THE PAST, PRESENT, AND FUTURE OF COALBED METHANE DEVELOPMENT IN VIRGINIA

Since its inception in 1988, development of Virginia’s coalbed methane resources has proceeded rapidly. By the end of 2002, over 2200 wells were producing coalbed gas, with 350 new wells being drilled each year. Annual production had reached 58.6 BCF, with cumulative production approaching 0.5 TCF. Coalbed methane is produced from five counties in southwestern Virginia, along the southeast margin of the central Appalachian Basin. Most production is from ten coalbeds in the Lower Pennsylvanian Pocahontas and New River formations. Virginia’s dominance of the industry in this part of the basin can be attributed to thick, deep, high gas-content coals, and an existing pipeline infrastructure. Development is limited to the northwest by stratigraphic truncation of the target section, and on the southeast by the Appalachian fold and thrust belt. Still, considerable resources remain undeveloped. Nolde and Spears (1998) estimated 6.7 TCF of original gas in place in Virginia’s Lower Pennsylvanian section. Application of even conservative recovery factors indicates that the industry is likely to flourish well into the 21st century.