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Marcellus Drilling News
  • Encino Energy | Energy Companies | EOG Resources | Gulfport Energy | Hilcorp Energy | Industrywide Issues | Infinity Natural Resources | Lease & Royalty Payments | Ohio | Regulation | Statewide OH

    Ohio Awards Drilling Contracts for State Parks – Salt Fork Surprise

    February 27, 2024February 28, 2024

    Yesterday, the Ohio Oil & Gas Land Management Commission (OGLMC) met to award contracts to drill under (not on) several Ohio state parks, including the 20,000-acre Salt Fork State Park in Guernsey County. Anti-fossil fuel nutters didn’t disappoint. They showed up and dressed up in burlap bags and silly hats, standing along a wall to protest against the proceeding. Fortunately, the protesters didn’t disrupt or stop the proceeding (they had been threatened with arrest if they did). The big news (for us) is that Encino Energy, which has long coveted the Salt Fork State Park property, did NOT win the contract for it! At some point, Encino pulled its proposal for Salt Fork and instead concentrated on several other parcels. The contract for Salt Fork was awarded to Infinity Natural Resources. We have the complete list of who won which contracts and how much they are paying in signing bonuses and royalties.
    Read More “Ohio Awards Drilling Contracts for State Parks – Salt Fork Surprise”

  • Energy Services | Industrywide Issues | Jobs | Patterson-UTI | Pennsylvania | Tioga County (PA)

    NexTier Closing Frack Office, Laying Off 104 in Tioga County, PA

    February 27, 2024February 27, 2024

    Last June, Patterson-UTI Energy, which operates roughly half of the active rigs in the Marcellus/Utica, announced it was merging with NexTier Oilfield Solutions in a combination that would create the #1 company in fracking services in the country (see Patterson-UTI & NexTier to Merge, Bigger Fracker than Halliburton). The merger was completed last September. However, the NexTier name was kept on the door, at least in some locations, including an office with operations in Mansfield (Tioga County), PA. NexTier recently filed a WARN notice that it will close the Mansfield office and begin to lay off its 104 employees effective April 13th.
    Read More “NexTier Closing Frack Office, Laying Off 104 in Tioga County, PA”

  • Industrywide Issues | Pennsylvania | Research | Statewide PA

    Pa. 2023: NatGas Production Up 1%, Wells Drilled Lowest in 10 Yrs

    February 27, 2024February 27, 2024
    click for larger version

    Yesterday, the Pennsylvania Independent Fiscal Office (IFO) released its latest quarterly Natural Gas Production Report for October through December 2023 (full copy below). There were 110 new horizontal wells spud (drilled) in 4Q23, a decrease of 26 wells (-19%) compared to 4Q22. However, 4Q’s spud number was up from the 102 drilled in 3Q23. Natural gas production volume was 1,939 billion cubic feet (Bcf) in 4Q23, up 82 Bcf (4.4%) from 1,857 Bcf produced in 4Q22. There were two pieces of big news in this report: (1) Production for all of 2023 actually went up (now down) by 1%; (2) The total number of new wells drilled in 2023 was the lowest it has been in a decade.
    Read More “Pa. 2023: NatGas Production Up 1%, Wells Drilled Lowest in 10 Yrs”

  • Anti-Drilling/Fossil Fuel | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

    Antis: PA DEP Plugging Easy-to-Get Orphan Wells, Not Most Critical

    February 27, 2024February 27, 2024

    In December, Pennsylvania Gov. Josh Shapiro issued a press release and rang the bell to announce his administration had (at that point) plugged 132 orphaned and abandoned wells in just 11 months, surpassing the total over the previous eight years combined, with big plans to expand the program (see PA DEP Spending $44M This Yr, $76M Next Yr to Plug Orphaned Wells). Now comes word, more like an accusation, from Shapiro’s environmental left that the Dept. of Environmental Protection (DEP) plugging program is picking the lowest of the low-hanging fruit (wells) to plug instead of tackling the more critical (leaky) wells that could and should be done first.
    Read More “Antis: PA DEP Plugging Easy-to-Get Orphan Wells, Not Most Critical”

  • Economic Impact | Hydraulic Fracturing | Industrywide Issues | Jobs | Pennsylvania | Statewide PA | Washington County

    Washington County, PA Panel Discusses Future of ARCH2 Hydrogen Hub

    February 27, 2024February 27, 2024

    The Washington County (PA) Chamber of Commerce held an event last week with a panel of experts involved with the Appalachian Regional Clean Hydrogen Hub (ARCH2) to discuss the long-term impacts of the project on the local economy and job market. ARCH2 was first proposed by (mainly sponsored by) West Virginia. Ohio and Pennsylvania later joined in supporting the ARCH2 proposal, which was selected by the Bidenistas as one of seven regional hydrogen hubs to share in a $7 billion pot o’ gold (see Hydrogen Hub Winners Announced – WV Takes Prize in M-U Region). ARCH2’s portion of the money is $925 million.
    Read More “Washington County, PA Panel Discusses Future of ARCH2 Hydrogen Hub”

  • Commodity Price | Industrywide Issues

    Price of NYMEX Henry Hub Hits Lowest Average in 28 Years

    February 27, 2024February 27, 2024

    “With the exception of three days in 2020 when the pandemic was ravaging energy markets, natural gas prices held above $1.59/MMbtu for the past 28 years – until last week.” So says the experts at RBN Energy, who know about these things. So far this year, natural gas has averaged $2.36/MMBtu, compared to the average price over the past 28 years of $4.12/MMBtu. Ominously, RBN asks, Can it go lower? The answer is…
    Read More “Price of NYMEX Henry Hub Hits Lowest Average in 28 Years”

  • Best of the Rest

    Other Stories of Interest: Tue, Feb 27, 2024

    February 27, 2024February 27, 2024

    MARCELLUS/UTICA REGION: Murrysville OKs Olympus fracking pipeline work; Gas export pause could scramble Biden’s chances in Pennsylvania; OTHER U.S. REGIONS: Low gas prices reshape Haynesville 2024 production outlook; NATIONAL: Is peak oil demand close?; Oil heavyweights take aim at Biden’s LNG permitting freeze.
    Read More “Other Stories of Interest: Tue, Feb 27, 2024”

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