Posts Tagged ‘experienced operator’

Partnership of two energy companies lines up area covering over 25,000 acres in the Back Mountain for gas exploration.

By Jerry Lynottjlynott@timesleader.com
Business Writer

Just a few sites have been approved for natural gas drilling in Luzerne County, but a partnership of two energy companies has signed leases for more than 25,000 acres, primarily in the Back Mountain, to explore the Marcellus Shale formation that runs underneath.

Since September, Whitmar Exploration Co., of Denver, Colo., has been signing leases with property owners in nine townships and Harveys Lake borough. The company has been working with EnCana Oil & Gas USA Inc. in a joint venture to develop the properties. EnCana holds a 75 percent interest in the leases and is responsible for drilling.

Whitmar wanted to partner with an experienced operator, said Wendy Wiedenbeck, a public and community relations adviser for EnCana.

“This is what we do,” said Wiedenbeck. “We have a team working on this project that possesses deep experience gained from working on similar projects across North America.”

EnCana received approval Tuesday from the Luzerne County Zoning Hearing Board to sink a well in Lake Township and set up a natural gas metering station in Fairmount Township. In April, Lehman Township officials approved drilling for another well.

Wiedenbeck on Wednesday confirmed a map provided to The Times Leader was one EnCana prepared for the Back Mountain Community Partnership to show the extent of the leaseholds.

She cautioned that “the map is quite dated,” having been created in February. Whitmar has signed additional leases into April, according to a search of the county property database.

Wiedenbeck said EnCana’s presence will grow in the region. “As we move forward, EnCana is acquiring new leases.”

When pieced together, the leases cover large swatches of land in the largely rural northern and western sections of the county. The leaseholds range in size from under 1 acre to over 100 acres.

Fairmount Township had the most coverage with approximately 7,500 acres leased, according to the map. Lehman and Ross townships each had nearly 4,300 acres leased; Lake Township, close to 2,600 acres; Jackson Township, 2,400 acres; Huntington Township, 1,400 acres; Dallas Township, 1,300 acres; Hunlock Township, 700 acres; Union Township, 400 acres; Plymouth Township, 200 acres; and Harveys Lake, 50 acres.

The region has also attracted the attention of another major player in the natural gas industry.

Chesapeake Energy Corp. has signed 93 leases since August 2007. More than two-thirds of them were filed this year, according to county property records.

Copyright: Times Leader