Energy Services

  • | | | | | | |

    NFG Asks FERC for Speedy Re-hearing to Bypass NY DEC re Pipeline

    There’s been an interesting twist in the saga of National Fuel Gas Company’s (NFG) Northern Access Pipeline project. The $455 million project includes building 97 miles of new pipeline along a power line corridor from northwestern Pennsylvania up to Erie County, NY. The project also calls for 3 miles of new pipeline further up, in Niagara County, along with a new compressor station in the Town of Pendleton. The Federal Energy Regulatory Commission (FERC) granted final approval for the project in February of this year (see NFG’s Northern Access Pipe in NY/PA Gets FERC Approval). Shortly after, NFG filed a request with FERC (in March) to bypass the New York Cuomo-corrupted Dept. of Environmental Conservation (DEC) because the DEC was dragging its feet on a decision to grant stream crossing permits for the project (see Gutsy: NFG Asks FERC to Cut NY DEC Out of Pipeline Approval). Needless to say, the DEC didn’t like it. In April of this year, the DEC ruled against granting the project stream crossing permits, effectively killing it, at least for now (see Cuomo’s Corrupt NY DEC Blocks NFG Northern Access Pipeline Permit). After DEC’s denial, NFG sued the DEC in the Second Circuit of the U.S. Court of Appeals to overturn their denial (see NFG Sues NY DEC in Fed Court re Northern Access Pipe Rejection). OK, now is where it gets interesting. A similar court case was filed by the Constitution Pipeline against the DEC with the 2nd Circuit. The court ruled against the Constitution and for the DEC on August 18 (see Court Rejects Constitution Pipe’s Case Against NY DEC; Now What?). We’re sure NFG can see the writing on the wall for their lawsuit. So NFG has gone back to FERC and their request filed back in March that FERC bypass the DEC and go ahead and grant permission anyway. NFG made a motion for an “expedited request” by FERC last week. What if FERC agrees and overrules the DEC? And what if they don’t?…
    Read More “NFG Asks FERC for Speedy Re-hearing to Bypass NY DEC re Pipeline”

  • | | | | | |

    Atlantic Coast Pipeline to Give “Pollinator” Insects a Boost

    Dominion Energy’s $5 billion, 594-mile Atlantic Coast Pipeline (ACP)–a natural gas pipeline that will stretch from West Virginia through Virginia and into North Carolina, will help butterflies, bees and other “pollinator” insects along the pipeline’s route. Last week Dominion announced an initiative to establish new habitats for pollinator insects. The plan will use 750 acres along roughly 50 miles of the proposed route in Virginia and North Carolina. It’ll be fun to see how so-called environmentalists will find fault with helping the environment…
    Read More “Atlantic Coast Pipeline to Give “Pollinator” Insects a Boost”

  • | | | | | |

    New FERC Quorum Votes Final Approval for NEXUS Pipeline

    Two new members added to the Federal Energy Regulatory Commission by President Trump (Neil Chatterjee and Rob Powelson), added to the Obama-appointed member (Cheryl LaFleur) have not wasted any time in authorizing their first major pipeline project as a group. Last week the trio voted to approve the first major pipeline project since a quorum has been reestablished–NEXUS, a $2 billion, 255-mile interstate pipeline that will run from Ohio through Michigan and eventually to the Dawn Hub in Ontario, Canada. On August 4th, NEXUS, which is a jointly owned project between DTE Energy and Spectra Energy (now part of Enbridge), sent a letter to the new FERC quorum urging fast action (see NEXUS Pipeline to FERC: Please Approve Project – NOW). Perhaps the letter did the trick. On Friday, August 25th, the three issued a certificate of public convenience and necessity (full copy below) allowing the project to move forward. Because of the delay when FERC was without a quorum, NEXUS says the pipeline will now evaluate and supply a new construction schedule, but they do plan to have the pipeline up and running sometime in 2018…
    Read More “New FERC Quorum Votes Final Approval for NEXUS Pipeline”

  • | | | | | | |

    Tetco Pipe Drilling in Athens, OH Hits Gas Pocket, Catches Fire

    Click for larger version of map

    As part of drilling underground (directional horizontal drilling, or HDD), Enbridge hit a pocket of natural gas in Athens County, OH about 400 below the surface. The gas leaked out and caught fire last Wednesday, partially burning the drilling rig. Fortunately the rig operators have the presence of mind to evacuate quickly and no one was hurt. The fire closed a section of Route 681 southeast of Albany, OH until Friday afternoon. According to press reports, the work being done is for the Texas Eastern Transmission pipeline (Tetco). This next bit is our own conjecture (we are not 100% sure), but we think we know which Tetco-related project Enbridge was working on. A year ago, in August 2016, the Federal Energy Regulatory Commission (FERC) approved three Spectra Energy pipeline projects all part of the same package to flow more Marcellus/Utica gas to the South (see FERC Approves 3 Spectra Energy Pipe Projects in Marcellus/Utica). The three projects, which together will add an additional 662 million cubic feet (MMcf/d) of capacity along Tetco, are Access South, Adair Southwest and Lebanon Express. We believe the work being done was for this trio of projects. Given the location of the fire (Athens County), it was likely the Adair Southwest project (see the project map). The Enbridge website lists Range Resources as the shipper that reserved capacity along the Adair Southwest portion of the upgraded Tetco (200 MMcf/d of capacity). Below is the news would could find regarding the fire…
    Read More “Tetco Pipe Drilling in Athens, OH Hits Gas Pocket, Catches Fire”

  • | | | | |

    4 Tetco Pipe Projects Ready Soon Will Add Extra 1 Bcf/d Capacity

    Four Texas Eastern Transmission (Tetco) pipeline projects are expected to be completed by the end of this year and when they are, they will together flow an extra 1 billion cubic feet per day of Marcellus/Utica gas to more profitable markets in the South, as far away as the Gulf Coast. The four Tetco projects are: Gulf Markets Expansion Phase 2, Access South, Adair Southwest and Lebanon Extension. As fate would have it, Tetco experienced a fire while drilling under a highway for what we believe is the Adair Southwest project (see today’s companion story, Tetco Pipe Drilling in Athens, OH Hits Gas Pocket, Catches Fire). Three of the four projects–Access South, Adair Southwest and Lebanon Extension–are part of the same umbrella filing with the Federal Energy Regulatory Commission (FERC). Those three together will flow an extra 662 million cubic feet (MMcf) per day of gas to Ohio, Kentucky and Mississippi. Some of that gas will then catch a ride on the Gulf Markets Expansion Phase 2, flowing gas to Louisiana and Texas. Here’s the exciting part: Some of that gas will go to LNG export facilities, and some will go by pipeline from Texas to Mexico. Cool! Marcellus/Utica gas finding its way to other countries via the Tetco pipeline. Which means some Marcellus/Utica drillers will get higher prices for their gas. Here’s an update on Tetco’s four pipeline projects combining to boost prices in our region, and carry our gas to other parts of the world, and which drillers will benefit…
    Read More “4 Tetco Pipe Projects Ready Soon Will Add Extra 1 Bcf/d Capacity”

  • | | | | | | | |

    Lancaster Sisters of the Corn Lose Bid to Stop Atlantic Coast Pipe

    The Sisters of the Corn have lost their battle to prevent the Williams Atlantic Sunrise Pipeline from crossing their cornfield. Last month MDN told you about a group of Catholic nuns who, with the help of radical Big Green groups, cleared a portion of a corn field they own (local farmer uses for planting corn), plopped a couple of wooden park benches and portable flower trestle in the middle of the corn field, and declared the spot a “chapel” (see Catholic Nuns Use Radicals to Build Chapel in Path of PA Pipeline). It’s a joke. But they weren’t laughing. They really thought that (a) if they refused to sign an easement granting a right-of-way to Williams, and (b) if they stuck a couple of park benches in a corn field, a judge would stop the pipeline from passing through–at least on their land. They were wrong. The Sisters of the Corn (as we call them, the actual name is The Adorers of the Blood of Christ) were one of five holdout property owners who would not sign easements. Last week a judge granted the easements anyway. Atlantic Sunrise now has 100% of the land they need to build the pipeline. Oh! The interesting thing about the Sisters of the Corn? The Sisters use natural gas to heat a retirement community they operate on the very same property where they don’t want a natural gas pipeline…
    Read More “Lancaster Sisters of the Corn Lose Bid to Stop Atlantic Coast Pipe”

  • | | | | |

    Duke Energy’s 13-Mile Cincinnati NatGas Pipeline Put on Hold

    Duke Energy needs to replace an aging pipeline, built in the 1950s, near Cincinnati, OH–or some people in Cincy will have to go without natural gas. Duke has proposed a 13-mile, 20-inch pipeline along two potential routes. Both routes are opposed by antis, including a group calling themselves NOPE–Neighbors Opposing Pipeline Extension. We call them DOPEs–Dummies Opposing Pipeline Extensions. Will the DOPEs volunteer to shut off the natural gas to their homes and businesses if the pipeline doesn’t get built? Not on your life! The Ohio Power Siting Board (OPSB) held two public hearings in April, to grant anti-pipeliners the opportunity to vent (see Hearings Scheduled for Proposed Duke Pipeline in Cincinnati). They didn’t disappoint. The DOPEs turned up in force. We are just weeks away from a final approval by the OPSB–but then Duke asked the state to push the pause button. Duke says they have “potential concerns” about building the pipeline on a property close to a Superfund site in Reading. So now the project is on hold, which makes the DOPEs happy…
    Read More “Duke Energy’s 13-Mile Cincinnati NatGas Pipeline Put on Hold”

  • | | | | | |

    Dela. Riverkeeper Loses Fed. Court Case Against NEPA Pipeline

    In March, Big Green group THE Delaware Riverkeeper (leftist political lobbying arm for the William Penn Foundation that funds it) filed a lawsuit in the U.S. Court of Appeals for the Third District requesting the court overturn a Clean Water Act permit granted by the U.S. Army Corps of Engineers for Kinder Morgan’s Orion Project in northeast Pennsylvania. Yesterday, in a humiliating defeat, the Third Circuit rejected Riverkeeper’s request and ruled the Army Corps was well within its right to grant the permit (full copy of the ruling below). In October 2015, Kinder Morgan’s Tennessee Gas Pipeline (TGP) filed their official, full application with the Federal Energy Regulatory Commission (FERC) seeking approval for the Orion Project (see Tennessee Gas Pipeline Files PA Orion Project with FERC). The project will cost $143 million and construct 13 miles of “looping” pipeline in Pike and Wayne counties, Pennsylvania. The project will boost capacity on the TGP by another 135 million cubic feet per day (MMcf/d), allowing TGP to pump more Marcellus Shale gas to Mid-Atlantic and New England states. The project received full FERC approval in February of this year (see TGP Orion Project in NEPA Gets Final Approval by FERC). The project remains on track to be built/online in June 2018…
    Read More “Dela. Riverkeeper Loses Fed. Court Case Against NEPA Pipeline”

  • | | | |

    Bloomberg Hit Piece Reveals Rover Enviro Record Better than Most

    A Bloomberg New Service article that is profoundly biased attempts to smear and denigrate the Rover Pipeline, claiming it is “wreaking environmental havoc” and that the project “has racked up more environmental violations than other major interstate natural gas pipelines built in the last two years.” There is no doubt Rover has had its problems, the most infamous being a 2 million gallon drilling mud spill in a wetland near the Tuscarawas River (see Rover Pipeline Accident Spills ~2M Gal. Drilling Mud in OH Swamp). However, in their zeal to smear Rover, the Bloomberg smarties include a chart comparing Rover with other pipelines, showing the total number of “noncompliance incidents.” Rover, far and away, has the most total number of such incidents–104 to date. However, it’s also the longest pipeline in the comparison. The longer the pipeline, the more chance there is for problems to happen. Just like the longer a new road is, the more problems there will be when building it. When you run the numbers (as MDN has, see below), you find that when you look at how many “noncompliance incidents” there are per mile of pipeline installed, Rover has a better record than most of the others! Thank you Bloomberg for helping us understand just how much BETTER Rover is than many other pipeline projects…
    Read More “Bloomberg Hit Piece Reveals Rover Enviro Record Better than Most”

  • | | | | |

    It Begins: Radical Group Demands FERC Re-Do ACP Pipeline Review

    Yesterday MDN brought you the news that the radical Sierra Club had prevailed in a federal lawsuit against a trio of pipeline projects in the southeast (see DC Court of Appeals Legislates New Law re FERC & Global Warming). The ruling by the D.C. Court of Appeals requires the Federal Energy Regulatory Commission (FERC) to reconsider the projects based on their potential impact on mythical man-made global warming. As we said yesterday, it won’t take long for Big Green groups to use the decision to make trouble at FERC for other projects. Indeed, it’s already begun. The Southern Environmental Law Center (radical leftist group) is calling on FERC to throw out its previous environmental assessment for the Dominion $5 billion Atlantic Coast Pipeline (ACP)–a project that will run from West Virginia through Virginia and into North Carolina. Southern Environmental Law Center says FERC must now weigh the impacts of the pipeline on global warming, because 80% of the natural gas flowing through it will feed clean-burning natural gas-fired electric plants in the South. Apparently the nutters would rather have dirty coal than clean natural gas for electric power generation. Or perhaps they prefer no electricity at all? Just turn off those air southern conditioners and sit in the dark and sweat. This turn of events–a blizzard of FERC challenges–was entirely predictable…
    Read More “It Begins: Radical Group Demands FERC Re-Do ACP Pipeline Review”

  • | | | | | | | |

    Williams Northeast Supply Enhancement Pipeline Advances in PA

    In March of this year, Williams filed a full, official application for the Northeast Supply Enhancement project (see Williams Files with FERC to Expand Transco Pipeline to NYC, NE). The new project is meant to increase pipeline capacity and flows heading into northeastern markets. In particular, Transco wants to provide more Marcellus natural gas to utility giant National Grid beginning with the 2019-2020 heating season. National Grid operates in New York City, Rhode Island and Massachusetts. There are a number of components to the project, but the key component, the heart of the project, is a new 23-mile pipeline from the shore of New Jersey into (on the bottom of) the Raritan Bay–running parallel to the existing Transco pipeline–before connecting to the Transco offshore. Much of the Raritan Bay pipeline is located in New York territorial waters. In a case of “here we go again,” the New York Dept. of Environmental Conservation (DEC), which has been corrupted and politicized by Gov. Andrew Cuomo, sent a notice to Williams in July (to their Transco subsidiary) to declare the application for a 401 water-crossing permit for the Northeast Supply Enhancement project is deemed “incomplete,” pending certain items (see NY DEC Tells Williams NE Supply Water Permit App is “Incomplete”). However, NY isn’t the only state involved. The project wants to build 10 miles of pipeline, build four roads and build a new compressor station (next to an existing compressor) in Pennsylvania. Even though the PA Dept. of Environmental Protection (DEP) has been slow in issuing permits for drilling (see today’s story More Pushback on PA Senate Plan to Fix Slow DEP Permit Reviews), the DEP is far less dysfunctional than the NY DEC. The last Saturday the DEP published a notice in the Pennsylvania Bulletin that the agency will issue the necessary permits for the project in PA after a public comment period that ends on Sept. 18…
    Read More “Williams Northeast Supply Enhancement Pipeline Advances in PA”

  • | | | | | |

    PTT Global Buying Land Next to Proposed Ohio Cracker Site

    Work is now underway on Shell’s $6 billion ethane cracker in Beaver County, PA. What’s the status of the region’s second likely cracker plant, in Ohio? PTT Global Chemical previously announced they are interested in building a $5 billion petrochemical complex, including an ethane cracker, in Belmont County, OH at the site of the old R.E. Burger power plant. However, they have repeatedly said a “final investment decision” (FID) will not happen until the end of 2017. This is the same routine Shell used. In fact, Shell dragged out their FID a lot longer than PTT has. As with Shell, we look for signals that the FID will be a positive decision to move forward with construction. And as with Shell, we see those positive signs. Shell purchased the land for the site before announcing their FID. As we told you last month, PTT has now done the same–buying the former R.E. Burger site from FirstEnergy for $13.8 million (see PTT Global Buys Land for Belmont, OH Ethane Cracker Plant). Shell then bought some of the surrounding land next to the original site. And now we see the same behavior from PTT, which has signed option agreements to buy land from eight properties in the area close to the R.E. Burger site. We take that as a VERY good sign about the future of this project…
    Read More “PTT Global Buying Land Next to Proposed Ohio Cracker Site”

  • | | | | | |

    FERC Issues Rover 8 Commandments to Restart Horizontal Drilling

    Rover is a $3.7 billion, 711-mile natural gas pipeline that will run from PA, WV and eastern OH through OH into Michigan and eventually into Canada. While Phase 1A of the pipeline is essentially done and ready to begin service by the end of this month (see Rover Pipe Ready to Flow! Seeks FERC Permission for Aug 31 Start), other important parts of the pipeline are not done. If Rover wants the entire pipeline to be up and running by the end of the year, they must restart underground horizontal directional drilling (HDD) in various locations where it is now stopped. In Ohio, Rover experienced a series of mishaps, the most serious of which spilled 2 million gallons of non-toxic drilling mud in a swamp near the Tuscarawas River back in April (see Rover Pipeline Accident Spills ~2M Gal. Drilling Mud in OH Swamp). An investigation by the Ohio Environmental Protection Agency (OEPA) found the presence of diesel fuel in the drilling mud, which means the mud wasn’t so non-toxic after all (see OH EPA Says Diesel Fuel Found in Rover 2M Gal Drilling Mud Spill). Rover believes sabotage may have been the cause (see ET Says Accident or Anti Sabotage Caused Diesel in Rover Mud Leaks). Since April, FERC has blocked all new underground HDD for the Rover project. Rover has asked (begged, pleaded) FERC, several times, for permission to restart the HDD work–at least in a few select locations. In July FERC gave Rover an initial todo list to get back in its good graces, but still would not lift the ban on HDD (see Frustrated FERC Gives Rover Todo List, HDD Drilling Still Blocked). FERC has finally responded with a list of eight (big) things Rover must do before HDD drilling can restart. We call them FERC’s Eight Commandments…
    Read More “FERC Issues Rover 8 Commandments to Restart Horizontal Drilling”

  • | | | | |

    Energy Transfer Sues Big Green Groups for Inciting Terrorism in ND

    It’s about time our side litigated back! Energy Transfer, the company that built the Dakota Access Pipeline, filed a lawsuit yesterday against rabid, radical “green” organizations including Greenpeace, Earth First! and others, for manufacturing and disseminating “materially false and misleading information about Energy Transfer and the Dakota Access Pipeline (DAPL) for the purpose of fraudulently inducing donations, interfering with pipeline construction activities and damaging Energy Transfer’s critical business and financial relationships.” Because of Greenpeace and other Big Green groups, DAPL was delayed, people were hurt during protests, violent acts were committed, property was damaged and the environment that the protesters profess to love was also damaged. It was a coordinated and organized attack against Energy Transfer, so the federal lawsuit is suing using federal and state racketeering statutes. Energy Transfer says Greenpeace led an organized effort to put eco-terrorists on the ground among regular protesters. Finally! Someone willing to call out these jerks and take the fight back to them! You may wonder why we cover this story here on MDN. Energy Transfer is also building the Rover and Mariner East 2 pipeline projects here in the Marcellus/Utica region. Both projects are vigorously opposed by Big Green groups with paid protesters. This lawsuit puts other Big Green groups on notice–your days of smearing and lying and agitating are over…
    Read More “Energy Transfer Sues Big Green Groups for Inciting Terrorism in ND”

  • | | | | | |

    Energy Attorneys Hint it’s ‘Lights Out’ for Constitution Pipeline

    On Monday we brought you the sad news that the U.S. Court of Appeals for the Second Circuit has ruled against the Constitution Pipeline and their lawsuit against the Cuomo-corrupted New York Dept. of Environmental Conservation (see Court Rejects Constitution Pipe’s Case Against NY DEC; Now What?). To boil it down to its essence, the court said the DEC had the right to reject issuing stream crossing permits for the critically-needed pipeline, even though it would shut down the project. That is, individual states have the right to stop a federally-approved project. Frankly, it’s distressing. The one sliver of light is that the DEC took too long to issue their rejection–more than the one year allowed. Constitution may be able to request an approval from the Federal Energy Regulatory Commission (FERC), overruling the DEC, because the law in question provides that if a state doesn’t issue (or reject) a permit within one year of application, FERC then has the right to issue the permit. So we might still win on a technicality. That’s our hope. But we spotted analysis of this court decision by two energy attorneys–people who work for drilling-friendly law firms. Their analysis is sobering. They hint (our words) that it is likely “lights out” for the Constitution–that the project will not get built. Are they right?…
    Read More “Energy Attorneys Hint it’s ‘Lights Out’ for Constitution Pipeline”

  • | | | | | | | | |

    KM Plans to Convert Tennessee Gas Pipeline to Flow M-U NGLs South

    TGP – section of pipeline to reverse & convert to NGLs (click for larger version)

    Here’s a story that wasn’t actively on our radar. It’s an old story, but is now in the news again with the recent quorum reestablished at the Federal Energy Regulatory Commission (FERC). In August 2013, exactly four years ago, midstream giant Kinder Morgan and competitor midstream company MarkWest Energy (now part of Marathon Petroleum) signed a joint venture agreement to repurpose a significant portion of Kinder’s Tennessee Gas Pipeline (964 miles of it) running from the Louisiana Gulf Coast to Ohio. That 964-mile portion of TGP currently flows natural gas from the Gulf northward. Kinder and MarkWest want to reverse the flow and instead flow natural gas liquids (NGL) through the pipeline from the Utica and Marcellus region south to the Gulf Coast. The project would also build a new 200-mile pipeline from TGP in Louisiana to Texas. In order to make the project happen, the first step is to ask FERC for permission to “abandon” (stop using) the 964-mile segment, called Pipeline No. 1, from Louisiana to Ohio. Which TGP did in Feb. 2015. The project progressed. Last November FERC issued a favorable environmental assessment for the project (full copy below). And then FERC lost a quorum of voting members in February of this year, stalling further progress. With a quorum now restored, antis in Kentucky, a state that seems to be allergic to any kind of pipeline for any purpose, have begun bellyaching about it. Which is what caught our attention. We’ve gathered together information we can find on this project–a potentially very important project–to move Marcellus/Utica NGLs to the Gulf Coast…
    Read More “KM Plans to Convert Tennessee Gas Pipeline to Flow M-U NGLs South”