Shale Daily

About 90% of Sanchez Energy Corp.’s drilling and completion spending this year will target the Eagle Ford Shale, with the remainder going to the Tuscaloosa Marine Shale (TMS) where the company expects industry activity, and learning, to accelerate.

Kinder Morgan Inc. (KMI) and its master limited partnerships added to their backlog of capital projects in 4Q2013 and also made in-roads along several fronts — especially in the Marcellus, Utica and Eagle Ford shales — while the natural gas segment drew impressive earnings for the quarter.

Natural gas supplies are on the rise in British Columbia (BC) even though drilling, slowed by weak prices, has barely scratched the surface of the province’s northern shale deposits.

Dallas-based Southcross Energy Partners LP said its South Texas operations continued to grow during the fourth quarter. Processed gas volumes increased by about 13% over third quarter volumes, and sales volumes of natural gas liquids were about 28% greater. “Southcross enters 2014 with solid operational performance, and we believe we are well-positioned to focus on expanding our assets in the Eagle Ford Shale,” said David Biegler, CEO of Southcross’ general partner. The partnership’s South Texas assets are between Houston and Freer, TX, and have access to the Corpus Christi ship channel market. They consist of 1,595 miles of pipeline with an estimated capacity of about 590 MMcf/d, two fractionators, two gas treating plants and about 40 compressors. Southcross also has operations in Mississippi and Alabama.

Produced volumes of U.S. shale gas will be bigger than conventional gas resources ever were or will be, BP plc’s chief economist said Wednesday.

While he said Colorado has some of the strictest standards in the nation for oil and natural gas development, Gov. John Hickenlooper pledged to toughen the state’s protections for air and water, working with lawmakers, the energy industry and environmental groups.

Federal safety investigators said Tuesday they have completed their on-site work regarding the twin oil tank rail derailments on Dec. 30 in Casselton, ND, and will continue their probe in Washington, DC.

The zoning board of South Fayette, PA, has agreed with Range Resources Corp. to indefinitely postpone a hearing for the company’s challenge to a 2010 ordinance that essentially restricts drilling in the small township.

Cimarex Energy Co. plans to grow production this year to an average 760-800 MMcfe/d, spending most of the $1.8 billion earmarked for capital expenditures (capex) in the Delaware Basin, a subbasin of the Permian Basin, and opportunities in the Wolfcamp Shale.