Energy Services

Economic Impact | Energy Services | Ethane | Housing | Industrialization | Industrywide Issues | Jobs | Odebrecht | Ohio | Processing Plants | Washington County (OH) | West Virginia | Wood County

WV/OH Officials Going on Field Trip to Prepare for Cracker Plant
December 24, 2014December 24, 2014

The Odebrecht ethane cracker plant planned for the Parkersburg, WV area continues to walk/smell/act/behave like it’s the real deal. The latest evidence: Odebrecht has told area officials around Parkersburg, you need to be prepared for when the 100% official announcement comes, cause at that point, things will happen fast. So area officials are boning up now to be prepared for an influx of people and jobs–both a good thing, and a challenge. Area officials from Wood County, WV and neighboring Washington County, OH will head to the bitter-cold north country–Minot, North Dakota–in January (!) to see how that community has dealt with a rapidly expanding population and influx of new jobs due to the Bakken Shale…
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Energy Services | Industrywide Issues | Kinder Morgan | Pennsylvania | Pike County | Potter County | Regulation | Susquehanna County | Tennessee Gas Pipeline | Wayne County

Tenn. Gas Pipeline Fined $800K for Violations, Illegal Dump Sites
December 23, 2014December 23, 2014

Seems that the Pennsylvania Dept. of Environmental Protection (DEP) has been busy clearing up outstanding cases of violations by both drillers and pipeline companies. In addition to a stiff $1 million fine against Vantage Energy yesterday (see our companion story), the DEP fined the Tennessee Gas Pipeline (TGP) $800,000 for violations in four different counties during pipeline construction for the 300 Line Project. TGP will pay a penalty of $210,000 and will fund a $540,000 clean-up program of illegal dumpsites in Pike, Potter, Susquehanna and Wayne counties. The details…
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Energy Services | Industrywide Issues | Lycoming County | Pennsylvania | Pipelines | Regulation | Snyder County | UGI Energy Services

UGI Pre-Files with FERC for New Marcellus Pipeline in Central PA
December 23, 2014December 23, 2014

Another new pipeline on the way from Pennsylvania utility company UGI. This one will run from Lycoming County in north-central PA to Snyder County in central PA and bring abundant, cheap, clean-burning Marcellus Shale gas from NEPA to a site where a company is converting a former coal-burning electric generating plant into a natural gas electric plant, near the Shamokin Dam in Snyder County. UGI has submitted a pre-filing request to the Federal Energy Regulatory Commission (FERC) for the 35-mile pipeline–a project that will cost $150 million to build. Starting next month UGI will conduct an open season to sign up more customers for cheap Marcellus Shale gas. Here’s the details…
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Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Lancaster County | Pennsylvania | Pipelines | Williams

Lancaster Congressional Staffer Calls Anti-Pipeliners – Big Mistake
December 23, 2014December 23, 2014

Some anti-drilling, anti-pipeline folks who live in Lancaster County, PA complained to their Congressman, U.S. Rep. Joe Pitts, about the proposed Williams pipeline project Atlantic Sunrise that will come through their area. Following the November election in which Pitts was re-elected, a Pitts staffer responded to several of them, calling them up to discuss the project and tell them why they ought to allow Williams to survey their property. NEVER talk common sense to an anti-driller. So the anti-drillers conscripted the local newspaper to turn the story around and make it seem like the Pitts staffer is engaged in illegal lobbying for Williams…
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Chester County | Columbia Pipeline Group | Energy Services | Industrywide Issues | Northampton County | Pennsylvania | Pike County | Pipelines | Regulation

FERC Approves Columbia East Side Project in SE PA
December 22, 2014December 22, 2014

In March 2013, Columbia Gas Transmission, a subsidiary of Nisource, applied to the Federal Energy Regulatory Commission (FERC) to add then-16 miles (now 19 miles) of new pipeline in southeastern PA and NJ to help fire a natural gas-fired electricity generating plant with cheap Marcellus Shale gas (see Columbia’s SE PA Pipeline Project Includes Compressor Upgrade). The project, called the East Side Expansion, faced some stiff opposition–especially with upgrades to a compressor station in Forks Township, Northampton County (see Columbia Hits Resistance to Compressor Upgrade in SE PA). Last Friday, Columbia announced FERC has approved the project and construction will now begin…
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Energy Services | Industrywide Issues | Luzerne County | Pennsylvania | Pipelines | Regulation | Statewide PA | Transco | Williams

FERC Approves Williams Leidy Southeast Project in PA/NJ
December 22, 2014December 22, 2014

Since January 2013, Williams has been working on a project called Leidy Southeast that will create several new loops in northeast Pennsylvania and in New Jersey (including new compressor stations) to bump up the capacity of the Williams Transco interstate gas pipeline (see Williams Takes Next Step with Transco Leidy Pipeline Expansion). In August, the Federal Energy Regulatory Commission (FERC) said there would be no significant impacts to the environment, a good sign that the project would get the green light (see FERC Says “No Significant Impact” from Leidy Southeast Pipeline). The green light came last Thursday when FERC gave final approval for the project…
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Anti-Drilling/Fossil Fuel | Crime | Enbridge | Energy Services | Industrywide Issues | Pipelines

FDS? Michigan Man Tries to Stop Pipeline by Crawling Inside It
December 19, 2014December 19, 2014

Fracking Derangement Syndrome (FDS) is a dangerous disease. Most often it attacks those who grew up watching Captain Planet on Saturday mornings (one of the risk factors). FDS creates all sorts of weird behaviors in its victims. The disease recently struck again–this time infecting a 36 year-old Michigan man. The disease manifested by causing the man (the Green candidate for the U.S. Senate in Michigan) to crawl inside of a pipeline under construction by Enbridge and stay there for 10 hours, creating a danger to himself and those around him…
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Deep Well Services | Energy Services | Industrywide Issues | Ohio | Pennsylvania | Statewide OH | Statewide PA | Supply Chain

PA Snubber DWS Continues to Expand, Adds New Rigs for Utica Shale
December 19, 2014December 19, 2014

In September, MDN told you about Deep Well Services, the only “snubbing” oilfield services company headquartered in Pennsylvania (see PA “Snubbing” Company DWS Experiences Rapid Expansion). Once again the company is on the grow, adding several new rigs to its expanding fleet…
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Energy Services | EnLink Midstream | Industrywide Issues | NGLs | Ohio | Pipelines | Statewide OH

EnLink Launches 1 Month Open Season for ORV Condensate Pipeline
December 18, 2014December 18, 2014

In August, MDN told you about EnLink Midstream’s newly planned condensate pipeline. The Ohio River Valley (ORV) Pipeline, as it’s called, will connect to EnLink’s existing 200-mile pipeline in eastern Ohio and West Virginia, providing drillers in the region access to markets through EnLink’s Bells Run barge facility and Black Run rail terminal (see EnLink Midstream Announces New Condensate Pipeline in ORV). The OVR Pipeline, expected to be completed in the second half of 2015, will have an initial capacity of approximately 50,000 barrels per day (bpd). Yesterday EnLink announced a binding open season for the pipeline–the time when drillers and other customers can sign up to reserve capacity on the new pipeline…
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Dominion Energy | Energy Services | Industrywide Issues | Marshall County | Pipelines | Regulation | Statewide WV | West Virginia

Dominion Fined $55K for Run-off in WV Creeks
December 17, 2014December 17, 2014

Dominion Transmission has agreed to pay $55,470 in fines for violating the West Virginia Water Pollution Control Act. The fines are the result of WV Dept. of Environmental Protection (DEP) investigations that started in November of 2012. The DEP investigated “slips” or slopes restored after Dominion dug trenches to lay pipeline. The slopes were not restored properly and sediment and erosion ended up in area creeks. Dominion is required to fix the creeks and pay the fine…
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Energy Companies | Energy Services | Industrywide Issues | Ohio | Pipelines | Statewide OH | Summit Midstream | Utica Shale | XTO

XTO Gets Serious in OH Utica, Hires Summit for Gathering System
December 16, 2014December 16, 2014

XTO Energy, wholly-owned subsidiary of ExxonMobil, has an active drilling program in the Marcellus and Utica Shale region. But when was the last time you heard anything about new wells or activity by XTO? The company largely stays off the radar. According to MDN’s Marcellus and Utica Shale Databook, the company gets somewhere between 20-25 new permits every four months to drill in the PA Marcellus. So far this year, XTO has received 11 and 17 permits (Jan-Apr and May-Aug respectively) for new wells in the Ohio Utica Shale, which is the first appreciable drilling done by the company in the Utica. With Utica drilling under way, it must be time to build pipelines to connect the wells–and right on cue, we have an announcement from Summit Midstream Partners that they’ve signed a contract with XTO to build a gathering pipeline network…
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Energy Services | Industrywide Issues | M&A | Pennsylvania | Statewide PA | UIL Holdings

UIL CEO “Disappointed” by Phila. Gas Works Deal Abortion
December 15, 2014December 15, 2014

We’re left with one, very strong recommendation, after the abortion of the deal to sell Philadelphia Gas Works (PGW) to UIL Holding, a Connecticut utility company: Philadelphia City Council members need to be investigated to see whose pockets have gotten fatter since the deal was aborted. The head of UIL has spoken on the record about the deal for the first time. In an interview last Friday, UIL CEO James Torgerson said he had met privately “multiple times” with all but two (of 17) Philly City Council members and by his count 9 of them would have voted “yes” on a deal to sell PGW to UIL. The only conclusion we can reach is that money has changed hands to stop the deal from going forward. What other conclusion can a sane, rational, thinking person reach? It’s time for an investigation–in particular of Councilwoman Marian Tasco, who refused to meet and talk with UIL even once. Tasco chairs the Philadelphia Gas Commission. Too bad Pennsylvania’s Attorney General, Kathleen Kane, refuses to investigate people from her own party. We say it’s time for a special prosecutor to be appointed…
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Energy Services | Energy Transfer Partners | Industrywide Issues | Ohio | Pipelines | Regulation | Statewide OH

ET Rover Pipeline’s 800-Mile Journey Begins with FERC Filing
December 15, 2014December 15, 2014

Energy Transfer Partners plans to build an 800-mile, $4.4 billion pipeline that will connect the Marcellus and Utica Shale region to Canada (see ET Rover Pipeline Fully Subscribed, Project Scope Revised Up). The pipeline will connect Pennsylvania, West Virginia and Ohio and cross the Buckeye State going northwest before entering Michigan and eventually taking a dog-leg into Ontario (see the map embedded below). These kinds of projects take multiple years to complete–with many steps. On Friday, ET filed their draft Resource Reports of environmental survey data with the Federal Energy Regulatory Commission (FERC). It’s one of the first steps on an 800-mile journey…
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Baker Hughes | Energy Services | Halliburton | Schlumberger

Marcellus Oilfield Services Cos Being Forced to Discount
December 12, 2014December 12, 2014

MDN editor Jim Willis attended the Platts Global Energy Outlook Forum yesterday in New York City. (New York at Christmas time is truly a sight to behold.) One of the more interesting things Jim learned was from a purely off-the-cuff remark made by John Hill, vice chairman and managing director of First Reserve, one of the world’s largest energy-focused private equity and infrastructure investment firms. John was talking about the downward pressure energy companies are making on oilfield services companies–like Schulmberger and Halliburton and Baker Hughes–forcing them to discount their prices. In the case of Halliburton, which is buying Baker Hughes (see Shotgun Wedding: Halliburton Forces Baker Hughes to Sell), Hill said energy companies are telling Halliburton they WILL lower their prices (by 20%) or else. Or else the energy companies will squawk to regulators in Washington that the proposed buyout is creating an unfair monopoly. The energy companies kind of have Halliburton over the proverbial barrel…
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Anti-Drilling/Fossil Fuel | Dominion Energy | Energy Services | Industrywide Issues | Madison County | New York | Pipelines

The 2 Types of Opponents to a NY Compressor Plant
December 12, 2014December 12, 2014

In June 2014 Dominion filed an application with the Federal Energy Regulatory Commission (FERC) to, among other things, build two new compressor stations in upstate New York: one in Chemung County, the other in Madison County–both along an existing pipeline. It’s part of Dominion’s New Market project (see Dominion’s NY Compressor Plants to Move More Marcellus Gas). Some residents in Madison County are opposed to the new 10,880 horsepower compressor that would be built near some homes. More than 150 residents spoke out against it at hearings held by FERC this year (public comments closed on Dec. 5). What struck us, in a recent story about opposition to the plant, is the dichotomy that exists among those who oppose it…
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CNG/LNG | Energy Services | Exporting | Industrywide Issues | Kinder Morgan | Pipelines | Tennessee Gas Pipeline

More Marcellus Gas Going to Cheniere LNG Export Facility in TX?
December 12, 2014December 12, 2014

Earlier this week Kinder Morgan signed a new 15-year agreement with Cheniere to supply Cheniere’s Sabin Pass LNG export facility near Corpus Christi, Texas. One of the pipelines that will deliver the gas is Kinder’s Tennesses Gas Pipeline. Although the press release doesn’t say so, we believe at least some of the gas that Kinder will provide to Cheniere via the TGP will be Marcellus Shale gas…
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