The practice of flow rate management has become increasingly sophisticated and common, particularly in the Appalachian Basin, as producers seek to optimize returns in a challenging price environment while maintaining well integrity and long-term productivity.
Advanced Remote Well Management & SCADA systems are allowing operators to:
Monitor wellhead pressure thru Remote Terminal Units (RTUs) at wellheads
Control flow rates
Adjust compression settings
Monitor equipment performance
Track production data in real-time
Flow Rate Management Methods:
Wellhead Choking:
• Least invasive method • Maintains well integrity • Used for short-term adjustments
Typical Range: • Most wells can be choked back remotely by 5-15% daily without significant issues • More aggressive choking (>20%) requires careful monitoring • Complete shut-in is different from choking
Limiting Factors: • Reservoir characteristics • Wellhead equipment specifications • Gathering system requirements • Contract obligations • Formation pressure
Operational Considerations: • Must maintain minimum velocity for liquids removal • Need to prevent hydrate formation • Consider downstream compression impacts • Monitor wellhead pressure changes
Recent Examples: • EQT's curtailment program focused more on shut-ins rather than choking • Chesapeake used a combination of choking and shut-ins • Most operators prefer complete shut-ins over aggressive choking for significant curtailments
Shut-in Process:
• Complete cessation of production • More dramatic impact • Requires specific procedures • Used for longer-term curtailment
Gathering System Adjustments:
• Compression modifications • Line pressure management • System-wide flow balancing
Recent Examples: • EQT: Curtailed ~1.0 Bcf/d in Q1 2024 • Chesapeake: Production management in Marcellus • Antero: Dynamic flow rate adjustment
Reasons for Flow Adjustments:
Primary Drivers: • Price response (more common in 2023-2024) • Pipeline maintenance • Seasonal demand changes • Storage management • Contract obligations
Increased Frequency Due To: • Lower gas prices • Better technology • More pipeline constraints • Market volatility