Marcellus Driller Arsenal Considers Selling Itself for $1.5 Billion
The rumor mill is chattering once again. Bloomberg reports that Arsenal Resources, a private natural gas producer focused on the Marcellus Shale, is considering a potential sale of itself valued at approximately $1.5 billion. The company, owned by its creditors since emerging from bankruptcy in late 2019 (see Arsenal Resources Ch. 11 Bankruptcy Plan Approved by Court), operates extensively in northern West Virginia and Pennsylvania, holding about 208,000 net acres. This move reflects ongoing consolidation in the Marcellus basin, driven by strong natural gas fundamentals, increasing LNG exports, and power generation demand. Read More “Marcellus Driller Arsenal Considers Selling Itself for $1.5 Billion”

Last week, the Marcellus/Utica combined count maintained the same number of 37 active rigs for the fourth week in a row. The M-U’s chief competitor, the Haynesville, lost one rig and now runs 55 active rigs, some 18 rigs more than the M-U. The national count lost another two rigs last week and now operates 543 rigs. Baker Hughes said oil rigs fell by one to 410 last week, their lowest since late March, while gas rigs fell by two to 125, their lowest since January, and other miscellaneous rigs rose by one to eight.
Last week was a good week for new drilling permits. The Marcellus/Utica region received 37 new drilling permits last week, Apr. 6 – 12, up 15 from the 22 issued two weeks ago. Pennsylvania issued 23 of the permits. Ohio issued 8 new permits. And West Virginia issued 6 new permits last week. The drillers who received new permits last week included: Antero Resources, Ascent Resources, Blackhill Energy, Clean Energy Exploration, EOG Resources, EQT, JKLM Energy, Laurel Mountain Energy, PennEnergy Resources, Repsol, and Snyder Brothers.
In Antero Resources Corp. v. Stonewall Gas Gathering LLC, the Texas Business Court resolved a contract dispute over a 2014 gas gathering agreement following a bench trial. The court denied Antero’s claims for $200 million in past and future monetary damages. However, it granted Antero “declaratory relief” and specific performance, ordering Stonewall to reduce Antero’s service fees in accordance with the affiliate agreements and to produce the requested contract documents. The court awarded Antero $1 in nominal damages for discovery breaches, while a ruling on attorney’s fees was deferred pending further proceedings.
West Virginia Governor Patrick Morrisey is spearheading what he calls the “50 by 50” energy initiative, a plan for the state to grow its electric energy production from a current 16 gigawatts (GW) of generation to 50 GW by 2050 (see 
In early February, MDN told you about West Virginia Senate Bill (SB) 706, which proposed reducing the state’s severance tax from 5% to 3% for new natural gas and oil wells drilled after June 30, 2026, that meet specific production thresholds (see