EIA July ’19 Drilling Report: M-U Roars, Up Another 396 MMcf/d
In the coming month, the U.S.’s seven major shale plays will produce a cumulative 82 billion cubic feet (Bcf) of natural gas, a new record! All but one of those seven shale plays will increase its shale gas output. The Marcellus/Utica region, the “beast in the east” is about to roar in the next month, increasing natgas production *another* 396 million cubic feet per day (MMcf/d), to a new high of 33 Bcf/d. This is the fourth month in a row the M-U will have increased production by at least one-third of a Bcf.
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Speaking of New Fortress Energy and their planned northeast Pennsylvania LNG liquefaction facility (see today’s story, Work Begins to Clear Site for NEPA Landlocked LNG Export Plant), in addition to chilling natural gas into LNG, you also need a way to load it onto ships and move it to other markets. New Fortress plans to build a $96 million, 1,600-foot-long pier on the New Jersey side of the Delaware River at the former DuPont dynamite factory site to dock and load two ships at a time.
Last week Shale Support, a frac sand producer and shipper headquartered in Louisiana, filed for Chapter 11 bankruptcy. The company is not able to deal with $128 million in debt it has accumulated, hence the filing. Shale Support maintains three frac sand terminal facilities in the Marcellus/Utica region.
Competitive Power Ventures (CPV) finally broke ground and began to build a new Marcellus gas-fired power plant in Cambria County, PA in October 2017 (see
LS Power, which owns a number of competitive power generation projects including the 700 megawatt dual-fuel simple cycle Troy Generating Facility located in Luckey, OH, is threatening to pull a $500 million plan to expand the Troy facility if Ohio proceeds to pass a new law subsidizing the state’s two nuclear plants. The subsidies would create an uneven playing field for natural gas-fired electric plants like the Troy facility.
MARCELLUS/UTICA REGION: Former EQT CEO Rob McNally gets $3.4M to leave company; PA conventional drillers want to restore program to spread brine on roads; Watson to helm Utica Shale Academy; OTHER U.S. REGIONS: Fracking in California is about to get a lot more difficult; NATIONAL: EIA expects U.S. energy-related CO2 emissions to fall in 2019; Why U.S. exports of LNG to China are expected to be a major component of a trade deal; Protest at Massachusetts home of FERC member Cheryl LaFleur; INTERNATIONAL: Climate Apartheid? (video); GALACTIC: The meaning of methane on Mars.