Industrywide Issues

  • | | | | | |

    Murrysville PA Approves Dominion Plan to Expand Compressor Stn

    Dominion recently received an important approval from Murrysville, PA (Westmoreland County) Council to expand the existing JB Tonkin compressor station. The expansion is part of Dominion’s Supply Header Project, a $500 million project of approximately 38 miles of natural gas pipeline and modified existing compression facilities in West Virginia and Pennsylvania. The project will provide natural gas supplies to various customers, including (most importantly) the $5 billion Atlantic Coast Pipeline (ACP) Dominion plans to begin building this year. Some residents resisted the approval voicing concerns about noise. As part of the approval, Dominion agreed to conduct a post-construction noise survey, even though technically they don’t have to. Here’s an update on the Murrysville approval of this important piece of what ultimately will feed ACP…
    Read More “Murrysville PA Approves Dominion Plan to Expand Compressor Stn”

  • | | |

    OH State Converts Shale Gas into Methanol with No CO2 Emissions

    Clever researchers at Ohio State University have figured out a way to convert shale gas into products like methanol and gasoline–all while *consuming* carbon dioxide. That is, the process yields zero CO2 emissions (which will thrill global warming believers). Of course the process converts one fossil fuel into another, and just because it’s called “fossil fuel” the warmers still won’t be happy. Whatever. This is exciting new technology with big potential. Not only does the conversion not emit any CO2, it actually *uses* CO2 from outside sources–sopping up some of that over-abundant CO2 that comes from cow burps (and flatulation). The same researchers have also figured out how to use a chemical reaction to “transform” coal into electricity (without burning the coal). Pretty heady stuff. We’d almost call it alchemy! Here’s the lowdown…
    Read More “OH State Converts Shale Gas into Methanol with No CO2 Emissions”

  • | | | | |

    Weatherford Sells U.S. Fracking Business to Schlumberger for $430M

    Schlumberger is the world’s largest oilfield services (OFS) company. Weatherford International is the world’s fourth largest OFS company. They both have operations in the Marcellus/Utica region. We’ve posted a number of stories about Weatherford’s financial troubles–and seemingly inevitable march toward bankruptcy (see our stories here). However, Weatherford got a reprieve from its much larger competitor. In March 2017, Schlumberger and Weatherford announced they had formed a joint venture called OneStim, “to deliver completions products and services for the development of unconventional resource plays in the United States and Canada land markets. The joint venture will offer one of the broadest multistage completions portfolios in the market combined with one of the largest hydraulic fracturing fleets in the industry” (see Schlumberger Throws Weatherford a Lifeline, Challenges Halliburton). However, in December, Weatherford signaled they want to/need to sell off parts of the company in order to claw their way out of a $7.9 billion debt hole (see Weatherford Looks to Sell Off Pieces of the Business). First on the chopping block? The JV with Schlumberger. Weatherford announced in late December that instead of a joint venture with Schlumberger, they’re just going to sell their U.S. pressure pumping and pump-down perforating assets to Schlumberger for $430 million in cold, hard cash. In other words, Weatherford has just exited the fracking business in the U.S….
    Read More “Weatherford Sells U.S. Fracking Business to Schlumberger for $430M”

  • | |

    Jodie Foster has Fracking on the Brain

    Vapid Hollywood stars and starlettes are always amusing. They often display their total ignorance in very public ways. Thing is, they’re stupid and they don’t even know it. They fall prey to their own publicity, thinking that because millions of people know who they are and love them (for their acting abilities), that gives them above average intelligence. The latest Hollywood dumb dumb to make a fool of herself is Jodie Foster. In a recent interview, Foster trash-talked the current trend of big budget superhero movies. She calls them the cinematic equivalent of fracking. Foster doesn’t even know what fracking is, or that the clothes she wore while uttering such inanities are the result of fracking. Or that the plastic microphone she spoke into was created as a result of fracking. Or that the jets she flies on, the Hollywood mansion she lives in, etc. etc. are all a result of fracking. What a glittering jewel of colossal ignorance is Jodie Foster…
    Read More “Jodie Foster has Fracking on the Brain”

  • | | | | | |

    Chesapeake Agrees to $30M Royalty Settlement for PA Landowners

    Chesapeake Energy is holding out an olive branch to Pennsylvania landowners–the offer of settling a years-old class action lawsuit for $30 million–as reparations for shafting PA landowners out of royalties. But–and it’s a big but–Chesapeake is also snatching the olive branch away unless/until the PA Attorney General’s office resolves its separate lawsuit against Chesapeake for the same thing. No deal with the AG? No final settlement. Chesapeake’s lawyer calls it “global peace”–which we find amusing. The lawyer said “we need global peace,” meaning both lawsuits must be settled. His comment reminds us of the recent song blaring on the radio over the holidays called, “My Grown-Up Christmas List.” Yeah, don’t we all want “global peace.” Chesapeake’s proffered deal will give the average PA leaseholder (some 14,000 of them) a one-time $2,140 payment–adjusted up or down for the size of their acreage. Frankly, it’s chump change. The big concession by Chesapeake in the proposed deal is that it gives landowners the right to clarify the terms of their leases: “Every Chesapeake lessor will get to pick how their royalties are paid going forward.” Landowners can choose to continue letting Chesapeake market the gas outside of the region (theoretically for a higher price) but requiring the landowner to share in post-production expenses with Chessy as has been the case, OR landowners can rework the lease so there are no post-production expenses deducted. In the second case royalties will be based on the local price of gas in that landowner’s area (typically in the basement). It’s a tough decision. So, landowners got shafted in the past, but the past is the past. Going forward, let’s not get shafted any more. That’s what this proposed deal seems to boil down to. Oh, and throw in a few grand as the cherry on top. The billion dollar question is whether or not the AG’s office will go for it. The AG’s office is signaling it may settle, IF Chesapeake picks a number higher than $30 million as a settlement number…
    Read More “Chesapeake Agrees to $30M Royalty Settlement for PA Landowners”

  • | | | | |

    CNX Resources Clipped $433.5K for Groundwater Violations in SWPA

    The Pennsylvania Dept. of Environmental Protection (DEP) has fined CNX Resources (formerly CONSOL Energy/CNX Gas) $433,500 for violations at four shale well sites in Greene County, PA. The violations, which happened in 2015/2016, include failure to control and dispose of wastewater properly and failure to prevent erosion. Some of the flowback/wastewater ended up in a small stream called Jacobs Run. We always find the language of these announcements by the DEP somewhat strange: “CNX Gas Company, LLC (CNX) has agreed to two civil penalties totaling $433,500 for violations at well sites in Greene County.” Really? The company getting fined has to “agree” to accept the fine? Apparently we don’t fully understand how regulatory agencies work in PA. What if CNX didn’t agree to the fine? Would the DEP come back with a lower amount, “Will you accept this fine instead?” But we digress. CNX themselves noticed the problems and self-reported the violations. After doing so, they fired two of the service companies they were using. The unnamed service companies were obviously guilty of cutting corners that resulted in improper disposal of wastewater. Interesting factoid: Half of all the wells CNX has drilled in PA are located in Greene County…
    Read More “CNX Resources Clipped $433.5K for Groundwater Violations in SWPA”

  • | | | | |

    PA’s Largest NatGas-Fired Elec Plant Near Scranton Nears Startup

    It’s been a long road, but we’re finally close to startup for the first phase of what will be Pennsylvania’s largest gas-fired electric generating plant near Scranton, PA. The Invenergy plant, dubbed the Lackawanna Energy Center (located in the community of Jessup), will produce 1,480 megawatts of electricity when it’s fully built and running. Construction crews are hard at work in frigid temperatures, working to complete the first of three combined-cycle generator units. The work is 80% done on the first unit and on track to be completed by February. The plant is certainly having an impact on locals–both good and bad. On the bad side, we previously reported that antis in the Jessup community exacted their revenge on local political leaders for approving the plant by removing them from office (see Scranton Antis Get Political Revenge for Gas-Fired Power Plant). Hey, it’s a hard knock life. On the positive side, when MDN editor Jim Willis was visiting family in the area over the Christmas holiday, he heard family members talking about the “huge” plant going up. And they’re happy about it! As we reported in early December, a pipeline to feed the plant is now almost done (see UGI Pipeline to Feed Scranton NatGas-Fired Power Plant “On Track”). However, there is a cloud on the horizon that may delay a February start. The antis that threw out previous town board members take their seats today. Invenegy needs a final town approval to hook up to the town’s sewer system to handle some 56,600 gallons of “wastewater” (heated water) per day. Look for the antis to make trouble and try to delay the approval. Here’s an update on PA’s biggest gas-fired electric plant, coming online (hopefully) soon…
    Read More “PA’s Largest NatGas-Fired Elec Plant Near Scranton Nears Startup”

  • | | | | | |

    Atlantic Sunrise Pipeline Dismantles Old Barn in Pipeline’s Path

    STOP PRESS! 1/2/18 – 2:00 pm – Below is the full, original post MDN issued two hours ago. Our reporting was based on an article in the very biased Citizens’ Voice, a daily newspaper published in Wilkes-Barre, PA by the same rabidly biased, anti-drilling owners of the Scranton Times-Tribune. We should have known–the article published by the Citizens’ Voice was egregiously WRONG. It left out important facts that completely change the story. Williams reached out to MDN to set the record straight. In a nutshell, Williams’ original route for the Atlantic Sunrise Pipeline through Luzerne County totally missed a barn on the property of Dale Wilkie. Wilkie asked Williams to reroute the pipeline across his property–through his barn! Williams obliged, offering him a generous amount for the easement PLUS Williams offered to build Wilke a brand, spanking new barn to replace the old one! Wilke got estimates to rebuild the 100-year old barn as it is, using chestnut wood, making the estimate astronomically high ($400,000). This puts the entire story in a new light. We have more below from Williams responding to the Citizens’ Voice journalistic malpractice…

    Read More “Atlantic Sunrise Pipeline Dismantles Old Barn in Pipeline’s Path”

  • | |

    New England’s Lack of Pipelines = Most Expensive Gas in the WORLD

    Baby it’s cold outside! This was predictable (and indeed, MDN did predict it). With the arrival of an extended cold period, because of a lack of natural gas pipeline capacity in New England, recent spot prices for natgas near Boston have spiked to more than $35 per thousand cubic feet (Mcf). It gives New England the dubious distinction of paying the highest average price for natural gas in the entire WORLD. The price for the same gas about 250 miles away in the Marcellus? Between $1-$2/Mcf. And yet the dunderheads in New England, like U.S. Sen. Elizabeth “Pocahontas” Warren, continue to block new pipelines in the region. “Stupid is as stupid does,” as Forrest Gump said. We hope our friends in New England enjoy paying through the nose and every other orifice they possess over the next few weeks, until the arctic blast subsides…
    Read More “New England’s Lack of Pipelines = Most Expensive Gas in the WORLD”

  • | | | | | |

    PTT Global Chemical Officially Delays Cracker Decision Until 2018

    PTT Global Chemical, based in Thailand, continues to delay a final investment decision (FID) regarding their much-ballyhooed ethane cracker project in Belmont County, OH. In April 2015, PTT announced they are interested in building a ~$5 billion ethane cracker plant complex in Belmont County, OH (see It’s Official: Belmont County Chosen as POSSIBLE Cracker Plant Site). In May 2016, a story in the Bangkok Post said the final investment decision (FID) will definitely come in 2017. In December 2016, Belmont County officials said the FID would come by the end of March this year (see OH Cracker Final Decision Coming Soon, Site Now Cleared & Ready). But in February, PTT said the FID won’t come until “late 2017,” which is “several months later than we originally announced” (see PTT Global Delays Final Investment Decision for OH Ethane Cracker). Two weeks ago a PTT representative said the company will make some sort of an announcement “by the end of the year” (see PTT Global Final Decision re Belmont Cracker Plant Late Again). We now have the announcement: “PTTGC America will have a significant update that will demonstrate momentum for this project early in 2018. We thank all Ohio and Belmont County partners for their support, and we wish you a happy holiday season.” So the big announcement is that there will be another big announcement in “early 2018.” Yeah, we’re becoming irritated at being teased that the decision is just around the corner…
    Read More “PTT Global Chemical Officially Delays Cracker Decision Until 2018”

  • | | | | | |

    PA Fed Judge Rejects Class Action in Chesapeake Royalty Case

    Yesterday a Pennsylvania federal judge denied a group of 600+ Marcellus Shale landowners’ request to form a class action in arbitrating a royalty case against Chesapeake Energy. Although the judge’s decision is a disappointment for landowners, his decision should come as a surprise. In April, the same judge, U.S. District Judge Matthew Brann for the Middle District of PA, telegraphed that the landowners, under the law (and under the leases they signed) did not have a right to form a class action (see Chesapeake Scores Court Victory to Prevent PA Royalty Class Action). However, the landowners continued to pursue it by appealing the judge’s initial decision. Brann, in rendering yesterday’s decision, begins his written ruling with a quote from the Lord of the Rings: “Short cuts make long delays.” His point: The landowners tried to short circuit the legal process and they can’t. Landowners will need to individually litigate/arbitrate their cases with Chesapeake. The judge lectured landowners that they could have already been well on their way to a resolution of their individual cases had they not stubbornly continued to pursue class action arbitration. Below we have a brief background on the case to better understand the decision, followed by a copy of Judge Brann’s decision from yesterday… Read More “PA Fed Judge Rejects Class Action in Chesapeake Royalty Case”

  • | | | | | | | | |

    Atlantic Coast Pipe Asks FERC to Begin Tree Cutting in WV, VA, NC

    Dominion’s $5 billion Atlantic Coast Pipeline (ACP) project recently asked the Federal Energy Regulatory Commission (FERC) for permission to begin clearing trees along the path of the pipeline in all three states where the pipeline will run: West Virginia, Virginia, and North Carolina. FERC approved the project in October (see FERC Approves Atlantic Coast, Mountain Valley Pipeline Projects). However, two of the three states–Virginia and North Carolina–have not yet given final water crossing permits for the project (see Atlantic Coast Pipeline Delayed in Virginia by Water Board Vote and NC Plays “Death by a Thousand Questions” with Atlantic Coast Pipe). ACP isn’t letting state agencies put a damper on the project. Just a few weeks ago ACP announced it had signed contracts with four labor unions to do the construction work, and had filed eminent domain lawsuits against holdout landowners who have refused to negotiate leases (see Atlantic Coast Pipe Gets Ready to Build: Union Help, Eminent Domain). And now ACP is asking FERC for permission to begin clearing trees, giving antis apoplexy…
    Read More “Atlantic Coast Pipe Asks FERC to Begin Tree Cutting in WV, VA, NC”

  • | | | | | | | |

    PA PUC Votes to Let ME2 Pipe Restart Construction in West Goshen

    In July, West Goshen Township, in the Philadelphia suburb of Chester County, won a temporary victory in their efforts to stop Sunoco Logistics’ Mariner East 2 (ME2) NGL pipeline in their community (see Judge Temporarily Stops ME2 Valve Station in West Goshen). West Goshen objected to Sunoco building a new valve station. West Goshen wanted the valve station built next to an existing Mariner East 1 valve station, but Sunoco wanted to build the new station across the street from that location, citing safety concerns. West Goshen appealed a decision by the state Public Utility Commission (PUC) allowing Sunoco to build the valve station where they wanted to build it. In July an administrative law judge agreed with West Goshen, stopping not only construction of the valve station, but also construction of the ME2 pipeline itself through the township. Fast forward to today. Sunoco has given up the fight to build the West Goshen valve station, so yesterday the PUC voted 3-2 to allow Sunoco to restart construction of the pipeline in West Goshen. Of course the antis who run West Goshen like a private fiefdom are objecting because Sunoco hasn’t said what their alternative to building the valve station (a safety feature) will be. Hey, West Goshen’s “leaders” were the ones who didn’t want the valve station in the first place! West Goshen’s “leaders” are the ones who have made the pipeline through their community “less safe” because they didn’t want the valve station. Now they need to live with their bone-headed actions–and answer to their voting constituents…
    Read More “PA PUC Votes to Let ME2 Pipe Restart Construction in West Goshen”

  • | | | |

    NY Resident (& Lawyer) Sues DEC in Federal Court re Frack Ban

    In 2015 MDN told you about an Allegany County, NY attorney who had filed a lawsuit against the New York Dept. of Environmental Conservation (DEC) over their infamous frack ban. It was the first such lawsuit to be filed against the DEC since the frack ban was officially declared (see It’s Official: Cuomo Bans Economic Opportunity & Prosperity in NY). The lawsuit was filed in state Supreme Court in Allegany County. Don’t be fooled by the Supreme Court label. In screwed-up NY, Supreme Court is one level up from county court. The judge tossed the case saying the attorney/landowner didn’t have standing to file the lawsuit in the first place because he never had a permit to drill on his property. The Appellate Division upheld the decision against the attorney/landowner earlier this year. You see, in NY, everything is rigged–even our judicial system, where the judges want to protect their cushy jobs (appointed by our corrupt governor, Andrew Cuomo). The attorney/landowner from Allegany is back. This time he filed the same lawsuit in federal court–bypassing Cuomo-appointed judges. We have a copy of the 95-page complaint filed in U.S. District Court for the Western District of New York…
    Read More “NY Resident (& Lawyer) Sues DEC in Federal Court re Frack Ban”

  • | | | | | | |

    Antis Meet with PA Gov. Wolf, Ask Him to Illegally Block ME2 Pipe

    A group of six radical Democrats who oppose the Mariner East 2 pipeline through southeast Pennsylvania met yesterday with Democrat Gov. Tom Wolf to gripe and moan–and to ask Wolf to illegally shut down construction of the pipeline (a pipeline which is now 91% done). Wolf politely listened–and then did nothing. Which is good. The radicals hold out hope that Wolf will change his mind and use his executive authority under Title 35 (dealing with health and safety) as an excuse to shut down all ME2 construction. Good luck with that. A statement issued later in the day by a Wolf spokesman seems to indicate the governor is punting any decisions about shutting down construction over to the Public Utility Commission. Yesterday the PUC vote to allow already-shut-down ME2 construction in one SE PA town to resume (see today’s story, PA PUC Votes to Let ME2 Pipeline Restart Construction in West Goshen). All of which says to us that Wolf won’t do a thing to stop completion of ME2, which angers the radicals all the more…
    Read More “Antis Meet with PA Gov. Wolf, Ask Him to Illegally Block ME2 Pipe”

  • | |

    New FERC Chairman Launches Review of Pipeline Approval Process

    Yesterday the Federal Energy Regulatory Commission (FERC) held its first public meeting with Kevin McIntyre as its new chairman. Delivering on a promise McIntyre made during his Senate confirmation hearing, the new chairman announced that FERC will conduct a top-to-bottom review of its 1999 policy statement that governs how the commission conducts reviews of pipeline projects. The news lit up the swamp (inside the Beltway of Washington, D.C.), with Big Green groups becoming positively giddy at the thought that FERC may “get serious” about considering the hoax of man-made global warming in its decisions on whether or not to authorize new pipelines. At this point, the review and what it may result in, is all speculation. The statement released by FERC following yesterday’s meeting (see it below) says, in essence, “stay tuned” and offers no details about this top-to-bottom review. The greenies are speculating, so why can’t we? We speculate that following this review, FERC will figure out a way to cut down on the frivolous lawsuits filed by Big Green groups that delay pipeline projects for years. And we speculate that FERC will figure out how to handle rogue states, like New York, who refuse to obey federal law. What if that’s the end result of this review? Don’t forget, four of the five members sitting on the Commission are Trump appointees–and three of those four are Republicans. You really think this commission is going to introduce man-made global warming flummery as part of the criteria they use in evaluating a new pipeline project? If you think that, we want some of what you’re smoking…
    Read More “New FERC Chairman Launches Review of Pipeline Approval Process”