Replies to This Discussion

Permalink Reply by Karl Swanson on July 7, 2015 at 5:15am

Also, does anyone know if MARC1 is in use? I assumed when it went on line the activity would pick up in Sullivan/Davidson.

Permalink Reply by David Paschall on July 8, 2015 at 9:33am

Karl,

This well was spud in 2010, but it has never produced any gas. This could be for a variety of reasons, including that the well was drilled but never fracked. Perhaps the well indeed was fracked, but has been plugged while Exco waits for pipeline availability. It could be that there is not a pipeline nearby to connect to the well, or that nearby pipelines are over capacity. 

Either way, I would not expect you to see royalties from this for some time. Even producing wells are being choked back a few days every month due to pipeline capacity issues. It certainly doesn't help that gas prices have fallen considerably.

Evidence of all this can be found at the Pennsylvania Department of Environmental Protection's website here. Type in 113-20025 and view the data and you will see what I mean.

Best of luck,

David Paschall

Permalink Reply by John Capwell on July 7, 2015 at 5:15am

There is little activity anywhere in the state, other than completion of projects all ready in progress. With large amounts of natural gas in storage, high production in existing wells and average demand for natural gas the price for gas is low. Most companies are experiencing cash flow problems and among the worst is Chesapeake. Chief is privately held so we cannot view their balance sheets but they are probably in the same postion as other companies.

Permalink Reply by Stephanie McCurry on July 7, 2015 at 7:34am

Thanks for the update!

Permalink Reply by justin clouse on July 9, 2015 at 3:02pm

The biggest problem is so much of the Worlds gas is under Southern Bradford and Northern Sullivan County pennsylvania...the Marc 1 line was near capacity upon completion, it runs 1 mile behind my house in Wilmot twp....compression is being added at Walkers farm by State Game Lands 722? In wilmot...the next wave in drilling will probably start in late 2016 or early 2017....the Marc 1 line will have another 30+ inch pipe tied to it just south of the Cherry road compression station southeast through harveys lake into Dallas...once that is build along with, the Penn East, Central Penn line, and the Diamond East expansion this area will serve as a major gas suppier for a good portion of the east coast...look up marc 2 in google and you can find some good images...

Permalink Reply by justin clouse on July 9, 2015 at 3:04pm

http://powersource.post-gazette.com/powersource/companies/2015/06/2...

Permalink Reply by jr on February 7, 2018 at 7:53am

I was renewed by Chesapeake in 2015 then in 2016 received a landowner survey from Chief I'm in Sullivan county