Marcellus Drilling News

Chevron to Build New (Big) Regional HQ in Pittsburgh Suburb

May 2, 2013May 2, 2013

Chevron has just stepped up its commitment to the Marcellus (and Utica) Shale region by purchasing 61 acres, including a Kmart that’s about to close, in Moon Township, PA, a suburb of Pittsburgh. Rumor has it that Chevron will build a new 350,000 square foot office complex that will house upward of 1,750 employees when it’s done. They currently employ around 650 employees in the region, housed at several locations.

Here’s the details that are known:
Read More “Chevron to Build New (Big) Regional HQ in Pittsburgh Suburb”

Economic Impact | Erie County | Industrywide Issues | Jobs | Pennsylvania

NW PA Hose Company Expands, Hires 35 People for Marcellus Work

May 2, 2013May 2, 2013

Yet another example of how the Marcellus and Utica Shale supply chain is putting people back to work–this time in northwestern Pennsylvania’s Millcreeek Township (Erie County). All-American Hose recently hired 25 full-time employees and 10 temps and has reopened a closed plant in the process. Why? To manufacture polyurethane hoses used in the Marcellus and Utica Shale…
Read More “NW PA Hose Company Expands, Hires 35 People for Marcellus Work”

Energy Companies | Rex Energy

Rex Energy 1Q13: Production Up 24%, Revenue Up 40%

May 2, 2013May 2, 2013

Rex Energy Corporation, headquartered in State College, PA, released their first quarter 2013 operational and financial update on Tuesday. MDN calls Rex the “little oil & gas company that not only could, but has”–has made a success in the low-price natural gas environment, that is. Rex mostly drills in the PA Marcellus and the OH Utica Shale regions, with some conventional drilling in Illinois.

Rex reports revenue was up 40% in 1Q13 over the same period in 2012, and production volumes were up 24% over the same period last year. Very impressive. Rex is forecasting they will bring 21 new Marcellus wells and 12 new Utica Shale wells online in 2013. Here’s the complete 1Q13 update from Rex:
Read More “Rex Energy 1Q13: Production Up 24%, Revenue Up 40%”

Energy Companies | EXCO Resources

EXCO 1Q13: Costs Down, 41 New Wells Online in Marcellus

May 2, 2013May 2, 2013

Drilling company EXCO Resources issued their first quarter 2013 update on Tuesday. According to company management, EXCO reduced drilling costs in the Marcellus and brought an additional 41 wells online during 1Q13.

The brief portion of their update that deals with the Marcellus:
Read More “EXCO 1Q13: Costs Down, 41 New Wells Online in Marcellus”

Energy Companies | PDC Energy | PDC Mountaineer

PDC Energy 1Q13: Modest Uptick in Production, Utica Accelerating

May 2, 2013

PDC Energy, headquartered in Denver, CO, also has drilling operations in both the Marcellus and Utica Shale region. PDC released their first quarter 2013 update yesterday which shows production in the Marcellus/Utica was up a modest 5.9% year over year, and crude oil production (mostly in the Utica) is just starting to take off. PDC signed a midstream agreement in March for the Utica and expects development efforts in the liquids-rich Utica to “accelerate” this year.

The full update from PDC:
Read More “PDC Energy 1Q13: Modest Uptick in Production, Utica Accelerating”

Chesapeake Energy | Energy Companies | Industrywide Issues | Pipelines | Processing Plants

Chesapeake Sells Mississippi Lime Midstream Operation for $300M

May 2, 2013

Yesterday, SemGroup Corporation announced it had signed an agreement with Chesapeake Energy to purchase all of the assets of Mid-America Midstream Gas Services (a Chessy subsidiary), which owns gas gathering pipelines and processing plants in the Mississippi Lime play. SemGroup is paying Chessy $300 million in cash.

Technically it’s not a Marcellus/Utica deal, but MDN is covering this story because…
Read More “Chesapeake Sells Mississippi Lime Midstream Operation for $300M”

Best of the Rest

Marcellus & Utica Shale Story Links: Thu, May 2, 2013

May 2, 2013

The “best of the rest” – stories that caught MDN’s eye that you may be interested in reading:
Read More “Marcellus & Utica Shale Story Links: Thu, May 2, 2013”

Ohio | Statewide OH | Utica Shale

OH Utica Permits Now 627 – See Who & Where

May 1, 2013May 1, 2013

question sign The latest numbers from the Ohio Dept. of Natural Resources (ODNR) shows that Utica Shale permits have risen to a total of 627, out of which 310 of them have been (or are being) drilled.

Here’s a summary of the latest numbers, along with a table showing all of the permits issued as of April 27, listing the county, town, driller and well name:
Read More “OH Utica Permits Now 627 – See Who & Where”

More on Chesapeake’s Fire Sale of PA Acreage to Southwestern

May 1, 2013May 1, 2013

A blogger on the Seeking Alpha website delivers a bit more information about the announcement earlier this week that Chesapeake is selling their leases for 163,000 acres in NE PA to Southwestern Energy for what MDN called the “fire sale” price of $574 per acre (see Southwestern Energy Buys 162K PA Marcellus Acres from Chesapeake).

According to Seeking Alpha, Chesapeake paid an average of $610 per acre to lease that acreage between 2006-2009, so they actually lost money on the deal…
Read More “More on Chesapeake’s Fire Sale of PA Acreage to Southwestern”

ODNR Wants Fracking Regs Added Back to Kasich Budget Bill

May 1, 2013May 1, 2013

On Monday, the head of the Ohio Dept. of Natural Resources, James Zehringer, asked Ohio Senators to restore a number of non-budget-related oil and gas provisions to the budget bill scrapped by the House in the version they passed. The provisions could be brought back if the Senate includes them and the final version is agreed to in committee.

The provisions Zehringer wants added back?…
Read More “ODNR Wants Fracking Regs Added Back to Kasich Budget Bill”

Location ID’d for Mahoning County, OH Cryo Processing Plant

May 1, 2013May 1, 2013

In December, MDN told you the name of a newly formed joint venture between drilling company Hilcorp and midstream company NiSource would be Hickory Bend. The new joint venture will build a wet gas (natural gas liquids) pipeline and processing plant somewhere in the Youngstown, OH area (see Mahoning Utica Pipeline/Processing Plant “Moving Forward”). At the time, no plans had been announced about where the pipeline or cryogenic gas processing plant will be located.

Although the jv is still mum on a pipeline route (they’re acquiring lease rights to build it), we do know where the processing plant will be built…
Read More “Location ID’d for Mahoning County, OH Cryo Processing Plant”

Berks County Officials Think Commonwealth Pipeline Will Rise Again

May 1, 2013May 1, 2013

The Commonwealth Pipeline, a joint venture between Inergy, UGI and WGL Holdings, was suspended indefinitely just a few weeks ago (see PA’s Commonwealth Pipeline Project Suspended – Indefinitely). However, officials from Berks County, PA, in the southeastern part of the state and a county through which the Commonwealth Pipeline was slated to pass through, don’t buy it. They believe the project will come back to life and pass through their county, eventually…
Read More “Berks County Officials Think Commonwealth Pipeline Will Rise Again”

Athens Politicians Support Injection Well Ban for Frack Wastewater

May 1, 2013May 1, 2013

Although no Utica Shale permits have been issued for drilling in southeastern Ohio Athens County so far, the potential does exist (see Athens County, OH Upgraded to “Good” on ODNR Utica Map). Along with drilling comes wastewater. Many drillers recycle it, but some dispose of it via deep injection wells throughout Ohio. Athens County commissioners have voted to support a ban on all fracking wastewater disposal by injection wells.

Are the Athens commissioners trying to send a message to the drilling industry to stay away?…
Read More “Athens Politicians Support Injection Well Ban for Frack Wastewater”

Hydraulic Fracturing | Industrywide Issues | Research

EPA Extends Deadline for Public Input on Fracking

May 1, 2013May 1, 2013

Yesterday, Apr. 30, was to be the final day for the general public to “submit data and scientific literature” to the federal Environmental Protection Agency (EPA) to assist the EPA with their multi-year study of fracking. However, the EPA posted a notice in yesterday’s Federal Register (see it embedded below) extending the deadline to Nov. 15. A final report from the EPA is due in 2014–no word if this extension will prompt a slippage in that date too.

Why the change in deadline?…
Read More “EPA Extends Deadline for Public Input on Fracking”

NY Anti-Fracking Group Ramps up the Propaganda Machine

May 1, 2013May 1, 2013

A highly misleading brochure full of half-truths and outright lies is being mailed to 84,000 households in the Southern Tier area of New York State by a small group called Catskill Citizens for Safe Energy, in an attempt to scare residents and apply pressure to Gov. Andrew Cuomo. The Southern Tier area includes counties like Broome, Chenango, Chemung, Tioga and Steuben that are most likely to see fracking if and when Cuomo ever gets off his rear-end.

Here, boys and girls, is a glittering example of anti-fracking, anti-capitalist propaganda:
Read More “NY Anti-Fracking Group Ramps up the Propaganda Machine”

Economic Impact | Hydraulic Fracturing | Industrywide Issues

No. of US Shale Wells Up 44% in 2011, Drilling Money Up 88%

May 1, 2013May 1, 2013

How much money was spent, and how many shale oil and gas wells were drilled in the U.S. in 2011 (the latest year with full statistics)? The American Petroleum Institute, the industry’s largest trade association, knows. And the numbers may surprise you…
Read More “No. of US Shale Wells Up 44% in 2011, Drilling Money Up 88%”