Total investment in Ohio's resource rich shale energy sector has reached $78 billion since tracking began in 2011, according to a Cleveland State University (CSU) study.
Prepared for JobsOhio, the report represents the most recent data available and covers shale investment through the second half of 2018. Earlier in the year, IHS Markit released estimates that by 2040, the Utica and Marcellus shale region, of which Ohio is a significant part, will supply nearly half of all U.S. natural gas production.
The study from CSU's Energy Policy Center at the Maxine Goodman Levin College of Urban Affairs, showed drilling investments were slightly down in the second half of 2018 compared to the first half, but total upstream investments were up. Total shale-related investment in Ohio for the second half of 2018, including upstream, midstream and downstream, was around $3.82 billion. Total investment from 2011-2018 totaled about $77.7 billion.Read the whole release by clicking right here.
Upstream activities, such as drilling or royalties, accounted for more than $3.5 billion of this total. According to the Ohio Department of Natural Resources Division of Oil and Gas, 117 new wells were drilled during the third and fourth quarters of 2018, 40 fewer than in the first half of the year. Yet longer laterals are resulting in higher production and increased investment per well. Data indicates that the volume of gas-equivalent shale production in the second half of 2018 was 17.7% higher than in the first half, with total upstream spending in the second half of 2018 exceeding that for the first half by around $173.4 million.