Energy Services

Energy Services | Industrywide Issues | Millennium Pipeline | New York | Orange County | Pipelines | Regulation

NY DEC Appeals FERC Override of Millennium Pipe Decision
October 16, 2017October 16, 2017

The Andrew Cuomo-corrupted New York Dept. of Environmental Conservation (DEC) on Friday filed an appeal/challenge with the Federal Energy Regulatory Commission (FERC) contesting FERC’s recent ruling that essentially emasculates the DEC regarding their rejection of a tiny pipeline project in Orange County, NY. On Aug. 30, the DEC issued a letter to FERC and Millennium Pipeline denying Millennium’s request for a water permit to build a 7.8 mile pipeline spur from the main Millennium Pipeline to a natural gas power plant under construction in Orange County (see Corrupt NY DEC Denies Water Permit for 7.8 Mile Power Plant Pipeline). In their rejection, the DEC claimed that FERC’s review of the power plant project (that the pipeline will feed) is deficient based on a recently-decided court case about a pipeline project in Florida. Since the project the pipeline would feed is deficient (in DEC’s view), so too is the pipeline that feeds it. A few weeks later, in September, FERC fired back by overruling NY DEC and granting the project permission to proceed without NY approval (see History Made! FERC Overrules NY DEC on Millennium Pipe Permit). The DEC is now contesting that move, filing a petition for rehearing with FERC, which is the first step. If FERC decides to not reopen the case, the DEC will then file a lawsuit with the Court of Appeals. In their rehearing request, the DEC asks (begs, pleads) FERC that while this process is under way, the agency should not issue permission for Millennium to begin construction of the pipeline. Construction is urgently needed because the natural gas-fired electric plant the pipeline is supposed to feed will be done in early 2018. It will be interesting to see if FERC decides to snub the DEC (which we think/hope they will)…
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Energy Services | Industrywide Issues | New York | Pipelines | Regulation | Statewide NY | Williams

Constitution Pipeline Asks FERC to Override NY DEC
October 16, 2017October 17, 2017

The Andrew Cuomo-corrupted New York Dept. of Environmental Conservation (DEC) took more than two years to evaluate and eventually reject the Constitution Pipeline–a $683 million, 124-mile pipeline from Susquehanna County, PA to Schoharie County, NY to move Marcellus gas (see NY Gov. Cuomo Refuses to Grant Permits for Constitution Pipeline). Constitution went to court to overturn that decision, but ultimately failed in August (see Court Rejects Constitution Pipe’s Case Against NY DEC; Now What?). Many analysts and lawyers believed it was lights out for the project (see Energy Attorneys Hint it’s ‘Lights Out’ for Constitution Pipeline). Hold your horses! Constitution, borrowing a strategy that worked for Millennium Pipeline, filed a request last week with the Federal Energy Regulatory Commission (FERC), asking FERC to overrule the DEC’s refusal to grant the water permit needed for the project. There is precedence. FERC recently did the same thing in another case (see History Made! FERC Overrules NY DEC on Millennium Pipe Permit). Constitution is on firm ground. The DEC took over two years to review the project. Statutorily the DEC only has one year to complete a review. It was on that same basis that FERC granted Millennium permission to build their project (review was too long), and Constitution is hoping FERC will now do the same for them…
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Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | PennEast Pipeline | Pennsylvania | Pipelines | Statewide PA

William Penn Foundation Exposed: Funds Penn East Pipe Propaganda
October 16, 2017October 16, 2017

MDN friend Tom Shepstone (Natural Gas Now) has long pointed out that the William Penn Foundation funds a variety of front groups to push an anti-fossil fuel agenda. William Penn funds groups like the Sierra Club, THE Delaware Riverkeeper, and the New Jersey Conservation Foundation. William Penn also funds “news” outlets, including StateImpact Pennsylvania and NJ Spotlight. So this is how it happens: Riverkeeper, the Sierra Club and others issue wild claims about a project like the PennEast Pipeline, and then StateImpact and NJ Spotlight report it like it’s news. Incestuous. At the center of it all is the William Penn Foundation. MDN friend Kevin Moody does a great job of exposing this web of deceit targeting PennEast Pipeline in an article published on The Daily Signal…
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Energy Services | GreenHunter Resources | Industrywide Issues | Jobs | Lewis County | West Virginia

Former GreenHunter Expanding in West Virginia with 160 Jobs
October 13, 2017October 13, 2017

Fountain Quail Energy Services, which is the new name for the company that used to be called GreenHunter Resources, is planning to expand in Lewis County, WV. A WV lawmaker says he’s talked Fountain Quail into expanding in an industrial park in Jane Lew, bringing 160 jobs to the site. In December 2015 MDN reported that Magnum Hunter Resources (MHR) finally filed for Chapter 11 bankruptcy protection (see Sad Day: Magnum Hunter Files for Chapter 11 Bankruptcy). MHR has a variety of subsidiary companies. One of those companies, GreenHunter Resources (water and wastewater), also succumbed and filed for bankruptcy–in March 2016 (see Another Sad Day: GreenHunter Resources Files for Bankruptcy). Restructuring was completed for GreenHunter in May 2016 and the company emerged from bankruptcy under the ownership of a private equity firm. A few months later, GreenHunter shed its former name and merged with/took on a new name: Fountain Quail. The CEO of Fountain Quail is the former Executive Vice President and COO of GreenHunter, Kirk Trosclair. The COO of Fountain Quail also previously worked for GreenHunter. Here’s the update that Fountain Quail is once again on the road to expansion, putting the past behind it…
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Energy Companies | Energy Services | Industrywide Issues | Marshall County | Pipelines | Processing Plants | Southwestern Energy | West Virginia | Wetzel County | Williams

Williams Launches Major WV Expansion to Serve Southwestern Energy
October 13, 2017October 13, 2017

Yesterday Williams announced a new, major deal with Southwestern Energy to expand its network of gathering pipelines and processing facilities in West Virginia, to serve Southwestern’s increasingly aggressive drilling program in the state. Williams will expand its its Oak Grove processing plant to handle extra wet gas that will flow into it from Southwestern’s 135,000-acre wet gas (i.e. NGL) drilling program in Marshall and Wetzel counties. Southwestern targets wet gas in the Marcellus and Upper Devonian in those two counties. The expansion will give the Oak Grove plant the capability to process an additional 1.8 billion cubic feet per day of wet gas. But wet gas isn’t the only focus. Williams is also expanding its pipeline network to an additional 71,500 dry gas acres, again in Marshall and Wetzel counties, targeting Southwestern’s dry gas Utica program. In the same announcement, almost as an afterthought (but for us is a really big deal), Williams announced it will connect its system to Columbia Pipeline’s (now TransCanada) Leach XPress and Mountaineer XPress pipelines, “to boost market access and diversify gas pricing opportunities.” Leach XPress, which is part of a project including Rayne XPress, will send gas all the way to the Gulf Coast (see Columbia Gas: $1.75B for 2 Projects to Send Marcellus Gas to Gulf). Leach XPress began construction earlier this year. Mountaineer XPress will send gas to Leach, Kentucky (as will Leach Xpress), and from there on to a variety of other markets in the Midwest and South–as well as the Gulf Coast (see Details on Columbia Pipeline Mountaineer XPress Pipeline Project). Mountaineer Xpress received a favorable final environmental impact state from the Federal Energy Regulatory Commission in July of this year, but is still waiting on other permits before it begins construction. Here’s the news about Williams expanding in the Mountain State…
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Antero Midstream | Antero Resources | Doddridge County | Energy Companies | Energy Services | Industrywide Issues | Wastewater | West Virginia

Antero Taps Veolia to Handle TENORM Waste at WV Water Facility
October 13, 2017October 13, 2017

In 2015 Antero Resources hired Veolia Water Technologies Inc. (subsidiary of France-based Veolia) to build a new shale wastewater recycling facility in Doddridge County, West Virginia (see Antero Building New 60K Bbl Wastewater Recycling Facility in WV). The new facility, which is slated to take two years to build and cost Antero $275 million, will process 60,000 barrels of wastewater per day. The facility is still under construction. The plant will separate water, salt and radioactive particles. The salt can be sold to municipalities for use as road salt–but frankly there’s not enough of a market to sell it all. And not all of it will be of sufficient quality to be sold that way. So Antero is also spending $20 million to build a landfill next to the plant (see Update on Antero’s $275M Wastewater Facility in WV). This week we also learned that Antero will spend another $70 million with Veolia–in addition to the $275M they’re paying Veolia to build the plant–paying Veolia $70M over 10 years to handle the “loading, packaging, transporting and proper disposal of water treatment sludge” the plant will produce. The sludge contains TENORM–technologically enhanced, naturally occurring radioactive materials. Veolia will ensure the TENORM sludge is carefully handled and properly disposed…
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Energy Services | Industrywide Issues | Jobs | Luzerne County | Pennsylvania | Pipelines | Susquehanna County | Transco | Williams | Wyoming County (PA)

Atlantic Sunrise Work in NEPA Beginning “Very Soon,” Locals Hired
October 13, 2017October 13, 2017

Williams representatives were on hand earlier this week in Tunhannock, PA (Wyoming County) to present a briefing to local politicians and community leaders on the status of the now-under construction Atlantic Sunrise Pipeline project. Atlantic Sunrise is a $3 billion, 198-mile natural gas pipeline project running through 10 Pennsylvania counties to connect Marcellus Shale natural gas from northeastern PA with the Williams’ Transco pipeline in southern Lancaster County. Much of the attention has focused on Lancaster County and a small group of antis who oppose the project there. However, Atlantic Sunrise will begin its journey to Lancaster in Susquehanna County, PA–in the northeastern tip of the state. Construction in Susquehanna and adjacent counties is scheduled to begin “very soon,” according to Williams rep Mike Atchie. When it does begin, some of the people working on it will come from the same counties where it’s getting built. Last week the Teamsters held a job fair in Harrisburg (see Harrisburg Job Fair Oct 6-7 Looks to Fill 400 Pipeline Jobs). Of those streaming through, nearly 200 people filled out job applications. Five of the people who showed up have already been hired and are on job sites working–less than a week later! Another 100+ were enrolled in safety training classes and instructional courses. Here’s an update on the advent of Atlantic Sunrise construction in NEPA…
Read More “Atlantic Sunrise Work in NEPA Beginning “Very Soon,” Locals Hired”
Energy Services | Energy Transfer Partners | Industrywide Issues | NEXUS Pipeline | Ohio | Pipelines | Regulation | Statewide OH

NEXUS Cleared to Begin Construction, Rover Cleared to Restart HDD
October 12, 2017October 12, 2017

Permission granted grunge rubber stamp on white, vector illustration

Important pipeline news for the Utica Shale. Yesterday the Federal Energy Regulatory Commission (FERC) gave permission to NEXUS Pipeline–a $2 billion, 255-mile interstate pipeline that will run from Ohio through Michigan and eventually to the Dawn Hub in Ontario, Canada–to begin construction. This is a momentous day! NEXUS had previously requested FERC allow it to begin by Tuesday, Oct. 10th (see NEXUS Pipe Seeks to Begin Construction Oct 10; List of Contractors). FERC was a day late, but certainly not a dollar short. We expect by the time you read this, some of the bulldozers and backhoes will already be fired up and working. What oh what will the antis do now (see CORNballs, Sierra Club Continue to Fight NEXUS Pipeline in Court)? The second bit of good news also from yesterday from FERC–Rover Pipeline is allowed to restart underground horizontal directional drilling (HDD) at another four sites where such activity has been halted since May of this year. Rover has still not received permission to restart HDD drilling at the spot along the Tuscarawas River where they spilled 2 million gallons of drilling mud (see Rover Pipeline Accident Spills ~2M Gal. Drilling Mud in OH Swamp). However, Rover remains confident they will complete the entire project $3.7 billion, 711-mile natural gas pipeline running from PA, WV and eastern OH through OH into Michigan by the end of this year…
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Enbridge | Energy Services | Industrywide Issues | New York | Pipelines | Regulation | Spectra Energy | Statewide NY

FERC Grants Atlantic Bridge Pipe OK to Begin NY Construction
October 11, 2017October 11, 2017

The Federal Energy Regulatory Commission (FERC) last week granted permission to Algonquin Gas Transmission (i.e. Spectra Energy, now owned by Enbridge) to build new pipeline infrastructure in New York State, part of the $452 million Atlantic Bridge expansion project. Atlantic bridge was approved by FERC back in January (see FERC Approves Atlantic Bridge Project for New England/Canada). The project beefs up capacity along the Algonquin Pipeline, along with Spectra Energy’s Maritimes & Northeast Pipeline, to carry more Marcellus/Utica gas into New England and (eventually) all the way to Nova Scotia, Canada. Over the shrill objections of antis, including both U.S. Senators from Massachusetts, FERC allowed construction to begin on Atlantic Bridge in Connecticut back in March (see FERC Grants Atlantic Bridge Pipe OK to Begin CT Construction). Miracle of miracles, the corrupt NY Dept. of Environmental Conservation issued water permits for the project in May (see NY DEC Grants Water Permits for Atlantic Bridge Pipeline Project). And now FERC is giving the green light for construction to commence in NY. What work is happening in NY?…
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Energy Services | Energy Transfer Partners | Ethane | Industrywide Issues | Pennsylvania | Statewide PA | Sunoco Logistics

Sunoco Makes Marcellus Ethane-by-Truck Available at Marcus Hook, PA
October 10, 2017October 10, 2017

The first truck enters the loading pad for the new ethane distribution rack at Sunoco Partners Marketing and Terminals’ Marcus Hook Industrial Complex in Marcus Hook, Pa., on Sept. 21. The facility’s 300,000 barrel chilled ethane tank is in the background. (Photo Credit: Energy Transfer Partners, L.P.)

In March 2016 an Ineos tanker ship carrying 173,000 barrels of Marcellus ethane set sail from the Marcus Hook terminal near Philadelphia, bound for Norway (see Bon Voyage! First Ethane Export Ship Leaves Marcus Hook in Philly). Since that time, regular shipments of Marcellus ethane have traveled from Marcus Hook to various European destinations. Yesterday Sunoco Partners, a subsidiary of Energy Transfer Partners and the operator of the Marcus Hook refinery, announced they have opened a new ethane distribution facility inside the Marcus Hook refinery complex. It is a truck loading facility–the first such facility in the U.S. to load liquid ethane onto tanker trucks for local delivery. Wait, what? You thought ethane was only used in gigantic cracker plants, used as the raw material to make ethylene (i.e. plastics)? That is the primary use of ethane–but not the only use. Ethane can also be used as a refrigerant in cryogenic refrigeration systems. And there are other uses for small quantities of ethane, including the manufacturing of electronics. Sunoco says local trucked ethane deliveries will be used for “various ethane uses, from energy research and development to cooling and other industrial applications.” Sunoco already has its first customer–Gas Innovations–a reseller that trucks NGLs like ethane and propane throughout the U.S. (and ships it around the world). Gas Innovations is excited that their “cryogenic ethane business” is now supplied domestically via Marcus Hook. Previously, Gas Innovations had to import liquefied ethane. Marcus Hook’s truck facility opens up a whole new market for smaller users of Marcellus/Utica ethane throughout the U.S….
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Energy Services | Industrywide Issues | New York | Pipelines | Statewide NY | Transco | Williams

Transco’s New York Bay Expansion Goes Live, Flows More Gas to NYC
October 10, 2017October 10, 2017

Williams announced yesterday that its New York Bay Expansion pipeline project to flow an extra 115 million cubic feet per day (MMcf/d) of natural gas to New York City is now online and working. In July 2015, Williams filed an application with the Federal Energy Regulatory Commission (FERC) for the $130 million project, which will flow Marcellus gas to 500,000 additional New York City residents by the 2017/2018 heating season (see Williams Announces New Upgrades to Transco Pipeline into NYC). In July 2016, FERC approved the project and construction began (see FERC Approves Transco Expansion Projects in NYC & Virginia). The project expanded capacity on the Transco pipeline by installing new compressor station equipment, replacing a quarter mile of pipeline (in New Jersey), and upgrading meter and regulator stations at several locations in NJ, PA and NY. All the work was done in existing rights-of-way and at existing facilities, with no new building or greenfield construction necessary. That didn’t stop the crazies from protesting, which they did. The good news is that the project is now completed and more yummy, fracked Marcellus gas is now flowing to customers in Brooklyn, Queens, Staten Island and Long Island…
Read More “Transco’s New York Bay Expansion Goes Live, Flows More Gas to NYC”
Dominion Energy | Duke Energy | Energy Services | Industrywide Issues | North Carolina | Pipelines | Regulation

NC DEQ Rejects Plan for Atlantic Coast Pipeline – What’s Next?
October 10, 2017October 10, 2017

North Carolina has become the first state to complete an environmental evaluation for Dominion’s proposed $5 billion, 594-mile Atlantic Coast Pipeline (ACP)–a natural gas pipeline that will stretch from West Virginia through Virginia and into North Carolina. ACP is slated to run through eight NC counties. After completing it’s evaluation, the NC Dept. of Environmental Quality (DEQ) issued a rejection letter (copy below) for the project. The reason? The DEQ says the erosion and sediment control plan for the project is not up to scratch. Dominion can now do two things: Revise the erosion and sediment control plan and resubmit it, or contest the DEQ’s rejection of the existing plan. Although antis are rejoicing at the news, there really isn’t much here in the way of news. This is not uncommon in pipeline reviews. A government agency (federal or state) will push back on some aspect of the plan, the project builder will modify the plan, and the modified plan will pass muster and life goes on. That’s the way it works. The DEQ is (presumably) doing it’s job and not simply looking for an excuse to reject the project. We’ll give them the benefit of the doubt–this time. Although we’ve not read that Dominion has responded to the rejection, another partner in the project, Duke Energy, has responded–saying they will provide the necessary information the DEQ says is missing in the original plan…
Read More “NC DEQ Rejects Plan for Atlantic Coast Pipeline – What’s Next?”
Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Lancaster County | Pennsylvania | Pipelines | Transco | Williams

Small Group of Radicals Blocks Atlantic Sunrise Site in Lancaster County
October 10, 2017October 10, 2017

Environmental radicals from a group called Lancaster Against Pipelines made good on their promise to disrupt work on Williams’ Atlantic Sunrise Pipeline project–a $3 billion, 198-mile natural gas pipeline project running through 10 Pennsylvania counties to connect Marcellus Shale natural gas from northeastern PA with the Williams’ Transco pipeline in southern Lancaster County. Lancaster Against Pipelines is headed up by Mark Clatterbuck (who participated in the protests against the Dakota Access Pipeline) and his wife Malinda. The clattering Clatterbucks got 20-35 wackos from Lancaster County to load themselves into 16-18 vehicles (numbers change depending on the news source), which they then drove onto an access road used by Williams, where workers are beginning to clear land. The wackos parked themselves right in the middle of the road and stood in front of machinery, preventing Williams personnel from accessing the site. The only problem, for the wackos, is that it was raining so hard (leftovers from Hurricane Nate moving through), that Williams personnel weren’t working at the site anyway! However, it’s the principle of the thing. So the police were called. The so-called protesters were asked to move (or be arrested)–so they moved. End of story. Nobody hauled away in handcuffs, no striking images of people laying down refusing to move (too wet for that). Just a bunch of wackos with nothing better to do for a few hours, along with a few reporters…
Read More “Small Group of Radicals Blocks Atlantic Sunrise Site in Lancaster County”
Carroll County | Energy Services | Energy Transfer Partners | Industrywide Issues | Ohio | Pipelines | Regulation

Rover Pipe Nearly Doubles Flow with Addition of Carroll, OH Compressor
October 9, 2017October 9, 2017

Fire it up! On Friday, the Federal Energy Regulatory Commission (FERC) granted Energy Transfer permission to fire up the three units that make up the Carroll County Compressor Station (called Compressor Station 1) that helps compress and flow natural gas through the mighty Rover Pipeline. According to the letter from FERC authorizing the startup of the compressor station, FERC is authorizing “partial” service to commence. Since ET wanted to start the station on Friday, we expect the plant is by now up and running. The effect will be dramatic. According to stats released by NGI (Natural Gas Intelligence), which has an excellent Rover Tracker application on their website (see Friday’s version here), Rover has been flowing around 680 million cubic feet per day (MMcf/d) of Utica/Marcellus gas. With the addition of the Carroll County compressor station, that number will nearly double–to 1.2 billion cubic feet per day (Bcf/d). Cool! Here’s the details of how Rover’s capacity just nearly doubled with the addition of a single compressor station…
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Energy Services | Nuverra Environmental

Nuverra Roller Coaster Continues – Stock Listed on NYSE American
October 9, 2017October 9, 2017

Nuverra Environmental Solutions (formerly Heckmann) is one of the largest companies in the United States that handles transportation and disposal of shale drilling wastewater and leftover rock and dirt from drilling. The company has major operations in the Marcellus/Utica region. In January 2016, the company, going through tough economic times, was de-listed from the New York Stock Exchange (see Nuverra Environmental Delisted from NYSE, Now a Penny Stock). In April of this year, Nuverra issued their full year 2016 update which showed a $169 million loss for the year (see Nuverra Environmental 2016 Update – Red Ink Slows, Some). And in May, the company filed for bankruptcy (see Nuverra Environmental Files for Chapter 11 Bankrutpcy). Three months later, Nuverra has emerged from bankruptcy with $70 million of new financing and magically dumping $500 million of debt (see Nuverra Environmental Exits Chapter 11, $500M Debt Magically Gone). Of course, there is no magic. Like others before them, Nuverra turned its creditors into owners, swapping out debt for ownership equity, thereby screwing existing shareholders–their shares become so watered down they are worthless. The roller coaster continues. Last Friday the company announced its stock would be redeemed from the Pink Sheets (as a penny stock) and will, once again, be traded on the NYSE American exchange–what used to be called the American Stock Exchange. No, it’s not total redemption of regaining it’s listing on the NYSE, but hey, it’s progress, and it’s an exit from the purgatory of the Pink Sheets…
Read More “Nuverra Roller Coaster Continues – Stock Listed on NYSE American”
Dauphin County | Energy Services | Industrywide Issues | Jobs | Pennsylvania | Pipelines | Statewide PA | Transco | Williams

Harrisburg Job Fair Oct 6-7 Looks to Fill 400 Pipeline Jobs
October 6, 2017October 6, 2017

Listen up job seekers in eastern Pennsylvania: The International Brotherhood of Teamsters is looking for 400 people to work on building Williams’ Atlantic Sunrise Pipeline–a $3 billion, 198-mile natural gas pipeline project running through 10 Pennsylvania counties to connect Marcellus Shale natural gas from northeastern PA with the Williams’ Transco pipeline in southern Lancaster County. The job fair is happening TODAY (Friday) and TOMORROW (Saturday) ath the Harrisburg-Hershey Crown Plaza located at 23 South 2nd Street in Harrisburg (8am-4pm both days). According to the Teamsters, there are “hundreds of jobs to fill” and they are “looking to expand our workforce quickly.” Qualifications? You need to be 21 years old or older, have a driver’s licence, and be willing to travel. Construction experience is a plus, but not required. Here’s the deets…
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