What can we help you find?
Back to the blog

Marcellus Shale Industry is Heating Back Up

The first Marcellus Shale gas well was drilled in 2004. More than one decade and 10,000 wells later, the industry continues to evolve and shape the regional and national economy.

It has been a bumpy ride. The number of drilling rigs in the Marcellus region declined from 130 in 2012 to less than twenty in 2016 as gas prices collapsed from $12 last decade to just $2. Much of the regions gas production has been “shut in”, lacking the infrastructure required to move it to market.

Now the industry is enjoying a comeback. Looser restrictions on pipeline construction should allow more gas to flow from the Marcellus region to East Coast cities. Manufacturers are beginning to capitalize on low cost domestic supplies, including the construction of a $6 billion petrochemical plant locally. Perhaps most importantly, exports of liquefied natural gas (LNG) are surging after last years completion of the first LNG export terminal, located in Louisiana. With four more terminals under construction, the U.S. is projected to become a net exporter of gas in 2018.

Beyond the economic impact, American LNG exports could shake up geopolitics. Lithuania’s first LNG import terminal is named “Independence” – a nod to Russia’s control over the European gas market.


This report is based on data obtained from sources we believe to be reliable. Hefren-Tillotson does not, nor any other party, guarantee the accuracy or completeness of this report or make any warranties regarding results obtained from its usage. All opinions and estimates included in this report constitute the firms judgment as of the date of this report and are subject to change without notice. This report is for informational purposes only and is not intended as an offer or solicitation to buy or sell the securities herein mentioned.











Investment Advisory Team

Questions about this article?

Hefren.com is sponsored by Hefren-Tillotson, Meticulous Wealth Management Since 1948. Hefren-Tillotson is headquartered in Pittsburgh, Pennslvania and has locations in Downtown Pittsburgh, Butler, Greensburg, Wexford and Southpointe in the South Hills. Our financial advisors and investment advisors offer full service, personalized financial planning and retirement planning. Our MASTERPLAN approach can help you plan for the future with a focus on asset management and portfolio management. If you’re looking for time-tested financial advice in the Pittsburgh area, Hefren-Tillotson financial planners are here to help. Securities offered by Hefren-Tillotson, Inc., member of FINRA and SIPC.