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Williams Restores Service on Ruptured WV Pipeline, More Details

Last Friday MDN told you that Gastar had given a helpful update on the Williams 12-inch pipeline that had ruptured after a landslide in Marshall County, WV on April 5th (see Gastar Helpfully Provides Update on Williams WV Pipeline Outage). We gently prodded Williams and told the PR department it needs to get in gear and start talking. Well, they did. Friday afternoon Williams issued a short statement on their Williams in the Northeast website (see it below). According to the statement, full service was restored as of 1:30 pm Friday afternoon.

Now as for the rupture and explosion itself, we learn from a news story that the West Virginia Department of Environmental Protection continues their investigation. We also learn the explosion created a 10-foot crater and scorched trees for two acres around the blast site. No wonder some of the neighbors down the road hightailed it out of there, even without being told. Here’s the latest on the Williams pipeline explosion in Marshall County…
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Gastar Helpfully Provides Update on Williams WV Pipeline Outage

Last Saturday a 12-inch natural gas pipeline owned by Williams Partners in Marshall County, WV ruptured and caught fire, likely due to a landslide (see Williams Pipeline Rupture/Fire in Marshall County, WV). Not long after, one of (perhaps the) driller affected by the pipeline outage, Gastar, announced it had shut in their wells in the area–a necessary precaution to warn investors that certain targets may not be met because of the pipeline outage (see Gastar Shuts-in Marshall County Wells Due to Pipeline Explosion).

We continue to get our best information on the pipeline outage from…Gastar! We haven’t spotted a single public statement from Williams about the outage (Williams PR department, get on the ball!). Yesterday Gastar said most of their gas is flowing again, through a different Williams pipeline. Gastar also says Williams told them the ruptured/down pipeline should be repaired and operating again in “approximately three weeks.” Thanks Gastar, for keeping us up to date on the Williams pipeline…
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Gastar Shuts-in Marshall County Wells Due to Pipeline Explosion

Last Saturday morning a Williams pipeline in Marshall County, WV ruptured and caught fire (see Williams Pipeline Rupture/Fire in Marshall County, WV). We still don’t know the cause for sure, but it’s looking like there was a small landslide from a hill that triggered the rupture and explosion.

Already that single 12-inch pipeline is having an effect on some Williams customers. Gastar Exploration with wells in Marshall County issued a statement on Monday to say they’ve had “shut-in” their wells in the area because of the pipeline outage. We have the Gastar statement below, along with a first-hand, eyewitness account of the explosion from a nearby neighbor…
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Williams Pipeline Rupture/Fire in Marshall County, WV

A 12-inch natural gas pipeline owned by Williams Partners in Marshall County, WV ruptured and caught fire Saturday morning around 8 am. The early reporting says a landslide from a nearby hill caused the rupture, which happened to a section of pipeline between Waymans Ridge and Middle Grave Creek. Some residents living near the pipeline were evacuated as a safety precaution.

We don’t have a lot of details–here is what we know so far:
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Blue Racer Natrium Wet Gas Processing Plant Addition Almost Ready

Last September an explosion and fire at Blue Racer Midstream’s Natrium, WV natural gas processing plant closed the plant (see Explosion/Fire at Blue Racer’s Natrium, WV Processing Plant). The plant remained closed for five long months, causing some of their customers, including Rex Energy and Atlas Resources, to find alternatives to process wet gas (see Blue Racer’s Natrium Plant to Remain Offline Until Jan 2014).

It certainly was a happy day in January when the facility came back online, with repaired and new equipment, and a new alarm system for the nearby community. Always in the cards was an expansion of the processing capacity at the Natrium facility–doubling the ability to process and separate wet gas from 200 million cubic feet per day to 400 Mmcf/d. Blue Racer, when announcing the re-opening of the original plant in January, also announced they already have four new customers lined up for the extra/new capacity (see Blue Racer: Natrium Plant Back Online, New Customers, Adds Barging). Good news for those new customers–the extra capacity is about to go online…
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Man Camps Spring Up in Marshall County, WV Near Drill Sites

Housing for workers is always an issue when a lot of drilling comes to town. Even if rig workers are not from out of state, more times than not, they are from another area in the state being drilled. That is, they’re still “out of towners” and they need a place to stay. Sometimes drillers will rent hotel rooms for workers. Sometimes RV parks fill up. And sometimes local apartment rentals go through the roof, creating a “crisis” for welfare slugs who need to rent a decent place to live while they don’t work (see New Study Claims Housing Crisis in NE PA from Gas Drilling).

Enter the man camp. Or as it’s called in Marshall County, WV, the “labor camp.” Labor camp sounds like something from North Korea or the old Putin-style Soviet Union. At any rate, labor camps are springing up in Marshall County, WV to handle some of the need for workers to have a place to stay while working on rigs that move from place to place…
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WV Roads in Need of Repair – Fracking to Blame?

There are a number of roadways in Marshall County and other WV counties with active Marcellus and Utica drilling in need of repair. There is no doubt frequent truck traffic related to the drilling industry is partially at fault. However, truck traffic coupled with a brutally cold winter, seems to have made it worse. Not that roads in many WV communities were pristine to begin with! Just ask any driller operating in WV–the roads in WV suck. There’s just no nice way of saying it. They were not good before drilling, so drilling is not totally to blame.

Still, drilling truck traffic has made it worse. So the industry should pay for repairs, right? Well…they already do. It’s called a 5% severance tax paid by drillers on everything they produce. The drillers are certainly paying it. If the state is not sharing that money with local counties for much-needed road repairs–that’s not the drillers’ fault…
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Gastar Update: First Utica Well Coming in April, Marcellus Grows

Gastar Exploration released their fourth quarter and full year 2013 report yesterday. Gastar drills in both the northeast (Marcellus) and the Mid-Continent shale play areas in the U.S. What do we learn about Gastar’s recent history and plans going forward in our neck of the woods? First, the update says that Gastar plans to drill their very first Utica Shale well in April. Gastar says they believe there is drillable Utica acreage under their leased land in Wetzel and Marshall counties in West Virginia–and they plan to take full advantage of it starting this year.

We also learn that the company’s Marcellus Shale production increased by 37% year over year. In Q412 Gastar produced 29.9 million cubic feet per day of natural gas, and in Q413 it was 41.0 MMcf/d. Which is tiny when compared to the 1 Bcf/d being produced by several Marcellus producers. But still, the numbers are going in the right direction. Here’s a small portion of yesterday’s update that deals with the Utica and Marcellus…
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Williams’ Oak Grove, WV Plant (Slowly) Gets New De-Ethanizer

The Oak Grove processing plant in Marshall County, WV is about to get its first de-ethanizer, a huge piece of equipment that strips ethane from “wet gas” so it can be sold, via pipeline. Until recently most ethane in the northeast has been a waste product for drillers–something that’s blended with other hydrocarbons or even burned (flared) to get rid of. However, with two new ethane pipelines up and running–one to Sarnia, Canada (Mariner West) and one to the Gulf Coast (ATEX), ethane is a valuable commodity. And so Williams is adding a de-ethanizer to their still-under-construction Oak Grove processing plant.

The de-ethanizer recently arrived by train at Benwood CSX rail yard along the Ohio River. Now the 123-feet long (and 14 feet wide) piece of equipment will go on a very special “superload” truck and it will take 3 days to go just 30 miles to reach the Oak Grove site. If you live in WV, you might want to reconsider plans to travel along routes WV-88 or US-250 later this week, unless you like moving along at 5 miles per hour…
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When Drilling Comes to Town, Property Values Go…UP, Not Down

When drilling comes to town, property values plummet–right? Wrong. The property value plummeting lie is told so often by anti-drillers that they’ve convinced themselves it’s actually true. So let’s take a look at property values in one of the most shale-drilled counties in West Virginia–Marshall County. Property values in Marshall County for the 2014 tax year have gone UP a total of $158.2 million. Huh. What about last year? In 2013 property values in Marshall County went UP by $605 million! Must be an anomaly. Go back another year. OK–property values in Marshall County in 2012 went UP by $335 million. The reason, according to county officials, is Marcellus Shale drilling.

Contrary to the popular anti-drilling lie, it seems when drilling comes to town, property values actually go UP, not down. We wonder how many other arguments anti-drillers spin where the truth is opposite of their claims? Here’s more on the good news of zooming property values in Marshall County, WV:
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Blue Racer: Natrium Plant Back Online, New Customers, Adds Barging

Big news from Blue Racer Midstream. Last September there was an explosion and a fire “isolated to a small area” at the Blue Racer Natrium processing and fractionation facility in Marshall County, WV (see Explosion/Fire at Blue Racer’s Natrium, WV Processing Plant). The fire knocked the plant offline for customers needing to process wet gas. At least two (perhaps more) customers found other sources to process their wet gas (see Blue Racer’s Natrium Plant to Remain Offline Until Jan 2014). According to a single sentence buried in a press release issued yesterday, the Blue Racer Natrium plant is finally, after five long months, back online. No date was given for when it resumed operations–presumably yesterday or over the weekend. The statement says, “The Natrium I processing unit has recently returned to service following a temporary shutdown that occurred after a fire damaged the unit.”

No mention of how long it was offline (five months!) or the work done to get it back online. Probably the lawyers telling them to keep their mouth shut. Anyway, we’re happy to see it back up and running. In addition to that very big news (which was decidedly downplayed in the press release), Blue Racer also announced yesterday they’ve picked up several new customers for an expansion at the Natrium processing/fractionation plant (see who below). Finally, Blue Racer announced that in addition to the current rail, truck and pipeline they use to move NGLs (natural gas liquids) from the plant, they’re adding barging down the Ohio River. Notwithstanding the downplayed reopening of the Natrium plant, this is one of the most enlightening press releases from a midstream company we’ve seen in some time…
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Trans Energy’s WV Focus Paying Off – IP Numbers for 8 Wells

Trans Energy is a smaller, “pure play” driller in the WV Marcellus Shale. MDN told you last October that Trans Energy had sold off it’s holdings in Tyler County, WV in order to focus on drilling in Marshall, Wetzel and Marion counties (see Trans Energy Sells Off Holdings in Tyler County, WV – Who Bought?).

Looks like focusing is paying off for Trans Energy. Tuesday the company provided an update on production for 8 of their wells in Marion and Marshall counties. The IP (initial production) numbers look pretty darned good to us…
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Utica/Marcellus Construction Spending Rockets in Wheeling Area

According to McGraw Hill Construction, the Wheeling, WV Metropolitan Statistical Area, which includes Ohio and Marshall counties in WV and Belmont County in Ohio, saw construction explode from $60.3 million in 2012 to $1.57 billion in 2013–a 29-fold increase. The vast majority of that explosion in construction came from–you guessed it–the Marcellus and Utica Shale. Midstream companies Williams and Blue Racer spent the majority of that on new processing plants and pipelines in the area.

This is incredibly good news for that area of the Ohio Valley. The even better news? Ironworkers Local No. 549 predicts this kind of spending by the drilling industry will go on for at least another 5-10 years. Wow!…
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Blueracer Natrium Wet Gas Plant Remains Offline, How Much Longer?

Last September there was an explosion and a fire “isolated to a small area” at the Blueracer Natrium processing and fractionation facility in Marshall County, WV (see Explosion/Fire at Blue Racer’s Natrium, WV Processing Plant). The fire, which “burned itself out,” knocked the plant offline until this January. Because of the outage, at least two (and perhaps more) companies found other sources to process their wet gas (see Blue Racer’s Natrium Plant to Remain Offline Until Jan 2014). However, not all drillers have had success in finding other sources to process their wet gas and are stuck, waiting for the Blueracer Natrium plant to re-open.

The latest word from Blueracer on when they will reopen the plant, which doesn’t seem encouraging…
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Shale Drilling Leads to Higher Property Values in WV

One of the old, trite, and untrue arguments trotted out by anti-drillers is that when drilling comes to town, property values decrease. It shouldn’t surprise you, if you read MDN, to learn that the exact opposite is true. The latest evidence of that comes to us from one of the most horizontally drilled/fracked counties in West Virginia: Marshall County.

Officials in Marshall County report that because of all the drilling in the county, property values in the county have risen by an average 10%. Put another way, if you were to sell your house today, you’ll get 10% more than you would have gotten just a few years ago. The only “problem” is that some peoples’ property tax bills will go up because of it…
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Check-in on GreenHunter’s Wheeling Frack Wastewater Plant

Spandex outfits on. Check. Capes flapping in the breeze. Check. Homemade protest signs created. Check. The so-called Wheeling Water Warriors are ready for more protests against the eeeve-ill, nasty frack wastewater company–GreenHunter. Yes saracasm. Yes we believe the “Water Warriors” are nothing more than fossil-fuel haters stoked by irrational fears that carbon (the very substance they’re made from) is actually a pollutant and that burning it will mean the end of our existence. Boggles the mind. But there you go.

It’s time to check in for an update on GreenHunter’s project to build a frack wastewater recycling facility in Wheeling, WV, and on GreenHunter’s future plans to ship frack wastewater via barge down the Ohio River when the Coast Guard gets around to issuing the “go ahead” signal. It’s also time to check in on the half dozen or so people who continue to grab headlines using the misleading name Wheeling Water Warriors…
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