The Energy Scoop – Marcellus Shale Production Expected to Reach New High
Energy production continues to rise by region and across the U.S. Marcellus production is expected to surpass 16 billion cubic feet per day (bcf/day), while overall nationwide natural gas production averaged 69.1 bcf/day in September.
In the next month, Marcellus Shale gas production is expected to reach 16.04 billion cubic feet per day. Although it was originally predicted that levels would reach that mark in October, new forecasts indicate current production levels at around 15.8 billion cubic feet daily. According to the U.S. Energy Information Administration, “The underlying data are often quite volatile, reflecting large variability in the performance of individual wells.” They added, “The final point of actual production data as reported by the states varies, as each state has different reporting requirements and schedules.”
U.S. natural gas production has reached an all time high with levels averaging 69.1 billion cubic feet per day for the month of September. Through the increase in dry production and higher price environments for producers, 2014 production levels are expected to average 67.9 billion cubic feet per day. “After a month of lower trajectory growth, natural gas production is poised to shatter existing records through the end of the year,” commented Jack Weixel, director of energy analysis for Bentek Energy.
According to Fuelfix, there’s a new energy firm with experienced management looking to revitalize aging wells in the Permian Basin by injecting CO2 into them. Windy Cove Energy CEO Chuck Fox left his position as VP of Kinder Morgan CO2 Co. last year to launch the new venture. “We’re focusing on what’s being left behind by the rush,” said Fox.
The Organization of Petroleum Exporting Countries otherwise known as OPEC, may be letting oil productions drop to see if North American production can survive the lower prices, according to Antoine Haff, head of the International Energy Agency’s oil and markets division. With U.S. government predictions of record shale output in November, it seems domestic drillers are doing fine.
