EOG Resources, one of the leading shale producers in the U.S., is making significant strides in its Ohio operations, particularly within the Utica shale play. With a strategic focus on expanding activity in key counties, the company is positioning itself for long-term growth. Here’s a breakdown of the latest insights based on EOG’s permit filings and well data for 2024.
EOG’s Expanding Footprint in Ohio
EOG Resources has been ramping up its activity in Ohio, particularly in the Appalachian Basin’s Marcellus/Utica Play. According to data from permits filed by the company, EOG’s operations span four counties: Carroll, Noble, Harrison, and Belmont.
- Carroll County leads the way, followed closely by Noble and Harrison counties. Belmont County rounds out the list.
This growth highlights EOG’s strategic decision to double its activity in the Utica shale over the past year, capitalizing on the rich oil and gas potential in these areas. With an average entry cost of approximately $600 per acre, EOG has secured a solid foundation for its operations.
A Focus on Rig Contractors
The drilling operations in Ohio are supported by a few key contractors. The most active rigs used by EOG include:
- H&P 608: this rig is the most frequently deployed by EOG in the region.
- H&P 385: A solid second.
- Patterson 583:this rig also plays a role in the company’s activities.
Smaller contributors include Hall 6 and Pioneer 71. These contractors and rigs underscore the scale and efficiency of EOG’s operations in Ohio, ensuring that the company is well-equipped to handle the increasing demand for drilling in the Utica shale.
The Monthly Trend in Activity
EOG’s well data also provides insight into the pace of operations throughout 2024. The activity is spread across the year, with the most significant upticks in:
- January, April, June, August, and September.
This steady increase in activity month over month highlights EOG’s methodical approach to managing its operations, ensuring that resources are allocated efficiently throughout the year.
The Strategic Importance of the Utica Shale
EOG’s expansion in Ohio comes at a time when the company is focusing on capitalizing on the Utica shale’s potential as a long-term asset. With operations covering 445,000 acres in Ohio and a solid infrastructure of rigs and contractors, the company is poised for continued success in the region.
Jeff Leitzell, EOG’s COO, recently emphasized the strategic importance of Ohio’s Utica shale at the Barclays CEO Energy-Power Conference, noting that EOG plans to increase its capital investments in the area if current success continues.
Conclusion
EOG Resources’ aggressive expansion in the Utica shale play, combined with strategic contractor partnerships and a steady monthly activity trend, positions the company for substantial growth in Ohio. As natural gas and oil production from the Utica shale continues to rise, EOG is well-equipped to take advantage of this momentum and reinforce its position as a leading player in the U.S. shale industry.
Stay tuned for more updates on EOG Resources’ activities in Ohio as they continue to push the boundaries of oil and gas production in the region.
This blog post provides a comprehensive view of EOG Resources’ operations in Ohio, illustrating their growth strategy through data on permits, well activity, and rig deployments. If you would like to add specific visuals or further analysis, feel free to reach out!
