Drilling Slowdown Creates Domino Effect in Susquehanna County, PA
Low natural gas prices and lack of pipelines is affecting more than just the drillers in Susquehanna County, PA–it’s also affecting landowners, gas workers, and the businesses that depend on all of the above. Drillers in northeastern PA (as well as elsewhere) are laying down their drilling rigs. Fewer rigs means fewer new wells being drilled, meaning no royalties for those landowners. And it means fewer jobs for workers, and less business for companies that provide goods and services to drillers, the people who work for them, and landowners with less disposable income. A TV station in NEPA shines a light on the situation in Susquehanna County…
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We hate to rain on Belmont County, OH’s parade, but we have to point out their celebration over the announcement about a potential ethane cracker plant announced on Wednesday may be a bit premature (see
As we told you Tuesday, Ohio is now squarely in the ethane cracker race (see
The third shoe has now dropped. On Monday we told you that Schlumberger has cut an additional 11,000 jobs–20,000 total now gone–from the payroll (see
It seems that unfortunately, Schlumberger’s second round of layoffs was an omen and indeed a predictor of things to come (see 
Yesterday Dominion, a huge natural gas and electric utility as well as a midstream company, announced plans to build the State of Virginia’s largest natural gas powered electric generating plant–in Greensville County, VA. (By the way, Dominion won the Award for Excellence in Corporate Social Responsibility at the Northeast Oil & Gas Awards on Wednesday in Pittsburgh. Well done!) The $1 billion project will produce 1,600 megawatts of electricity using combined-cycle technology–enough electricity to power 400,000 homes. Dominion will use Marcellus Shale gas to power the plant, provided by Williams’ Transco pipeline. The plant will also be fed by a second Marcellus Shale pipeline–Dominion’s own Atlantic Coast Pipeline, a $5 billion, 550-mile pipeline slated to run from West Virginia through Virginia and into to North Carolina (see