Third Quarter Utica Data

The Ohio Department of Natural Resources has now released the production data from the Utica shale for the third quarter of 2015. Oil production rates in the Utica Shale of Ohio slowed by nearly 500 barrels per well between the 2nd and 3rd quarters of 2015. Gas production increased in terms of gas produced per day in production, however, gas production decreased in terms of gas produced per well. Despite the drop off of commodity prices, many are pleased with the production in the area. Shawn Bennett, who is the head of the Ohio Oil and Gas Association, and Michael Moore, president of Gulfport Energy, one of the top operators in the area, predict the state’s rig count will remain relatively steady throughout the rest of the year. However, both individuals acknowledged other issues that will pose challenges for Ohio oil and gas production to increase. They noted that, while more wells will come online, pipeline infrastructure will have to continue to try and keep up. They also acknowledged that it will take higher prices, particularly for natural gas, in order for drilling to really accelerate. Bennett also noted that the growth has indeed slowed in the Utica. “The production gains in the first nine months of 2014 were much greater than they were this year. The slide is happening” Bennett said.