Well dogs (ancestors like Wolves) in the wild do have territories, so maybe the magnetic lines of force come in handy for marking out your boundaries.
Alex, i agree, i miss my old Lab, who had to be put down due to cancer last year. It was his second tumor and I could not stand to see him suffer. He made it to 12yo which is pretty good span for the breed. I won't (can't) get another, knowing at my age I could not lift him or restrain him on a leash, and besides it would not be the same dog. He travelled everywhere with me, up to Cape Tribulation, down the Darling River, etc.