Southwestern 2Q14: Marcellus Output Doubles, Investment Lowered
Southwestern Energy released its second quarter 2014 financial and operating results last week. Among the big news is that Southwestern nearly doubled output in the Marcellus region from 34 billion cubic feet in 2Q13 to 61 Bcf for 2Q14–approximately 668 million cubic feet per day. Likewise Southwestern’s midstream division saw a 27% increase in revenue for 2Q14 over the year before. Noticeably, the company gathered 417 million cubic feet per day of natural gas from 61 miles of company-owned gathering lines in the Marcellus Shale. Unhappily, the company has revised down its project investment for drilling in the Marcellus from $760 million to $700 million in 2014. It appears the company will spend that (plus money from other scaled back plays) to invest in a new venture in the Niobrara basin in Colorado and Wyoming…
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Everyone knows how mercenary and evil those oil and gas companies are. They’re just in it for the buck. Rape and pillage poor Mother Earth–pollute the air, pollute the water, pollute everything! Those shale drillers are actually some of the worst, ya know. That’s what the anti-drilling left would have you believe. That’s the meme constantly drummed by mainstream media. Throw in a “Halliburton loophole” and “Dimock” or maybe a “Pavillion, Wyoming” and you’re good to go with the typical mainstream coverage of our industry. Just a teeny, tiny problem…none of it is true.