Gulfport Asks Judge to Force Cheniere Pipe Co. to Return $76M
Last Monday we brought you the news that Gulfport Energy, the third-largest driller in the Ohio Utica Shale, had filed for bankruptcy (see Gulfport Energy Files for Pre-arranged Chapter 11 Bankruptcy). Today we bring you the news that Gulfport has asked the bankruptcy judge to force one of the pipelines Gulfport uses to ship natural gas, Midship Pipeline Company (a subsidiary of Cheniere Energy), to give back $75.6 million it took in October.
Read More “Gulfport Asks Judge to Force Cheniere Pipe Co. to Return $76M”
When a pipeline company considers whether or not to build a new pipeline, the company conducts an “open season”–a time when drillers (producers), traders, buyers and others who want guaranteed capacity along that pipeline can sign long-term contracts. Such contracts guarantee pipeline companies will be able to make back the considerable amount of money they have to spend to build the pipeline. What happens when those 5-, 10-, and 20-year contracts expire?
The plot thickens in the $60 million FirstEnergy nuclear subsidy bribery scandal. Last week MDN brought you the news that Ohio’s Attorney General, David Yost, had filed a second lawsuit to stop the collection of money from ratepayers that funds $150 million annual payments to FirstEnergy provided for under the law known as House Bill 6 (see 
The natural gas industry is proving effective at policing itself–far more effective than having the jackboots of the federal government step on its neck. Case in point: an industry group called Our Nation’s Energy Future (ONE Future), a coalition of 32 natural gas companies, released its 2019 report (below) that shows member companies collectively beat the group’s methane intensity goal by 67% for the year.
Kimmeridge Energy Management Company is a private equity investment firm focused on the upstream energy sector (drillers). Last week the firm published a white paper entitled, “Bringing Alignment and Accountability to the E&P Sector” (full copy below). The thesis of the paper is this: the alignment between drilling company executives and shareholders is “broken” and “a root cause” for the problem of poor earnings at drilling companies.
Earlier this month the Sierra Club filed yet another lawsuit (we’ve lost count of how many they’ve filed) attempting to block construction of the final 8% of Mountain Valley Pipeline (MVP). The Clubbers asked the U.S. Court of Appeals for the Fourth Circuit to “temporarily” block a permit issued by the U.S. Fish and Wildlife Service (see 
Believe it or not, there are still two environmentalist wackos living up a tree in Montgomery County, Virginia, preventing work crews for Mountain Valley Pipeline (MVP) from cutting trees to clear a path for the pipeline. This has been going on for years and frankly, everyone is tired of it. A county judge has found the two cowards not willing to reveal their names (known as Tree-sitter 1 and Tree-sitter 2) in contempt of court. Starting today if they don’t come down, they are both on the hook for a $500 per day fine.
We were wrong. In August MDN told you that the tenth and final mini-train had gone online at Kinder Morgan’s Elba Island, Georgia LNG export facility (see 
Antero Resources, one of the largest drillers in the Marcellus/Utica, working primarily in West Virginia, has just won a major sales tax case in the WV Supreme Court that affects the entire oil and gas industry, including M-U drillers.
The Enverus U.S. rig count rose by 3 to 382 over the past week. Prior to that, the count rose by 20, 11, 11, and 13 for each of the four weeks prior, respectively. That’s up 58 rigs over the past five weeks! The Marcellus and Utica each remained constant last week (same as the week before), not adding and not dropping. The Marcellus stands at 27 rigs, and the Utica at 6.
The Dept. of Energy’s National Energy Technology Laboratory (NETL) is actually five laboratories, including locations in Pittsburgh, PA, and Morgantown, WV. The current director is West Virginian Dr. Brian J. Anderson (great guy!). NETL recently published a notice on its website to talk about the “generational opportunity” to leverage the superabundance of natural gas in the Marcellus/Utica. NETL, says Anderson, is on the case and has a new initiative to leverage M-U gas.
Eastern Shore Natural Gas Company (ESNG), a subsidiary of Chesapeake Utilities Corporation, filed a request with the Federal Energy Regulatory Commission (FERC) in Sept. 2018 to build 19+ miles of new pipeline, called the Del-Mar Energy Pathway Project, in Delaware and Maryland. Last week the Maryland Dept. of the Environment (MDE) approved the project. Now the project must pass by the Board of Public Works (BPW). We give it a 50/50 chance of getting approved by the three libs on the BPW.
Monday night the radical Sierra Club hosted a virtual town hall in which people could complain about the Mariner East 2 (ME2) pipeline project. And complain they did. The aim of the virtual complaint session is to try and close down the already up-and-running ME pipelines (plural), and most particularly prevent the final bit of ME2X from getting completed. By airing sob stories, the Clubbers are hoping to bully the state Dept. of Environmental Protection and/or the Governor into blocking further work on the project–a project just a few months from being done.
In June, the Pipeline and Hazardous Materials Safety Administration (PHMSA), in conjunction with the Federal Railroad Administration (FRA), published final rules to allow specially constructed tanker cars for railroads (DOT-113 tank cars) to ship LNG (see 