national security benefits of
clean, abundant, reliable and affordable
North American natural gas.
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3. ANGA Members
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4. ANGA’s Mission
Key Stakeholders Strategy
• Electric Utilities • Outreach to stakeholders
• State Regulators • Grassroots
• Third Parties • Paid Advertising
• Legislators • Earned Media
• Research/Consulting
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5. Our Story
• We have an extraordinary story to tell:
– Natural gas supports 2.8 million American jobs;
– Our innovation is unleashing vast domestic supplies;
– We are enhancing national security by delivering vast
and sustainable domestic energy; and
– We are poised to play a pivotal role in our nation’s
low-carbon future.
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6. ABUNDANT

7. The Shale Gas Revolution
Cody Bakken
Gammon
Mowry Antrim
EIA: 2011
Baxter-Mancos
Marcellus/
Mancos
Niobrara
Devonian/Utica 862TCF shale
Pierre Mulky New Albany
Lewis
Fayetteville
2,543TCF total
Woodford
Barnett- Floyd-Neal
Woodford Barnett
Haynesville
67% INCREASE
in just three years
Eagle Ford
Source: EIA Annual Energy Outlook, 2008 to 2011
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8. Abundant By Any Estimate
Estimates of U.S. Recoverable Natural Gas
(TCF – trillion cubic feet))
3,600
3,350
2,836
2,543
2,170
2,074 2,102 2,100
1,532
1,314
1,268 1,312
Potential Gas Committee Other Estimates
Sources:
ICF: As reported in MIT Energy Initiative, 2010, The Future of Natural Gas, interim report ; Table 2.1
EIA: See http://www.eia.gov/analysis/studies/worldshalegas/
PGC: Potential Gas Committee’s Advance Summary and press release of its biennial assessment; see www.potentialgas.org
CERA: IHS CERA, 2010, Fueling North America’s Energy Future: The Unconventional Natural Gas Revolution and the Carbon Agenda
MIT: MIT Energy Initiative, 2010, The Future of Natural Gas, interim report 8
NPC: Realizing the Potential of North America’s Abundant Natural Gas and Oil Resources Johns Hopkins University ; Prudent Development Study 2011

9. Florida Industrial Gas Rates Have
Dropped Considerably
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10. Total Utility Savings to Florida Consumers Were Over $3.9
Billion per Year in 2011 – 15 Percent of Utility Bills
Total Utility Cost Savings by Class, 12 Mos. Ended December 2011
Residential Commercial Industrial Total
Thousands of $ $33,863 $100,005 $202,496 $336,365
Electric Savings, Thousands of $ $1,869,698 $1,461,041 $274,887 $3,605,626
Total Savings, Thousands of $ $1,903,561 $1,561,046 $477,384 $3,941,991
Percent 14% 16% 20% 15%
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11. Price Stability

12. Long-Term Price Stability
Henry Hub Spot Natural Gas Price
($2010 / MMBtu)
2010$/MMBtu
$12 Historic Projected
$10 ction
ge:
Ran O 2012
E
Proje 009 – A
2
AEO
$8
AEO 2010
$6
AEO 2011 AEO 2012
$4
$2
$0
2000 2005 2010 2015 2020 2025 2030 2035
Source: EIA Annual Energy Outlook: 2012 (Early Release), 2011, 2010, and 2009
Henry Hub Spot prices (EIA reported actual prices included 2000 to 2010)
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13. Beneficial Long-Term Joint Contracts
• The Public Utility Commission of Oregon recently approved a deal for
Northwest Natural to invest approximately $250 million over the next five
years in Encana’s Jonah Field in Wyoming.
– Will provide NW Natural with secure, reliable and economic supplies of natural gas for a
portion of the needs of its 674,000 customers.
• The Public Utility Commission of Colorado approved a 10-year long-term
natural gas purchase contract with Xcel Energy and Anadarko set to
begin this year.
– Will cost the utility on average about $5.80 per thousand cubic feet over the 10 years.
• Chesapeake recently agreed to sell Morgan Stanley 10 years of future
gas output for approximately $745 million, providing stability to the price of
gas for both producers and consumers.
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14. Natural Gas: A Manufacturing
Renaissance
• The abundance of stable priced natural
gas has provided many American
companies with the opportunity to
revitalize their workforce and bring
manufacturing operations back to
America.
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15. 14 BCF/Day Of New Pipeline Capacity Added In 2011
Bison Pipeline
Ruby Pipeline
133 Loop
Expansion
Acadian
Haynesville
Extension
Golden Pass
Pipeline FGT Phase
VIII
2011 Projects
Pascagoula
Existing Natural Gas Pipelines Expansion
Natural Gas Pipeline Projects > 100 miles
Natural Gas Pipeline Projects < 100 miles
Source: EIA, Ventyx Velocity
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16. PRODUCTION

17. Horizontal Drilling
Traditional Wells Horizontal Drilling
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18. Hydraulic Fracturing
Multiple protective layers extend Groundwater aquifers Private well, about 500 feet deep
from surface to below aquifers.
Public well, about 1,000 feet deep
Several layers of steel tubes encased
in cement protect groundwater supplies
Protective steel casing encased in
cement extends to shale depth
Shale Fractures
Depth from surface is
typically more than a mile
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19. Innovations In Production
Water Innovations
• Onsite Water Recycling
• Wastewater Treatment Facilities
• Hybrid Stimulation
• Abandoned Coal Mine Water
• Reuse of Municipal Wastewater
• Development of
Electrocoagulation Non-Water Innovations
• Greener Fluids •Emissions Reductions
• Increased Efficiencies •Natural Gas STAR
• Water Pipelines Reducing Truck •Horizontal Drilling
•Development of Natural Gas
Traffic
Turbines
• Involving Small Businesses in •Improving Estimates for Technically
Water Reuse & Recycling Recoverable Gas
• “The Marcellus Effect” and
Water Purification
Developments
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20. Responsible Production Means…
• Being a good neighbor
– Working in partnership with communities
• Transparency and access to information
– Companies are disclosing hydraulic fracturing chemicals through
a registry run by state regulators
• Commitment to innovations
– New technologies to reduce environmental impacts
• Appropriate state and federal regulation
– Taking into account the unique geologic characteristics in each
state
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21. TRANSPORTATION

22. Driving Change
• NGVs in fleets across America.
– About 16 percent of all US transit buses
are powered by natural gas
– Waste trucks are fastest-growing
segment
– CNG-powered fire trucks and
ambulances coming to market
– Used by large fleets like USPS, UPS,
AT&T, Comcast
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23. Cleaner For Vehicles
• Compared to gasoline or diesel, NGVs:
Reduce CO2 emissions 20-30%
Reduce CO emissions 70-90%
Reduce NOx emissions 75-95%
Reduce Particulate Matter emissions 90%
Reduce VOC emissions 89%
Source: Argonne National Laboratory, U.S. DOE, 2012
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24. ANGA’s Role in Florida
• Public Education about Safe and Responsible Development
• Public Outreach through Advertising
• Earned Media Advocacy
• Policymaker and Regulator Outreach
• Utility Outreach
• Policy Research Assistance
• NGV Education
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25. www.anga.us
twitter @ANGAus
Paul Smith
Director, Business Development
psmith@anga.us