Summit Midstream Partners 2Q Natural Gas Volumes Higher — Commodity Comment

By Mary de Wet

Summit Midstream Partners LP said Friday that its natural gas volumes rose in the second quarter and it sees signs of increasing customer activity as it looks ahead to next year.

On the second quarter:

Summit Midstream averaged 1,441 MMcf per day in natural gas throughput in the three months ended June 30, up from 1,391 MMcf a day in the second quarter of 2020, as Utica Shale production remained strong.

“Operated natural gas volumes increased 7.1% relative to the first quarter of 2021, largely due to continued strong performance from the four Utica Shale wells connected in the first quarter of 2021 and 20 new wells that were turned-in-line during the second quarter of 2021 across the Utica Shale, Williston Basin and Marcellus Shale segments.”

The company said its customers are operating five drilling rigs on acreage behind its gathering systems, and had about 22 drilled but uncompleted wells as of June 30. Most of those wells are likely to be completed by the end of the third quarter, Summit Midstream said.

On its outlook:

“We are encouraged by the substantially improved commodity price backdrop and we continue to see signs of increasing customer activity around our footprint as we look ahead to 2022, particularly in our Permian, Williston and Utica segments,” President, Chief Executive Officer and Chairman Heath Deneke said.