Drillinginfo blog

Who are the top operators in the Marcellus? pic.twitter.com/VUjh9mZPkR

— Drillinginfo (@drillinginfo) April 4, 2014

EQT Corporation ~560,000 net acres

EQT had 18.5Tcfe 3P reserves as of the last day of 2013 in the Marcellus. The company is planning 186 wells in 2014 in the play. EQT has 90,000 net acres in their wet gas area of Northern West Virginia and is planning 70 wells here in 2014. That is nearly 40% of all wells they will drill in the Marcellus this year, but they will drill 96 wells in their Southwestern Pennsylvania dry gas region.

EQT has 110,000 net acres in the dry gas region where wells typically cost $6.5 MM. EQT lists a 9.8 Bcfe EUR/well in Southwestern Pennsylvania.

Cabot Oil and Gas ~200,000 net acres

Last year, Cabot invested $815.8 MM in the Marcellus. In 2014, Cabot plans to focus 73% of their $1.3 to $1.4 Bn capital program into the play. They’ll have 6 rigs in the play and plan to drill 110 to 120 net wells for 2014.

Cabot noted that the typical well cost $7.0 MM in 2013, but they expect to up their lateral lengths in 2014. This means an increase in cost for these wells, but the budget is a bit higher than last year (73% of $1.3-$1.4 Bn is about $950 MM to just over $1.0 bn).

Chesapeake ~100,000 net acres in the Northern Marcellus

Chesapeake estimates it will spend ~10% in their north Marcellus Acreage and <5% in their south Marcellus acreage of the total 2014E budget. This aligns with their transition into a more liquids-focused company. The company estimates 6-7 rigs in the north and just one in the south Marcellus this year. Year-end 2013 left Chesapeake with 112 wells drilled (Gross operated) in the North and 47 in the South.

Chesapeake will have 98% of their north Marcellus wells on multi-well pads in 2014E.