Best in Play: The Top 10 producers in the Marcellus shale region
Welcome to the Top Ten List of oil and gas companies operating in the Marcellus shale region. A variety of criteria was used by our editorial committee to make our selections, including annual barrels of production, environmental and community responsibility and general positive impact on the economy and business environments in the Marcellus shale region. Congratulations to the nominees and our thanks for participating in our survey of their key performance indicators.
These companies represent the innovation and financial acuity in shale play which, according to the U.S. Energy Information Administration, is the most productive natural gas-producing formation in the Appalachian Basin. While much of the potential of the Marcellus shale remains to be tapped, many companies have had to struggle with declining oil and gas prices. Despite a slight uptick in prices and generally improving economic conditions, many challenges lie ahead. These companies demonstrate smart business strategies and perceptive business decisions that enable them to thrive in a difficult competitive landscape.
As we prepared to go to press, news broke that Pittsburgh-headquartered PennEnergy Resources acquired the operations of Rex Energy in a bankruptcy sale at a purchase price of $600.5 million. Details are still to be finalized, but assuming the sale proceeds, PennEnergy will operate 329 horizontal producing shale wells and control 203,500 gross leasehold acres, concentrated mostly in the Pennsylvania counties north of Pittsburgh. According to a company press statement, PennEnergy will have a combined gross production of about 700 million cubic feet per day and net production of 450 million cubic feet equivalent, making it the tenth largest natural gas producer in Pennsylvania and the third largest headquartered in the state. Assuming that all comes to pass, look for PennEnergy’s possible appearance when we update the list next year.
Here, in no particular order, are our Top Ten honorees for 2018.