Oil and Gas Developments in New York in 1982

Abstract

In 1982, 533 wells were completed in New York. In existing fields, 57 oil and 426 gas wells were completed. Exploratory drilling resulted in 4 new gas field discoveries, 1 deeper pool discovery, and 32 extensions to existing gas fields. Thirty of the extensions were to Medina sandstone fields in western New York. Pennzoil completed 2 Oriskany Sandstone gas discoveries in southeastern Cattaraugus County. Berea Oil & Gas drilled a dry downdip Medina sandstone test in the same general area. In Cayuga County, Devonian Energy drilled 3 dry Queenston tests and 1 dry Precambrian test. In Chautauqua County, 35 producers have been drilled in the northeast-southwest Akron (Bass Islands) trend. High levels of oil and gas production have occurred from fractured zones along this thrust-faulted anticlinal feature. Open flows of more than 2,400 BOPD and 60 MMCFGD have been reported. Two Devonian black shale gas tests were drilled in central-southern New York by the New York State Energy Research and Development Authority (NYSERDA). One, in Chemung County, was completed as a good gas producer, but the other, in Tioga County, was only a small producer. NYSERDA also drilled a geothermal test in the city of Auburn in central New York. The well was drilled to the Precambrian and is being tested for the production of saline formation water at 125°F for possible use in space heating. Oil production in 1982 was 831,491 bbl; gas production amounted to 18,760 mmcf. The price for New York stripper crude was $35/bbl on January 1, 1982, and ended the year at $30/bbl. In 1982, an estimated 24 crew-weeks of reflection seismic work was done in New York. Federal Energy Regulatory Commission (FERC) Section 107, tight formation, designation for the Medina in Chautauqua and Cattaraugus Counties was approved in January 1982. An application for Section 107 pricing for the Medina and Queenston in 10 additional New York counties was near approval at year end. Gas purchasers initiated extensive shut-in periods during 1982 because of the oversupply of gas. Contract renegotiations for a lower price for Section 107 gas were common. Because of this, a decline in drilling is expected in 1983. In early 1982, the U.S. Corps of Engineers gave final approval to drilling for gas in the eastern United States portion of Lake Erie. The New York portion consists of 373,000 acres. Columbia Gas has leased and done seismic work on extensive acreage in eastern New York and Vermont in the concealed eastern overthrust trend. It may drill a deep test on this acreage, near Albany, in 1983.