Fayetteville Shale in Arkansas Overview
Fayetteville Shale takes up about 4,000 square miles of the Arkoma basin in Central and Eastern Arkansas. Fayetteville's rock resembles the characteristics in Texas' Barnett Shale in the Fort Worth basin with its Mississippian age black organic-rich rock. According to the Energy Information Administration in the U.S. Department of Energy, Arkansas is the seventh largest producer of natural gas in the U.S.
Fayetteville Shale in Conway, Van Buren and White counties has over two-thirds of natural gas drilling and production activity in Arkansas. From 2004 to 2008, the state produced 187 bcf of natural gas. That number jumped almost 140 percent since 2008.
Fayetteville Shale Play Oil and Gas Companies
The first company to drill and produce natural gas in Fayetteville is Southwestern Energy Company, which also has the production of natural gas in the play with 106 wells putting 1,330 MMcf of natural gas per day. Southwestern says it plans to spend another $1.5 billion in Fayetteville Shale and grow its participate to an estimated 650 wells.
Southwestern participated in a six-month Biocide Free Frac Program test in a contract with Ecosphere Technologies, Inc. The program involved treating bacteria with Ecosphere Ozonic technology in 40 wells without using harmful liquid biocides. This process replaces the use of biocides in the fracturing process.
With over 400,000 net acres, natural gas production company Chesapeake Energy Corporation is the second largest company in Fayetteville Shale with 12 operated rigs. The company reports that between 2009 and 2010, its Arkansas production climbed 70 percent. Between fourth quarter 2009 and first quarter 2010, production increased by 10 percent.
Fayetteville Shale is one of Petrohawk Energy's three core operating areas. The company has 157,000 net acres in Fayetteville. Petrokhawk's other two large plays are Eagle Ford and Haynesville.
Arkansas Top Natural Gas Producers
According to the Arkansas Oil and Gas Commission, the top natural gas producers in 2009 are the following:
- SEECO (subsidiary of Southwestern Energy)
- Chesapeake
- XTO Energy
- Stephens Production
- Forest Oil
Don't bet on these companies just yet. Some of the companies are phasing out of Fayetteville to move resources to other areas while others plan to add more resources in the shale play.
Related Posts
Hear what our oilfield clients sayWhat Our Clients Are Saying
- George Del Toro,We were funded [in 10 days] (the approval process was very smooth). The way I spend my time has changed dramatically since then. I can spend as much time as I need visiting with customers and out on the field... In closing I would like to tell you that Capital Solutions has made it possible for GDT Well Service, Inc. to triple (300%) its business in the last year, without any of the "growing pains".
GDT Well Service
- Keri Gray,The HUGE difference I found since we are working with you... is in the day-to-day life... Since Capital Solutions is funding us there is no "fear"... when I talk to a vendor or need to make payroll. You guys have also bent over backwards... to make it work for us. I really appreciate that.
Energy Services
- Brenda and Mark Neufeld,In our very first conversation I noticed that you not only understood our situation, but also the Oil & Gas trade. Capital Solutions has been an invaluable help... We have grown our business exponentially thanks to you. I can now probably qualify for a traditional line of credit (...but I'm not sure I want to).
B.N.M. Piloting Services