Hydraulic Fracturing

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Compare & Contrast 2 Eastern Democrat Governors on Shale Drilling
January 9, 2014January 9, 2014

Let’s compare and contrast “state of the state” addresses delivered yesterday by two Democrat governors in the eastern United States. Governor A has a thriving, business-friendly state that welcomes not only service businesses but specializes in ensuring heavy industry businesses are welcome and investing in his state. In fact, Governor A, who is not only business-friendly but also environment-friendly, works tirelessly to expand job opportunities for his residents, including shale jobs. He’s probably the only Democrat MDN would vote for! And that’s saying something.

Governor B, on the other hand, generally sits on his rear-end, goes to expensive fundraisers deluding himself that he has a chance at the presidency, has the highest unemployment in the eastern U.S., is driving thousands of businesses (and business owners) out of his state each month while mouthing platitudes about being business-friendly, and frankly is a do-nothing governor. Can you guess which is which?…
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Hydraulic Fracturing | Industrywide Issues | New York | Regulation | Statewide NY

NY Releases a Draft (Frackless) State Energy Plan
January 9, 2014January 9, 2014

Last week Gov. Andrew Cuomo and New York State very quietly released a draft New York State Energy Plan for 2014. No fanfare. No nothin. The plan supposedly “sets forth a vision for New York’s energy future that connects a vibrant private sector market with communities and individual customers to create a dynamic, clean energy economy.” Completely absent from the plan? Shale drilling. Which means this is not really a plan at all, but a political advertisement that panders to Cuomo’s kook fringe left–people like Debra Winger, Josh Fox, Mark Ruffalo, Yoko Ono and a plethora of other non-thinkers.

We were first alerted to the release by MDN friend and intrepid blogger Andy Leahy and his excellent NY Shale Gas Now! blog site. Must be the AP reads Andy, because not long after his post went live, the AP ran a story that’s been republished in dozens of newspapers coast to coast. Here’s Andy’s excellent take on the draft so-called “energy plan” from Gov. Frackless…
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Economic Impact | Hydraulic Fracturing | Industrywide Issues | Jobs | NGLs | Pipelines | Processing Plants | Research

Must-Read IHS Report: Midstream/Downstream Spending Hits $90B/Yr
January 8, 2014January 8, 2014

Information Handling Services, or IHS, is the publisher of choice for the American Petroleum Institute (API). A new API/IHS study was published in December, but apparently just released to the public yesterday by the API. The study is titled “Oil & Natural Gas Transportation & Storage Infrastructure: Status, Trends, & Economic Benefits” (full copy embedded below).

We previously told you the API/IHS estimates each year drillers in the U.S. spend on the order of $150 billion to drill new oil and gas wells (see US Spending $150B+ to Drill New Oil & Gas Wells Each Year). MDN editor Jim Willis heard at the recent Platts Global Energy Outlook Forum that midstream-specific spending is only $15 billion per year (see Energy Industry Leaders Gather at Platts Forum in NYC). This new IHS report provides further clarification on spending in the midstream and downstream. If you lump new yearly spending together for all midstream (pipelines & processing plants) and downstream (refineries and distribution), IHS says the number was actually $53 billion in 2010, and had rocketed to nearly $90 billion in 2013. IHS researchers believe spending will remain around $90 billion in 2014 and something close that, per year, until 2020. Truly astonishing numbers. And that’s not the only revelation contained in this “must read” report. Like, there are 1 million new jobs on the way because of all this spending…
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Health Impacts | Hydraulic Fracturing | Industrywide Issues | Research

Researchers Backpedal on Bloomberg Story about Fracking & Babies
January 8, 2014January 8, 2014

That was fast. It seems that Bloomberg’s article that implies fracking kills babies (see Another Flawed Fracking/Health Study Emerges…from Economics Conf) was a tad premature. According to Andy Revkin, environmental writer for the New York Times, the authors of the rumored research that reportedly shows a link between babies born close to fracking sites and low birth weight–didn’t want their research announced yet. They say they haven’t finished analyzing the data, it’s not peer-reviewed, and it’s not ready. The authors say Bloomberg jumped the gun and should not have printed their article.

To which we say, why did the authors mention their research and their preliminary conclusions/findings a public conference, if they didn’t want it known? Doh! Apparently the blow-back has been so swift and so strong that the researchers are now backpedaling as fast as they can…
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Hydraulic Fracturing | Industrywide Issues | Research | Soil | Statewide WV | Wastewater | West Virginia

WVU Prof Stokes Radioactive Fears, Says DEP Study Missing Research
January 7, 2014January 7, 2014

Here’s a story that we confess, we’re having a tough time wrapping our brains around. Allegations are swirling in West Virginia that one of three officially conducted studies for the state’s Dept. of Environmental Protection (DEP) released last year overlooked important data collection. The study in question was completed in December 2011 and released in February 2012. Titled “Pits and Impoundments Final Report,” the report looks at frack wastewater impoundments and water pits used in horizontal Marcellus Shale drilling (see WVU Study Finds Potential Problems with Frack Wastewater Pits for a copy of the full study). From what we can determine, solid waste, like drilling mud and “cuttings” (leftover rock and soil from drilling) were not part of that study–at all.

But now, the Charleston Gazette identifies and quotes a WVU professor who supposedly worked on that study (although his name doesn’t appear in the study) who says researchers tried to test drill cuttings for radioactivity and were either denied access or put off/delayed until they finally ran out of time and had to file the report without doing the analysis. It’s now a big deal because anti-drillers are raising the specter that everyone is about to glow in the dark from radioactive drill cuttings going to landfills across the state. The WVU prof seems to be intentionally stoking those fears…
Read More “WVU Prof Stokes Radioactive Fears, Says DEP Study Missing Research”
Hydraulic Fracturing | Industrywide Issues | Litigation | Pennsylvania | Regulation | Statewide PA

Gov Corbett Requests Drillers Continue to Honor Act 13 Setbacks
January 7, 2014January 7, 2014

One of the unintended consequences of the recent PA Supreme Court ruling that struck down zoning provisions in PA’s Act 13 law is to weaken environmental protections–specially the distance away from rivers, streams, wells and other bodies of water that drillers sink a well. Act 13 provided for a minimum 300 foot “setback” from water sources, but that’s now out the window after the Court’s decision (see PA Supreme Court Rules Against State/Drillers in Act 13 Case). PA Gov. Tom Corbett yesterday issued a call/challenge/request/plea to the drilling industry to maintain the setback standard in their drilling practices. The industry, via various representative organizations like the Marcellus Shale Coalition, has already responded that indeed they will continue to honor the setback provisions–even though the high court tossed them out. Which is just more evidence of responsible people working together responsibly to safely drill for natural gas and oil in PA. Even when the courts screw it up.

Here’s Gov. Corbett’s request, and the response by the drilling industry:
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Health Impacts | Hydraulic Fracturing | Industrywide Issues | Research

Another Flawed Fracking/Health Study Emerges…from Economics Conf
January 7, 2014January 7, 2014

Do they never tire of this crap? Apparently no. We have yet another “study” on how fracking kills people. The latest one comes from an economics conference (yeah, figure that one out). The so-called “research” (not yet peer-reviewed and not yet posted anywhere so it can be evaluated) was shared, or rumored to have been shared, at the annual meeting of the American Economic Association in Philadelphia. The rumored-not-yet-published study claims babies born close to shale drilling sites have an increased chance of being born with low birth weight–a 3.4% increased chance.

Blow the horns! Wail and gnash teeth! Fracking kills! Well, it doesn’t kill, but a few “researchers” claim it maybe/might/could cause a few babies to have to put on some extra weight. But that’s not the narrative that will emerge. The narrative is that fracking kills, so let’s say it over and over as a mantra. Everyone ready? Let’s begin…
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Hydraulic Fracturing | Industrywide Issues | Ohio | Regulation | Statewide OH | Utica Shale

ODNR’s Proposed New Water Handling Rules for 2014
January 7, 2014January 7, 2014

Here’s a look at proposed new rules and regulations coming to drillers in Ohio’s Utica Shale–this year:
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Hydraulic Fracturing | Industrywide Issues | Ohio | Regulation | Statewide OH | Utica Shale

ODNR Chief Says Utica Shale is “Real Deal” & Feds Should Stay Out
January 6, 2014

James Zehringer, director of the Ohio Department of Natural Resources (ODNR) recently said that the Utica Shale “is the real deal.” By which he meant the Utica is here to stay and a serious shale play, getting a lot of attention (and development). It was only 15 months ago that there was plenty of angst about the Utica because it wasn’t as “oily” as some had hoped. In fact, at the time, Reuters pronounced the Utica a bust (see Reuters Says Utica Shale Boom is Really a Secret Bust). My oh my how wrong they were!

Just in case there’s any lingering doubt (for people like Reuters reporters), Zehringer set out to dispel the naysayers. In his recent remarks, Zehringer also said the feds should mind their own business and leave oil and gas regulation to the states, where it belongs…
Read More “ODNR Chief Says Utica Shale is “Real Deal” & Feds Should Stay Out”
Hydraulic Fracturing | Industrywide Issues | Litigation | Pennsylvania | Regulation | Statewide PA

PA’s Impact Fee in Jeopardy from Supreme Court’s Act 13 Decision
January 6, 2014January 6, 2014

The decision of the PA Supreme Court to invalidate large portions of the 2012 Act 13 Marcellus drilling law, particularly those portions dealing with zoning, have left much of the law–perhaps the entire law–in doubt. The court’s decision was like an explosion, and we’re just now seeing the mushroom cloud but haven’t felt the fallout just yet. Did the Supremes just destroy shale drilling in PA? Is their decision really no big deal? It all depends on whom you ask.

One thing that appears to be in jeopardy is the impact fee/tax that’s already raised over $400 million in the last two years. A lot of that fee gets distributed to the places impacted by drilling, hence its name. It’s a sensible fee notwithstanding our objection that 40% of it goes to politicians to spend in non-drilling parts of the state. However, high court’s decision throws the future of the impact fee into doubt. Last week Gov. Tom Corbett’s administration asked the Supreme Court to reconsider its decision and further clarify some issues in hopes the impact fee (among other things) can be retained…
Read More “PA’s Impact Fee in Jeopardy from Supreme Court’s Act 13 Decision”
Air Quality | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Somerset County

PA Drill Equipment Company Predicts Diesel Rigs Gone in 5 Years
January 6, 2014January 6, 2014

For some time now MDN has written about Marcellus drillers who now use dual-fuel drilling rigs–rigs whose big engines are powered by a blend of diesel fuel and natural gas, with some drillers using 100% natural gas-powered engines (see this list of MDN stories). Three weeks ago, CONSOL Energy announced a first–they will use electric motors for drilling near the Pittsburgh Airport (see CONSOL to Use Electric Motors for Drilling at Pittsburgh Airport).

One of the primary suppliers of drilling equipment for Marcellus and Utica drillers, Keystone Drill Services in Somerset County, PA, recently made this startling prediction: Within five years diesel-powered engines will be gone from drill sites. Keystone should know since they’re creating the future now at their Somerset facility…
Read More “PA Drill Equipment Company Predicts Diesel Rigs Gone in 5 Years”
Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

AP Drive-By Article Says Drilling Pollutes Water Wells
January 6, 2014January 6, 2014

A classic example of mainstream media’s drive-by murder of the truth has happened yet again–at the hands of the Associated Press (hitman: Kevin Begos). The introduction to the most recent hit piece (read it below) is that the AP has done extensive “research” (which is, of course, laughable) into all of these numerous cases of potential water contamination by oil and gas drilling and by golly some of those cases are true–oil and gas drilling polluted some people’s well water. Never mind what kind of pollution, the water was polluted and that’s all you need to know.

Near the end of the article the mountain of evidence is offered–and what do we find? A statistically infinitesimally small number of complaints about well water contamination, very few of which were proven to be true. So the opening paragraphs are a clever deception, but most people don’t bother to read down to the point where the truth is revealed–and some may not even grasp the truth when they do read it. This one story, written by a reporter with an anti-drilling agenda, is reprinted ad nauseum in hundreds of local newspapers across the country that never bother to question its veracity or attempt to verify the facts. Welcome to Propaganda 101…
Read More “AP Drive-By Article Says Drilling Pollutes Water Wells”
Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | Mahoning County | Ohio | Regulation

Third Time the Charm? Youngstown Anti-Drillers Try Again for Ban
January 6, 2014January 6, 2014

The crazies are back in Youngstown, OH–or more properly, they never left. Anti-drillers couldn’t get the good citizens of Youngstown to vote in favor of a frack ban twice in a row, but that doesn’t stop zealots like members of FrackFree Mahoning Valley from trying again. They’re back at it, circulating a petition that–for a third time–asks residents to put the same tired old “ban fracking” measure on the ballot for a vote. After twice being voted down in large numbers. The nutters call it a “Bill of Rights” hoping to fool people. Call the measure what you want–its effect would be to shut down Youngstown from the drilling industry and deny residents the multitude of benefits they now get from Utica drilling (jobs and business tax revenue).

But hey, it’s (still) America where fruitcakes have the freedom to do what they want–including pestering their neighbors to sign a petition circulated twice before. Our advice: If one of the FrackFree Mahoning fruitcakes comes knocking on your door–hand them the fruitcake you got for Christmas and still haven’t eaten, and send them packing…
Read More “Third Time the Charm? Youngstown Anti-Drillers Try Again for Ban”
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MDN’s Top 10 Most Important Stories of 2013 – Our View
December 31, 2013December 31, 2013

Yes it’s trite and certainly overdone, but hey, it’s the last day of 2013 and a slow news day. So MDN editor Jim Willis thought he would put together a list of what he considered to be the top 10 Marcellus and Utica Shale stories from 2013. It’s a look into what we believe, based on your input and feedback, to be the most relevant and important stories from this year. Enjoy!…
Read More “MDN’s Top 10 Most Important Stories of 2013 – Our View”
Hydraulic Fracturing | Industrywide Issues | Public Opinion | Research

Peer-Reviewed Fracking Survey Peers into U.S. Minds, and Finds…
December 31, 2013December 31, 2013

A new survey of Americans on the topic of fracking appears in the upcoming February issue of the peer-reviewed journal Energy Policy. The survey, titled “Fracking” controversy and communication: Using national survey data to understand public perceptions of hydraulic fracturing (full draft copy embedded below) was actually conducted in September 2012–so the data is already quite old. Apparently 15 months is how long it takes to get your articles reviewed by journals like Energy Policy. A lot has happened in the last 15 months: FrackNation and Gasland II were both released, Dimock faded away as an issue, Pennsylvania’s natural gas production more than doubled, the U.S. became the world’s #1 producer of both natural gas and oil–the list goes on. Still, the survey is interesting and yields confirmation of what we already know along with the odd insight into what can be used as a predictor of whether or not someone will support fracking and shale drilling.

For example, if you’re conservative, educated and like to let the free market determine which energy sources should win, you support fracking. Conversely, if you’re liberal, less educated and like the idea of government picking the winners (that is, you have a touch of fascism in your philosophy), you don’t support fracking. If you’ve been reading MDN for any length of time, you already know all of this. The benefit of this particular survey is the scientific “rigor” used in testing which characteristics are good predictors of support or lack of support–and which characteristics are not good predictors. That’s what is interesting to MDN about this particular study.
Read More “Peer-Reviewed Fracking Survey Peers into U.S. Minds, and Finds…”
Energy Companies | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Susquehanna County | WPX Energy

Hanger Continues to Use Franklin Forks Water as Campaign Issue
December 30, 2013December 30, 2013

As MDN has previously pointed out, former Secretary of the PA Dept. of Environmental Protection (DEP) John Hanger is trying to make political hay out of methane in the water supply of three families in Franklin Forks (Susquehanna County), PA (see John Hanger Uses Franklin Forks Water Issue to Boost Gov Campaign). Which is kind of ironic since Hanger himself was raked over the coals by his own liberal buddies in Gasland for his handling of the same issue about 15 miles away in Dimock, PA. Hanger claims the DEP’s 16-month investigation in Franklin Forks was not independent enough for his taste. The DEP has fired back at their old boss and said they didn’t just rely on WPX’s investigation (as Hanger claims) but that they also conducted their own independent investigation and that Hanger is just making noise to, as we put it, boost his failing campaign for governor.

The sentiment coming from the DEP seems to be, “thanks for your unhelpful assistance John–now butt out”…
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