The Battle for Dawn Hub Begins: M-U vs. Western Canada
Canadian natural gas customers in Ontario and Quebec can expect to begin paying less for their gas, courtesy of their American cousins. Starting last week, Marcellus/Utica gas is now flowing all the way to the Dawn Hub in Ontario, via the Rover Pipeline connected to the Vector Pipeline (see M-U Gas Now Travels to Dawn Hub in Canada via Rover Pipeline). Western Canadian producers beat Rover to the punch last year when TransCanada radically reduced prices to cart gas thousands of miles away to the Dawn Hub (see Canadian Lowball Shipping Works, Grabs Market Share from U.S.). Now that M-U gas is also hitting the Dawn Hub, there’s an abundance (over abundance?), which has driven prices to their lowest in 10 years. The battle for Dawn Hub, between M-U and Canadian gas, has begun, and Canadian gas customers are already winners…
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It’s been a long, tough fight to get the Mariner East 2 Pipeline (ME2) project built. In fact, it’s still not 100% built (it is about 98% done). Construction on a tiny section near Philadelphia is currently being stopped by a liberal judge (see 
Elections have consequences, including local elections. Here’s a story that caught our eye because it’s so unusual (“man bites dog” type of story). Donegal Township in Westmoreland County (southwestern PA) is a rural township: population 2,465 people living in 42 square miles. There was some Marcellus well drilling in the town several years ago, but after WPX plugged wells in the town (see 
Who knew that Quakers, formally known as the “Religious Society of Friends” or “Friends Church,” could be so, well, unfriendly? Turns out the Quakers, who at first blush you might think are conservative, like the Amish, are far-left liberals. At a recent meeting of the Roanoke Friends, the Quakers adopted a statement (below) to “speak out against two natural gas pipelines [Mountain Valley Pipeline and Atlantic Coast Pipeline] proposed in Virginia, and all pipelines transporting gas extracted by hydraulic fracking. Fracking is a process documented to contaminate air and water with toxic chemicals, accelerating climate change and encouraging our dependence on fossil fuels.” Sorry my Quaker friends, but you just out-and-out lied. Fracking is not documented to contaminate air and water with toxic chemicals. Period. If you have real scientific evidence to the contrary, please produce it. If we take them at their word, the “friendly” Quakers want all pipelines that flow natural gas everywhere–including the ones that feed their own homes (!)–to be shut down. All pipelines, including local utility pipelines that feed the homes of millions of Americans, flow “fracked” gas. Most gas these days is “fracked.” The “friendly” Quakers also state their support of illegal, law-breaking protesters who sit in trees against a judge’s order, to stop work on pipelines. The Quaker Friends in Roanoke have shown themselves to be just one more non-thinking, knee-jerk reacting group of liberals who really don’t know what they’re talking about…
We’re happy to report that “Fern” and “Decard” have joined “Ink,” “Sprout,” “Red” and “Nutty” back here on Mother Earth. No, we’re not talking about a new Disney “Snow White” remake (Sneezy, Sleepy, Dopey, et al). The names we listed are the names of so-called protesters who have been sitting in the tops of trees (or in the case of Fern and Nutty, on top of poles) in Virginia, part of an illegal action to prevent the construction of the Mountain Valley Pipeline. These last two protesters, Fern and Decard, were recently forced down to earth and arrested. Pipeline construction through the areas they once occupied has resumed. Which is good news. This bunch of kooks were making a mockery of our justice system. Nutty was a woman who sat on top of a pole for nearly two months. Yeah, her self-selected nom de guerre was appropriate. She finally came down two weeks ago when she ran out of Snickers bars (see 
We admire President Trump and the job he’s doing–and aren’t afraid to say so publicly. However, we don’t always agree with his decisions and policies. This is one of those times. In fact, we strongly disagree with a new Trump policy. President Trump has decided that the nation’s electricity grid, in order to be “secure” and not vulnerable to outages, needs to have a diversity of sources producing electricity. Even if those sources (coal and nuclear) are no longer economic. Natural gas, and to a far less degree, renewables like wind and solar, are replacing both coal and nuclear power plants. The gas is abundant, it’s cheap, it burns clean and just makes sense. Yet powerful lobbying interests for coal and nuclear have convinced Trump that without their higher-priced electricity in the mix, the country is somehow threatened. That’s bunkum. Last Friday, President Trump ordered Dept. of Energy Secretary Rick Perry to “prepare immediate steps” to stop the coal and nuke plants from retiring. That is unfortunate. Obama picked energy winners and losers. Fossil fuels like coal were targeted for extinction by Obama. Now, Trump is doing the same thing but in reverse. By propping up coal and nuclear, he will make electricity far more expensive for everyone. The right answer here, as it always has been, is to let the free market work…
Eclipse Resources, a Marcellus/Utica pure play driller headquartered in State College, PA, announced in March the company is looking for another company to buy, or (more likely) for another company to buy them (see 
Not long after the Pennsylvania legislature passed the Act 13 Marcellus Shale drilling law in 2012, signed into law by then-Gov. Tom Corbett, seven selfish towns sued, claiming they should have the right (via zoning laws) to determine just where an oil and gas well can be located within their borders. The challenge was brought by rabid anti-drillers and appealed all the way to the PA Supreme Court, where unfortunately the antis won (see 
In October 2016, after five years in the making, Pennsylvania adopted new shale drilling regulations (see 
On Friday, a small group of anti-drilling Democrats and RINOs introduced a “bi-partisan” resolution that would create yet another black hole to dump taxpayer money into–a so-called Commission to Study Pipeline Construction and Operations that would “recommend improvements for the safe transport of oil, natural gas and other hazardous liquids through pipelines.” The “bi-partisan” (meaning TOTALLY partisan and anti-pipeline) members include Republicans in Name Only from the Philadelphia area coupled with virulent antis from the Democrat party. They do their best, with the help of sycophantic supporters in the media, to make it sound like an unbiased, impartial look at how to make pipelines safer and better. It’s nothing of the sort. It’s a commission aimed at shutting down any more pipeline development in the Keystone State. The good news, if there can be said to be good news, is that resolutions and in this case the commission it would create have zero ability to impose laws or regulations. It is an exercise in bloviating, giving a bunch of windbags a forum from which to bash fossil fuels and the methods used to extract and transport them. We predict this resolution is going nowhere fast…
A farmer who raises Angus beef cattle in East Millsboro (Fayette County), PA, in the southwestern corner of the state, claims that a shale well drilled on his property in 2010 by Atlas Energy (now owned by Chevron) created a “seep” that is affecting the health of his cattle. A seep is a place where water/liquids leak out of the ground. Soon after the well was drilled the farmer began to have trouble with his yearling heifers not getting pregnant. For those grazing near the well, only half got pregnant. The farmer then kept his herd from grazing near the well and noticed the pregnancy rate went from half to 100%–except for those who had previously grazed near the well. They continue to struggle with no pregnancies and miscarriages. All of which sounds like conclusive evidence that there is a problem with the well leaking something into the environment. However, both Chevron and the state Dept. of Environmental Protection have investigated and have not found any evidence that the well is impacting the health of the farmer’s herd. What do you do in a case like that?…
