Marcellus Shale Blowout and West Virginia Fire

A well in Marcellus Shale about 90 miles northeast of Pittsburgh, Pennsylvania in Clearfield County, had a spewed gas that was contained within 16 hours. The EOG Resources Inc. natural gas well blew gas and polluted water as high as 75 feet in the air before containment.

Another incident took place 55 miles of southwest of Pittsburgh in Marshall County where a crew drilled a natural gas well hitting a methane pocket causing an explosion injuring seven workers. The fire has reached 70 feet while it waits for a team of well fire experts to arrive. Whether the Moundsville well is in Marshall Shale remains unknown.

Effects of the Incidents

Thankfully, no one was hurt and the well didn't catch on fire in Clearfield County incident. Pennsylvania state regulators and EOG are investigating the incident. So far, the only thing known about the well is that it had high gas pressure, which made it harder for crews to contain it.

The incident occurred after the crew completed the hydraulic fracturing process. No homes or waterways come within a mile of the well. A blowout occurs when high pressure oil or gas erupts.

A blowout preventer should've controlled the high pressure. This series of valves is the same thing that failed on the Deepwater Horizon well causing the mess in the Gulf of Mexico.

Crews had drilled 1,100 feet before the Marshall County well caught fire. Officials from the Occupational Safety and Health Administration (OSHA) office will investigate the incident after the fire goes out.

Potential Impacts on Drilling Regulations

Unexpectedly, lawmakers like New York U.S. Representative Maurice Hinchey who have been trying to tighten regulations on drilling to protect drinking water took advantage of the accident in hopes to prove their case.

Pennsylvania U.S. state senator Bob Casey is sponsoring a bill that would require the oil and gas industry comply with the Safe Drinking Water Act by disclosing the chemicals used in hydraulic fracturing. In New York, the Department of Environmental Conservation is drafting rules for gas extraction putting Chesapeake Energy Corp. and other oil and gas company applications remain on hold until they're finished.

Natural Gas Prices and Rigs

Despite the incident, natural gas prices have hit a 14-week high due to hotter than average temperatures fueling greater demand for power-plant fuel. Also, the natural gas stockpile was smaller for the five-year average. Natural gas production in the U.S. climbed to the highest levels in 30 years according to last week's Energy Department report.

As of last week, 947 natural gas rigs are active, down by 20 while offshore drilling rigs fell from 50 percent down to 24 percent because of government drilling restrictions that came about from the Gulf of Mexico oil spill.