PITTSBURGH – Take a look at an Appalachia acreage map, and it’s not hard to determine Trans Energy’s focus area—the company has acreage in just three counties, all in West Virginia. Being a pure-play company might seem limiting in terms of opportunities, but Trans Energy has used this focus to become an expert in its area. The company has used its time in the West Virginia Marcellus to learn how to best drill its wells, where to place wellbores and how to navigate state regulations, according to chairman Stephen Lucado.

Trans Energy holds more than 45,000 gross acres in the core of the Marcellus Shale in Marshall, Wetzel and Marion counties, and much of this acreage has Utica and Upper Devonian potential. The company is focusing on the wet gas window in Marshall and Wetzel counties, and while Marion County is dry gas the Marcellus is twice as thick here than in other areas. Companies such as Chevron, Consol Energy, EQT and Magnum Hunter are also active in these desirable areas of the state.

“We’ve got some really good neighbors,” Lucado said at Hart Energy's DUG East conference earlier this month. “We are in the right zip code.” Trans Energy’s team, which is full of local talent and experience managers, has helped the company obtain this competitive position in the market.

“It starts with our land people, who are all native to the area,” Lucado said. “That’s been a significant help to us as we’ve tried to be nimble and deal with local land issues and acquire our position.”

One local issue in West Virginia comes from the fact that there is no forced pooling in the state. Operators must have 100% of the title before they can build a pad site and drill a well. Instead of focusing on acreage, Trans Energy focuses on drillable wellbores. The team considers issues such as topography, wetlands and coal mining activity underneath the acreage when determining where to drill.

“In other words, you can’t just place a pad site anywhere you want or in the middle of an acreage block,” Lucado said. “You have to take all of these factors into account, and that’s one of the things we’ve been doing for quite a while.”

Most of the company’s wells in the past have been drilled in Marshall County, but the focus in the near term will be in Wetzel and Marion counties. In Wetzel, the company plans to drill six wells this year, adding to the four there now. In Marion, where the company has four wells online, Trans Energy intends to drill nine more this year.

In total, Trans Energy currently has 24 wells online and is planning to drill 19 more this year. That’s a significant ramp up for a company of this size, Lucado said, adding that it’s been made possible through financing the company has received to move forward with a two-rig drilling program.

“We have drilled with two rigs before simultaneously but not for an extended period of time as we’re planning to do here,” Lucado said. “Obviously, this will start to increase our production levels quite markedly.”