Pennsylvania Turns Unconventional

Since 2008, Pennsylvania has seen a dramatic shift away from conventional drilling. For that year, 4,511 conventional and 300 unconventional wells were drilled.

Since 2008, Pennsylvania has seen a dramatic shift away from conventional drilling (Fig. 1). For that year, 4,511 conventional and 300 unconventional wells were drilled.

In 2009, the number of conventional wells drilled dropped precipitously to 1,974, but the number of unconventionals more than doubled to 770. Counties whose unconventional prominence was rising included Bradford, Greene, Susquehanna, Tioga, Washington, and Westmoreland. Lycoming County would start its rise in 2010, with 115 wells drilled there that year.

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New wells, or well starts, reflect the number of wells spudded during the year. The figure does not reflect the number of wells drilled, completed, or permitted. Source: Pennsylvania Department of Environmental Protection.

By 2010, Pennsylvania conventional and unconventional drilling were neck and neck, with 1,670 wells of the former and 1,514 wells of the latter.

A surge in unconventional drilling occurred in 2011, with 1,883 wells drilled; conventional drilling continued to drop, contributing only 40% of the state’s drilled wells, at 1,241.

According to an IHS/CERA report dated 18 March 2013, “With natural gas prices averaging USD 2.75/Mcf during 2012, the number of gas-directed rigs running in the Marcellus fell by nearly one-third throughout the year to approximately 80 rigs.” This led to drops in 2012 in both unconventional and conventional drilling—to 1,336 wells for the former and 1,007 wells for the latter.

At the time of this writing (28 April), the 2013 year-to-date Pennsylvania conventional well total stood at 285, with unconventionals at 387.

“Despite the overall decline in activity,” says the IHS report, “the Marcellus still has more gas-directed rigs running than any other US play.”

Pennsylvania Marcellus activity in 2013 remains strongest in three dry gas counties—Bradford, Lycoming, and Susquehanna—as well as the prime wet gas Washington County, while it has fallen off in the dry gas Tioga County.

According to EIA US state rankings of natural gas marketed production for 2011, Pennsylvania stood sixth, with 1.31 Tcf—behind (in order) Texas, Louisiana, Wyoming, Oklahoma, and Colorado.

However, 2012 figures on the Pennsylvania Department of Environmental Protection website tell a different story. Total Pennsylvania unconventional gas production for 2012 amounted to around 2.04 Tcf; the addition of conventional gas production brings the 2012 Pennsylvania natural gas total to around 2.25 Tcf.