EOG-Seneca gauge Marcellus shale gas

By OGJ editors
HOUSTON, May 19 -- A Marcellus shale well operated by EOG Resources Inc., Houston, was flow-tested at an average rate of more than 3 MMcfd of gas for 7 days, said 50% interest owner Seneca Resources Corp., Buffalo, NY.

Seneca Resources, which holds a 60% net revenue interest, said the well "confirms our expectations for the potential of our Marcellus shale position, most of which is fee mineral acreage." A hydraulic fracture is under way at another well where flare tests should begin by the end of May.

Seneca Resources said it should soon be in a position to estimate the resource potential of its extensive acreage position. The company is the third largest acreage holder in the Marcellus play with more than 725,000 acres (OGJ Online, Jan. 15, 2009).

The EOG-Seneca acreage is centered 80 miles northeast of Pittsburgh. Seneca plans to operate 10 vertical wells and 2-3 horizontal wells in fiscal 2009 and participate in 8-10 wells to be operated by EOG Resources.

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