Wednesday, January 21, 2015STATE COLLEGE, Pa. -- Rex Energy Corp. has placed the six-well J. Hall pad in Guernsey County, Ohio, into sales at an average rate of 2,365 barrels of oil per day, per well. The company says its Utica wells produced 43% natural gas liquids, 36% dry gas and 21% condensate.
The six wells on the pad were drilled to an average lateral length of approximately 4,900 feet and tested 600-foot spacing between the laterals on the pad, the company said. The wells were completed with an average of 32 frac stages and sand concentrations exceeding 2,000 pounds per foot.
Rex's Utica results were reported with the company's operational and production update on its Appalachian Basin operations for the fourth quarter and full-year 2014.
The company plans to place into sales 11 Marcellus shale wells in its Legacy Butler (Pa.) Operated Area during the first quarter of 2015. The company has reduced its drilling and completion costs per well by 5% to $5.7 million per well, assuming a 5,000-foot lateral, from previously reported $6 million per well.
Rex also announced it has finished drilling its first well, the Renick 5H, in its Moraine East area in Butler County, Pa. The company will complete four wells at the Renick pad by the first quarter of 2015.
"We are extremely pleased with the preliminary results from our first well in the Moraine East area," says Rex Energy CEO Tom Stabley. "While we are in the early stages of development, the initial results are consistent without expectations for the area and appear to indicate that the Moraine East Area is analogous to the Butler Operated Area."
Rex reported its wells produced an average of 3,126 barrels per day of oil and condensate during the year, 101.4 million cubic feet per day of dry natural gas, 4,195 barrels per day of C3+ natural-gas liquids, and 1,510 barrels daily of ethane.
For the three months ended Dec. 31, Rex reported its wells produced a daily average of 3,617 barrels of oil and condensate, 123 million cubic feet of natural gas per day, 5,313 barrels of C3+ natural-gas liquids daily, and an average of 3,204 barrels of ethane per day.
Average daily production from oil, condensate and NGLs (including ethane) reached a record level of 12,100 barrels of oil equivalent per day, during the fourth quarter, a 16% increase over the third quarter 2014, the company said.
Published by The Business Journal, Youngstown, Ohio.
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