This report presents an overview of North America?s natural gas resource endowment, recent historical gas price patterns, and the continental natural gas supply, demand, and out look. It then examines the uncertainties and risks that constrain the development of natural gas production and transportation facilities, and identifies barriers to such investment. Finally, it discusses a number of the policy initiatives that are considered to be components of a continental energy strategy.

This paper is the second in a series of research projects that were initiated when the Fraser Institute launched the Continental Energy Strategy research program in 2007. The objective of the program is to lay out policy recommendations designed to ensure that North America?s energy resources are developed as efficiently as possible given market requirements, science-based environmental concerns, and international competition.