Efforts

Global efforts for the first time are under way to influence a shift toward low-carbon energy sources and to renewables, but the transition would create new challenges unlike any other in history, according to a report issued Tuesday at IHS CERAWeek 2013 in Houston.

Denver-based PDC Energy Inc. has sold its Piceance and other mostly natural gas Colorado holdings to concentrate its drilling efforts in the Utica Shale in Ohio, along with Weld County’s Wattenberg field in Colorado.

Moving right along on the energy regulatory front, Colorado’s Department of Natural Resources (DNR) on Wednesday launched a study of air emissions tied to oil and gas development.

McMoRan Exploration Co. remains stymied in efforts to unlock production from the Davy Jones No. 1 well in the Gulf of Mexico’s shallow waters after operations designed to unblock perforations using a propellant stimulation gun had “limited success.” The New Orleans-based producer now plans to reperforate the well on South Marsh Island Block 230 with electric wireline using tubing guns. Davy Jones, which McMoRan operates, is part of an ultra-deep natural gas structure encompassing 20,000 acres on four blocks of the Outer Continental Shelf. In late November McMoRan said it still was struggling to bring the prospective No. 1 well online, which was supposed to be flowing 50 MMcf/d last summer (see Daily GPI, Nov. 28). McMoRan holds a 63.4% working interest with Energy XXI (15.8%); JX Nippon Oil Exploration (Gulf) Ltd. (12%); and Moncrief Offshore LLC (8.8%). In early December Freeport-McMoRan Copper & Gold Inc., whose top executives also run McMoRan, agreed to to buy the company, as well as Plains Exploration & Production Co., for $9 billion (see Daily GPI, Dec. 6).

Colorado producers on Friday raised the ante in their concerns about a state agency’s efforts to establish new rules on setbacks for oil and natural gas drilling operators, gaining support from local business groups for a fact sheet citing the economic benefits that resource production brings to the state.

Colorado producers on Friday raised the ante in their concerns about a state agency’s efforts to establish new rules on setbacks for oil and natural gas drilling operators, gaining support from local business groups for a fact sheet citing the economic benefits that resource production brings to the state.

Range Resources Corp. expects to spend about 85% of its $1.3 billion 2013 capital expenditures (capex) budget on liquids-rich and oil projects, predominately in wet areas of the Marcellus Shale and through horizontal drilling in the Mississippian Lime, the Fort Worth, TX-based company said Wednesday.

Producer Antero Resources, which recently refocused all of its efforts on Appalachia, has signed up for Utica Shale processing, fractionation and marketing services with MarkWest Utica EMG LLC.

Hurricane Sandy appears to have posed a minimal disruption to oil and gas companies operating in the Marcellus Shale.