CNX Hits Major Problem Fracking Utica Well Near SWPA Reservoir
When people communicate, that’s a good thing. When a shale well “communicates” with nearby conventional wells, that’s a bad thing. And that’s what happened with a CNX Resources Utica well being fracked in Westmoreland County last week.
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A huge crack of sunshine has just shown through the court system with respect to pipeline projects. A case decided on Jan. 25 in the DC Circuit Court of Appeals which technically has nothing to do with either the Williams Constitution Pipeline project nor the National Fuel Gas Company Northern Access Pipeline project (both being blocked by New York State), may be the one court decision to break open the logjam and allow both projects to begin construction.
Speaking of National Fuel Gas Company’s Northern Access Pipeline project, NFG asked the Federal Energy Regulatory Commission (FERC) last November to extend the project timeline by an extra three years, to give them more time to fight with Cuomo in court and actually get the pipeline built once lawsuits from the state are exhausted (see
In November, Dominion Energy said that their 600-mile Atlantic Coast Pipeline (ACP) would be delayed, with a partial startup in 2019 and full startup for everything else in mid-2020 (see
The Pennsylvania Chamber of Business and Industry (PA Chamber) recently filed a brief in Commonwealth Court opposing THE Delaware Riverkeeper in a case that still has us angry and baffled. The case brought by Riverkeeper is clear across the state, hundreds of miles from the Delaware River Basin where Riverkeeper supposedly operates, and attempts to force a local municipality to adopt zoning ordinances it doesn’t want to adopt. And it involves Martians.
Last week a pipeline at a single Michigan compressor station caught fire and exploded (see
Yes, we told you so. We told you that if our friends in PA were to unwisely reelect Tom Wolf for a second (and thankfully final) term as governor, he would continue to fight for a Marcellus-killing severance tax each and every year of his ignominious second term. Democrats (and some Republicans) just can’t keep their hands off other people’s money–it’s in their DNA.
In November the Pennsylvania Supreme Court agreed to hear a case, Briggs v. Southwestern Energy, that is hands-down the most important court case to ever happen regarding the Marcellus Shale in PA. And no, we’re not exaggerating. A blizzard of briefs by Southwestern and those supporting Southwestern were filed earlier this week.
Tallgrass Energy, builder and operator of the mighty Rockies Express (REX) pipeline which is a critical link that flows Marcellus/Utica gas to Midwestern markets, dropped a bombshell announcement yesterday. The company said that investment firm Blackstone is buying a “controlling” interest in the company. Which raises the question, will Blackstone indeed “control” the company?
The U.S. Energy Information Administration recently published its Annual Energy Outlook for 2019. Among the numbers EIA released are predictions about how much natural gas liquids (NGLs) the U.S. will produce between 2018 and 2050. EIA says production will go up 32% over that period, to 5.8 million barrels per day (b/d). Guess where most of that increase will come?
Here’s an interesting twist on the theme of drillers shorting leaseholders out of royalty money. Usually such cases involve drillers claiming post-production deductions from landowner royalty checks. This time the landowner/rightsholder is Columbia Gas Transmission (pipeline company owned by midstream giant TransCanada), and the claim is that Southwestern Energy (driller) is not paying royalties for gas produced but not actually sold.
The folks who keep track of these things expect today’s record-cold polar vortex in the Midwest and northeast (coldest temps in more than a generation, hey, what was that about global warming?) will create the highest demand/usage of natural gas for a single day–ever. Prognosticators also predict a “freeze-off” in the Marcellus/Utica, causing a temporary 1 Bcf/d decrease in production.
Canadian pipeline giant TransCanada, which owns the Columbia Pipeline system here in the U.S., blames the Marcellus/Utica for a huge drop in volumes flowing through its Canadian Mainline from Western Canada to Ontario and Quebec.