CONSOL 2012 Wrap-Up: Added Nearly 1 Tcf of New Reserves
CONSOL Energy delivered an update on 2012 Marcellus Shale drilling activity yesterday—an update full of useful and interesting factoids. Among them: Due to extensions and discoveries, CONSOL added nearly 1 trillion cubic feet of natural gas to its proven reserves in 2012; they spent $440.7 million on drilling and completion in 2012; and their “drill bit finding and development cost” is 46 cents per thousand cubic feet (Mcf) of gas—among the lowest in the industry.
CONSOL continues to transition from being one of the country’s largest coal producers to one of the country’s major shale energy producers. Just a few weeks ago CONSOL announced their plans for 2013 (see CONSOL Energy’s 2013 Plan: Spend Lots on Marcellus & Utica Shale). Below is the 2012 shale drilling wrap-up CONSOL issued yesterday, which includes numbers for the average daily output from their wells in 2012, and the average cost to drill a well: