In my conversations with many of you, I’ve heard that things are picking up a little. Well, it looks like the numbers are moving in that direction.
In the last couple weeks, we’ve seen some big jumps in rig counts and permitting. The numbers speak for themselves:
- The rig count in PA has gone from 13 rigs in June to 21 rigs the end of August. Based on the second quarter financial reports where a number of E&P Companies stated that they are planning to increase production. These companies will need more rigs to achieve these production goals.
- OH has seen its rig count grow from 10 to 14. Gulfport is the big player in OH and they’re planning to bring a few more rigs.
- WV did not see much of decline in its rig count. It stayed somewhat consist around 10 rigs.
Permitting has also been ticking up. In our newsletter this past week, we reported PA had 36 permits which were for 9 different E&P Companies which indicates that the pickup in drilling will be widespread. This is the most permitting we’ve seen in such short period of time. The permitting was in these counties:
The counties cover a large portion of PA. For the NE corner of PA to across the northern part of the state to the SW corner. What’s interesting is that one of the most heavily drilled counties, Washington, did not have any permits.
This increase of drilling means that you need to start attending more conferences and seminars in order to keep pace with the increase in activity which looks good for 2017.
You should consider attending the Midstream PA 2016 which will provide you with the latest information on the upstream and midstream activities in PA for the remainder of 2016 and first quarter of 2017. Check out the speakers. http://midstreampa.com/wordpress/?page_id=12