Chesapeake Energy cites personal best drilling record

Chesapeake Energy said this week it recorded the fastest drilling program performance of all-time in its operations in the Marcellus play.

The company averaged 1,367 feet a day during the third quarter and it also included four of the top 10 longest laterals in company history.

Chesapeake revealed its personal best drilling record in the release of its third quarter earnings report. It also stated that year-to-date, the firm had acquired 34,000 additional net lease acres in the Marcellus and Haynesville plays. The average cost was $1,500 per acre.

The company expects to drill 35 – 45 wells and place 50 – 60 wells on production in the fourth quarter of 2023. The company’s operating plan remains flexible, as illustrated by the deferral of third quarter turn in lines in the Marcellus, and is prepared for further adjustments based on market conditions, stated the firm in its 3Q report.

Since selling its last holdings in the Eagle Ford play of South Texas earlier in the year, Chesapeake expanded operations in the Haynesville. There, the company said it is benefitting from ongoing midstream debottlenecking and gas flow assurance efforts, resulting in lower line pressure and a ~15% quarter-over-quarter reduction in deferred volume due to pipeline / sales disruptions.

In addition to its operational performance records, the combined employee and contractor Total Recordable Incident Rate for the first nine months of 2023 improved ~50% over the same time period last year.