CNX Resources | Energy Companies | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Westmoreland County
CNX Buying 51M Gal. of Water from Beaver Run Reservoir for Fracking
Water use restrictions have finally been lifted at the Beaver Run Reservoir in Westmoreland County, PA (near Pittsburgh). The Municipal Authority of Westmoreland County (MAWC), which manages Beaver Run Reservoir, has issued a contract to CNX Resources allowing the company to buy up to 51 million gallons of water to use in fracking at nearby gas wells. CNX will pay $12,855 for every 1.5 million gallons of water it buys. If the company ends up buying the full 51 million gallons, it will pay the MAWC $437,000.
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In January 2023, three Marcellus/Utica companies — Chesapeake Energy, EQT, and Equitrans Midstream — launched the Appalachian Methane Initiative (AMI), a coalition committed to further enhancing methane monitoring throughout the Appalachia Basin and reducing methane emissions throughout the region (see 
CNX Resources was slapped with a “notice of violation” (NOV) by the Pennsylvania Dept. of Environmental Protection (DEP) for withdrawing over 1.8 million gallons of water in Washington County, PA (for use in shale gas fracking) without first seeking the proper “Mother, May I?” approvals. The withdrawals happened over a 22-day period in the summer of 2023. Yes, it takes the DEP a looooong time to respond to so-called violations. When CNX realized it didn’t have express permission to withdraw the water, the company immediately reported the situation and corrected it. Still, DEP wants a new plan to prevent it from happening again. The plan is due today.
There were 19 new permits issued to drill in the Marcellus/Utica during the week of Mar. 4 – 10, up 2 from 17 permits issued the prior week. Pennsylvania issued 11 new permits. Ohio issued 5 new permits. And West Virginia issued 3 new permits. Range Resources and Ascent Resources tied for most new permits with 5 each. Range received 5 permits to drill in two PA counties: Lycoming and Washington. Ascent received 5 permits to drill in Belmont County, OH. Chesapeake Energy got 3 permits to drill in Bradford County, PA, and Seneca Resource also received 3 permits for Tioga County, PA. Southwestern Energy scored 2 permits for Ohio County, WV, and CNX Resources received a single permit for Marshall County, WV.
CNX Resources, headquartered in Pittsburgh, is the latest major Marcellus/Utica driller to announce a pullback in spending and production due to low-low prices that natural gas is fetching. Yesterday, CNX announced the company will “delay completions activities on three upcoming Marcellus Shale pads consisting of 11 wells to avoid bringing incremental volumes into the current oversupplied market.” The delay means CNX will spend $50 million less on drilling in 2024 and produce 30 billion cubic feet per day (Bcf/d) less over the course of this year.
CNX Resources filed a request with the Pennsylvania Dept. of Environmental Protection (DEP) in April 2023 to build two pipelines — two for natural gas — along a 13.9-mile route in Bell, Loyalhanna and Salem Townships in Westmoreland County. An additional 4-mile pipeline would be built for water. Called the Slickville Trunkline Project, the DEP told CNX last December (yes, it took the agency eight months to reply!) that the application was “incomplete” and that CNX had 60 days to provide the extra info.
Wow! Where does the time go? In April 2021, CNX Resources Corp. announced instead of just blowing smoke about ESG (environmental, social, governance) with pretty slide shows and hoopla, they would donate $30 million to local, underserved communities and populations in the tri-state region (see 
Last November, CNX Resources CEO Nick Deiuliis signed a voluntary deal with Pennsylvania Gov. Josh Shapiro to expand drilling setbacks and several other regulatory steps not mandated for shale drillers under PA law (see 
In November, the Municipal Authority of Westmoreland County (MAWC) issued a water conservation warning asking more than 56,000 MAWC customers to conserve water due to the lack of rainfall and the low level of the Beaver Run Reservoir (see 
One of our favorite Marcellus/Utica people is Nick Deiuliis, CEO of CNX Resources. Apart from Nick’s great work in leading CNX, he is also a writer and thinker. Like a few others, he understands political and philosophical issues related to energy. And Nick isn’t afraid to “say it straight.” Nick is in the process of releasing three videos called “A Rational Thinker’s Guide to Climate Change and Related Policies.” We previously brought you Part 1, Diagnosing the Problem and Issue (see 
We have a special treat for you today. One of our favorite Marcellus/Utica people is Nick Deiuliis, CEO of CNX Resources. Apart from the great work Nick does in leading CNX, he is also a writer and a thinker. He understands the political and philosophical issues related to energy like few others. And Nick isn’t afraid to “say it straight.” Last week, Nick released the first of three videos (embedded below) called “A Rational Thinker’s Guide to Climate Change and Related Policies.” In Part One of the “Rational Thinker’s Guide” trilogy, Nick argues that the most pressing issue of our time is the inept policies being pushed on society by the climate alarmist movement.