Eagle Ford Shale Play http://eaglefordshale.com News, MarketPlace, Jobs Fri, 29 May 2015 20:32:28 +0000 en-US hourly 1 http://wordpress.org/?v=4.1.1 Eagle Ford Rig Count Back to 125 http://eaglefordshale.com/news/eagle-ford-rig-count-back-to-125/ http://eaglefordshale.com/news/eagle-ford-rig-count-back-to-125/#respond Fri, 29 May 2015 20:32:28 +0000 http://eaglefordshale.com/?p=7916 Eagle Ford Rigs Gain One This Week

Eagle Ford Rigs Gain One This Week

The Eagle Ford Shale rig count bounced back up to 125 rigs running across our coverage area by midday Friday.

In recent Eagle Ford news, Matador resources report that the low oil prices have taken a toll on the company’s earnings and caused them to temporarily suspend operations in the Eagle Ford Shale.

Read more: Matador Still Keen on the Eagle Ford

The U.S. rig count fell by 10, ending with 875 rigs running by midday Friday.  A total of 225 rigs were targeting natural gas (an increase of three from the previous week) and 646 were targeting oil in the U.S. (13than the previous week). The remainder were drilling service wells (e.g. disposal wells, injection wells, etc.)  369 of the rigs active in the U.S. were running in Texas.

Baker Hughes reports its own Eagle Ford Rig Count that covers the 14 core counties. The rig count published on EagleFordShale.com includes a 30 county area impacted by Eagle Ford development. A full list of the counties included can be found in the table near the bottom of this article.

Eagle Ford Oil & Gas Rigs

Natural gas rigs in the Eagle Ford gained one to 22 this week and natural gas prices traded at $2.65/mmbtu, an decrease of  $.24 from the previous week.

The oil rig count remained flat at 103 with WTI oil prices continuing to inch upwards this week to $60.21, an increase of $.49. A total of 116 rigs are drilling horizontal wells, zero rigs are drilling directional wells, and vertical rigs stayed at nine. Karnes county leads Eagle Ford drilling this week running 22 rigs, while LaSalle (19) and Webb (18) following closely. See the full list below in the Eagle Ford Shale Drilling by County below.

Eagle Ford Shale Drilling by Count

County Previous Week Current Week County Previous Week Current Week
KARNES 21 22 COLORADO 1 1
LA SALLE 19 19 MADISON 1 1
WEBB 18 18 ZAVALA 1 1
DIMMIT 12 16 BASTROP 1 1
DE WITT 15 14 AUSTIN 0 0
GONZALES 7 6 BEE 0 0
MCMULLEN 4 6 DUVAL 1 0
FRIO 6 5 GOLIAD 0 0
LAVACA 6 5 GRIMES 0 0
BURLESON 2 2 LEE 0 0
FAYETTE 2 2 LEON 0 0
LIVE OAK 2 2 MAVERICK 0 0
ROBERTSON 2 2 MILAM 0 0
ATASCOSA 2 1 WASHINGTON 0 0
BRAZOS 1 1 WILSON 0 0

Eagle Ford Shale News

Penn Virginia Invests in the Eagle Ford

Texas Earthquake Study Under Review

What is the Rig Count?

The Eagle Ford Shale Rig Count is an index of the total number of oil & gas drilling rigs running across a 30 county area in South Texas. The South Texas rigs referred to in this article are for ALL drilling reported by Baker Hughes and not solely wells targeting the Eagle Ford formation. All land rigs and onshore rig data shown here are based upon industry estimates provided by the Baker Hughes Rig Count.


Read more at bakerhughes.com

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Penn Virginia Invests in the Eagle Ford http://eaglefordshale.com/news/penn-virginia-invests-in-the-eagle-ford/ http://eaglefordshale.com/news/penn-virginia-invests-in-the-eagle-ford/#respond Thu, 28 May 2015 13:24:29 +0000 http://eaglefordshale.com/?p=7913 Penn Virginia 2015 Q1

Penn Virginia 2015 Q1

Penn Virginia Corp. released its first quarter update last week, showing its Eagle Ford operations the big star.

Realated: Penn Virginia Upper Eagle Ford Production Taking Off

Since moving into the Eagle Ford in 2010, Penn Virginia has focused a great deal of its resources on the area. For the first quarter of 2015, the Eagle Ford accounted for 87% of the company’s production (21,390 BOEPD of 24,721 BOEPD). Looking ahead, 96% of 2015 spending will go towards Eagle Ford development.

Q1 Highlights

  • Total production increased 17% over the first quarter of 2014
  • 25% Decrease in Average Eagle Ford Well Cost Since Early Fourth Quarter 2014
  • Decrease for unit production costs: $10.68 per BOE from $11.52 per BOE.
  • Over the past 12 months, 23 Upper Eagle Ford wells have been brought on line
“While continuing to increase production, our primary focus has been on cutting well costs and improving our operational execution,” said H. Baird Whitehead, President and Chief Executive Officer of Penn Virginia, in a conference call following the release. “With 23 wells completed over the past 12 months, we feel that we have successfully de-risked the Upper Eagle Ford across much of our acreage and have achieved excellent average results.”

As of October 2014, Penn Virginia had approximately 145,500 gross acres in the Eagle Ford Shale play in Gonzales and Lavaca Counties, Texas.  Read more about Penn Virginia in the Eagle Ford

Read full press erlease at pennvirginia.com

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Texas Earthquake Study Under Review http://eaglefordshale.com/news/texas-earthquake-study-under-review/ http://eaglefordshale.com/news/texas-earthquake-study-under-review/#respond Wed, 27 May 2015 14:04:50 +0000 http://eaglefordshale.com/?p=7905 RCC Studies Texas Quakes

RCC Studies Texas Quakes

The Texas Railroad Commission is hosting a meeting to discuss the findings of a recent study on seismic activity in Texas.

Related: Texas Earthquakes Linked to Fracking

In April, scientists published a study in the scientific journal, Nature Communications, confirming that oil and gas activities are likely to blame for a series of earthquakes in Azle  and Reno Texas. At a meeting scheduled for June 5th, Commissioner Ryan Sitton and other technical staff will join the scientists and researchers to discuss the findings.

Commissioner Sitton has established the following goals for the meeting:

1) To understand the nature of this and similar studies

2) To explore what additional data could contribute to better scientific understanding on the processes that may be involved

3) To assess how these data might be efficiently and economically obtained

4) To determine what additional information could be requested of operators

5) To consider what regulatory changes the Railroad Commission could make to ensure that oil and gas continues to be developed safely yet with minimal economic impact in Texas

6) To discuss what future research and study is taking place that will enhance and further refine the scientific findings for Azle and other areas in Texas.

Details

  • Friday, June 5, 2015 at 9:00 AM CST
  • William B. Travis State Office Building
  • 1701 N. Congress Avenue in Austin, Texas
  • Room 12-126.1 (12th floor)
  • Access live stream at  www.rrc.state.tx.us
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Matador Still Keen on the Eagle Ford http://eaglefordshale.com/news/matador-still-keen-on-the-eagle-ford/ http://eaglefordshale.com/news/matador-still-keen-on-the-eagle-ford/#respond Tue, 26 May 2015 13:06:40 +0000 http://eaglefordshale.com/?p=7894 Matador Released 2015 Q1

Matador Released 2015 Q1

Matador Resources announced first quarter earnings and set hopes for further Eagle Ford activity.

Related: Matador Reduces Eagle Ford Rigs in 2015

In an earnings call on May 7th, Matador executives discussed the company’s $50.2 million loss for the first quarter of 2015, a drastic change from the $16.4 million profit reported one year ago.

Low oil prices have taken a toll on the company’s earnings and caused them to temporarily suspend operations in the Eagle Ford Shale.

Responding to questions about Matador’s intentions for the Eagle Ford, Joe Foran – CEO responded that “we are looking, hopefully that circumstances will suggest to be acting again in the Eagle Ford in 2016. We are very open to acquiring and are in the process of acquiring some additional acreage there (EFS) to build up our inventory. We feel we’ve got 250 or so wells to drill over there with welcome deals if some people have expiring acreage that they would like for us to be interested in. We’ve got a lot of good locations left there and we are really high on the Eagle Ford still.”

Q1 Highlights:

  • Company growth: Up from 400 barrels of oil per day to over 11,000 barrels a day
  • Reduced operating costs 30% to 40%  through vendor adjustments and reducing number of days on wells and complete them better and then our gas lift system on production.
  • Production continues to meet  & exceed our expectations and for the first time in our history, we produce more than 2 million BOEs in a single quarter, recording production of 2.1
  • Completed the merger with HEYCO that included 29 new employees in Roswell, New Mexico.

 

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Memorial Day 2015 http://eaglefordshale.com/news/memorial-day-2015/ http://eaglefordshale.com/news/memorial-day-2015/#respond Mon, 25 May 2015 13:00:34 +0000 http://eaglefordshale.com/?p=7887 Honoring Our Fallen Heroes

Honoring Our Fallen Heroes

Wishing you a safe and happy Memorial Day.

Please take a minute today to remember those who sacrificed so much for our quality of life.

Related: One veteran’s perspective on what this day means to him.

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Eagle Ford Rigs Drop to 124 http://eaglefordshale.com/news/eagle-ford-rigs-drop-to-124/ http://eaglefordshale.com/news/eagle-ford-rigs-drop-to-124/#respond Sat, 23 May 2015 13:00:29 +0000 http://eaglefordshale.com/?p=7885 Eagle Ford Rigs Drop

Eagle Ford Rigs Drop

The Eagle Ford Shale rig count fell this week by one with 124 rigs running across our coverage area by midday Friday,

In recent Eagle Ford news, Texas Governor Greg Abbott signed the popularly named, “Denton Fracking Bill” on Monday that allows state authority to override local decisions about oil and gas regulations.

Read more:“Denton Fracking Bill” Now Law

The U.S. rig count fell by three, ending with 885 rigs running by midday Friday.  A total of 222 rigs were targeting natural gas (a decrease of one from the previous week) and 659 were targeting oil in the U.S. (one less than the previous week). The remainder were drilling service wells (e.g. disposal wells, injection wells, etc.)   373 of the rigs active in the U.S. were running in Texas.

Baker Hughes reports its own Eagle Ford Rig Count that covers the 14 core counties. The rig count published on EagleFordShale.com includes a 30 county area impacted by Eagle Ford development. A full list of the counties included can be found in the table near the bottom of this article.

Eagle Ford Oil & Gas Rigs

Natural gas rigs in the Eagle Ford fell to 21 this week and natural gas prices traded at $2.89/mmbtu, an decrease of  $.13 from the previous week.

The oil rig count increased to 103 with WTI oil prices inching upwards this week to $59.72, an increase of $.21. A total of 116 rigs are drilling horizontal wells, zero rigs are drilling directional wells, and vertical rigs stayed at eight.  Karnes county leads Eagle Ford drilling this week running 21 rigs, while LaSalle (19) and Webb (18) following closely. See the full list below in the Eagle Ford Shale Drilling by County below.

 

Eagle Ford Shale Drilling by Count

County Previous Week Current Week County Previous Week Current Week
KARNES 19 21 BRAZOS 1 1
LA SALLE 16 19 COLORADO 2 1
WEBB 19 18 DUVAL 1 1
DE WITT 17 15 MADISON 1 1
DIMMIT 13 12 ZAVALA 1 1
GONZALES 7 7 BASTROP 1 1
FRIO 6 6 AUSTIN 0 0
LAVACA 7 6 BEE 0 0
MCMULLEN 5 4 GOLIAD 0 0
ATASCOSA 2 2 GRIMES 0 0
BURLESON 2 2 LEE 0 0
FAYETTE 2 2 LEON 0 0
LIVE OAK 2 2 MAVERICK 1 0
ROBERTSON 2 MILAM 0 0
ZAVALA 3 2 WASHINGTON 0 0
BRAZOS 1 1 WILSON 0 0

Eagle Ford Shale News

Eagle Ford Well Explodes

Chesapeake Headed to Arbitration

Eagle Ford Family Wants Their Day in Court

What is the Rig Count?

The Eagle Ford Shale Rig Count is an index of the total number of oil & gas drilling rigs running across a 30 county area in South Texas. The South Texas rigs referred to in this article are for ALL drilling reported by Baker Hughes and not solely wells targeting the Eagle Ford formation. All land rigs and onshore rig data shown here are based upon industry estimates provided by the Baker Hughes Rig Count.

Read more at bakerhughes.com

 

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Eagle Ford Well Explodes http://eaglefordshale.com/news/eagle-ford-well-explodes/ http://eaglefordshale.com/news/eagle-ford-well-explodes/#respond Thu, 21 May 2015 13:17:59 +0000 http://eaglefordshale.com/?p=7880 Well Explodes

Well Explodes

An Eagle Ford oil well exploded Tuesday afternoon and forced the evacuation of several nearby homes.

Related: Eagle Ford Rig Worker Injured in Explosion Dies

The well, operated by Enaca Corp was located off of FM 792 about four miles east of Karnes City, TX. Karnes County, Sheriff Dwayne Villanueva said the well pump that exploded was shut off but hydrogen sulfide gas still escaped. No one was reported injured.

The latest update on Wednesday at 3pm was that the flow of gas has been slowed and the company was working to shut it down completely.

An Encana spokesman affirmed “that the company is providing accommodation and incidental expenses to evacuated residents until the well is shut down and Encana and the Karnes County Sherriff’s Department determine it’s safe for them to return to their homes.”

 

Official statement from Encana regarding the incident:

At approximately 3:30 p.m. CST on May 19, 2015 Encana experienced a well control situation at the Dromgoole 8BH well located near the intersection of Highway 792 and Highway 343 approximately 4 miles east of central Karnes City, Texas.

No injuries have been reported from the location. We immediately activated our emergency response plan. As a precaution, neighbors living in the immediate area were evacuated. Local authorities are on location.

We are monitoring for the presence of H2S. Our main priority is to ensure the safety of our staff and community. We will continue to monitor the area.

We are working to shut down well and will provide additional information as it becomes available. The cause is not known at this time.

We will work to determine the exact cause and will conduct a comprehensive review into what occurred.

 

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“Denton Fracking Bill” Now Law http://eaglefordshale.com/news/denton-fracking-bill-now-law/ http://eaglefordshale.com/news/denton-fracking-bill-now-law/#respond Wed, 20 May 2015 13:00:28 +0000 http://eaglefordshale.com/?p=7878 Anti-Fracking Demonstrators

Anti-Fracking Demonstrators

Texas Governor Greg Abbott signed the popularly named, “Denton Fracking Bill” on Monday that allows state authority to override local decisions about oil and gas regulations.

House Bill 40 sailed through the Texas House and Senate over the last few weeks as legislators responded to Denton’s ban on hydraulic fracking in the city limits that local authorities passed in November. The bill seeks to clarify the lines between ofr gets to decide about these activities.

Related: Fracking in Texas Cities: Who’s the Boss?

Responses to the the announcement have been no surprise, with oil and gas companies hailing the bill’s passage.

The Texas Oil and Gas Association called the proposal “balanced, fair and essential to ensure that the state’s biggest job creator can continue to operate responsibly under robust and predictable regulation.”

However, local governments and environmental groups are outraged and believe they now have no control to protect property values and quality of life from rampant drilling.

Luke Metzger, director of Environment Texas, said in a statement that “By advocating for and signing this bill, Gov. Abbott has succeeded in seizing power away from local governments working to protect us from the real dangers of dirty drilling,”

Read more at legis.state.tx.us

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Chesapeake Headed to Arbitration http://eaglefordshale.com/news/chesapeake-headed-to-arbitration/ http://eaglefordshale.com/news/chesapeake-headed-to-arbitration/#respond Tue, 19 May 2015 13:14:24 +0000 http://eaglefordshale.com/?p=7874 Chesapeake Energy to Arbitrate with Aubrey McClendon.

Chesapeake Energy Must Settle Dispute with Former CEO

A district court judge in Oklahoma has ordered Chesapeake Energy to enter arbitration in an attempt to settle its dispute with American Energy Partners.

In a lawsuit filed in February, Chesapeake accused its former CEO, Aubrey McClendon, of stealing important trade secrets before leaving the company in 2013 and then using the confidential information to build American Energy Partners. Read more: Chesapeake Sues American Energy Partners 

Attorneys for American Energy accused Chesapeake of using gimmicks to stay out of arbitration and Judge Thomas Prince agreed. Prince granted the request for arbitration, though it is unclear when it will begin.

American Energy states in a court filing that “Chesapeake cannot escape its contractual commitment to arbitrate through the procedural gimmick of leaving Mr. McClendon’s name off.”

Last week, Chesapeake Energy reported 2015 first quarter loss of$3.8 billion. In spite of huge losses, CEO Yet Doug Lawler remained upbeat and focused on Chesapeake’s innovations.

Chesapeake is active all across the Eagle Ford including Atascosa County, Dimmit County, Duval County, Frio County, Goliad County, LaSalle County, McMullen County, Washington County, Webb County and Zavala County.

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Eagle Ford Family Wants Their Day in Court http://eaglefordshale.com/news/eagle-ford-family-wants-their-day-in-court/ http://eaglefordshale.com/news/eagle-ford-family-wants-their-day-in-court/#respond Mon, 18 May 2015 13:00:02 +0000 http://eaglefordshale.com/?p=7870 Appeals Court Hears Arguments Against Oil Companies

Appeals Court Hears Arguments Against Oil Companies

A Texas Court of Appeals heard arguments last week from the attorneys of an Eagle Ford family who wants their day in court.

In a lawsuit filed in 2013, Michael and Myra Cerny claim that oil drilling near their Karnes county residence has caused numerous health issues and made their home unlivable. The case was thrown out last year by Judge Stella Saxson who ruled the family did not prove their allegations that gas emissions caused the family’s issues.

All parties are back in court hoping to persuade the three-judge panel that the Cerny family deserves a jury trial.

Macy Stokes, one of the attorneys representing Marathon Oil and Plains Exploration, argued that nothing has changed since the August ruling and that “they still have to prove causation, that the emissions caused this inconvenience, that the emissions actually made it to their property and inconvenienced them.”

Other recent Texas legal battles between oil companies and mineral owners include a case before the Texas Supreme Court last month where Chesapeake challenges a 2014 Appeals Court ruling that would cost them at least $1million. At the heart of the case is the property owners (Hyders) allegations that Chesapeake improperly deducted money from their royalty checks to cover post-production costs.

Own mineral rights in the United States? Join the mineral rights forum for education, guidance and conversation about your specific area.

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