natural gas from shale

natural gas from shale is changing the global energy supply landscape

industry leader

Chevron is the first company to earn Center for Sustainable Shale Development certification.


the shale opportunity

In the United States, shale gas has helped trigger an energy renaissance. This clean-burning fuel holds promise for nations around the world seeking to strengthen energy security and generate economic growth. According to the study America’s New Energy Future, by research company IHS, shale gas is contributing to the U.S. economy by creating jobs and driving a rebirth of manufacturing.

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The energy industry is unlocking abundant shale and tight oil and gas resources, developing affordable energy, and driving the American economy.
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 Globally, there are more than 7,500 trillion cubic feet of technically recoverable shale gas resources.

Natural gas from shale production has risen 30-fold since 2000, delivering increased energy supplies and reduced energy costs.

The amount of recoverable shale gas available is equivalent to about 60 years of the world's current natural gas demand.


where we operate

United States

Chevron holds 600,000 net acres (2,428 sq km) in the Marcellus Shale, one of North America’s largest and richest sources of natural gas from shale. The Marcellus runs beneath large swaths of Pennsylvania, West Virginia, and eastern Ohio and New York.

The company also holds a significant position in the Utica Shale, which lies partially beneath the Marcellus.

In the Permian region (Texas and New Mexico), Chevron holds 1.5 million net acres (6,070 sq km) in the Delaware and Midland basins, where it is developing tight oil and liquids-rich gas shales.

The company also holds shale and tight resource opportunities elsewhere in the midcontinent region, primarily in East Texas and in the Piceance Basin in northwestern Colorado.


In Alberta, Chevron Canada Limited has a 70 percent operated interest in approximately 228,000 net acres in the liquids-rich Duvernay shale formation. A 16-well appraisal program is under way. At the Horn River and Liard shale basins in British Columbia, the company holds 300,000 net acres (1,214 sq km). These significant resources support the proposed Kitimat liquefied natural gas project.


In Argentina, Chevron produces crude oil and natural gas through its wholly owned subsidiary Chevron Argentina S.R.L. The company’s interests include exploration for and development of shale oil and gas resources from the Vaca Muerta formation, located in Neuquén Province. Chevron Argentina S.R.L. holds an 85 percent-owned and operated interest in one concession, covering 94,000 net acres (380 sq km), that has both conventional production and Vaca Muerta Shale potential. Also in the Vaca Muerta Shale formation, another Chevron subsidiary participates in two areas covering 73,000 net acres (294 sq km): the Loma Campana concession and the Narambuena blocks.

According to the U.S. Energy Information Agency, Argentina holds the world’s second-largest shale gas reserves. Vaca Muerta is Argentina’s largest shale gas play, with an estimated 308 trillion cubic feet of dry, wet and associated shale gas resources.


how we operate

There are several steps in the process to develop natural gas resources from shale, including obtaining permission to drill from the landowner and government, constructing a temporary drilling site, and using a rig to drill the well. A key aspect of releasing natural gas from shale rock formations is the combination of two established technologies – horizontal drilling and hydraulic fracturing, which involves water being injected under pressure to crack the rock and release the trapped gas. Once this process is complete, the well is ready to produce natural gas, which is then transported to market via a pipeline.


Technology is essential to identifying, developing and producing shale reservoirs. We have a technology unit focused exclusively on solving the technical challenges of shale and tight rock formations.


addressing the issues

Keeping people safe and protecting the environment are part of our core values. We share the public's expectation that the energy we need will be produced safely and reliably. Wherever we operate, we work closely with local governments, respect our neighbors and invest in the community. Day-to-day decisions at all our shale operations are guided by Chevron’s Operational Excellence Management System, a systematic and risk-based approach to identifying, assessing and managing potential environmental impacts in a consistent manner and continually improving environmental performance.

chevron in the marcellus

Chevron is one of the largest leaseholders in the Marcellus Shale, with 600,000 net acres of leases. One of North America’s largest and richest sources of natural gas from shale, the Marcellus runs beneath large swaths of New York, Pennsylvania, West Virginia and eastern Ohio and dips into neighboring states.

investing in the marcellus

investing in the marcellus

Our work in the Marcellus Shale is fueling job growth and strengthening local economies.

Developing Marcellus energy has substantial economic benefits throughout the region. According to the Pennsylvania Public Utility Commission, impact fees generated a record $224.5 million for the state in 2013. From 2011 through 2013, these impact fees—paid to local governments for public projects, such as bridges, roads and firefighting equipment—generated more than $630 million. These fees are in addition to billions of dollars from taxes and royalty payments and local jobs created directly or indirectly by natural gas development.