The Utica Shale vs. the Eagle Ford Shale debate has drawn a lot of attention since Chesapeake announced a 1.25 million acre position in the Utica Shale. Aubrey McClendon’s comments have gotten a lot of traction:
As a result of its analysis, the company believes the Utica Shale will be characterized by a western oil phase, a central wet gas phase and an eastern dry gas phase and is likely most analogous, but economically superior to, the Eagle Ford Shale in South Texas.
That quote sent many articles to the press touting the Utica Shale as the new great shale play and made many Texans wonder if we’d lose some drilling rigs to Ohio. You can track the rig count yourself with the Eagle Ford Shale Drilling Index that is updated each Friday, but if you don’t have the time, the counties where the Eagle Ford is present have seen more than 40 rigs come into the play over the past three months. That’s more than 10% of the total U.S. onshore rig count (230+ rigs) working in an area that is economically inferior. The catch, it’s possible, but the Eagle Ford shouldn’t lose much if anything. [Read more…]