Industrywide Issues

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    ODNR Says Youngstown Earthquakes “Probably” Caused by Fracking

    probablyAlthough they don’t know for certain, the Ohio Dept. of Natural Resources (ODNR) is assuming that Hilcorp’s Utica Shale drilling and fracking in the Youngstown area a month ago is the “probable” cause of a series of earthquakes in the area (see # of Youngstown Earthquakes go from 2 to 11 – Fracking to Blame?). A few of the earthquakes were barely felt by some people. Most of the 11 quakes were not noticeable by humans on the surface. On Friday the ODNR instituted a new policy requiring drilling and fracking near known faults and active earthquake areas to use a seismic monitor. If a 1.0 or higher quake occurs during drilling and fracking, all drilling will stop until it’s investigated.

    If we assume the Ohio quakes in March were caused by fracking over a “previously unknown microfault” as the ODNR assumes, this would be the fourth such instance of fracking itself causing an earthquake–out of 60,000+ horizontally fracked wells (see Fracking has (so far) Triggered Earthquakes 3x – Out of 60K Wells). Statistically speaking it’s still zero. It’s important to a) acknowledge it can happen, but b) keep it in perspective. You have a greater chance of being struck by lightening than of experiencing a fracking-triggered earthquake. It only happens in specific, rare circumstances. Here’s the statement (and map) from the ODNR on how they’re going to treat drilling near faults and previous earthquake zones…
    Read More “ODNR Says Youngstown Earthquakes “Probably” Caused by Fracking”

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    Range Resources Fined $75K by PA DEP for Brine Spill

    On Friday the Pennsylvania Dept. of Environmental Protection slapped Range Resources with a $75,000 fine for a brine spill of 3,066 gallons at its Cornwall Mountain Hunting Club Unit A well pad in Lewis Township, Lycoming County. The spill occurred in July 2012, but according to the DEP it took Range nearly a year to remediate the spill, resulting in the fine.

    Here’s what happened (and when), and what the DEP said about it…
    Read More “Range Resources Fined $75K by PA DEP for Brine Spill”

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    Anti-Drillers Win Minor Victory Against Muskingum Watershed Dist

    Last October MDN told you about a lawsuit filed by a Guernsey County, OH couple seeking to stop drilling and fracking under Seneca Lake (Ohio). The Muskingum Watershed Conservancy District (MWCD) approved a $40.3 million lease with Antero Resources to allow drilling around and under 6,400 acres, including the Seneca Lake. It’s not surprising that the odious Food & Water Watch is behind the lawsuit (see Muskingum Watershed Taken to Court by Anti-Frackers (Yawn)). Last week a Franklin County judge ruled that the lawsuit brought by Leatra Harper and her husband Steven Janstro (strong anti-drillers) can move forward.

    Below is the story of their minor victory, a decision that simply means the lawsuit continues, for now. However, it brings up an important issue. Later this week the MWCD is due to sign another lease with Antero–this one for drilling around and under 6,700 at Piedmont Lake (see MWCD Close to Signing Utica Lease for Piedmont Lake, OH Property). Will this small victory at Seneca Lake embolden the odious Food & Water Watch to find sympathetic, fossil fuel-hating landowners around Piedmont to stir up yet another new lawsuit?…
    Read More “Anti-Drillers Win Minor Victory Against Muskingum Watershed Dist”

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    Williams Restores Service on Ruptured WV Pipeline, More Details

    Last Friday MDN told you that Gastar had given a helpful update on the Williams 12-inch pipeline that had ruptured after a landslide in Marshall County, WV on April 5th (see Gastar Helpfully Provides Update on Williams WV Pipeline Outage). We gently prodded Williams and told the PR department it needs to get in gear and start talking. Well, they did. Friday afternoon Williams issued a short statement on their Williams in the Northeast website (see it below). According to the statement, full service was restored as of 1:30 pm Friday afternoon.

    Now as for the rupture and explosion itself, we learn from a news story that the West Virginia Department of Environmental Protection continues their investigation. We also learn the explosion created a 10-foot crater and scorched trees for two acres around the blast site. No wonder some of the neighbors down the road hightailed it out of there, even without being told. Here’s the latest on the Williams pipeline explosion in Marshall County…
    Read More “Williams Restores Service on Ruptured WV Pipeline, More Details”

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    Fabricating Plant CEO Thinks Utica Drilling will Head North Soon

    Evets Oil & Gas Construction Services recently opened a new 20,000-square-foot facility serving the oil and natural gas drilling industry in Hubbard (Trumbull County), OH. The company has been around since 1968 and designs and builds everything from pipelines and compressor plants to billion dollar gas and oil processing facilities. The new facility in Hubbard converted a brownfield into a greenfield, something Evets is justifiably proud of.

    At the ribbon-cutting ceremony last week, Evets CEO Rex Ferry said he thinks Utica Shale drilling will drift northward in the next few years–in 2015 or 2016–and he’s betting their new location in Trumbull County will put the company in the catbird seat. Ferry’s opinion is certainly contrary to that of most others who believe Utica drilling has moved and will stay south for the foreseeable future. Is Ferry whistling past the graveyard? Or crazy like a fox? We’ll know in the next couple of years…
    Read More “Fabricating Plant CEO Thinks Utica Drilling will Head North Soon”

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    Marcellus Entrepreneur Donny Beaver: Silica Dust, Mud & Heck Out

    Donny Beaver is a serial entrepreneur. He co-founded New Pig in the mid-1980s–a company that absorbs anything that leaks, drips, splatters or spills. In 2001 Donny founded what would become a series of exclusive fly fishing clubs/retreat centers called the HomeWaters Club across Pennsylvania. In January 2013 he co-founded and launched HalenHardy, which solves problems for the Marcellus (and by extension construction) industry. Donny would talk to Marcellus workers who frequented his HomeWaters Club and his natural curiosity landed him in a new venture to help solve problems for the industry.

    First up was the excellent and award winning Mobile Air Shower by HalenHardy (MASHH) units that remove silica dust from workers in 30 seconds (see HalenHardy Wins Ben Franklin EHS Award for Silica Air Shower). Next up is a device that removes mud from boots in 30 seconds. And after that? Portable barriers that will keep people away from dangerous construction sites or emergency scenes–as in “keep the heck out,” a product called Heck Out. Perhaps Donny’s key insight, something all entrepreneurs should learn and tattoo on their hearts: “People don’t care about companies; they care about stuff that helps them.” Smart guy. He surrounds himself with talented, creative people. Really smart guy…
    Read More “Marcellus Entrepreneur Donny Beaver: Silica Dust, Mud & Heck Out”

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    Marcellus/Utica Anti-Drilling Group Back with Impacts “Research”

    The Multi-State Shale Research Collaborative (MSSRC) attempts to pass itself off as a non-partisan, “just the facts ma’am” kind of organization dedicated to measuring the “impacts” of Marcellus and Utica Shale drilling. They are anything but. The organization is extremely partisan and anti-drilling, backed by the likes of the Heinz Endowments and Park Foundation, two organizations that back only anti-drillers when it comes to the issue of shale drilling (just ask Bobby Vagt, former president of the Heinz Endowments, Bobby Vagt Out as Pres of Heinz Endowments – Fracking Connection?).

    Last November the MSSRC issued a faux research “report” that said, “Nah, Marcellus/Utica doesn’t create all that many jobs after all” (see Anti-Drilling Cabal Issues Biased Report on Marcellus/Utica Jobs). The anti-drilling MSSRC is back with a series of four “case studies” on counties in the Marcellus/Utica and how they’ve fared with a number of metrics. As you might expect, the “study” found loads of negative impacts. It’s all crap, but we highlight it for you so you know that it’s crap and so you’re not taken in by their lame attempt at covering up who they really are and their insidious agenda…
    Read More “Marcellus/Utica Anti-Drilling Group Back with Impacts “Research””

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    Cabot Oil & Gas Does it Again – $2.5 Million Gift to Lackawanna College

    do it againEveryone knows how mercenary and evil those oil and gas companies are. They’re just in it for the buck. Rape and pillage poor Mother Earth–pollute the air, pollute the water, pollute everything! Those shale drillers are actually some of the worst, ya know. That’s what the anti-drilling left would have you believe. That’s the meme constantly drummed by mainstream media. Throw in a “Halliburton loophole” and “Dimock” or maybe a “Pavillion, Wyoming” and you’re good to go with the typical mainstream coverage of our industry. Just a teeny, tiny problem…none of it is true.

    MDN previously told you about Cabot Oil & Gas’ largess in helping raise $4.4 million for a rural hospital in Montrose, PA (see Cabot Effort Raises $4.4 Million for PA Physicians Clinic). Of that $4.4 million, Cabot themselves donated $2.2 million to the kitty. That is serious money folks. And now, Cabot has done it again. Today, if you’re reading this on April 11, 2014, Cabot announced a $2.5 million gift to Lackawanna College (Scranton, PA). The gift will directly fund the School of Petroleum & Natural Gas located in New Milford, PA. It marks the largest single private donation in the history of Lackawanna College. Kudos to Cabot! Cabot is a sterling company–one of the backbones of the Marcellus Shale, the biggest (and best) shale play in the United States…
    Read More “Cabot Oil & Gas Does it Again – $2.5 Million Gift to Lackawanna College”

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    Sierra Club Pumps Out More Yada Yada in Anti-Fossil Fuel “Report”

    yada yadaThe Sierra Club continues to marginalize itself as an extremist, out-of-touch, agenda-driven huckster of fascist idealism (we know how to run your life better than you do), as proven by their latest diatribe against the miracle of safe, clean hydraulic fracturing and all things fossil fuel. Yesterday the extremists at the Sierra Club vomitted out yet another so-called report called “Dirty Fuels, Clean Futures” (full copy embedded below) in which they espouse the same old same old yada yada yada. Solar is wonderful yada yada. Fracking is evil yada yada. Burning fossil fuels will fry the planet yada yada. Obama’s dictatorial ways are to be praised, Heil Barack! yada yada. Everything is “dirty” if it’s not on the Sierra Club’s approved list.

    And so it goes. Complete and utter refuse. (Please don’t EVER give the Sierra Club a dime of your money.) They even stoop so low as to profile Susquehanna County minor celebrity anti-driller Vera Scroggins in the report (page 23). Apparently Vera is a hero in the wacko world of enviro-extremists. Good–they can have her. We provide you with the so-called “press release” and a full copy of the so-called “report” below, simply because it’s a slow news day and we like to express our utter contempt and disgust with the lies pumped out daily by the odious Sierra Club…
    Read More “Sierra Club Pumps Out More Yada Yada in Anti-Fossil Fuel “Report””

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    Gastar Helpfully Provides Update on Williams WV Pipeline Outage

    Last Saturday a 12-inch natural gas pipeline owned by Williams Partners in Marshall County, WV ruptured and caught fire, likely due to a landslide (see Williams Pipeline Rupture/Fire in Marshall County, WV). Not long after, one of (perhaps the) driller affected by the pipeline outage, Gastar, announced it had shut in their wells in the area–a necessary precaution to warn investors that certain targets may not be met because of the pipeline outage (see Gastar Shuts-in Marshall County Wells Due to Pipeline Explosion).

    We continue to get our best information on the pipeline outage from…Gastar! We haven’t spotted a single public statement from Williams about the outage (Williams PR department, get on the ball!). Yesterday Gastar said most of their gas is flowing again, through a different Williams pipeline. Gastar also says Williams told them the ruptured/down pipeline should be repaired and operating again in “approximately three weeks.” Thanks Gastar, for keeping us up to date on the Williams pipeline…
    Read More “Gastar Helpfully Provides Update on Williams WV Pipeline Outage”

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    JLCNY Says Nirav Shah Departure Won’t Slow Down Fracking Lawsuit

    Ya just can’t keep good help if you only pay ’em $130,000 a year. So says the man-child who is governor of New York–Andy Cuomo. In a vainglorious attempt to spin the very bad news (for him) that his top health official has had enough of his dithering ways, Gov. Cuomo yesterday told reporters the ongoing so-called health review of new fracking rules has nothing to do with Shah’s departure. Shah is heading as far from New York as he can get, to California. Cuomo’s convinced we’re all idiots and don’t see the truth (see our article from yesterday, State Health Com. Nirav Shah has Enough of Andy Cuomo, Leaving NY).

    In comments yesterday Cuomo said Shah makes $130,000 per year, when it’s actually $136,000. Like most politicians, Cuomo plays fast and loose with numbers. The health department first said Shah is leaving in June, but then Shah said no, I’m outta here on May 4th, and so the health department backpedaled, sputtered, and said well yeah, we guess it is May 4th after all. What a dysfunctional joke (that’s not very funny for the residents of NY). The Joint Landowners Coalition of New York (JLCNY) is certainly not amused. They issued a statement yesterday that their lawsuit against Shah (and/or his replacement), and Gov. Cuomo and DEC Commissioner Joe Martens will proceed full speed ahead, regardless of Shah’s departure. We hope the JLCNY continues their lawsuit against Shah all the way to California for his collusion with Cuomo and Martens to prevent drilling for the past year and a half…
    Read More “JLCNY Says Nirav Shah Departure Won’t Slow Down Fracking Lawsuit”

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    EIA: Marcellus #1 Proved Reserves Shale in U.S., PA #2 for Gas

    Yesterday the U.S. Energy Information Administration (EIA), our favorite government agency (the only one worth funding in our opinion) issued its annual U.S. Crude Oil and Natural Gas Proved Reserves for 2012 report (full copy embedded below). It takes a long time to crunch and analyze the numbers, hence these kinds of reports are 2 years delayed. But wow! What an interesting report. It shows that in 2012 the Marcellus Shale became the nation’s largest shale play–at least by proved reserves–surpassing the Barnett Shale in Texas, the former reigning champ of proved reserves. Pennsylvania rocketed from fifth to second largest gas reserve state. The report also shows the Texas Eagle Ford Shale play passed the North Dakota Bakken to become the largest tight oil shale play in the U.S. That’s the big big news. But there’s plenty of smaller big news too.

    First up, what the heck is proved reserves? The EIA defines it this way: “Proved reserves are volumes of oil and natural gas that geological and engineering data demonstrate with reasonable certainty to be recoverable in future years from known reservoirs under existing economic and operating conditions.” You might think proved reserves are our best guess as to how much total oil or gas is down there, based on sound scientific data. But you would be wrong. It’s what’s down there that we’re willing to go get based on today’s economics. Important distinction. What that means is the commodity price for oil and gas has a lot to do with proved reserves numbers. The oil and gas can be locked away down there (indeed it is down there), but if we’re not willing to get it out of the ground because we can’t make a profit–it might as well not exist…
    Read More “EIA: Marcellus #1 Proved Reserves Shale in U.S., PA #2 for Gas”

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    OH Severance Tax Blues – Kasich Says the Tax Trains’ a Comin’

    With apologies to the memory of the late, great Johnny Cash, to be sung to the tune of Folsom Prison Blues…

    I hear the severance tax train a comin’
    It’s rolling round the legislative bend
    And I ain’t seen a better vote-buying scheme since, I don’t know when
    I’m stuck in Tea Party prison, and time keeps draggin’ on
    But that severance tax train keeps a rollin’, on down to a legislative vote.

    RINO Gov. John “foreigner hunter” Kasich is so excited, he may pee his pants. After a year of debating stupid Tea Party Republicans, his administration is “really close” to reaching an agreement with those in his own party to start soaking the Utica Shale drilling industry in his state. Really close. Really. But, you’ll have to wait until next month to find out just how much the industry will get soaked. They want to announce it and slam bam vote on it before anyone can raise the alarm. So deliberative. So open and transparent. What paragons of authority and leadership to emulate. What jerks.

    Here’s the story of a RINO governor and Republicans who apparently are willing to cave on their principles…
    Read More “OH Severance Tax Blues – Kasich Says the Tax Trains’ a Comin’”

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    Sham Study by UK Authors Says PA Shale Wells Fail at High Rate

    A new “study” is starting to make the rounds in the incestuous echo chamber of anti-drillers and their sycophantic supporters in the mainstream media. The study, titled “Oil and gas wells and their integrity: Implications for shale and unconventional resource exploitation” is published in the “peer-reviewed” Marine and Petroleum Geology journal (full copy of the study embedded below). It’s written mainly by UK authors, with a couple of US authors thrown in to sweeten the pot. None of them are from universities in Pennsylvania. Here’s a typical headline generated by this new study: “Pennsylvania Fracking Wells Are Dangerous, Study Finds.” Which is a lie. But the media hopes you won’t read beyond the headlines. We actually do.

    Here’s the first thing to know about this “study”: There is no (that is zero) new data in the study. It’s a review of other people’s data and research in “the published literature and online.” That is, the authors didn’t do any actual science or field work–they just read what anti-drilling wackos have published on websites and in print and rounded it all up and called it science. The second thing to know, regarding their evaluation of the data from Pennsylvania, is this: “the search criteria used to categorise leakage incidents in Pennsylvania followed the approach described by [Anthony] Ingraffea.” That is, the authors intentionally chose to ignore the better data of what constitutes well leakage in Pennsylvania tabulated and tracked by the agency charged with monitoring it (the PA DEP) and instead chose to use Cornell anti-drilling professor Tony Ingraffea’s wild interpretations of the DEP data. That right there tells you all you need to know about this sham of a “study”…
    Read More “Sham Study by UK Authors Says PA Shale Wells Fail at High Rate”

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    State Health Com. Nirav Shah has Enough of Andy Cuomo, Leaving NY

    keep calm and blame the whipping boyApparently Dr. Nirav Shah, State Health Commissioner in New York, is tired of being Andrew Cuomo’s tool–Andy’s whipping boy. For more than a year Cuomo has been able to hide behind an unfinished so-called public health review of proposed new fracking rules, proposed by the state’s Dept. of Environmental Conservation (DEC). In what can only be called a conspiracy, DEC Commissioner Joe Martens asked Shah for a review of the SGEIS with an eye to how shale drilling may (or may not) affect this nebulous concept called “the public health.” It’s now obvious that both Martens and Cuomo had set up Shah as the fall guy, requesting (we suspect) that Shah intentionally delay his findings. Shah has been carrying their water for more than a year now. Recently Norse Energy and the Joint Landowners Coalition of New York sued Cuomo, Martens and Shah to force them to finish the health review and release the new drilling regs (see D-Day: JLCNY Files Lawsuit Today Against Cuomo, Martens, Shah).

    Yesterday Shah announced he is stepping down from his position in June. He’s had enough of this incestuous mess called New York State politics, and enough of the man-child Andy Cuomo–a pathetic politician who can’t make a decision about fracking. The reason we suspect Cuomo asked Shah to delay the results of his “health review” is because a) Shah originally said the review would be done within several weeks, which has turned into more than a year, and b) Shah is leaving to become Chief Operating Officer of the Kaiser Foundation Health Plan in southern California–at double or triple his current salary. It’s a huge promotion. You think Kaiser would hire a new COO who is inept and can’t complete a simple and straightforward health review? No way–which tells you Shah was delaying at the request of Cuomo and Martens. And he’s now had enough…
    Read More “State Health Com. Nirav Shah has Enough of Andy Cuomo, Leaving NY”

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    PA DEP Says Chevron Blocked Access to Greene County Well Fire

    On Feb. 11 Chevron’s Lanco 7H well in Greene County, PA exploded and caught fire. Although it’s not clear what caused the explosion, workers were connecting the well to a gathering pipeline (i.e. welding) and it’s not much of a stretch to connect the dots. One of the workers at the site tragically lost his life (see Remains of Chevron Contractor Found at Greene County Well Site). The fire at Lanco 7H spread to the well next it–Lanco 6H. After five days the twin fires were put out and eventually the wells were capped (see Chevron Well Fire Update: 2nd Well Capped, Work on 7 Wells Stopped).

    Both the PA Dept. of Environmental Protection (DEP) and Chevron continue to investigate what went wrong. However, three weeks ago the DEP issued a preliminary Notice of Violation about the accident and fires (see it embedded below). The surprising revelation in the NOV is that Chevron blocked DEP personnel from accessing the site for two days while the fire burned. DEP personnel, by law, have carte blanche access to any well anywhere at any time. Chevron was no doubt trying to protect the DEP agents, however, blocking them from the site clearly rankled the agency and will now be part of a fine they eventually assess on Chevron…
    Read More “PA DEP Says Chevron Blocked Access to Greene County Well Fire”