External Affairs Coordinator, Cabot Oil & Gas
The Shale Gas News, heard every Saturday at 10 AM on 94.3 FM, 1510 AM and Sundays on YesFM, talked about record-breaking wells, royalties, Cabot Oil & Gas and much more last week.
The Shale Gas News has grown again; welcome Gem 104 as our FOURTH station! Gem 104 helps to solidify the Shale Gas News coverage in an important Marcellus region, PA’s northern tier. The Shale Gas News is now broadcasting in Bradford, Lackawanna, Lancaster, Lebanon, Luzerne, Lycoming, Pike, Sullivan, Susquehanna, Tioga and Wayne Counties, as well as in greater central PA. The Shale Gas News is aired on Saturday or Sunday depending on the station.
Every Saturday Rusty Fender and I host a morning radio show to discuss all things natural gas. This week, as a guest, we had Jackie Stewart of Energy in Depth.
The Shale Gas News, typically, is broadcast live. On the June 30th show (click above), we covered the following new territory (see news excerpts below):
- News from DUG East: Record-Breaking Wells, Long Laterals & More. One of two major Marcellus/Utica events that happens each year in Pittsburgh, Hart Energy’s DUG East Conference, was held this week. (The other is Shale Insight, held in the fall.) We’ve covered a variety of news coming out of the DUG East event. Unfortunately we could not be there in person this year. By all accounts, a lot of great information was shared. We spotted two articles from different sources that do a good job of rounding up highlights from this week’s DUG. Hart’s own Exploration & Production magazine chronicles news from Eclipse Resources, whose CEO (Ben Hulburt) says the company expects to break more lateral records this year.
- EQT & Range Recent Cutbacks Won’t Affect Production. Sources talking to the Pittsburgh Business Times have tipped the paper that EQT recently idled something like five fracking crews, and that Range Resources recently idled a top hole drilling rig. Oh oh. Is this an early sign that the gas patch is slowing down again? Are we heading into a downturn? Don’t panic. Although there has been some scaling back, both companies say activity levels and most importantly, production levels, are not jeopardized by their actions. Instead, the moves are about “saving money” and “increasing efficiencies.”
- OH Landowners with Early Utica Leases Still Get Good Royalties. Some 10 years ago in the “early days” of the Ohio Utica Shale, landowners signed leases not knowing about the Utica and the bonanza it would soon bring. A group of 24 landowners in Columbiana County signed a lease in 2008 with Anshutz–for a few bucks an acre and 12.5% royalties. Seemed like a good deal then. But five years later leases were going for $5,000-$6,000/acre in signing bonuses and 20% royalties.
- Cabot Files Permit #3 for Knox Formation Test Well in Ashland, OH. As we have reported since late last year, Cabot Oil & Gas, long-known for the incredible amount of Marcellus natural gas they produce from Susquehanna County in northeastern Pennsylvania, is eyeing north central Ohio as a potential spot for “what’s next” after the Marcellus. Cabot locked up leases with plans to drill a number of test wells in not only Ashland, but also Holmes, Knox, Richland and Wayne counties in the Buckeye State. Cabot began to push dirt around on its first wellpad (in Ashland) in April, and last week began to drill a hole on that pad.
- EQT CEO Didn’t Show Up for Annual Mtg – CFO Talks of Wild Ride. Last Thursday EQT held its annual shareholder’s meeting. By all accounts it was a sleepy affair with few people attending–inside at least. Even the current interim CEO, David Porges, didn’t bother to show up, sending along CFO Rob McNally to be the official face of the company. McNally spoke about the past few years as hectic, going from “one transaction to the next.” McNally said “there’s a light at the end of the tunnel” for things to now settle down–once the company splits in two later this year (into upstream and midstream).
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