The Marcellus Shale | October 2022
The Marcellus Shale is the largest gas play onshore in the US. Located in the Northeast, it supplies the high-demand markets along the East Coast. Most of the basin’s gas is produced through unconventional methods, while the little oil produced is mostly by conventional means. Some of the top formations include the Onondaga and the Huntersville.
State Drilling Statistics
Active Drilling Rigs in Basin- 39 (-)
Total Rigs in Pennsylvania- 22 (-)
Total Rigs in United States- 776 (+7)
Total U.S. Rigs 34% YTD
State Permitting Data
Permits Approved – 64
Marcellus Top Producers
Top Producer By BOE – Chesapeake
Pennsylvania is racing to put in place new emissions regulations for oil and gas operators in the state. The EPA sent a letter to the state warning them that they have until the end of december to clean up emissions, particularly volatile organic compounds. If new regulations aren’t in place in time, the state risks hundreds of millions of dollars in federal highway funds. There is a current rule in place that limits the amount of emissions coming from fracked wells, however, that rule specifically excluded shallower, conventional wells in an attempt to get it passed quicker. Now the state is being asked to tighten regulations and include more wells, such as those previously excluded.
Of all the states on the east coast, Pennsylvania is the leader in the energy production sector, which is mainly due to their expansive reserves of natural gas. Now, they are looking to add to their portfolio by investing in more than just hydrocarbons. A slew of tax credits have been passed in the state, making it that much easier for renewables, particularly hydrogen, to flourish. Out of $115 million annually in tax credits, being called Pennsylvania Economic Development for a Growing Economy program, $50 million will go towards the construction of a regional hydrogen hub. $30 million will be used for projects producing fertilizer and petrochemicals using natural gas, $20 million to help biomedical and semiconductor production and the final $15 million to milk processing.
Operators with Most Permits in PA
|5||XTO Energy (Exxon)||6|
Top Producers By Gas
|Change||Rank||Company||Gas Production (MMCF) (8/22)|
PA Oil Production
PA Natural Gas Production
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