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Energy Corporation of America (ECA) Breaks Ground With New Bi-Fuel RigJune 29, 2011 Energy Corporation of America (ECA) Breaks Ground With Bi-Fuel Rig ECA, in conjunction with Helmerich and Payne International Drilling Contractors (H&P), has successfully employed a bi-fuel power system on a rig drilling in the Marcellus Shale. H&P Rig #284 is drilling for ECA in Greene County, PA and already utilizes low impact pad drilling which complements the use of bi-fuel technology. Bi-fuel systems are capable of running off two fuels and have the ability to switch from diesel to a natural gas/diesel blend when drilling a well. There are currently 108 horizontal rigs operating in the state of Pennsylvania and we believe that our rig is the only one running on a combination of natural gas and diesel. This particular rig, H&P Rig 284 (see picture), is powered by a blend of natural gas (50%) and diesel fuel (50%) and has provided ECA with a cleaner and safer alternative to drilling our wells. The bi-fuel system is a relatively new technology which has been used in Texas, Oklahoma and several other oil and gas producing states. Before the shale boom, it was uneconomic to use natural gas to power a rig in the Appalachian region due to a lack of infrastructure. However, given the recent success in the Marcellus, companies have now invested billions of dollars to construct pipeline systems and compressor stations necessary to transport natural gas to market. It is this type of infrastructure that has enabled the bi-fuel rig to emerge in the east. H&P Rig #284 has been rebuilt which allows the rig’s engines to run on infield gas through a flow line that is connected to ECA’s gathering system. The infield gas is then blended with diesel fuel to power the rig. The high quality of the natural gas produced out of the Marcellus Shale in Greene County makes this possible. A traditional rig can consume an average of 2,000 gallons of diesel per day. The use of bi-fuel will translate into significant savings and can cut this number by up to 70%. Samples taken before and after bi-fuel implementation also show a significant reduction in emissions. The new system reduces CO2 (carbon dioxide) emissions by 31 tons per year and lessens the impact of NOx (oxides of nitrogen), CO (carbon monoxide) and total particulate matter. Cutbacks in the use of diesel fuel will significantly decrease local truck traffic, minimize the impact on the local communities and the environment and reduce our country’s dependence on foreign oil. As we continue to find new ways to improve our practices and provide the safest possible environment for our employees and the communities in which we operate, the answer remains the same -- natural gas. |

