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The Marcellus Shale: How your company could get in on the action

Here are contacts for five leading companies involved in the development.

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Super Giant Field in the Appalachians?

A few years ago every geologist involved in Appalachian Basin oil and gas knew about the Devonian black shale called the Marcellus. Its black color made it easy to spot in the field and its slightly radioactive signature made it a very easy pick on a geophysical well log.

However, very few of these geologists were excited about the Marcellus Shale as a major source of natural gas. Wells drilled through it produced some gas but rarely in enormous quantity. Few if any in the natural gas industry suspected that the Marcellus might soon be a major contributor to the natural gas supply of the United States - large enough to be spoken of as a "super giant" gas field.

Before Marcellus Shale gas can go to market, you need exploration and production companies to get it out of the ground, midstream companies to gather and process it, and pipeline companies to transport the goods.

To do that, major producers and pipeline operators are entertaining business pitches from local companies who feel they have something to give. The most oft-repeated words are reference, safety and experience. Here is how to let the companies know if you have these qualities.

Rick Ford, Project Manager

East Resources

Website: www.eastresources.com

A Pennsylvania-based oil and gas exploration and production company, East has 250 employees and more than 650,000 net acres in the Marcellus Shale. East currently has five rigs running and plans to add another two, as part of its ramp up following a joint venture with global investment firm Kohlberg Kravis Roberts & Co. L.P. in 2009.

The company is moving into its new headquarters in Warrendale on June 7 to accommodate its growth.

East also owns gathering lines in Butler County and Central Pennsylvania and is a large producer of oil in the state.

Needs: Contractors to clear land, construct well pads, set up rigs, run wirelines, haul waste, supply drilling mud and frac fluid.

How to contact: Call 724-772-8600 and ask for Rick or e-mail him at rford@eastresourcesinc.com.

Tip: "We do require everybody that works for us to have a master service agreement. They can call me, at which point I can direct them to the proper department within the company."

Mike Hallford, Regional operations manager

Chief Oil & Gas LLC

Website: www.chiefog.com

Texas-based exploration and production company with a gross 580,000 acres in the Marcellus and a regional office in Wexford. The company holds leases in counties stretching from southwestern Pennsylvania to the northeast part of the state and currently has six rigs running. Chief Gathering LLC, which gathers and markets the gas for the parent company, also has an office in Wexford.

Needs: Office space for future growth, drilling crews, frac crews, dirt contractors, permitting.

How to contact: Call 724-933-5511 and ask for Mike or e-mail him at mhallford@chiefog.com.

Tip: "We go out for bid all the time. A few of our services - drilling rigs - those are typically contract items. As far as construction - that's a constant process. Give us a call."

Daryl Grieger, Regional vice president and general manager

Laurel Mountain Midstream LLC

Website: www.williams.com

A year-old midstream company formed as a result of a joint venture between Oklahoma-based Williams Co., 51 percent owner and operator of the firm, and Atlas Pipeline Partners LP, 49 percent owner.

Another division of Williams is also partnering with Dominion Transmission to build a major pipeline along the southern part of the state, to deliver gas from southwestern Pennsylvania to Williams' TRANSCO interstate pipeline in the east.

Needs: Right-of-way agents, construction contractors, environmental surveyors, steel pipes, valves and fittings, natural gas compressors, installers.

How to contact: e-mail williamscontract@williams.com and in the subject line, write Service Provider in PA. In the e-mail, describe the services you are offering and include your contact information.

Tip: "All the pipeline that we build is out of steel pipe. We (calculate) how much pipe we think we're going to use each year and we try to buy in advance — it gives us some buying power."

For hospitality needs, the company hosts "at least five or 10 people here every week that are coming in from out of town."