Productivity

It’s not how many rigs there are in the shale patch; it’s what they’re doing. As drilling productivity continues to climb, the industry has realized a simple rig count is a poor indicator of future production. Now the Energy Information Administration (EIA) is monitoring and reporting on drilling productivity.

The first glimpse of Utica Shale productivity in Ohio makes two things clear: Chesapeake Energy Corp. is leading the way and it is producing a fair amount of natural gas.

The first glimpse of Utica Shale productivity makes two things clear: Chesapeake Energy Corp. is leading the way and it is producing a fair amount of natural gas.

Sustained low natural gas prices and higher productivity may trigger a wave of industry consolidation similar to the mega mergers in the past decade, oil and gas experts told an audience at the recent IHS Herold 20th Annual Pacesetters Energy Conference in Stamford, CT.

Sustained low natural gas prices and higher productivity may trigger a wave of industry consolidation similar to the mega mergers in the past decade, oil and gas experts told an audience last week at the IHS Herold 20th Annual Pacesetters Energy Conference in Stamford, CT.

Setting its sights on improving natural gas and electric service reliability, field productivity and system performance, as well as investments to improve energy efficiency at several company facilities, Exelon Corp.’s Pennsylvania natural gas and electric utility, PECO, said it will fund its operations with roughly $400 million this year for infrastructure improvements and new facilities.

The optimists are turning out to be right as Canadian naturalgas exports to the United States continue to climb, laying to restpessimistic productivity forecasts a year ago.