Production increases while commodity prices remain low
Friday, July 24, 2015
A lower number of drilling rigs no longer means low production, Pittsburgh Post-Gazette PowerSource reports.
The newspaper states that a year ago, there were 20 more rigs. However, production is projected to increase by 4.3 billion cubic feet per day this year. Next year, it’s expected to increase by 1.6t Bcf/d. At the same time, supply growth is likely to decrease.
The increase in production with fewer rigs means that producers are becoming more skilled at extracting more gas with fewer rigs. Pipelines have also made a difference in gas production.
Via: Pittsburgh Post-Gazette PowerSource > Drillers become more efficient in low price environment
Leave a Comment
Marcellus & Utica Shale Well Map
Additional Shale Maps
Shale FAQ
What is fracking?
Fracking is a slang term for hydraulic fracturing. Fracturing is a process by which highly pressurized fluid is pumped thousands of feet into the ground to fracture rock formations. The goal is to release the natural gas that’s locked inside the rock.
Is it safe?
What most concerns people about fracturing is ground water contamination. The worry is that fractures underground, caused by the process, will extending upwards and into aquifers, releasing gas and chemicals into the ground water supply. There’s been no confirmed reports of such a thing happening. Though surface spills and drill site blowouts can lead to localized environmental concerns.
Will my water catch on fire?
Flammable water is caused by the release of methane gas into a drinking water supply. Methane gas occurs naturally and can be released by any kind of drilling, including water wells. In Pennsylvania officials fined Chesapeake Energy $1 million for contaminating ground water with methane. It was determined that the company had not properly cemented it’s boreholes and gas migrated up the well, between rock and into aquifers.