The latest records year-to-date at Wyoming Oil and Gas Conservation Commission (WOGCC) underscore reports from the industry players that drilling activity is on the upswing in the Powder River Niobrara, interim WOGCC Director Bob King told NGI‘s Shale Daily on Wednesday.

“According to our records there are currently 339 applications for permits to drill in the Niobrara,” said King.

King called Chesapeake the Powder River Niobrara’s “biggest player,” while naming three others as significant in the emerging shale play, among them: Anadarko Petroleum, EOG Resources and Bill Barrett Corp.

As of now, King said Wyoming’s part of the Niobrara has produced more than 938,000 barrels of crude oil, noting that the developing shale play still presents both challenges and advantages.

The challenges include drilling horizontal wells through what he called “water-sensitive shales,” along with multiple-fracture treatments in lateral sections of the drilling. On the plus side, King cited “significant reserves and less surface impact compared to vertical wells.”

He said the WOGCC is now turning around drilling permit applications in 15 to 30 days. Permits requested have topped 400 during the year, compared to less than 200 last year. Meanwhile, the production already topping 900,000 barrels exceeds the totals for all last year (843,000 barrels), King indicated.

The state received 77 oil and gas permit applications in July, a 51% increase from 51 in July 2011, according to WOGCC data. Another 58 drilling permit applications were received during the first 16 days of August; a total of 66 applications were received in all of August 2011.