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Sunday, January 27, 2013

National Fuel Announces Significant Marcellus Shale Well Results

National Fuel Announces Significant Marcellus Shale Well Results

 WILLIAMSVILLE, N.Y. – Seneca Resources Corporation (“Seneca”), the wholly owned exploration and production subsidiary of National Fuel Gas Company (NYSE:NFG) (“National Fuel” or the “Company”), has announced initial results from six recently completed Marcellus Shale wells within its DCNR 100 tract in Lycoming County, Pa.

Seneca has completed six new Marcellus Shale wells on a pad located within its DCNR 100 tract in Lycoming County, Pa. These six wells had 24-hour peak production rates averaging 17.8 million cubic feet (“MMcf”) of natural gas per day, five of which represent the highest peak production rates of any wells operated by Seneca in the Marcellus.

Treatable lateral lengths on these wells ranged between 4,292 and 5,101 feet and they were completed with 14 to 18 frac stages per well. All six wells are expected to be flowing into National Fuel Gas Midstream Corporation’s Trout Run Gathering System by the end of January.

David F. Smith, Chairman and Chief Executive Officer of National Fuel, stated, “The success we are achieving in Lycoming County validates the prolific nature of the Marcellus in this area. With a combined 24-hour peak production rate of 107 MMcf of natural gas per day, these wells represent some of the most productive wells ever drilled in the Marcellus by any operator. With two drilling rigs running in Lycoming County, and without the production infrastructure constraints facing many other operators in the Marcellus, we anticipate this acreage will be a key driver of Seneca’s production growth over the next two to three years.”

Including these six wells, Seneca expects to have a total of 15 wells producing into the Trout Run Gathering System by the end of January. Additionally, 16 more wells on the DCNR 100 tract will be completed this fiscal year, with approximately 25 more scheduled for completion in Fiscal 2014. 

The Company plans to provide further details on its Appalachian operations during its scheduled earnings teleconference on February 8, 2013.


Anonymous said...

Does this make us energy independent now? How about heating costs? Just waiting for their end of the deal is all...

Anonymous said...

3:31 no silly your heating costs will continue to rise every year. this gas is headed overseas where its needed the most. you can see all the jobs theses wells created? well cant you? oh yeah, those jobs are gone just like the beauty of pennsylvania gone forever

Anonymous said...

Don't worry the jobs will be coming as soon as they get the waste pit built in ulysess

Anonymous said...

We should be thankful that we at least get to keep the radioactive toxic sludge. And once in awhile we even get a "naturally occuring" house explosion

Anonymous said...

I don't know about the rest of you, but I'm pretty tired of having Harrisburg, Philadelphia, and Pittsburgh use northern PA as a cash cow. Note the sentence, "without the production infrastructure constraints facing many other operators" - what constraints were cut?