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Production of water and natural gas from coal beds (coalbed methane, CBM) has increased dramatically
over the past ten years and the gas currently accounts for about 6% of the total produced in the United States.
The Powder River Basin (PRB) in Wyoming and Montana (Fig. 1) has emerged as one of the most active new areas of
CBM production since 1997. Gas and water are being produced from thick coals in the Paleocene age Fort Union
Formation primarily in the eastern part of the basin, although development is expanding to the northwest in
the basin at the time of this report. The number of producing wells has increased from 270 in March, 1997 to
2,469 as of March, 2000 (Wyoming Oil and Gas Conservation Commission (WOGCC)). CBM production in the same
period has increased from 34,529 thousand cubic feet per day (mcf/day) to over 333,000 mcf/day (WOGCC, 2000).
Estimates from State and federal officials and industry representatives of the total number of wells expected
in the basin over the next 20-30 years vary from 15,000-70,000.
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