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Industrywide Issues | Jobs | Lackawanna County | Luzerne County | Pennsylvania | Statewide PA

Remarkable Change in PA Jobs Since Pro-Gas Corbett Lost Gov Race
December 31, 2014December 31, 2014

Funny how prior to the election on Nov. 4 you couldn’t read, watch or listen to a mainstream media report about employment in Pennsylvania without hearing how the job market under the Satantic Gov. Tom Corbett (Republican) sucked big-time. Ole Tom had sold his soul to Big Gas, ya see, with the promise of jobs jobs jobs. And guess what? No jobs. And if there were more jobs–they all went to foreigners–people from exotic places like Texas and Oklahoma and Louisiana. We can’t count how many such (false) stories we saw. After Nov. 4? Voilà. Something changed. Even though the pure-as-the-wind-driven-snow Angelic Gov.-elect Tom Wolf (Democrat) hasn’t yet taken office–somehow, magically, unemployment is at historic lows and there’s jobs popping up everywhere in the Keystone State. Why? The Marcellus Shale, of course…
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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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Industrywide Issues | Jobs | Pennsylvania | Statewide PA

Unemployment “Plummets” in SWPA, Thanks to the Marcellus
December 22, 2014December 22, 2014

All we heard about, endlessly, from mainstream media in Pennsylvania during the 2014 PA campaign for governor is how Corbett (Satan himself) can’t do anything right, and even his so-called best buddies in the energy industry couldn’t cover up the fact that Pennsylvania is losing jobs like crazy. Unemployment in the Keystone State sucks. Where are all those promised shale jobs? Yada yada yada. So went the narrative. But that was then, this is now. Now that the media’s candidate (Tom Wolf) has won, it’s time to start telling the truth again. The truth? In places where there’s active drilling, like southwestern PA, unemployment numbers are way down, at historic lows…
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Economic Impact | Hydraulic Fracturing | Industrywide Issues | Jobs | Research

CBO Report: Enormous Positive Impacts of US Shale
December 18, 2014December 18, 2014

While Andrew Cuomo and his buddies were busy banning fracking in New York, the Congressional Budget Office (certainly no bastion of conservatism) issued a report on fracking. The new report, titled “The Economic and Budgetary Effects of Producing Oil and Natural Gas From Shale” (full copy embedded below) says we now get 30% of our oil and 40% of our natural gas from home-grown American shale. The report says without safe, clean, fracked American shale, our natural gas prices would be 70% higher than they are. Do you like those low gasoline prices we’ve seen lately? That’s because of American-produced oil from shale deposits. The enormous amount of supply from right here at home is flooding the market and causing prices to drop like a rock. If Cuomo & co had their way, all fracking across the country would stop tomorrow. Dangerously stupid is about the only thing we can think of to say to the strange attitude being exhibited by New York’s so-called leaders. Here’s a high level overview of the CBO study, followed by a full copy of the study…
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Economic Impact | Industrywide Issues | Jobs | Research

PwC Report: “Shale Effect” has Major Effect on U.S. Manufacturing
December 12, 2014December 12, 2014

A new report released yesterday by PwC (PricewaterhouseCoopers) says not only is the “shale effect” changing the energy picture globally, it’s also boosting U.S. manufacturing by saving money boatloads of money and creating tons of new jobs. The new report titled, “Shale Gas: Still a boon to US manufacturing?” (full copy of the 12-page report below) estimates that the continued shale effect on U.S. manufacturing could bring an annual cost savings of $22.3 billion by 2030, assuming a high natural gas recovery and low price scenario. In terms of job creation, PwC estimates that continued shale gas activity will create 930,000 shale gas driven manufacturing jobs by 2030 and 1.41 million by 2040. Talk about a boom! (Meanwhile, the anti-drilling nuts in NY are bleating about banning fracking with their Not One Well campaign–go figure.) According to PwC’s managing partner in the Pittsburgh office…
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Anadarko | Chesapeake Energy | Citrus | Energy Companies | Industrywide Issues | Jobs | Pennsylvania | Regulation | Statewide PA | Statewide WV | West Virginia

DOL Action: Several Marcellus Drillers Pay $4.5M in Back Wages
December 10, 2014December 10, 2014

In a multi-year so-called “investigation” that cost more money that was “recovered,” the U.S. Dept. of Labor (DOL) announced yesterday they’ve forced Chesapeake Energy, Citrus Energy and Anadarko Petroleum (and perhaps others) to pay $4.5 million in back wages to some 5,300 oil and gas workers in Pennsylvania and West Virginia. The apparent “violation” is that these workers, working for subcontractors (not directly for the energy companies themselves), in some cases worked more than 40 hours in a given week but didn’t get time-and-a-half wages. We’re certainly not against playing by the rules, but it sure seems like utter folly to hype this as some sort of victory by Obama’s Labor Department–to work for more than two years and come up with a thimble-full of violations and carp and complain about how fractured the energy industry is–the same industry that, because of all those many subcontractors, has generated several hundred thousands new jobs in PA & WV that wouldn’t have been there otherwise. Here’s the press release by the DOL…
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Industrywide Issues | Jobs | Litigation | Supply Chain

Thorny Issues in Using Independent Contractors in Shale Drilling
December 5, 2014December 5, 2014

Most exploration & production (E&P) companies–the ones who risk the money to have oil and gas wells drilled–don’t actually DO the drilling themselves. They hire it done by using oilfield services companies like Schlumberger, Halliburton and Baker Hughes. In addition, they hire just about everyone done–from security at well pads to earth moving to water trucking to you name it. The shale drilling industry, particularly in the Marcellus and Utica, is a bonanza for local businesses or “independent contractors” that plug in to the industry supply chain. However, there are some negatives for E&Ps when it comes to using independent contractors rather than having employees on the payroll do the work. The sharp lawyers at Vorys, Sater, Seymour and Pease say lawsuits alleging violations of the Fair Labor Standards Act are now more common than employment discrimination cases for oil and gas companies. They’ve just issued an alert/advisory on the pros and cons of using independent contractors in the oil and gas industry…
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Economic Impact | Energy Services | Energy Transfer Partners | Industrywide Issues | Jobs | Ohio | Pipelines | Statewide OH | Taxation

Property Tax Revenue/Economic Impact from ET Rover Pipeline in OH
December 4, 2014December 4, 2014

Seems like “all of a sudden” large pipeline projects planned for the northeast have begun talking about how much property taxes (and economic impacts) their projects will pay out. Yesterday it was the 550-mile Atlantic Coast Pipeline project from Dominion (see Atlantic Coast Pipeline: $25M/Yr in Prop. Tax, $70M/Yr Econ Impact). Today? Energy Transfer Partners’ Rover pipeline, a 620-mile pipeline that will carry Marcellus and Utica Shale gas west, through Ohio into Michigan and on to Ontario, Canada (see Big News: ETP “Rover” Marcellus/Utica Pipeline to Midwest/Canada). How much of an economic impact and how much in property tax will it pay out? We have some numbers…
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Dominion Energy | Economic Impact | Energy Services | Industrywide Issues | Jobs | Pipelines | Statewide WV | West Virginia

Atlantic Coast Pipeline: $25M/Yr in Prop. Tax, $70M/Yr Econ Impact
December 3, 2014December 3, 2014

The arguments by anti-drillers against pipeline projects, like Dominion’s Atlantic Coast Pipeline which is slated to run from West Virginia to North Carolina, usually amount to this: “There’s no long-term benefit to the communities through which the pipeline runs. We have to ‘put up’ with the darned thing, but we see no benefit from it.” Benefit meaning money–other than a one-time fee paid to landowners through whose land it runs. Dominion is attempting to counter those criticisms by pointing out that once the Atlantic Coast Pipeline is fully operational, it will be paying in excess of $25 million per year to counties and local municipalities in property taxes (see the list below). During construction, the pipeline will generate nearly half a billion dollars per year in economic impact in WV, VA and NC. Once the construction phase is over, through permanent jobs created and associated ongoing operating costs for the pipeline, Dominion projects the pipeline will spur nearly $70 million per year of ongoing economic activity (see full report below)…
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American Energy Partners | Energy Companies | Industrywide Issues | Jobs | Ohio | Pennsylvania | Statewide OH | Statewide PA | Statewide WV | West Virginia

Aubrey McClendon Raises Another $500M for More Leases
December 2, 2014December 2, 2014

Low oil prices don’t seem to be affecting Aubrey McClendon’s ability to raise cash. He’s just landed another half a billion dollars, which he plans to use to lease more land in the Utica, Marcellus and two other shale plays. McClendon and his American Energy Partners is also looking for new employees. Hey Chesapeake workers–tired of answering to Carl Icahn and seeing your friends axed from the payroll (wondering if you’re next)? Send your resume to Aubrey! Here’s the AEP announcement from yesterday…
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Industrywide Issues | Jobs

Some Welding Jobs in Marcellus/Utica Fetch $120K per Year
November 3, 2014November 3, 2014

If you’ve been out of school a couple of years and you’ve been trained to weld pipelines–and you’re willing to work long hours in tough conditions–it’s not out of the question that you can earn $120,000 per year, according to speakers at a recent meeting at West Virginia Northern Community College (WVNCC). Educators recently met at WBNCC to discuss job opportunities in the Marcellus/Utica Shale. The biggest challenge the industry has in attracting hordes of would-be new employees?…
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Industrywide Issues | Jobs | Research

IL Study Finds Marcellus Shale Created 45K Construction Jobs
October 16, 2014October 16, 2014

The director of the labor education program at the University of Illinois at Urbana-Champaign, Dr. Robert Bruno, recently published recently published a new study titled, “Study of Construction Employment in Marcellus Shale Related Oil and Gas Industry” (full copy embedded below). The study looks at natural gas/Marcellus Shale employment data from 2008-2014 for parts of OH, PA, and WV. The study found that the number of jobs for electricians, plumbers, welders, equipment operators and laborers–skilled people who work with their hands–went through the roof because of the Marcellus Shale. Over 45,000 new construction jobs linked to the Marcellus were created. In one year, from 2012-2013, spending in the Marcellus area on construction and maintenance grew over 60%!…
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Industrywide Issues | Jobs | Statewide WV | West Virginia

WV Shale Jobs Make Slight Increase, Wages Up Avg $2,400/Year
October 15, 2014October 15, 2014

According to the 2011 West Virginia Horizontal Well Control law, the Dept. of Commerce’s Workforce West Virginia agency is required to file an annual report detailing the number of jobs created (or lost) in the shale drilling industry in the state. The report is due by Nov. 1 each year. Last year, the 2013 report showed a big jump of 20%, with wages going up $5,500 in just one year–to $75,580 (see Looking for a Job in the Marcellus? Think WV). A lot of WV’s employment is tied to building pipelines. The report for 2014 is fresh out. What does it show? It shows 1,100 more people found jobs in the industry this year–however, many pipeline projects ended and with them, jobs working on those pipelines. In the end, according to the report, only 69 net new jobs were created throughout the industry over the past year when you add the new workers and take out the temp jobs now ended. However, the average wage for all workers in the oil & gas sector in WV went up again–another $2,400 per year…
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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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Air Quality | Economic Impact | Industrywide Issues | Jobs | Research

WRI Plan to Save the World from Carbon & Methane in 5 Easy Steps
October 13, 2014October 13, 2014

Another save the world fantasy report has just been released by the World Resource Institute (WRI). According to a new “study” titled “Seeing is Believing: Creating a New Climate Economy in the United States” (full copy embedded below), if you just wave the magic wand of government and create regulations to restrict carbon and methane, the world will be a better (cleaner) place, and it will cost us all a lot less. That’s the theme of the report. Complete fiction and fantasy–but then, we all like a good story, right? One helpful recommendation: capping so-called emissions of carbon (the stuff you breathe out with every breath) in 9 northeast/mid-Atlantic states will create 16,000 jobs and pump $1.6 billion into the economy. Only in liberal la la land do these kinds of statements get taken seriously. Another one: “Cost-saving” measures can reduce “waste” in existing natural gas systems, saving 25% of the methane that gets “leaked” into the atmosphere. Just adopt the EPA’s draconian rules that call for dry-seal centrifugal compressors, low-bleed pneumatic devices, and install infrared cameras everywhere to detect and repair leaks. Price tag? According to WRI, just a few measly pennies per thousand cubic feet of natural gas. No sweat. Again, only in liberal la la land do these conditions exist…
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Alternative Energy | Erie County (NY) | Industrywide Issues | Jobs | New York | Regulation | Statewide NY

NY Gov. Cuomo Backs Billionaire Solar Guy Over Fracking
October 9, 2014October 9, 2014

New York Gov. Andrew Cuomo is about to direct $750 million of taxpayer’s hard-earned money to go to Elon Musk, founder of Paypal and Tesla Motors, a man whose net worth is $11.7 BILLION. Why? It’s Cuomo’s crony capitalism move to get Musk to build a manufacturing plant near Buffalo that will produce (don’t laugh) solar panels. Can anyone say “Solyndra”? Cuomo is hoping to buy ~~votes~~ Upstate NY jobs with his latest sleazy move. Meanwhile, if Cuomo would only open the state for hydraulic fracturing, he wouldn’t have to spend a dime of taxpayer money to create thousands of new jobs and lift the standard of living for everyone in Upstate. Instead, he prefers to steal from already-poor taxpayers and reward the super rich. Here’s more on the latest travesty unfolding in NY…
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