EQT production up, impressed with performance of WV wells - WTRF 7 News Sports Weather - Wheeling Steubenville

EQT production up, impressed with performance of WV wells

Posted: Updated:
  • EnergyEnergyMore>>

  • Council hears pro, con testimony on parks drilling in Western Pa.

    Council hears pro, con testimony on parks drilling in Western Pa.

    Wednesday, April 23 2014 1:56 PM EDT2014-04-23 17:56:34 GMT
    Pittsburgh (AP)Pittsburgh (AP)
    Council members in western Pennsylvania heard testimony for and against a proposal to drill for natural gas under a Pittsburgh-area park. The Allegheny County Council is considering a proposal to allow Range Resources and Huntley Huntley to drill beneath 1,180-acre Deer Lakes Park from well sites on neighboring properties.
    Council members in western Pennsylvania heard testimony for and against a proposal to drill for natural gas under a Pittsburgh-area park. The Allegheny County Council is considering a proposal to allow Range Resources and Huntley Huntley to drill beneath 1,180-acre Deer Lakes Park from well sites on neighboring properties.
  • Patriot Coal issues 60-day notice of potential layoffs at 2 WV mines

    Patriot Coal issues 60-day notice of potential layoffs at 2 WV mines

    Wednesday, April 23 2014 8:23 AM EDT2014-04-23 12:23:39 GMT
    Patriot Coal issued warnings that it could lay off employees at its Wells mining complex near Wharton and its Corridor G complex near Danville.
    Patriot Coal issued warnings that it could lay off employees at its Wells mining complex near Wharton and its Corridor G complex near Danville.
  • Marshall Co. makes plans for natural gas combined cycle power plant

    Marshall Co. makes plans for natural gas combined cycle power plant

    Tuesday, April 22 2014 6:42 PM EDT2014-04-22 22:42:40 GMT
    The project still needs to obtain state and federal approvals to develop and build the plant, but organizers anticipate construction to begin in 2015 and operations to begin by 2018.
    The project still needs to obtain state and federal approvals to develop and build the plant, but organizers anticipate construction to begin in 2015 and operations to begin by 2018.

EQT Corp. is impressed with its wells in West Virginia.

"We've begun implementing reduced cluster spacing in Doddridge and Ritchie counties with tremendous success," said EQT Chairman, President and CEO David Porges April 25 during the company's first-quarter earnings conference call.

Reduced cluster spacing, or RCS, is a hydraulic fracturing technique that puts clusters of perforations in the horizontal section of the wellbore closer together than has typically been done.

Altogether, taking 17 wells in Doddridge, Ritchie and Wetzel counties into account, Porges said, the early results lead to average estimated ultimate recovery levels of just under 2 billion cubic feet equivalent per 1,000 feet drilled — compared with an average of 1.7 bcfe/1,000 feet for the company's Tier 1 wells, a high measure of quality.

Overall, the company is coming off "another record quarter" in both production and midstream, Porges said.

It announced production sales volumes of 79.4 bcfe, 47 percent higher than in the first quarter of 2012, with Marcellus production sales volumes up 103 percent.

Natural gas liquids volumes were up 52 percent over the same period last year.

And midstream gathered volumes were 42 percent higher.

First quarter 2013 earnings were $100.3 million, up from $72 million in the first quarter of 2012; operating income was $199 million, up 31 percent.

Earnings per share and adjusted cash flow per share were higher due to increased production sales, increased gathered volumes and transmission throughput, and higher sales at distribution,  which were partially offset by lower realized commodity prices, the company said.

Net operating revenues increased $92 million, or 25 percent, to $458 million in the quarter, while net operating expenses rose by $46 million, or 21 percent, to $260 million.

With plans for 153 Marcellus wells in 2013, EQT drilled 33 wells in the Marcellus during the first quarter, with an average length of pay of 4,898 feet. It also drilled its first two Utica wells and six Upper Devonian wells in the quarter.

Further details are available in the full earnings release.

EQT shares trade on the New York Stock Exchange under the symbol EQT.