Monday, June 30, 2014

Midstream activities in OH


Second Quarter Acquisitions and Midstream Developments in Ohio The development of hydraulic fracturing and horizontal drilling has opened up the massive natural resources of the Utica shale play in Ohio. This play is now producing at a rate that makes it difficult for midstream companies to keep pace. Two recent transactions in the second quarter of 2014 represent midstream activities designed to increase infrastructure through gathering and stabilization, pipelines and trucking transportation. Rose Rock Midstream Purchases Trucking Assets From Chesapeake Energy A subsidiary of Chesapeake Energy Corp. has sold some of its crude oil trucking assets to Rose Rock Midstream, L.P. This transaction includes 200 employees, as well as 125 trucks, 122 trailers and related equipment currently operating in Texas, Oklahoma and Ohio. The acquisition also includes an agreement for term transportation at market rates with Chesapeake Energy Marketing, Inc. Once the acquisition closes, Rose Rock’s f
http://www.shaledirectories.com/blog/midstream-activities-oh/

Friday, June 27, 2014

Tight oil in the Permian Basin


The Permian Basin Provides the Ideal Environment for Horizontal Drilling News of oil in the Permian Basin is not new, as that area has been an arena for commercial exploration since the 1920s with over 30 billion barrels of oil produced since then. At this time, the output hovers around 1 million barrels per day. This output has been greatly augmented by the discovery of new methods for extracting light crude oil from the shale play of the region. The Permian Basin contains many layers of this light oil, also called light tight oil or tight oil. Hydraulic fracturing (fracking) and horizontal drilling technologies have proven successful in other shale plays for extracting tight oil. In the past, many of the resources such as oil, natural gas, and crude oil were not considered economically recoverable because of the cost to implement and maintain horizontal wells. Even though the costs have come down considerably as technology advances, many of the companies already successful with vert
http://www.shaledirectories.com/blog/tight-oil-permian-basin/

Wednesday, June 25, 2014

Midstream activities in PA-Texas Eastern Transmission Pipeline to Double in Capacity


Texas Eastern Transmission Pipeline to Double in Capacity A huge influx of oil and natural gas production has been the result of new technologies that make extracting resources from shale plays economically feasible. These plays are located across the country, and the growth has been so rapid it has created serious infrastructure issues for midstream companies across the country. Those in the East are experiencing the most change due to the success of the Marcellus and Utica shale plays. The region around these plays is seeing 88 percent of the projects underway to increase the capacity of transportation pipelines. The production of gas from the Marcellus alone has seen a substantial increase, rising from 1.2 billion cubic feet per day to around 14.8 billion cubic feet per day in the past seven years. By the year 2020, experts speculate that this amount could increase even more, to between 23 to 25 billion cubic feet per day. The ability to process and transport these natural resource
http://www.shaledirectories.com/blog/midstream-activities-pa-texas-eastern-transmission-pipeline-double-capacity/

Friday, June 20, 2014

Innovations in Eagle Ford Reduce the Environmental Impact of Fracking and Drive Texas Economy Forward


The Eagle Ford shale play is located in south Texas, and stretches northeast from the Mexican border 400 miles to east Texas. Its width is about 50 miles, and depths of production vary between 4,000 and 14,000 feet. It is best known for its production of oil, condensate, natural gas liquids, and wet and dry gas. Because hydraulic fracturing (fracking) and horizontal drilling have been so successful, Eagle Ford has played a significant role in the economic development and job growth of the counties directly affected by its presence, as well as the current boom the oil and gas industry is enjoying. Even though natural gas prices are currently low and the infrastructure does not have the capacity to support the amount of gas in the shale, the Eagle Ford region has a high liquid yield to compensate. Since the prices of oil, condensate, and natural gas liquids have risen, low natural gas prices do not adversely affect well economics. The first successful recovery of Eagle Ford resources is
http://www.shaledirectories.com/blog/innovations-eagle-ford-reduce-environmental-impact-fracking-drive-texas-economy-forward/

Wednesday, June 18, 2014

Natural Gas in Eagle Ford Promises to Provide Massive Returns for Investors


Hydraulic fracturing, or fracking, has proven to be one of the most successful ways of retrieving natural gas reserves within shale. Nine of every ten natural gas wells in the United States use fracking to access the deposits. Several shale plays in the Unites States are currently producing natural gas at an unprecedented rate. Of these, the Eagle Ford shale play is considered one of the most promising. The Eagle Ford shale is an area beneath South Texas that extends 400 miles in length and 50 miles in width. The plentiful liquids and low drilling costs give this region the potential to be one of the most productive natural gas reserves in the nation. Projections far exceed any other shale play, primarily because of the heavy liquids the area contains. It is one of the only regions that have high levels of oil as well as both wet and dry gas. Rapid development is likely in this type of geological domain. Eagle Ford has several advantages over the other shale plays. One is an advantage
http://www.shaledirectories.com/blog/natural-gas-eagle-ford-promises-provide-massive-returns-investors/

Monday, June 16, 2014

Rig counts in the Texas-Permian Basin, Eagle Ford, and Barnett Shale


Innovations Reduce Effectiveness of Rig Counts as Industry Barometer, but Numbers Still Climbing Since 1944, Baker Hughes, the oilfield services company based in Houston, TX, has produced a weekly report of rig counts for the United States and Canada, adding international sites in 1975. In their report for the month of May, 2014, the total oil rig count for the U.S. has risen by six, bringing the total from 1,528 to 1,536. In the first five months of the year, oil rig counts have seen an increase of 158, which is about 11 percent. Shale plays in Texas have been a major contributor to the rise in oil rigs, with the Permian Basin leading these. The drop in oil prices since the high of $110 per barrel last September has not been significant enough to affect drilling. The current level of around $90 per barrel is supportive of an increase in drilling and a high rig count, demonstrating the confidence oil and gas producers have toward growth in the industry. Permian Basin Rig Counts As one
http://www.shaledirectories.com/blog/rig-counts-texas-permian-basin-eagle-ford-barnett-shale/

Friday, June 13, 2014

Midstream (pipeline) business in the Marcellus and Utica Shale in 2014


Increased Output in the Marcellus and Utica Shale Plays Create a High Midstream Demand in 2014 and Beyond Hydraulic fracturing (fracking) in the Marcellus and Utica Shale plays have created an oil and natural gas boom for the United States that has midstream companies who provide the processing and pipelines for these products working hard to keep up. Production of crude oil, natural gas and natural gas liquids has climbed significantly since oil and gas producers have begun using fracking techniques, and early projections say they will get higher even without the new technologies that should increase efficiency and raise production. Many midstream service providers are moving quickly to build and open processing and storage facilities and pipelines for transportation. MarkWest Energy Partners, L.P.MarkWest Energy Partners, L.P. is a company that offers midstream services for producers of oil and natural gas. Midstream services include the gathering, processing and transporting of nat
http://www.shaledirectories.com/blog/midstream-pipeline-business-marcellus-utica-shale-2014-2/

Wednesday, June 11, 2014

Midstream (pipeline) business in the Marcellus and Utica Shale in 2014


The Marcellus and Utica Shale Provide Booming Opportunities in Midstream Development There are three basic stages of development in the shale oil and gas industry. Exploration and production is called upstream, which is the first stage. Next is midstream, involving the processing, storage, transportation and marketing of natural gas. The final stage is called downstream, and this is where the finished product is taken through the sale. The Marcellus and Utica Shale plays have already produced enough natural gas to cause an upstream revolution of sorts. This overwhelming production has far surpassed the midstream capacity. The result of this disruption is an urgent push to construct processing plants, storage facilities and pipeline to get the new supply of natural gas to market. The oversupply on the upstream end comes from new hydraulic fracturing technologies at work in both shale plays. The current technologies are not even meeting the production potential, and the race is on upstr
http://www.shaledirectories.com/blog/midstream-pipeline-business-marcellus-utica-shale-2014/

Monday, June 9, 2014

Increased drilling activity in the Marcellus and Utica Shale in 2014


Projected Growth in the Marcellus and Utica Shale in 2014 Many exploration and development companies involved in drilling in the Marcellus and Utica Shale region had record earnings for 2013, which is driving an increase in investments in 2014. The United States Energy Information Administration has estimated that the Marcellus shale play holds more than 100 trillion cubic feet of natural gas. It is one of the biggest producers of natural gas in the country. The three biggest investors in the Marcellus and Utica Shale region are Chesapeake Energy, Anadarko Petroleum and Southwestern Energy. Prime locations and record low temperatures helped these investors to gain a substantial return on their investments this past winter as customers on the East Coast drove up the demand for fuel used for power and heating. These are not the only companies exploring the regions by a long shot, though. EQT Corp.EQT Corp. hit record numbers in 2013, and 73 percent of the sales volume was due to the act
http://www.shaledirectories.com/blog/increased-drilling-activity-marcellus-utica-shale-2014-2/

Friday, June 6, 2014

Increased drilling activity in the Marcellus and Utica Shale in 2014


Marcellus and Utica Shale: A Positive Outlook for 2014 2014 continues to look promising for drilling activity in the Marcellus and Utica Shale region. The Ohio Department of Natural Resources forecasts an estimated 1,180 Utica wells will be drilled in 2014. Already over 1,000 Utica wells have been approved, with 737 drilled and nearly 400 more in production. Projections will become more accurate as the Ohio Department of Natural Resources completes the change to quarterly well results in 2014 from the annual reports of previous years. As new technologies for tapping the shale’s crude oil are developed, this number has the potential to go even higher. For now, some efforts have gone unrewarded, but companies remain optimistic about the future, intending to do some experimental drilling for crude oil soon. Other high-energy natural gas and liquids found within the “oil window” include ethane, butane, and propane, and drillers in Ohio are considering the Washington County and Morga
http://www.shaledirectories.com/blog/increased-drilling-activity-marcellus-utica-shale-2014/

Wednesday, June 4, 2014

MSC Statement on Impact Fee Tax Disbursements


Pittsburgh, Pa. Marcellus Shale Coalition president Dave Spigelmyer issued the following statement regarding the Pennsylvania Public Utility Commission’s disbursement of 2013’s nearly $225 million in shale impact fee tax revenues for local governments: “Responsible shale development continues to be an economic lifeline for communities across the entire Commonwealth. These disbursements, which have increased more than 10 percent year-over-year, are providing critical revenues streams directly to local governments as well as for important environmental-focused programs. “Act 13, a commonsense bipartisan law, aimed to strengthen our environmental regulations and ensure that local governments would realize these broad-based benefits, all while keeping Pennsylvania competitive and an attractive state to invest, grow jobs and do business. These tens of millions of dollars in increased tax revenues are proof positive that this law is working. “While we’re making meaningful, share
http://www.shaledirectories.com/blog/msc-statement-impact-fee-tax-disbursements/

Bakken Shale Region Brings Opportunity and Prosperity to North Dakota


Occupying more than 200,000 square miles in the northern United States and Canada, the Bakken shale region is currently proving itself to be one of the biggest oil production resources in North America. Oil reserves in the Bakken Shale region are believed to rival those in Saudi Arabia. Oil was originally discovered in North Dakota in the 1950s, and the area boomed again in the 1980s. Particularly in the northwestern corner of the state, the Bakken Shale yield has created a new boom that is changing the face of the local job market and economy. While vertical oil wells were able to tap into some of the energy resources located in the Bakken Shale region, horizontal drilling and hydraulic fracturing (fracking) technologies have brought some of the Bakken Shale’s true potential to light and are bringing oil companies flocking to the area. Other industries are following closely on their shirttails, and with good reason. The boom this technology has created is more than five times the s
http://www.shaledirectories.com/blog/bakken-shale-region-brings-opportunity-prosperity-north-dakota/

Monday, June 2, 2014

Pad Drilling Increases Bakken Shale Growth Predictions for 2014


Oil and natural gas industry analysts predict that investments by operators in the Bakken shale will exceed $15 billion for drilling and completions this year. If so, Bakken would hold second place in the United States Lower 48, with Eagle Ford in the number one spot. As with other large shale regions, infrastructure problems are continuing to constrain production, but operators still believe they will be able to recover at least 20 billion barrels of oil over the life of the plays. Analyst predictions for Bakken and Three Forks are an average of 1.1 million barrels of oil per day in 2014, with growth exceeding 1.5 million barrels of oil per day in 2020. At the same time, costs for wells continue to decrease, in part due to pad drilling. Three years ago, the average well cost more than $10 million, but with pad drilling techniques, the average well costs between $7 and $8 million. This significant price reduction is not the only benefit pad drilling brings to the table. It also reduce
http://www.shaledirectories.com/blog/pad-drilling-increases-bakken-shale-growth-predictions-2014/