Utica Shale

After careful analysis and increasingly promising wells near its asset base, EQT Corp. on Thursday became the second company this year to announce that it will spud its first Utica Shale well in southwest Pennsylvania in the coming months.

Rex Energy Corp. said Monday that its estimated proved reserves exceeded 1 Tcfe, thanks in large part to its core operating areas in eastern Ohio and Western Pennsylvania, where the company has reported increasing success in the last year or so (see Shale Daily, Jan. 16).

Antero Resources Corp. said Friday it produced 891 MMcfe/d in the second quarter, a 94% year-over-year increase that set a company record and passed the milestone of 1 Bcfe/d of net production.

Rising U.S. onshore production and the oversupply that continues to stoke concerns about near-term drilling economics and price realizations in the Appalachian Basin could slowly be reversed with a basis uplift beginning in 2016 if demand, midstream bottlenecks and new technology improve as forecasted, according to a report from Canaccord Genuity.

Appalachian pure-play operator Antero Resources Corp. added 1.5 Tcfe to its proved reserves during the first half of the year, mainly on a robust drilling program in the Marcellus and Utica shales, where shorter stage length (SSL) completions boosted well performance.

A new truck-to-rail transloading facility has opened in Parkersburg, WV, that is capable of handling more than 150,000 bbl of crude oil condensate and natural gas liquids from the Marcellus and Utica shales.

The Marcellus Shale continued to drive significant production gains for Consol Energy Inc. in the second quarter, while its program in the Utica Shale is picking up pace and expected to account for a larger portion of volumes by the end of this year.

Magnum Hunter Resources Corp. said Monday the Appalachian Basin now accounts for approximately 80% of its total proved reserves, up from 70% at the end of last year as it continues to divest non-core assets to focus on developing nearly 200,000 net Marcellus/Utica acres.

A recently released study by the FrackTracker Alliance shows that water use and wastewater generated from horizontal hydraulic fracturing (fracking) has dramatically increased in the Appalachian Basin since 2010, leading to a corresponding increase in the use of Class II underground injection wells, especially in Ohio.