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Chevron Invests In Marcellus Drilling

Scott Detrow / StateImpact Pennsylvania

A Susquehanna County drilling rig


Record-low natural gas prices have led Chesapeake, Consol and other energy companies to scale back their operations in Pennsylvania’s Marcellus Shale formation, but Chevron is doing the opposite.
As the Wall Street Journal reports, the company is “playing catch-up” and expanding its Marcellus Shale efforts:

Chevron, a relative newcomer to shale oil and gas production, is playing catch-up in a fast-paced competition against other energy giants to ride the latest industry boom. It only entered the Marcellus Shale—which lies beneath several Northeastern states and has become one of the most prolific sources of natural gas in the U.S.—a year ago when it acquired Atlas Energy Inc. and other properties in the region for about $4 billion.
Its decision to keep gas production churning high, despite the current low prices, is sure to be a hot topic Tuesday when Chevron holds its annual analysts’ meeting in New York.

The paper says Chevron operates about 100 Marcellus wells right now, and plans on doubling that figure.

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