Industrywide Issues

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    Is Certification Needed for Shale Producers? IES Says it Helps

    Last week MDN told you that Southwestern Energy is participating in a program to get their gas “certified” (see Southwestern Sells 1st Certified “Responsible Gas” to NJ Resources). What is certified gas? Is that like “certified organic” fruits and vegetables? Actually, it is kind of like that. The Independent Energy Standards Corporation (IES) has launched what they call their TrustWell™ Responsible Gas Program certification program to certify that natural gas bearing that label is “responsibly developed.” Such a designation is meant to imply the company doing the extracting (Southwestern in this case) has followed certain guidelines and procedures to safeguard the environment. Certification is a marketing/public relations tactic to be sure. The question is, is it worth it? How much does it cost to become certified? What do you have to do to become certified? And ultimately, will such certification actually help you sell more of your gas? One thing is for certain, nutty antis won’t care–so if you’re trying to appease them with certification, you can forget it. Won’t work. But, there are others (more reasonable people) who may put stock in such a certification. Is it a trend? The next “big thing?” We don’t know. What we do know (or have) is an interview with Jory Caulkins, CEO of IES, talking about his organization’s new certification and what it can mean for drillers…
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    Big Green Exposed: List of Liberal Foundations Donating $3.7B

    From 2008 to 2016, liberal foundations forked over $3.7 billion (!) to rabid anti-fossil fuel groups. Much of that money went into suing fossil fuel companies (and the government), attempting to outlaw fracking and the extraction of oil, gas and coal. The money is given to groups like THE Delaware Riverkeeper, Food & Water Watch, the Sierra Club and other odious bottom feeders. The media would have you believe it’s David vs. Goliath–David being these innocent little green groups, Goliath is Big Oil. It’s actually the opposite. We are fighting against a well-organized, well-funded campaign to end the use of fossil fuels. And now, finally, we have a tool to identify who is behind all that money. A new website called Big Green, Inc. lists the donors AND recipients of that $3.7 billion, money aimed at so-called climate change issues. Who’s on the list? All of the groups we’ve already identified, and groups we’ve written about for years, including the William Penn Foundation, Park Foundation, Sea Change Foundation, California billionaire Tom Steyer’s foundation, Google billionaire Eric Schmidt’s foundation, and others…
    Read More “Big Green Exposed: List of Liberal Foundations Donating $3.7B”

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    Local NatGas Pipes Explode Near Boston Killing 1, Injuring 25

    You don’t often think of the safety of the pipeline network that delivers natural gas to your home or business because it’s so rare there are any problems with it. When’s the last time you heard about a local delivery pipeline exploding? Last Thursday a major incident occurred 25 miles northwest of Boston when delivery pipelines owned by Columbia Gas (NiSource) in three communities–Andover, North Andover and Lawrence–exploded and caught fire at “more than 60 locations.” The explosions and resulting fires tragically killed one teenager and injured some 25 others. Local officials ordered over 8,000 residents and businesses in the three communities to evacuate, turning off electric and gas. Each house and business was then tested before turning electricity back on (gas is still off). Residents were finally able to return to their homes on Sunday. It’s a huge incident, a big, fat, stinking mess. Folks waited in lines for hours at claims centers to file requests for reimbursement for hotels and expenses after being displaced from their homes–only to have the claims centers close because Columbia couldn’t handle the numbers. On Friday, Massachusetts Gov. Charlie Baker declared a state of emergency in the three communities. Later in the day on Friday, he invoked a little-used (and little-known) provision in the state constitution that allowed him to take management of the crisis away from Columbia/NiSource, giving management of the crisis to a competitor, Eversource. Although it’s still early in the investigation process, the cause of the explosions appears to be a combination of old/decaying pipes with too much pressure flowing through them. Attention has turned to pressure sensors along the pipelines. Yesterday Columbia/NiSource announced it will replace all 48 miles of the cast iron and bare steel pipeline system in that area. Meanwhile, the affected 8,000+ residents and businesses will not have gas service restored “for weeks” at a minimum…
    Read More “Local NatGas Pipes Explode Near Boston Killing 1, Injuring 25”

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    Moxie Freedom Marcellus-Fired Plant Near Wilkes-Barre Online

    Moxie Freedom

    The 1,000-megawatt Moxie Freedom Marcellus-fired power plant located near Wilkes-Barre, PA is now “transitioning to commercial operation.” The plant is up and running and soon will be feeding the electricity it produces into the local power grid. In June 2014, MDN broke the news that Moxie Energy was in the hunt to begin a third new Marcellus gas-powered electric plant project in Pennsylvania, near Wilkes-Barre (see Moxie Energy in Hunt for Third Marcellus-Powered Electric Plant?). In November 2015, Moxie selected Gemma Power to build the plant, and construction began a month later (see Moxie Marcellus-Powered Electric Plant Breaks Ground in NEPA). In June 2017, Caithness Energy (the owner) issued an update to say the plant will go online in May of this year (see NEPA Moxie Freedom Power Plant on Track for May 2018 Launch). That didn’t happen. However, we spotted a local newspaper article that quotes plant officials as saying they are right now in the process of transitioning to commercial operation…
    Read More “Moxie Freedom Marcellus-Fired Plant Near Wilkes-Barre Online”

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    EdgeMarc Energy Sued for Failing to Pay Overtime – Class Action

    Last Wednesday a single person employed by EdgeMarc Energy in Ohio filed a lawsuit against the company in federal court claiming he was “misclassified” as an independent contractor when in reality he was functioning as a full-blown employee. Why does it make a difference? Because independent contractors (1099s) are paid a straight, per-hour rate no matter how many hours they work, whereas employees must, under federal (and state) law, be paid overtime for any hours worked over 40. The worker alleges the company intentionally uses independent contractor status to wiggle out of paying overtime, and that he’s not the only one. Normally one disgruntled employee suing an employer is not newsworthy–but in this case the law firm is attempting to get the lawsuit certified as a class action, potentially covering hundreds of workers. And that IS a big deal…
    Read More “EdgeMarc Energy Sued for Failing to Pay Overtime – Class Action”

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    7 Green Groups Attack Shell Ethane Pipeline “Exemptions”

    Seven radical green groups–Sierra Club, Clean Air Council (CAC), FracTracker Alliance, Earthworks, PennFuture, Breathe Project, Environmental Integrity Project–sent a protest letter last week to the Pennsylvania Dept. of Environmental Protection objecting to a request by Shell that its 97-mile Falcon Ethane Pipeline be granted certain air permit exemptions. Shell is asking the DEP to determine whether or not (hopefully not) any emissions coming from the pipeline would be “minor sources,” exempting the pipeline from certain permits. The rads are telling the DEP to deny that request, in an attempt to slow or even stop the project. With no ethane, Shell’s $6 billion cracker plant, currently under construction, can’t begin operation. Will the DEP do the right thing and ignore these nutters?…
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    Antis Convince Libertarian Group to Oppose Mountain Valley Pipe

    We have to confess we have a lot in common, philosophically, with Libertarians. We like the philosophy of live and let live–as long as what you do (or what I do) doesn’t hurt the other person, nobody has a right to stop you (or me) from doing it. But the Libertarian philosophy does have its quirks–things we don’t agree with. Sometimes wacky. Like support for legalizing pot smoking. Can you imagine a bunch of potheads driving down our roads? We don’t care if they want to stone themselves into oblivion in the privacy of their own homes–but we do have public safety concerns. A fine line/balance between the public good and private freedom. Here’s another case of public good vs. private freedom: pipelines. We’ve always had a tough time with the use of eminent domain for pipelines. But in the end, the greater public good is served by running pipelines, and if there’s one or two landowners here and there who refuse to deal, eminent domain is regrettably, sometimes necessary. As a last resort. The Niskanen Center, a “right-leaning” Libertarian think tank, has just entered the pipeline debate by filing a “friend of the court” brief with U.S. Court of Appeals for the District of Columbia Circuit, siding with radical anti-fossil fuelers against the Mountain Valley Pipeline. The Niskanen Center is understandably concerned about landowners’ property rights being infringed. Unfortunately, they’ve allowed themselves to be used by antis, people whose political philosophy is closer to Mao Tse Tung (Communist) than it is to freedom for everyone. How could the Niskanen Center be so easily duped? We think we know. They believe in the fairy tale of man-made global warming, which appears to color their view of freedom. If they can fall for that one, they’ll fall for anything…
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    Corrupt: Dem Govs, AGs Sell Their Offices & Power to Big Green

    Warning: Knowledge of what’s happening in the offices of governors like Jerry Brown (California) and Andrew Cuomo (New York), and their attorney generals, will make you want to throw up–at the overt corruption. A pair of research reports from the Competitive Enterprise Institute (CEI) shines a very bright light on what is major corruption at the highest levels of our state governments. One report, titled “Law Enforcement for Rent: How Special Interests Fund Climate Policy through State Attorneys General” (full copy below) details how Democrat Attorney Generals in various states, including New York and Maryland, are selling access to their offices to Big Green groups. AGs can only make so much mischief. They have budgets that control how many staffers they can hire. In order to circumvent those hiring limits, Big Green groups are funding lawyers and assistants to help AGs sue fossil fuel companies–they work right in the AG’s office! If it’s not outright illegal, it’s certainly unethical. State legislatures need to pass laws now to prevent this kind of abuse of our legal system to favor one side over another. The law is supposed to be blind and impartial, not weighted against one side or the other. If that weren’t bad enough, CEI published a second study titled “Government for Rent: How Special Interests Finance Governors to Pursue Their Climate Policy Agenda” (full copy below) showing how some Democrat governors are doing the same thing–allowing outside, paid-by-Big-Green staffers to be added to their operations in an attempt to slander and smear fossil fuel companies. Andrew Cuomo’s office is one of the offenders. THIS MUST STOP…
    Read More “Corrupt: Dem Govs, AGs Sell Their Offices & Power to Big Green”

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    PA Antis Trot Out “Secret Chemicals Used in Fracking” Claim, Again

    This is getting really old. Every few years lying antis recycle the same debunked meme that “frackers” are trying to hide the identity of big, bad nasty chemicals they use to extract shale gas. The implication is those chemicals will kill you. And if you only knew what those chemicals were, why, you’d be outraged! And demand an end to all fracking. Problem is, it’s a total lie. Chemicals are FULLY reported by drillers, for every single well they drill. But that doesn’t stop antis repeating the same meme every few years. It’s just popped up again, in Pennsylvania. The Partnership for Policy Integrity, a shell/front group for Big Green radicals, has just released a totally fictional “report” that supposedly proves drillers in PA are hiding “secret chemicals” from the public. The report, which is titled “Keystone Secrets: Records Show Widespread Use of Secret Fracking Chemicals is a Looming Risk for Delaware River Basin, Pennsylvania Communities” (full copy below), is total BS. Made up. Lies. And yet mainstream news sources pick it up and run with it, believing and spreading the lies…
    Read More “PA Antis Trot Out “Secret Chemicals Used in Fracking” Claim, Again”

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    PA Harms Drillers, Pipelines with Over-Strict Methane Rules

    Fugitive Methane

    Pennsylvania Gov. Tom Wolf’s Administration fiddled with regulations to cut down on so-called fugitive methane emissions from drilling and pipelines for years. The regulations are known as General Permit 5 (GP-5) and General Permit 5A (GP-5A). GP-5 applies to pipelines and compressor stations, while GP-5A applies to well pads and drilling. The new regs went into effect in August–but only for new, not existing sources of methane emissions. Have no fear, Wolf has a plan to apply the same onerous regulations to existing sources starting next year (see Other Shoe Drops: PA Methane Emissions Regs for Existing Sources). Here’s the thing, PA’s standards are worse (far tighter) than federal regulations from the Obama EPA. Earlier this week the Trump Administration proposed to right-size the Obama EPA’s overly-harsh methane regulations for oil and gas (see Trump EPA Releases Less Onerous Methane Regs for Oil & Gas). Yet Pennsylvania refuses to follow suit and relax their new, over-the-top regulations. Which means they are intentionally harming the shale industry in PA, putting it at a disadvantage to the shale industry in other states by making it harder (and much more costly) to do business in PA…
    Read More “PA Harms Drillers, Pipelines with Over-Strict Methane Rules”

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    Court Dismisses Claim New England Utilities Manipulated Gas Mkt

    The U.S. District Court for the District of Massachusetts has, finally, dismissed a sham lawsuit against Eversource Energy and Avangrid Inc. Last October the radical Environmental Defense Fund (EDF) published a “report” that makes the preposterous claim that New England customers have overpaid utility bills by $3.6 billion due to collusion between the natural gas and electricity industries (see EDF Accuses New England Gas Utilities of $3.6B Market Manipulation). The report said New England utility companies Eversource and Avangrid intentionally manipulated the flow of gas along the Algonquin natural gas pipeline by placing and later withdrawing orders, in order to spike the cost of gas which then spiked the cost of electricity generated by the resulting higher cost of gas. It is a totally made-up, false report. A group of ambulance-chasing lawyers found enough people to sign up to launch a class action lawsuit against Eversource and Avangrid for market manipulation (see New England Lawsuit Claims Utilities “Constrained” NatGas Pipeline). In February, the Federal Energy Regulatory Commission weighed in and told EDF its so-called study is “flawed” and there is “no evidence” of capacity withholding by Eversource and Avangrid (see FERC Dismisses EDF Claim New England Utilities Manipulated Gas Mkt). And now the courts have done the same, dismissing the lawsuit, saying the litigants had “not stated a cognizable antitrust claim”…
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    Could Atlantic Coast Pipe Feed LNG Exports from South Carolina?

    This is all kind of speculative, but we find it intriguing and exciting. If you’ve read MDN for any length of time, you’re read about Dominion Energy’s 600-mile Atlantic Coast Pipeline, which will run from West Virginia through Virginia and into North Carolina–near the border with South Carolina. Unfortunately construction is currently on hold following revocation of some permits by a federal court, and an order from the Federal Energy Regulatory Commission in August to stop work on the entire project, for now (see FERC Shuts Down ALL Work on Atlantic Coast Pipeline). That won’t last–progress is being made to rework the necessary permits to the court’s liking, and Dominion has asked that FERC lift the stop work order for the rest of the line in the meantime (see Atlantic Coast Pipeline Asks FERC to Lift Stop-Work Order). At any rate, here’s where it gets interesting. Late last year a top Dominion official speculated that his company will look to expand Atlantic Coast into more of North Carolina, and extend it across the border into South Carolina, after the initial project is complete (see Atlantic Coast Pipeline’s Future Plans: Expand in NC & SC). In addition to building Atlantic Coast, Dominion is also in the process of buying South Carolina-based SCANA Corporation, the main electric and gas utility for most of South Carolina (see Dominion Buys SCANA, Mulls Atlantic Coast Pipe Expansion into SC). Antis are now connecting the dots and say if Dominion buys SCANA and if Dominion extends Atlantic Coast into SC, they believe an LNG export facility will get built in either Georgetown or Charleston to export Marcellus/Utica gas coming south…
    Read More “Could Atlantic Coast Pipe Feed LNG Exports from South Carolina?”

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    Downstream Chemical Investment Linked to Shale Hits $200 Billion

    Earlier this week the American Chemistry Council (ACC) announced that U.S. chemical and plastics industry investment linked to plentiful and affordable domestic supplies of natural gas and natural gas liquids (NGLs) from shale formations has surpassed $200 billion. That is a staggering number! Incomprehensible. Since 2010, 333 chemical industry projects cumulatively valued at $202.4 billion have been announced, with 53% of the investment completed or under construction, and 41% in the planning phase. Some 68% of the total is foreign direct investment or includes a foreign partner. Other countries love our shale! As good as all that is, consider this: ACC analysis shows that the $202.4 billion in capital spending could lead to $292 billion per year in new chemical and plastics industry output and support 786,000 jobs across the economy by 2025! Behold the miracle of shale fracking. Here’s the mind-blowing, fantasticly good news…
    Read More “Downstream Chemical Investment Linked to Shale Hits $200 Billion”

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    17 Governors Disadvantage Their States to Appease Global Warmists

    While we’re not a climate science web site, this misguided notion that mankind is causing the earth to catastrophically warm up is at the heart of irrational fossil fuel hatred–and motivates otherwise smart people into becoming bumbling fools, willing to do extraordinarily stupid things. Take, for example, the governors of 17 states–14 Democrats and three Democrat-lites (RINOs)–who recently signed a declaration to severely disadvantage their own states with so-called environmental measures that will supposedly save Mom Earth (and defeat Donald Trump, of course). These are all people who have drunk deeply from the Obama Kool Aid. Trump can’t do a single, solitary thing to revise, change, tweak or relax the massive over-regulation done by Obama, or “It’s the end of the world. We’re killing mankind. It’s an emergency. We must save the world from The Donald.” It’s freaking bizarre to watch. These states, already on the decline, will further decline economically while watching their neighbors do better. These states, all 17 of them, are being disadvantaged by the actions of their chief executives. We have the list below…
    Read More “17 Governors Disadvantage Their States to Appease Global Warmists”

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    MarkWest Plans to Build New Marcellus/Utica NGL Pipeline

    Yesterday MarkWest Liberty NGL Pipeline, a subsidiary/part of MarkWest Energy (now MPLX since being bought out and merged into Marathon Petroleum in late 2015), announced plans to build a new NGL pipeline. MarkWest Liberty launched a binding open season for the new pipeline–a time when drillers can sign on the dotted line to reserve capacity along the new pipeline. The new NGL pipeline is a bit different than other NGL pipelines in the Marcellus/Utica. It will pick up NGLs from several of MarkWest’s gas processing plants in Pennsylvania and West Virginia, and cart the NGLs to fractionation facilities owned by MarkWest in PA and Ohio, where those NGLs will get separated into their discrete hydrocarbon components. Let us explain it this way: Step One is that the gas comes out of the ground. But it’s not all just methane–there’s a number of other hydrocarbons (natural gas liquids, or NGLs) mixed in with it, things like ethane, butane, propane, pentane. The raw mix goes to a cryogenic processing plant where the methane (i.e. natural gas) is separated out and sent on its way to market via pipelines like Rover and Rockies Express and others. Step Two: The NGLs need further separating. That’s what a fractionation plant does. This new pipeline from MarkWest Liberty (the Marcellus unit of MarkWest) will cart the mixed bag of NGLs to fractionation facilities. After being separated into component parts, the components can then be sold. Which fits with MarkWest’s prior statements that in 2018 they would focus on creating new markets for Marcellus/Utica NGLs, butane in particular (see MarkWest Building 6 New Processing Plants, 3 Fractionators in 2018). So, which processing plants will the pipeline connect to, and which fractionation plants? The announcement does not say, and there is no PDF document available with the details, at least not publicly. For that, you need to contact MarkWest directly. We do, however, have a map of MarkWest’s facilities…
    Read More “MarkWest Plans to Build New Marcellus/Utica NGL Pipeline”

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    Revolution Pipeline Explosion in W PA – What We Know So Far

    The Pennsylvania Public Utility Commission (PUC) is taking the lead in investigating the Energy Transfer Revolution Pipeline explosion and fire that happened in Beaver County early Monday morning (see Revolution Pipeline Near Pittsburgh Explodes – Home & Barn Destroyed). The PUC issued an update yesterday outlining what they know so far about the incident. PUC Chairman Gladys Brown cautioned that it’s still too early to draw any conclusions, although the working theory is that there was a landslide in the area due to continuous heavy rain for weeks. Brown said the engineers and investigators need time to investigate. No instant answers. Continuing bad weather in the area has hindered the investigation. PUC pipeline safety engineers have, however, confirmed a few facts about the incident…
    Read More “Revolution Pipeline Explosion in W PA – What We Know So Far”