Rocket Ride Continues for OH Utica NatGas Production in 3Q16

The Ohio Dept. of Natural Resources (ODNR) has just issued production numbers for the third quarter of 2016. Compared with third quarter 2015, production numbers in 3Q16 continued to be a mixed bag, as was the case in 2Q16 (see Ohio 2Q16 Utica Production – Who Produced O&G Where & How Much). Oil production in 3Q16 dropped by 34% over a year earlier and down 18% from 2Q16–that’s the bad news. But natural gas production from shale continues to be a rocket ship. Natgas production is up 45% year over year. In 2Q16 natgas production was up 51% y/y–so the trend continues. Ascent Resources (formerly Aubrey McClendon’s American Energy) dethroned last quarter’s CNX Gas as 3Q16’s top producing gas well, yielding nearly 1.6 billion cubic feet for the quarter. Also interesting to note, last quarter’s CNX well is located in Monroe County–this quarter’s Ascent winning well is located in Belmont County. Eclipse Resources once again had the #1 producing oil well in Guernsey County, the monster Purple Hayes, which produced an astonishing 74,954 barrels of oil in 3Q16, after producing 71,072 barrels of oil in 2Q16 (#1 well in 2Q16). What a great well! Below we have the ODNR’s high level overview of the numbers, along with MDN’s own exclusive analysis showing: the top 25 producing gas wells, the top 25 producing oil wells, and then the top 25 gas and oil wells as ranked by average production per day. There is a difference!…
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Paid Dakota Protesters Begin Siege of Ohio’s Wayne National Forest

It’s happened, just as we predicted. Paid, out-of-state protesters have arrived in Ohio, as they did in North Dakota, with the intent to block plans to begin fracking on land in Wayne National Forest. The Bureau of Land Management will conduct an auction tomorrow for 1,600 acres of land in WNF (see BLM Launches Auction to Lease Wayne National Forest for Fracking). The protesters in Ohio come from the same source that backed the criminals who have invaded North Dakota (see Police Remove Pipeline Protesting THUGS from Private Land in ND). They pretend to fly under the banner of Native Americans–but it’s nothing of the sort. These are paid protesters, backed with money from Big Green organizations, attempting to gin up support to block all fossil fuel development across the country. Right now there’s only a handful, according to their own press release. It’s important to stop this cancer now, before it grows in Ohio has it has in North Dakota…
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Fracking in Canadian Utica Shale Takes Big Step Closer to Reality

Little known fact: There is a Utica Shale layer in Canada–along the St. Lawrence River Valley–in the Province of Quebec. On and off over the years we’ve mentioned it, largely in connection with an ongoing moratorium on shale drilling in Quebec (see our stories here). Quebec’s moratorium is similar to the mortorium on shale drilling in New York State–that is, a total block, but not a permanent block. Here’s some really good news: the Quebec moratorium on shale drilling is about to come to an end! After debating an environmental bill all night Friday into Saturday, the Quebec National Assembly voted to pass Bill 106, ostensibly to support Quebec’s “clean power plan.” The bill includes a section that “lays out a framework for oil and gas development” in Quebec. Fracking will not begin immediately. The bill does, however, mean that new regulations will come along in early 2017 and after that, it’s an almost certainty that fracking will begin, in 2017, in the Canadian Utica. Cool! Here’s the news…
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Landowners in Ohio Vow to Continue Fight Against NEXUS Pipeline

Some holdout landowners in Medina County, OH continue to oppose the coming NEXUS Pipeline, even after their suggested alternative routes (around their county) have been rejected by the Federal Energy Regulatory Commission (FERC). A few holdouts are vowing to continue the fight “until all of our resources and options are exhausted,” which may be very soon. Earlier this month FERC issued a positive Final Environmental Impact Statement (see FERC Approves NEXUS Pipeline, Project on Track for 2017). A positive FEIS almost always means it’s over–the project will get approved. Spectra Energy, the builder of NEXUS, expects a final certificate allowing the backhoes and bulldozers to begin sometime in the first quarter of 2017. Until that happens, there are some who will continue to fight…
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Marcellus Drillers Pay $134+ Million in WV Property Tax in 2016

Although shale drilling slowed over the past 18 months or so, you wouldn’t know it by the amount of tax revenue the industry contributes in West Virginia counties located in the northern area of the state. Wetzel County will collect an estimated $24 million in tax revenue from shale drillers in 2016. Marshall County will take in $14.9 million. Ohio County will get $9 million and Doddridge County around $8.1 million. Tally it all up across the entire state, and the Marcellus industry will pay more than $134 million in property taxes for 2016…
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Somerset KY Attempting to Land $70M Gas-to-Liquids Plant

Gas-to-Liquids (GTL) plants convert natural gas, a hydrocarbon, into other hydrocarbons, like diesel fuel, gasoline, solvents and waxes. An abundance of cheap natural gas in the Marcellus/Utica is one of the prime motivators for establishing GTL plants in the region. Although we’ve heard plenty of talk about such plants, we’ve only seen a few prototypes get built. There’s lots of talk, lots of smoke–but so far, no fire. Will that soon change? We spotted a story about a GTL plant that may locate in Somerset (Pulaski County), Kentucky. Which we find interesting since Kentucky hates new gas pipelines, yet wants to build a plant that will use gas coming from pipelines (see KY Court Decision Goes Against Pipelines re Eminent Domain). But hey, maybe attitudes will change when they see the economic and environmental benefits from more natural gas, right? The mayor of Somerset is excited and perhaps prematurely announcing his town may (underscore may) get a new $70 million GTL plant. Thing is, the unnamed builder of the plant is also considering a location in Ohio, where there’s plenty of local natgas and pipelines already built. The good mayor may want not want to count his chickens before they hatch…
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New New Hampshire Gov Willing to Fight for NatGas Pipelines

NH Gov.-Elect Chris Sununu

Whoa, what’s this: Is New England Turning from Blue to Red, politically? Perhaps! Prior to November’s election in which Democrats continued their historic losing streak, the governors of the six New England states were pretty much in favor of more natural gas, including pipelines, for their region (see Blue State Blues: 6 New England States Want New Natgas Pipeline). However, there was only one true believer and supporter who didn’t wilt at the first sign of pipeline opposition: Gov. Paul LePage from Maine, a Republican (and businessman), who has been a steadfast supporter of natural gas and the pipelines required to get it to his state. The other five governors, all Democrats, are scattered along a continuum of anti-gas to lukewarm in favor. In January LePage will be joined by a second natgas supporter and Republican, Chris Sununu, who will become the new governor of New Hampshire. The Sununu family is legendary in NH. Chris’ dad John H. Sununu is a past governor of NH and was Chief of Staff in the George H.W. Bush (George Sr) White House. Chris’ brother John E. Sununu is a former U.S. Senator from NH. The encouraging part? Chris Sununu said last week he wants more natgas pipelines in NH–and he’s willing to fight for them…
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SGICC Launches 6th Shale Gas Innovation Contest, $60K in Prizes

As we do each year, we take great pleasure and pride to let you know that Ben Franklin Shale Gas Innovation and Commercialization Center (SGICC) has launched yet another Shale Gas Innovation Contest. In fact, this is the 6th annual such contest. The Shale Gas Innovation Contest awards a $20,000 prize to three companies ($60,000 purse) for the “best shale energy-oriented innovations, new product ideas, or service concepts that are either in the development stage or recently launched.” Here’s the details on who your company can participate…
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Marcellus & Utica Shale Story Links: Mon, Dec 12, 2016

The “best of the rest” – stories that caught MDN’s eye that you may be interested in reading. In today’s lineup: Rice Energy files to get into home gas delivery game; OH legislature wants to keep freeze on so-called clean energy mandates; FirstEnergy contemplates filing for bankruptcy; PA court re-issues block on some shale drilling regs; mall near Shell cracker gets sold; ND the biggest loser in Obama ruling against pipeline; shale is back, part ii; Trump EPA pick good “at breaking down worthless organizations”; and more!
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