OH Supreme Court Reverses “Drilled Too Deep” Decision TERA v Rice
Back in the summer of 2020, MDN told you about a lawsuit brought by an Ohio rights owner called TERA, an organization that owns the royalty rights for a number of leases with wells in Belmont County, OH, drilled by different producers, suing the producers for drilling into the Point Pleasant shale layer when the lease only mentions the Utica layer (see OH Landowners Sue Rice, Ascent, XTO, Gulfport for Drilling Too Deep). We have an important update on that lawsuit which potentially affects all Ohio landowners and drillers. Yesterday, the Ohio Supreme Court issued a ruling that overturns a Seventh District Court of Appeals decision upholding a lower court’s ruling in favor of the rights owner. The Ohio Supremes reversed the judgment of the Seventh District and remanded the case back to the trial court for further proceedings.
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The merger of EQT Corporation and Equitrans Midstream into a single company took one giant leap forward on Wednesday when the Hart-Scott-Rodino (HSR) Antitrust Act waiting period expired. In November 2018, under intense pressure from activist investors, EQT split itself into two companies: EQT Corporation and Equitrans Midstream (see 
Last week, MDN brought you the news that CNX Resources Corp., KeyState Energy, and Pittsburgh International Airport (PIT) are working together on a $1.5 billion project that, if completed, would make sustainable aviation fuel (SAF) at PIT from coal mine methane gas (see 
Yesterday was the second and final day of a hearing begun on Monday in Belmont County, OH, Common Pleas Court to determine whether or not Austin Master Services (AMS) and its parent company American Environmental Partners (AEP), along with the owner of both companies, Brad Domitrovitsch, has failed to comply with an order from the Ohio Dept. of Natural Resources (ODNR) to clean up and clear out a facility in Martins Ferry that currently holds too much frack waste. The hearing concluded with the judge’s finding that AMS, AEP, and Domitrovitsch are in “contempt” of a previous court directive to get the facility cleaned by April 17. Beginning yesterday, AMS will be fined $200 per day. If the facility is not cleaned up and in compliance by July 22, the judge has ordered Domitrovitsch (who does not live in Ohio) to report to Belmont County jail to serve a 30-day sentence.
Yesterday, MDN brought you the news that Chesapeake Energy, with its headquarters in Oklahoma City, OK, had begun a round of layoffs, supposedly (according to Chesapeake) due to the company divesting from Eagle Ford oil assets (see 
A group of landowners in Belmont County, OH, filed a lawsuit against Rice Drilling (now EQT Corporation) in July 2021, alleging the company had shorted them on royalty payments by (a) selling the gas extracted to an affiliated (instead of unaffiliated) third party, and (b) deducting post-production costs specifically disallowed under the signed contract. Several landowners who are part of what was originally known as the Smith-Goshen Landowners Group have requested a federal court in Ohio to elevate the lawsuit to class-action status.
The left is nervous about the oil and gas sector giving money to the campaign of Donald J. Trump. The New York Times, a bastion of leftist Democrat propaganda, has a headline and story blaring, “Biden and Big Oil Had a Truce. Now, It’s Collapsing.” Bloomberg’s version says, “Oil Titans Help Give Trump an Edge Over Biden in Fundraising.” Both stories reference a fundraising lunch being held today in Houston, Texas. The event will have a Who’s Who in the O&G industry, including Kelsy Warren from pipeline giant Energy Transfer, Harold Hamm, founder of oil driller Continental Resources, and Vicki Hollub, CEO of oil drilling giant Occidental Petroleum. They are ALL opening their wallets for Mr. Trump. And that makes the left nervous.
The ghost of Doug “the ax” Lawler is once again roaming the halls of Chesapeake Energy (see 
American Environmental Partners (AEP) and its owner, Brad Domitrovitsch, had their first day in court yesterday in Belmont County, OH, to address a motion by Ohio’s Attorney General, David Yost, to hold the company and Domitrovitsch in contempt for not complying with an order to clean up the Austin Master Services (AMS) facility owned by AEP. Although the hearing was scheduled to begin at 10 am, it didn’t actually start until 11:10 am. The judge gave the attorneys for the parties involved time to talk in an effort to arrive at a resolution. Which obviously didn’t happen as the hearing went forward. There was just one witness for the day yesterday.
The Ohio Oil and Gas Land Management Commission (OGLMC) approved two bids to drill for oil and gas under (not on) state-owned lands yesterday. Antero Resources was the sole bidder to drill under a Dept. of Transportation (DOT) property in Noble County. Southwestern Energy won its bid to drill under DOT land in Monroe County along the Ohio River. The OGLMC also advanced five other nominations to drill under state-owned properties to the bidding process. One nomination advancing is a request to drill under the 84-acre Keen Wildlife Area in Harrison County (see 
American Environmental Partners (AEP) and its owner, Brad Domitrovitsch, are due in court today in Belmont County, OH, to address a motion by Ohio’s Attorney General, David Yost, to hold the company and Domitrovitsch in contempt for not complying with an order to clean up the Austin Master Services (AMS) facility owned by AEP. AMS is a radiological waste management solutions company in Martins Ferry ( in Belmont County) close to the Ohio River. Media accounts report that AMS has stored at least 10,000 tons of fracking waste (drill cuttings with low radioactivity) at the facility. The facility is rated and permitted to hold 600 tons. In March, Ohio Attorney General Dave Yost asked the Belmont County Common Pleas Court to block AMS from receiving more waste and order it to clean up and comply with its rating. The court granted both requests with a deadline of April 17 to comply. The deadline came and went without compliance.
Fake research used by Physicians for Social Responsibility (PSR) will be allowed in a hearing that appeals permits granted to Olympus Energy to drill shale wells at the Metis well pad in Penn Township, Westmoreland County. The PSR’s so-called research is a mish-mash accumulation of other people’s research that doesn’t apply specifically to the wells permitted by the Pennsylvania Dept. of Environmental Protection (DEP). The so-called research is sprinkled with lots of scary words like PFAS and “forever chemicals,” implying such chemicals are being used by Olympus in drilling and fracking its wells — allegations with NO basis in fact. Protect PT, a radicalized group that receives funding from other Big Green groups, is challenging the DEP permits for the Metis pad, using SPR’s so-called research in its challenge. Olympus tried to have the SPR’s throw-enough-crap-against-the-wall-and-hope-some-of-it-sticks “research” tossed from being considered, but the Environmental Hearing Board (EHB), the special court in PA that hears appeals of DEP decisions, refused to toss the crap-throwing “research” out, saying Olympus should challenge said research during cross-examination.
Two weeks ago, during the week of April 29 – May 5, there were 16 new permits issued to drill in the Marcellus/Utica (and 26 the week before that). Last week, for May 6 – 12, there were just ten new permits issued. The trend has been going down for the past few weeks. Ascent Resources scored the most new permits last week, with six scattered between two well pads in Guernsey and Jefferson counties in Ohio. Coterra Energy received two new permits in Susquehanna County, PA. Antero Resources also received two permits, in Wetzel County, WV.
Although Shell maintains flaring and accidental emissions from its multi-billion-dollar ethane cracker in Beaver County, PA, have not violated state and federal air standards, the Pennsylvania Dept. of Environmental Protection (DEP) says they have — on numerous occasions. Shell didn’t argue the point, and in May 2023, the company agreed to pay nearly $10 million in fines and “contributions” to benefit the local community (see 
Austin Master Services (AMS) is a radiological waste management solutions company operating in Martins Ferry (Belmont County), OH, close to the Ohio River. Media accounts report that AMS has stored at least 10,000 tons of fracking waste (drill cuttings with low radioactivity) at the facility. The facility is rated and permitted to hold 600 tons. In March, Ohio Attorney General Dave Yost asked the Belmont County Common Pleas Court to block AMS from receiving more waste and order it to clean up and comply with its rating. The court granted both requests with a deadline of April 17 to comply (see 
CNX Resources Corp., KeyState Energy, and Pittsburgh International Airport (PIT) are working together on a $1.5 billion project that, if completed, would make sustainable aviation fuel (SAF) at PIT from coal mine methane gas. But only if the Bidenistas deeply embedded in the IRS allow coal mine methane to qualify for green energy tax credits. That’s a really big IF. CNX and KeyState announced yesterday that the two companies signed a letter of intent (non-binding for now) to build a SAF facility at PIT to turn coal mine methane into hydrogen that would be used as aviation fuel.