ODNR: Natural gas production nearly doubles

CANTON, Ohio (WYTV) – Ohio’s natural gas production nearly doubled from 2012 to 2013 because of increasing activity in the Utica shale and continued development of midstream infrastructure, according to the Ohio Department of Natural Resources.

The agency released data for 352 horizontal shale wells that reported production in 2013 during a “State of the Play” event on Wednesday at Stark State College.

The wells drilled in the Utica and Marcellus shale produced 3.6 million barrels of oil and 100 billion cubic feet of gas. On average, Ohio’s oil and gas production increased approximately 65 percent quarter to quarter from first quarter 2013 to first quarter 2014.

“Ohio’s oil and gas industry is growing and moving our state toward energy independence,” said ODNR Director James Zehringer. “At the same time, we have updated our laws and increased our staff to provide Ohioans the proper protections as the industry continues to grow.”

ODNR projects all oil and gas wells in Ohio produced 8 million barrels of oil and 171 billion cubic feet of gas in 2013. Compared to 2012, Ohio’s total oil production increased by 62 percent and natural gas production increased by 97 percent.

The percentage increase in natural gas production is the largest in Ohio history, and the total production is the fourth highest annual total in state history.

ODNR also released production data for the first quarter of 2014. A total of 418 wells reported production of 1.9 million barrels of oil and 67 billion cubic feet of gas.

The production growth depends heavily on the development of the midstream infrastructure needed to transfer the resources to market. In a little more than 24 months, a new industry developed, including 11 processing facilities and miles of new pipelines. Companies have spent or have committed more than $6 billion on midstream infrastructure.

“Companies are investing billions of dollars and creating jobs for Ohioans, proving the value and importance of the Utica shale play,” said JobsOhio Senior Managing Director David Mustine. “Because of the infrastructure that is coming online, we have a competitive price advantage over an extended period of time as we look at the future. Natural gas companies can buy natural gas less expensively here than in the Gulf Coast and we believe that will be the case for years going forward.”

For a State of the Play fact sheet, click here.

For more detailed well production information, click here.

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