Energy Services

Energy Services | Industrywide Issues | Kinder Morgan | Pipelines

Kinder Morgan Plans Chicago Pipeline Expansion for Marcellus/Utica
October 17, 2014October 17, 2014

Kinder Morgan’s Natural Gas Pipeline Company of America (NGPL) announced yesterday the open season for a plan to expand their Gulf Coast mainline pipeline from the Rockies Express Pipeline (REX) interconnection in Moultrie County, Illinois, to points north on NGPL’s pipeline system. They aim to increase capacity by 450,000 dekatherms per day (437 million cubic feet per day). The project involves new construction of $100 million and the end result is to move more Marcellus and Utica Shale gas to more than 100 delivery points in the Chicago area…
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Anti-Drilling/Fossil Fuel | Dominion Energy | Energy Services | Industrywide Issues | Pipelines | Randolph County | West Virginia

Verbal Dueling at Anti-Pipeline Meeting in Randolph County, WV
October 17, 2014October 17, 2014

A couple of West Virginians verbally sparred at an “open house” conducted by the West Virginia Wilderness Lovers yesterday to essentially bad mouth and denigrate Dominion and their planned $5 billion Atlantic Coast Pipeline project. The incident happened in Mill Creek (Randolph County), WV. One local landowner, who we will charitably say was making some wild claims about Dominion and the pipeline (it’s going to blow up and burn his family to ashes), was challenged by a pipeline union worker, also from Randolph County…
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Allegheny County | Beaver County | Energy Companies | Energy Services | Ethane | Industrywide Issues | Odebrecht | Pennsylvania | Processing Plants | Shell | Statewide PA | Statewide WV | West Virginia | Wood County

Odebrect Cracker Aims to Attract Chemical/Plastics Manufacturing
October 16, 2014October 16, 2014

David Peebles, Odebrecht’s vice president of business development and the guy working to make the $4 billion ethane cracker and petrochemical plant project in Parkersburg, WV a reality, gave some great insights into just how vast and complex a process building that plant is. Speaking yesterday at the Penn State Natural Gas Utilization Conference in Southpointe, PA, Peebles said…
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Energy Services | Kinder Morgan

Kinder Morgan 3Q14 Update: NED and UTOPIA, Etc.
October 16, 2014October 16, 2014

Yesterday the largest pipeline company in America, Kinder Morgan, issued its third quarter 2014 update. The big news during 3Q14 was, of course, that Kinder has decided to shed its MLP (master limited partner) structure whereby the company is carved into different pieces for the sake of investors–and rejoin all of the pieces into one. Also bubbling along at Kinder is the massive Tennessee Gas Pipeline through Massachusetts, called the Northeast Energy Direct (NED) project, that will bring abundant supplies of Marcellus Shale gas to New England; and the Utica to Ontario Pipeline Access (UTOPIA) project that will pipe ethane to Canada. The Kinder press release with the update was massively long with teeny tiny type. We’ve waded through it to pull out just those bits that will be of most interest for those of us in the northeast…
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CNG/LNG | Dominion Energy | Energy Services | Exporting | Industrywide Issues | Maryland | Statewide MD

Dominion Midstream IPO Blows by Best Expectations
October 16, 2014October 16, 2014

On Tuesday MDN told you that Dominion was looking to raise $350 million with an initial public offering (IPO) for its new Dominion Midstream subsidiary (see Dominion Midstream IPO Seeks $350M for Cove Point Work). Today we’re happy to report the numbers are in–and Dominion surpassed their goal…
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Crestwood Midstream | Energy Services | Industrywide Issues | Pennsylvania | Pipelines | Statewide PA

Crestwood Midstream Marcellus Volume Up 10%, New NEPA Pipeline
October 14, 2014October 14, 2014

Crestwood Midstream filed their latest quarterly operations update yesterday, for third quarter 2014. Crestwood has pipeline gathering/processing systems in three major U.S. shale gas plays: the Marcellus, the Niobrara and the Barnett. They also have an oil pipeline gathering system in the Bakken Shale. The Marcellus is the largest of their natgas gathering systems, and according to the update, flows for the Marcellus system were up another 10% in 3Q14. At one point, the system hit a new daily average high of 700 million cubic feet per day (Mmcf/d). With a couple of new compressor stations coming online, the system will have a capacity of 875 Mmcf/d…
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Dominion Energy | Energy Services

Dominion Midstream IPO Seeks $350M for Cove Point Work
October 14, 2014October 14, 2014

Last week MDN brought you the news that Dominion would launch an initial public offering (IPO) and spin out the subsidiary Dominion Midstream into its own company (see Dominion Launches Public Offering for Midstream Subsidiary). At the time we didn’t know how much then intend to raise nor why. We now have some insight into those answers…
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Braskem | Energy Services | Ethane | Industrywide Issues | Odebrecht | Processing Plants | West Virginia | Wood County

Odebrecht WV Cracker Plant Decision “By End of 2015”
October 14, 2014October 14, 2014

An update on the progress being made by Odebrecht and their planned ethane cracker plant and petrochemical manufacturing facility planned for Parkersburg (Wood County), WV. At the recent Global Plastics Summit in Chicago, Braskem (sister company to Odebrecht) vice president of business development, Renato Monteiro, said a final decision on building the proposed cracker plant will be made “by the end of 2015.” Here’s a few other tidbits about the cracker plant that came from Monteiro at the conference, including when the first PE (polyethylene) might be manufactured at the plant…
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CNG/LNG | Dominion Energy | Energy Services | Exporting | Industrywide Issues | Lease & Royalty Payments | Maryland | Statewide MD

Will Cove Point LNG Plant Goose Royalties for Landowners?
October 13, 2014October 13, 2014

With the final recent approval for Dominion’s Cove Point, Maryland LNG export facility, the plant should go online sometime in 2017 (see Dominion Gets Final Fed Approval to Build Cove Point LNG Plant). Question: Will that one, single plant sop up enough Marcellus (and Utica) methane to raise the price of shale gas in the northeast and correspondingly raise the amount of royalties received by landowners? According to the executive director of the West Virginia Oil and Natural Gas Association, that answer would be “yes”…
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Dominion Energy | Economic Impact | Energy Services | Industrywide Issues | Jobs | Pipelines | Statewide VA | Virginia

Enormous Benefits for All Virginians from Atlantic Coast Pipeline
October 13, 2014October 13, 2014

The typical low information person (someone who reads headlines only, never bothers to think deeply about economics or politics) assumes when a new pipeline project is announced that the only entity to benefit is the pipeline company and maybe gas drillers who will sell their commodity by moving it through that pipeline. Such people could not be more wrong. Take the recently announced 550-mile, $5 billion Atlantic Coast Pipeline project from Dominion (see Dominion Commits to Major New Marcellus/Utica Pipeline Project). Most of that pipeline will travel through Virginia. What, precisely, will be the economic impact of that project on ALL Virginians? Glad you asked…
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Anti-Drilling/Fossil Fuel | Baker Hughes | Energy Services | Hydraulic Fracturing | Industrywide Issues

Liberal Group Calls Baker Hughes Breast Cancer Effort “Pink Sh*t”
October 10, 2014October 10, 2014

Baker Hughes is the world’s fifth largest oilfield services company. Schlumberger and Halliburton are numbers one and two, respectively. Oilfield services companies provide drilling equipment and yes, even fracking equipment (and fracking fluids) that power the shale revolution. Baker Hughes, with a large presence in the Marcellus/Utica, has just donated (for the second year in a row) $100,000 to Susan G. Komen®, the world’s leading breast cancer organization, to help in the effort to find a cure for breast cancer. Anyone alive over the age of 30 almost certainly has a relative or friend who is or has been afflicted by this disease. Doing what we can to fight it is something we all can get behind. But because some wacko anti-drillers make wild claims that fracking fluids “cause cancer”–even though fracking fluids contain many of the same chemicals in the stuff under your kitchen sink–some lib groups (incredibly) oppose the donation and efforts by Baker Hughes, saying it is blood money and “pink washing” the fracking industry…
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Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Litigation | Minuteman Environmental Services | Northumberland County | Pennsylvania

Minuteman Sues AG Kane’s Office for $20M + Punitive Damages
October 10, 2014October 10, 2014

What a sad story. In May 2013, Pennsylvania’s anti-drilling Attorney General, Kathleen Kane, had the offices of Minuteman Environmental Services in Milton (Northumberland County) raided using the FBI, IRS and the PA Dept. of Environmental Protection (DEP) agents, in addition to agents from the AG’s office (see Shale Environmental Services Company Raided by PA AG’s Office). After conducting a witch hunt of Minuteman for 13 months following that raid, Kane finally charged them (see PA’s Anti-Drilling AG Charges Minuteman with Enviro Crimes). During that 13 months and following, Kane’s office terrorized the family and drove the company–that employed over 100 people with $49 million in revenues–into bankruptcy (see Minuteman Enviro Says PA AG Office “Terrorized” Family Members, Filing Lawsuit). Minuteman’s owners threatened to sue the AG’s office and they followed through. We have an exclusive copy of the lawsuit…
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Energy Services | Ethane | Industrywide Issues | Odebrecht | Processing Plants

Odebrect Signs Deal for Polyethylene Tech for WV Cracker Plant
October 10, 2014October 10, 2014

Odebrecht continues to advance the ball toward building a world-class ethane cracker plant near Parkersburg, WV. MDN editor Jim Willis had the pleasure of meeting and talking with David Peebles, Odebrecht VP of business development and the guy working to make this project happen, at this year’s Shale Insight conference in Pittsburgh. Peebles said Odebrecht is still in the evaluation stage but that things are looking positive so far. Here’s another positive sign: INEOS Technologies, which licenses the technologies used in large petrochemical plants, announced they have just signed an agreement with Odebrect to provide polyethylene tech for the WV cracker plant…
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Anti-Drilling/Fossil Fuel | Dominion Energy | Energy Services | Industrywide Issues | Pipelines | Statewide VA | Statewide WV | Virginia | West Virginia

Where is Real Opposition to Dominion SE Pipeline? Hint: Not WV
October 10, 2014October 10, 2014

Opposition to Dominion’s 550-mile, $5 billion Atlantic Coast Pipeline project (formerly called the Southeast Reliability Project) continues, but not much of it is located in West Virginia. You may recall there is an anti-pipeline group called West Virginia Wilderness Lovers, which is, from what we can tell, two people who have opposed the pipeline from the beginning (see Hula Hoops & Tall Tales from WV Anti-Drillers Opposed to Pipeline). At least one of the two Wilderness Lovers still opposes it…
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Bradford County | Electrical Generation | Energy Services | IMG Midstream | Industrywide Issues | Pennsylvania

Details on 3 Marcellus-Powered Electric Plants in Bradford County
October 9, 2014October 9, 2014

With 60 gigawatts of electric power generation going dark over the next few years due to Obama’s war on coal (enough electricity to power 45 million homes), something has to replace it. That something is almost always natural gas-fired electric generating plants. Some of those plants are sizable. But some are smaller. MDN previously reported that IMG Midstream wants to build a dozen tiny electric generating plants in across Pennsylvania–plants that will generate 4.4 megawatts of electricity. Seven of those plants are located in northeast PA (see 7 Small Marcellus-Powered Electric Plants Coming to NEPA). Three of those seven will be located in Bradford County, PA–one of the most heavily drilled counties in the state. Here’s a bit more detail about the three plants coming to Bradford County…
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Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Luzerne County | Northampton County | PennEast Pipeline | Pennsylvania | Pipelines | Statewide PA | UGI Energy Services

Update on PennEast Pipeline–Its Physical & Emotional Path
October 9, 2014October 9, 2014

The anti-drilling nutters at the Sierra Club (we call them Sierra Clubbers, you know, people who like to go “clubbing“?) have apparently polled a new phrase that they think is a winner. They’ve found when you say magic words, like “pipeline x will leave a nasty, ugly scar that’s irreversible” on Old Mother Nature, that gets low information people really fired up. So that’s the new phrase they toss around for projects like the recently announced PennEast Pipeline (see 3rd New NEPA Marcellus Pipeline Proposed, Connects to Trenton, NJ). PennEast will run from Wilkes-Barre, PA all the way to a spot near Trenton, NJ. Communities along the proposed route have been organizing meetings with the express purpose of castigating and ridiculing the proposed $1 billion project. “Not in my back yard!” they yell. The Sierra Clubbers helpfully sprinkle magic words like “scar the earth” which whips them up into even more of frenzy. So UGI and the four other partners in the project have abruptly stopped attending those meetings and will, instead, host their own meetings in an attempt to keep anti-drillers from trying to manipulate people’s emotions. Good for them…
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