Monthly Archives: March 2016

The drilling season will be starting to get more active, but what does this drilling season mean with the depressed prices. You’ll have the opportunity to get a better perspective on what is happening this spring in the Utica. The Utica Upstream Seminar will give you this opportunity. This seminar will be very informative and will be excellent for networking. If you work in the industry. You should try to attend the Utica Upstream Seminar. It will be well worth there time. The Utica Upstream Seminar is on April 6, 2016 at the Pro Football Hall of Fame in Canton, OH. The seminar will have presenters who are industry experts along with a panel of Exploration and Production representatives. The Utica Upstream is next Wednesday. You cannot wait if you want to go. Here’s a link to register. You will find information on the speakers below. Maria Cortez Upstream Analyst, Wood Mackenzie BIO: Maria Cortez of Houston, Texas, is an upstream analys


Shells latest announcement about buying a hotel in Beaver County is the latest sign that Shell continues to move forward with the cracker plant.  Rumors have floated around that Shell would not make a final “Yes” or “No” decision, but rather just keep working on the site. A deed recorded with Beaver County showed a sale price of $2.5 million to Three Center Independent Oil Real Estate, which owned the property at 427 Frankfort Road. That company bought the property in 2011 from Josephine Lang for $200,000. Shell spokesman Michael Marr confirmed the purchase and said the company “is taking the necessary steps to prepare for potential construction in the event a decision to build the project is made.” The Kobuta property is near the former Horsehead Corp. site that is being remediated by Shell for potential use as an ethane cracker plant. Shell has not made a final investment decision on whether it will build a multibillion-dollar plant, but work continues at a rapid pace a

While NGLs are produced at both natural gas processing plants and petroleum refineries, natural gas facilities are expected to provide more than 95% of the forecast production growth, EIA states. Between 2008 and 2015, NGL production at natural gas processing plants (including fractionation facilities) increased as a by-product of the huge supply increase of natural gas from shale plays and tight oil formations. Ethane production, constrained by lack of demand and low prices in recent years, is expected to increase at a faster rate than other NGLs in 2016 and 2017, as expanded petrochemical and export capacity provides new outlets for supply and allows more ethane to be recovered from raw natural gas. Forecast natural gas plant ethane production increases by 300,000 BPD between 2015 and 2017, accounting for 67% of total NGL production growth, EIA projects. The U.S., a net importer of all NGL products in 2007, became a net exporter of natural gasoline in 2008, of butane and propane in

Whiting Petroleum s CEO, appearing at one of Hart Energy s DUG Bakken/Niobrara conference, said in an open meeting that his biggest problem was getting pipeline access to the Philadelphia refinery complex. That sparked a flurry of questions from reporters: Was Whiting involved in a pipeline project? No, he said, but indicated someone else might be. Did he know of a company planning to build a cross-country pipeline? Well, he didn t want to divulge another company s plans. What company? He couldn t say. Then Oasis Petroleum s CEO indicated he knew about a pipeline project. His company wasn t involved, but it would sure like to ship its crude over the pipeline, once it got built. Like Whiting s CEO, however, he couldn t say what builder was out there. But it turned out that there were two companies working to build that pipeline. A little research turned up Dakota Access, a project to re-purpose an existing gas line and build on it to move crude oil from western North Dakota 1,100 miles

Despite reducing operating expenses by 32.5%, lower commodity prices and lower revenue caused independent producer Rex Energy to report larger net losses for both the fourth quarter and full-year 2015. For the final three months of the year, the State College, Pennsylvania recorded production volumes of 186.1 million cubic feet-equivalent per day (MMcfe/d), down 5% from the year-ago quarter. For full-year 2015, production volumes actually increased, by 27% over 2014, to 195.8 MMcfe/d, Kallanish Energy reports. Rex’s fourth-quarter net loss totaled $100.45 million, an increase from $71.66 million one year ago. The company reduced Revenue dropped by more than 50%, to $34.53 million, from $70.25 million one year ago. The company’s impairment expense fell by roughly $50 million in the fourth quarter, to $81.1 million, from $132.58 million one year ago. Fourth-quarter revenue fell more than 50%, to $34.53 million, from $70.25 million. For the year, Rex lost $372.94 million, vs. a loss

The oil and gas industry is going through one of the toughest downturns on record. It’s been 18 months since the price started declining in October 2014. Most industry experts projected this price decline to last only 12 to 15 months.   The shale revolution has changed the dynamics of producing and relying on past pricing and production models do not work in this environment.   Since we are in a new environment of ever-changing technology, the need for the latest industry information is greater than ever. One of the beneficiaries of the information craving is Shale the #1 online directory servicing the Marcellus, Utica, Permian, Eagle Ford, Bakken and Niobrara Shale plays. Shale Directories, LLC has seen a significant bump in web site traffic to its directory. “It’s the desire and need to keep updated on the latest industry information that is driving oil and gas industry professionals to our directory,” commented Joe Barone, Shale Directories, LLC Presiden

Crude oil should rebound to $50 a barrel (Bbl) by year’s end, possibly helped by supply cuts from producer-members of the Organization of the Petroleum Exporting Countries (OPEC), one well-respected industry forecaster says. They [OPEC members] want $50 oil, this is going to become the new anchor for global oil prices, Gary Ross, executive chairman of consultancy PIRA Energy Group, told Reuters. While it may not be an official target price, you’ll hear them saying it. They’re trying to give the market an anchor. If Saudi Arabia and other powerful Gulf OPEC members begin invoking $50 as fair price for producers and consumers, it could signal the end of a period in which the group exchanged managing the market and prices for market share, Kallanish Energy reports. Instead of slowing production and thus allowing prices to rise OPEC – Saudi Arabia – kept pumping and allowed prices to drop. While no one anticipated the longest and deepest crude price plunge in roughly three decad