Oil And Gas Production Projected To Rise In Utica, Marcellus Shale

YOUNGSTOWN, Ohio – Oil and natural gas production from wells in eastern Ohio’s Utica-Point Pleasant and Pennsylvania’s Marcellus shale is expected to climb in May, according to the latest data from the U.S. Energy Information Agency.

According to EIA’s Drilling Productivity Report released April 18, the Utica-Point Pleasant and Marcellus region – collectively referred to as Appalachia – is projected to step up oil production by 3,000 barrels per day and increase natural gas output by 197 million cubic feet per day by next month.

In April, EIA estimates that energy companies across the region produced 111,000 barrels of oil per day. That should increase to 114,000 barrels per day in May.  Total natural gas production is expected to jump from 35.443 billion cubic feet per day in April to 35.640 billion cubic feet daily in May.

Six of the seven shale plays across the country are projected to increase oil or natural gas production next month, EIA reports. 

Every shale region in the United States is expected to increase oil production with the exception of the Haynesville shale, which straddles Louisiana and Texas. That shale play is expected to remain unchanged at 34,000 barrels produced per day.  The largest output of oil is expected from the Permian Basin in Texas at 5.137 million barrels per day next month, an increase of 82,000 barrels per day compared to April’s production data.

The Appalachian region continues to be the country’s gas giant with expected yields in May of 35.640 billion cubic feet of natural gas per day.  The next-largest producer is the Permian, with a projected 19.533 billion cubic feet of natural gas produced each day for that month.

Just one shale region, the Anadarko in Oklahoma, projected a decline in natural gas production. That shale play is expected to decrease production by 15 million cubic feet per day, from 6.118 billion to 6.103 billion cubic feet per day, according to EIA’s report.

Despite higher oil prices, no new permits to drill new oil or gas wells in the Utica-Point Pleasant’s northern region – generally consisting of Columbiana, Mahoning and Trumbull counties — have been issued by the Ohio Department of Natural Resources this year.

In April, EAP Ohio, which acquired much of Chesapeake Energy’s position in Columbiana County several years ago, applied for permits to deepen three wells it drilled earlier in Hanover Township.  Those permits have yet to be awarded, according to ODNR records.

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