Susquehanna County

Yesterday, Cabot Oil & Gas issued financial results for the first quarter of 2013. Natural gas production for the company was up a whopping 50% over last year, and up 13% from last quarter! As MDN had previously noted, the company was the first to hit 1 billion cubic feet of production per day in the PA Marcellus Shale (see Who’s a Member of the Marcellus “1 Bcf/d” Club?).

Net income for the company was up over last year ($42.8M as opposed ti $18.3M last year in 1Q). According to company CEO Dan Dinges, the key to their success is the Marcellus. The Cabot statement from yesterday:

Read More “Cabot Keeps Rockin’ It in the Marcellus Shale”

Cabot Oil & Gas is, so far, the only driller to attain 1 billion cubic feet per day of natural production in the Marcellus Shale (see Who’s a Member of the Marcellus “1 Bcf/d” Club?). Perhaps the most astonishing part of their story is that all of Cabot’s drilling happens in rural northeastern Susquehanna County, PA. Although Cabot is some 10 times smaller than Chesapeake Energy, the value of their stock (market capitalization) recently surpassed Chesapeake (see Guest Post: Corporate Hubris Humbles Chesapeake – Cabot Soars Sure & Steady).

Cabot’s ability to spin gold from hay is in no small part because of their Marcellus operation in Susquehanna County…

At a recent conference, Cabot made an investor presentation (full copy below) that shows, in part, why they’re so profitable—even in a low commodity price environment. As we’re writing this story, the commodity price of natural gas is exactly $4 per thousand cubic feet. Depending on geography, the cost to produce natural gas approaches $4/Mcf for many drillers. But for Cabot? Their average cost per Mcf in 2012 was $1.67, and for 2013 they estimate it will go even lower (see slide 10 below).

Read More “Cabot Spins Gold from Hay with Low Cost Drilling”

Another post from energy analyst Richard Zeits on the Seeking Alpha website—this time about the tremendous amount of natural gas Cabot Oil & Gas is mining in Susquehanna County, PA. Zeits says the gas Cabot is finding and selling “may be material to the U.S. supply.” You read that right. One “little” oil and gas driller’s efforts in rural Susquehanna County, PA may well end up influencing the entire U.S. energy picture.

Full of charts and maps and oodles of great information, here’s a small portion of Zeits’ analysis, a prediction for how long Cabot will be drilling in Susquehanna County, and how many wells they’ll end up drilling there:

Read More “Cabot’s Drilling in Susquehanna County Moves Needle on U.S. Supplies”

Last week MDN told you about Cabot’s distinction in belonging to two different “1 billion” clubs (see Cabot O&G in 2012: Membership in 2 Different “1 Billion” Clubs). About the same time Cabot released their financial results, they also released an operational update which we neglected to report.

Below is the portion of that report for Cabot’s Marcellus Shale operations:

Read More “Cabot O&G Operational Update for Marcellus Shale”

The 2012 reports continue to roll in. Cabot Oil & Gas has just reported its 2012 report and the results are extraordinary. Cabot joined two different “1 billion” clubs in 2012. First, they surpassed $1 billion in revenues for 2012, earning $1.2 billion. Second, they became the first (and so far only) company to achieve 1 billion cubic feet of natural gas production per day in the Marcellus Shale (see Who’s a Member of the Marcellus “1 Bcf/d” Club?).

Companywide, Cabot’s natural gas production was up an astonishing 43% over 2011, much of that from their drilling in Susquehanna County, PA. Cabot is a great company run by great people, and they have a lot to be proud of when it comes to their performance last year. Here’s the numbers and the rundown for Cabot in 2012:

Read More “Cabot O&G in 2012: Membership in 2 Different “1 Billion” Clubs”

Contrary to the view in Promised Land that big drilling companies are evil and will shaft anyone for a buck, we find a truly amazing story about an oil and gas company’s generosity to a small northeastern Pennsylvania community—a community not unlike the one portrayed in the Matt Damon movie Promised Land.

Last year Cabot Oil & Gas kicked off a major fundraising effort to build a physicians clinic, part of a new hospital project in Montrose (Susquehanna County), PA. Friday marked the one-year anniversary of that very successful effort…

Read More “The Real Promised Land: Driller Raises $4.4M for PA Health Clinic”