The indefatigable Cabot Oil & Gas continues to improve efficiency, increase production and lower costs–all at the same time. Last week Cabot presented at the Soctia Howard Weil Energy Conference in New Orleans. We have a full copy of the PowerPoint slides used during the presentation (below). What did Cabot have to say? They plan to complete 40 wells in the Marcellus this year and grow production slightly–up to 7% in 2016 over 2015. We also learn that the length of Cabot’s horizontal wells–their “laterals”–are getting longer, an average 7,000 feet long in 2016 vs. 5,900 feet in 2015. Perhaps most astonishing is that the average Cabot well is expected to see an average EUR (estimated ultimate recovery) of 27 billion cubic feet. How much is that? That’s enough natural gas that, if used to generate electricity, would power 656,000 homes for a whole year. From one well! Think about 40 new such wells going online this year. Collectively those 40 wells will end up providing enough energy for 26 million homes. Coming from one small county in northeastern PA. That is the awesome miracle of fracking for Marcellus Shale gas…
