Cabot Oil & Gas Boosts Marcellus Gas Output 35% in a Single Day with Compressor Plant Upgrades

Cabot Oil & Gas recently boosted it’s daily output of natural gas from the Marcellus in Northeastern PA by a full 35 percent in just 24 hours when new sections of a compressor station went online. Cabot is now producing 420 million cubic feet (Mmcf) of natural gas per day from the Marcellus—up from 310 Mmcf. They also have two new wells producing nearly 30 Mmcf per day each—a new daily high in output for single wells for Cabot.

From Cabot’s recent press release:

Cabot Oil & Gas Corporation announced that on Tuesday, May 24 it surpassed 400 Mmcf per day of production from the Marcellus shale in N.E. Pennsylvania. Specifically, the Company was able to increase its production stream after the recent upgrades of the Lathrop Compressor Station that included the commissioning of new compression, new dehydration and a second suction line to the facility.

"First I want to commend our North region personnel and the staff of Williams Field Services Company, LLC for this safe, flawless start-up of the Lathrop Station upgrades. It is equally impressive that we were able to increase our production 100 Mmcf within a 24-hour period," said Dan O. Dinges, Chairman, President and Chief Executive Officer. "Just prior to this upgrade, we were producing at a restricted rate of 310 Mmcf per day from 67 horizontal wells. After the upgrade, we now have 69 horizontal wells producing and have reached a new maximum restricted rate of 420 Mmcf per day. Clearly a portion of this increase in production was realized from previously curtailed wells."

Noteworthy are the two new wells that were completed and turned in-line at 29.5 and 29.7 Mmcf per day. "These two wells represent new highs for our program in the Marcellus and both of these wells and others are choked back because we have reached another temporary maximum through-put rate into the Tennessee Gas Pipeline," added Dinges.

All current volumes are being transported on Tennessee’s 300 Line through various customer agreements with Cabot. "Due to significant volumes coming from the Marcellus and capacity constraints on the pipe, we expect our production in northeast Pennsylvania will be at 400 to 420 Mmcf per day until the Springville line is commissioned during the fourth quarter," stated Dinges. "These volumes clearly accelerate our current growth profile, and as such we will adjust production guidance for the second half of the year during the second quarter teleconference call in July."

*Cabot Oil & Gas Press Release (May 25, 2011) – Cabot Oil & Gas Corporation Reaches Milestones in Pennsylvania; Marcellus Daily Production Tops 400 Mmcf Per Day