“It was the best of times, it was the worst of times.” That line taken from the 1859, Dickensian novel, A Tale of Two Cities, fairly well describes the state in which we find the present-day natural gas market.
Other shale operators, and not just gas producers have moved to reduce spending. Notably, fellow Marcellus driller Antero Resources NYSEAR has put in place a 26% capex reduction that includes dropping one rig and one completion crew, with a plan to build DUCs, similar to Chesapeake’s. Another Marcellus driller, Range Resources NYSERRC has adopted a similar strategy of building DUC inventory, while maintaining operational efficiencies from experienced drill crews.
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