The price of natural gas reached historically low prices, trading at a ten year low on Friday, while oil prices remains stable, leaving Warren County as the second highest number of oil wells drilled in the state since the beginning of the year.
The U.S. Energy Information Administration said the level of natural gas is 58 percent above the five-year average while the price of natural gas fell to $1.91 per 1,000 cubic feet, the lowest level in a decade on Thursday.
"In terms of production implications, a higher crude oil-to-natural gas ratio encourages drilling for oil in preference to natural gas and makes natural gas liquids developments relatively more attractive than the development of dry natural gas resources," the Energy Information Administration said.
Pennsylvania Independent Oil and Gas Association President Lou D'Amico said the low price of natural gas coupled with a mild winter has allowed shallow oil gas production to head in the opposite direction, " a good sign for places like Warren County," he said.
There have been 793 oil and gas wells drilled throughout the Commonwealth since the beginning of the year, and nearly 10 percent of them have been sunk in Warren County.
Warren County has had 77 wells drilled so far this year, second to McKean County with 92 wells drilled since the beginning of the year.
Wells have been sunk in the city, Glade, Brokenstraw, Pleasant, Cherry Grove, Sheffield, Triump, Conewango, Limestone, Mead and Spring Creek townships.
The only Marcellus shale well is found in Limestone Township is operated by Hunt Marcellus Operating Company of Texas and is also the only gas producing well, according to the Department of Environmental Protection spud data.
A spud is defined by the DEP as the date that drilling begins.
Three oil wells have been sunk in the city behind Shops at Warren on the West end, all of which are horizontal wells and all are operated by John D. Branch.
400 permits were issued in total in 2011 in the county, and 123 were issued by this time last year as well.
Warren County is leading the state with permits issued to date with a total of 251, or 15.8 percent of the permits in the Commonwealth. According to the DEP, a drilling permit is good for one year, but the deadline can be extended to 16 months if the operator can show activity started at the well site before the expiration of the permit and can submit plans for completion.