In May 2012, MDN told you about a new $400 million cryogenic processing plant to be built in Hanoverton (Columbiana County), Ohio by a joint venture between Chesapeake Energy, M3 Midstream and EV Energy Partners (see this MDN story). The plant will collect and process shale gas, separating out natural gas liquids like propane, butane and ethane. In early October we told you construction had begun and the first phase of the new plant is due to come online in May 2013 (see this MDN story).
Last week an official for M3 Midstream, one of the partners in the project, visited the construction site and said things are track to meet the “very aggressive” May 2013 opening date:
In May, MDN told you about a new $400 million shale gas collection and processing plant being built in Columbiana County, Ohio by a joint venture between Chesapeake Energy, M3 Midstream and EV Energy Partners (see this MDN story). The plant will be built on a 117-acre site over a 5-year span with the first part due to go online in 2013.
A quick update on the new plant:
EV Energy Partners has released initial production results for their second Utica Shale well (the Cairns 5H well in Carroll County) and issued an update on their first Utica Shale well (the Frank 2H well in Stark County):
Akron Beacon Journal reporter Bob Downing reports some interesting facts about the Utica Shale from a recent conference. Well worth your time to review.
Among the interesting facts, MDN found these most interesting:
EV Energy’s Utica well in Stark County, Ohio is producing large quantities of light crude oil in addition to large quantities of natural gas liquids. EV Energy’s CEO, Mark Houser, said their well in Stark looks better in the early results than oil wells in the Eagle Ford basin in Texas. High praise indeed.
Because of what EV and others have found, drilling activity for oil and NGLs is moving to Stark, Tuscarawas, Guernsey and Noble counties.
EV Energy Partners (EVEP) reported their 2Q12 financial results yesterday. EVEP is a master limited partnership controlled by oil & gas company EnerVest. They look for lower risk, long-term oil and gas properties, with investments in a number of oil and gas plays across the U.S., including the Utica and Marcellus. It seems they’re doing a good job. Their 2Q12 profits were up 20% from a year ago—to $66.1 million. Production for the second quarter of 2012 was up 47%—10.7 billion cubic feet of natural gas, 282,000 barrels of oil and 403,000 barrels of natural gas liquids, or 14.8 billion cubic feet equivalent.
The only direct quote in the press release from the CEO was in reference to their activities in the Utica Shale: