Averaging

Apache Corp. is taking no prisoners in the Permian Basin nor in the Midcontinent after building output from the combined regions by almost 24% in 2012 from 2011. By themselves, the two regions represented 25% of total global production at 197,000 boe/d.

Composite natural gas liquids (NGL) prices will remain weak through this year, averaging 74 cents/gallon and bottoming during the second quarter at an average of 68 cents/gallon, Raymond James & Associates Inc. said Monday.

Soaring Northeast cash prices were unable to offset a broader overall market decline averaging 11 cents Friday. Gulf and eastern points were especially hard hit. December futures fell 14.5 cents to $3.554 and January tanked 13.8 cents to $3.680. December crude oil fell $2.23 to $84.86/bbl.

Quicksilver Resources Inc. has executed an agreement with the U.S. exploration arm of Royal Dutch Shell plc to establish an area of mutual interest (AMI) covering more than 850,000 acres of the Sand Wash Basin in northwestern Colorado.

With the exception of a few Northeast points, physical prices staged a broad rally Tuesday, averaging gains of nearly 11 cents. Moderating temperatures in New England prompted lower quotes on Northeast pipes, and futures managed to join in the rally as well. At the close of futures trading August had gained 7.0 cents to $3.187 and September had risen 6.6 cents to $3.177. September crude oil added 36 cents to $88.50/bbl.

Following a trend among the major players in the Marcellus Shale, Range Resources Corp. is reporting record production rates after averaging 625 MMcfe/d across its portfolio in the fourth quarter.

North Dakota passed another oil production milestone in November, averaging more than a half-million b/d, according to preliminary data released Tuesday by the state Industrial Commission.

Houston-based Cabot Oil & Gas Corp. burst through the finish line in 2011, averaging 600 MMcf/d from the Marcellus Shale at the end of the year, including one day where it produced a record 606 MMcf. The independent also earned the distinction of being the best-performing stock on the Standard & Poor’s 500 in 2011.

Cabot Oil & Gas Corp. closed out 2011 averaging 600 MMcf/d from the Marcellus Shale, including one day where the Houston company produced a record 606 MMcf.