It's March. Let's hope the month goes out like a lamb, because the winter has been too hot and too cold. The warmest December on record was followed by extreme cold from January through mid-February. Denver had not seen so much snow in decades. More important, it was six weeks before people saw their yards again because the cold snap kept the snow from melting. This slowed down drilling contractors and service companies in the Rockies. Most of the service companies reported great 2006 financial results and ever-growing work backlogs. At NAPE Expo in February, the action was hot as about 15,000 people attended. E&P companies reported that while service costs had not moderated yet, rigs seemed to be much more available. Still, a few E&P companies have cut their budgets due to higher service costs and lower commodity prices, especially if they are in gas-price-sensitive resource plays that require multiple fracs. But talk of a new shale-gas play in Alabama (the Conasauga) and a oil-shale play in Wyoming (the Mowry) gained attention. (For more on the Conasauga, see "E&P Momentum" in this issue.) For more on this, see the March issue of Oil and Gas Investor. For a subscription, call 713-260-6441.

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