Eclipse Resources Corp. (ECR) has announced the commencement of production at two of the company’s pad locations consisting of a total of seven Utica Shale wells at a total combined rate of 52.6 MMcf/d of natural gas and 1.8 MBbl/d of condensate.

The Shroyer well pad in Eastern Monroe County, Ohio is currently producing into sales at a combined rate of 42.5 MMcf/d with average casing pressure of 6,545 psi. Based on composition analysis, the gas being produced is approximately 1,034 BTU gas. The Shroyer pad consists of two Utica Shale wells in the company’s dry gas type curve area with average lateral lengths of 7,819 feet. The wells have been flowing into sales for approximately 10 and 20 days. The flowing pressures on both wells to date have exhibited shallow pressure declines. The company believes this likely indicates a strong reservoir and effective completion.

The second well pad is the company’s Mizer pad in Central Harrison County, Ohio. The Mizer pad consists of 5 Utica Shale wells, which are currently producing into sales at a combined rate of 10.1 MMcf/d of natural gas and approximately 1,800 Bbl/d of condensate (176 Bbl/MMcf of condensate yield) with average tubing pressure of 2,534 psi. The wells were put into production equipment early to minimize flow back time. As water rates continue to decline and the Mizer wells clean up, Eclipse Resources expects the production rates to further increase.

Based on composition analysis, the gas being produced from the Mizer pad is 1,330 BTU gas. Eclipse Resources anticipates, based on its contractual 30% ethane recovery, the gas composition to produce an additional 90 Bbl/MMcf of natural gas liquids and result in a natural gas shrink of approximately 15%. The Mizer wells are located in the company’s condensate type curve area and have been into sales for approximately two to 13 days. Additionally, Eclipse Resources is currently working on bringing the Mizer Farms pad online, which the company believes will also occur on, or ahead of, schedule.

Benjamin Hulburt, president, CEO and chairman of Eclipse Resources, stated, "I am excited by our team's continued focus on executing our plan and putting wells into sales on, or in advance of, our timelines. Our Shroyer wells are our longest laterals to date and mark our fifth and sixth operated wells in our Dry Gas type curve area, more than any other producer in the Utica Shale. Additionally, the Mizer wells are our first operated wells in our condensate type curve area, and we are pleased to see that they are producing at higher initial liquids yields than we expected. Based on these initial results, we are encouraged that all seven of the announced wells should produce in line with our type curve expectations and are hopeful that the Mizer condensate rates will continue to exceed our expectations."

In advance of putting the Mizer pad to sales, Eclipse Resources entered into an agreement with EnLink Midstream Operating LP for the operation of the company’s condensate stabilization facilities. Under the terms of the agreement, EnLink will purchase two of the company’s existing condensate stabilization facilities, as well as construct additional facilities to support the company’s drilling program in the Utica.

Based on the results to date for the third quarter of 2014, and the expectations of the Shroyer and Mizer wells, Eclipse Resources is reaffirming its previously issued production guidance for the quarter. The company currently believes it will produce average daily production during the third quarter at, or above, the mid-point of its guidance.

The company is based in State College, Pa.