Industrywide Issues

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    Google Needs to Crack Down on Fake Fractivist News

    Back in June 2015, MDN told you about an edgy new pro-fracking website called FrackFeed.com–designed along the lines of BuzzFeed, a news and entertainment site aimed at Millennials (see FrackFeed Site Uses Pop Culture to Spread Truth about Fracking). FrackFeed, like BuzzFeed, contains short, “pithy” articles–but in FrackFeed’s case the articles respond to and expose the lies peddled by anti-drillers, using humor. The format is meant to be easily “consumed” on a smart phone and shared with others. Of course the “cool, hipster” anti-drilling nutters are flustered that pro-drillers are turning one of their own tools against them–exposing them for the humorless mind-numbed robots they are. We love it when someone figures out how to get under their skin! The FrackFeed hipsters have done it again. On May 8, FrackFeed sent an open letter to the mighty Google, asking Google to monitor and demote fake fracktivist news. Love it! Facebook and Google have recently initiated campaigns to label so-called fake news (a VERY disturbing trend that private companies are now arbiters of what is considered authentic and what is considered fake, but that’s a topic for another post). In the well-footnoted and researched letter, FrackFeed points out some of the whopping lies about fracking told by organizations like the Sierra Club. FrackFeed totally refutes the Sierra Club’s false claims and encourages Google to demote their trash talk in search results. We’re not holding our breath… Read More “Google Needs to Crack Down on Fake Fractivist News”

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    Why does Big Oil Continue to Support Horrible Paris CO2 Treaty?

    Something has befuddled us for a long time. Why would Big Oil companies–like ExxonMobil, Shell and BP–actually support the international climate agreement that caps carbon dioxide emissions from the fuels they extract? In December 2015, then-President Barack Hussein Obama signed the Paris Agreement (otherwise known as COP21) that forfeits the national sovereignty of the United States in the name of so-called man-made global warming (see Paris Climate Treaty Signed by Obama NOT Binding on U.S.). Obama and nearly every country of the world signed the climate agreement/treaty committing the nations of the world to lower carbon dioxide emissions. You know, CO2–the stuff you exhale with every breath you take. Yeah, that stuff is supposedly warming up ole Mom Earth, catastrophically. Except it’s not. There is no empirical data that shows the earth is heating up–only doctored computer models. Satellite data shows the opposite–the average temp of Mom Earth is not heating up and hasn’t been for 20 years. Look it up. But facts aren’t what the Paris agreement was about. We can tell you what the agreement is about in two simple points: (1) transferring massive amounts of hard-earned wealth away from America to other countries, via a carbon tax; (2) banning the use of all fossil energy. On the campaign trail Donald Trump expressed the desire to opt out of the agreement (an agreement never ratified by the Senate, meaning it’s not binding). But now he’s equivocating. One reason is his Secretary of State, Rex Tillerson, former CEO of Exxon and supporter of the agreement. Again we ask, why in the world would Tillerson and others actually support this disastrous treaty?…
    Read More “Why does Big Oil Continue to Support Horrible Paris CO2 Treaty?”

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    Mountaineer NGL Storage Facility in OH Under Construction

    We spotted a story that makes reference to an ethane storage facility currently under construction in Monroe County, OH. That got our attention. The story said that Energy Storage Ventures has plans to begin storing ethane in the underground facility by the end of 2018. Who’s Energy Storage Ventures? We went looking and discovered it’s another name for the Mountaineer NGL Storage project that we’ve been covering. In April 2016, Mountaineer NGL Storage (aka Energy Storage Ventures) announced an open season for a new underground NGL storage facility in Monroe County, Ohio, near Clarington, along the Ohio River (see New Company Announces Open Season for NGL Storage in Ohio Utica). The open season was a success, and in October 2016, Mountaineer completed a test well in the salt formation (see Mountaineer NGL Storage Test in OH a Success, Construction in 2017). But the last word we had on the project, in April of this year, said that construction had not yet begun due to problems with red tape (see Mountaineer NGL Storage in Monroe County, OH Caught in Red Tape). Yet this new story says, “contractors continue working to build the caverns required for storing up to 168 million gallons of ethane and other natural gas liquids more than one mile underground.” Which we take to mean there is active work going on at the site. That, for us, is new news–that the Mountaineer NGL Storage facility is *currently* under construction…
    Read More “Mountaineer NGL Storage Facility in OH Under Construction”

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    Thai Company Banpu Invests in Another 34 Marcellus Wells in NEPA

    One year ago, Banpu Pcl, Thailand’s largest coal producer, invested $112 million to purchase Range Resources’ Marcellus non-operated JV operations in Bradford County, PA (see Thai Company Buys Out Range Resources’ JV in NEPA for $112M). The “Chaffee Corners Joint Exploration Agreement” gave Banpu an ownership share in 62 producing wells and another 14 wells waiting on completion, and a share in 170+ more drilling locations. Talisman is the operator of the wells and the company that does the drilling (Banpu is just an investor). Banpu liked it so much, they did it again in January of this year (see Thai Company Banpu Makes 2nd Investment in Northeast Marcellus). The January deal gave Banpu a 10.24% stake in 10,000 acres of Marcellus leases, once again in northeastern PA, for $63 million. Chief Oil & Gas is the driller on the acreage in the second deal. Then in March, Banpu signed an agreement to invest $16 million into a venture with Tug Hill Marcellus (see Thai Company Banpu Invests Another $16M in PA Marcellus Wells). It seems that Banpu can’t get enough of the Marcellus in northeastern PA. The company just announced a fourth deal to invest in more NEPA acreage and wells. How many wells? What county is the new deal located in? And which driller is the operator of that acreage? We give you the details you won’t find elsewhere…
    Read More “Thai Company Banpu Invests in Another 34 Marcellus Wells in NEPA”

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    Rover Gets Serious About Mud Spills, Asks FERC for OK to Drill

    While reviewing documents filed with the Federal Energy Regulatory Commission (FERC) for the Energy Transfer Rover pipeline project, we came across a letter filed by ET yesterday. The letter (full copy below) addresses the recent “inadvertent return” (i.e. major leak) of 2 million gallons of drilling mud in a swamp next to the Tuscarawas River (Stark County, OH). Following that leak and other leaks, FERC told Rover to stop any new underground drilling not already under way (see FERC Slaps Rover Pipeline with Stop Drilling Order). In yesterday’s letter, Rover says they have hired a new firm, GeoEngineers, to review all of the plans and data around drilling horizontally underground (horizontal directional drilling, or HDD) in locations where you can’t dig a trench. Rover is also posting GeoEngineers personnel at each HDD location, to help supervise HDD activities. But wait, there’s more! Rover is hiring extra watchers at each HDD location to watch for the first signs of, the first bubble, that indicate drilling mud isn’t staying underground where it belongs. Given all of what Rover is doing (there is more, read it in the letter), Rover then goes on to ask FERC, can Rover please please please drill in two spots where all of the equipment is ready to go? Those spots are Captina Creek in Belmont County, OH, where Rover wants to complete the Clarington lateral, and Middle Island Creek in Tyler County, WV, where Rover wants to complete the Sherwood lateral. Rover argues it will do more harm to the environment to pull down erosion control devices and move equipment out and back in, than if they just went ahead and did the work now. Will FERC agree?…
    Read More “Rover Gets Serious About Mud Spills, Asks FERC for OK to Drill”

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    Private Historic Group Wants Rover to Pay $1.5M/Yr, Rover Says No

    We’re not sure we have the full, 100% story, but we have enough of it to have some righteous anger. In May 2015, Rover purchased a house in Carroll County, OH, located near where the pipeline, and a compressor station for that pipeline, is due to run. Rover bought the house to use for offices for several Rover affiliate companies. After buying it, Rover determined the house was “ill-suited for its intended purpose” and decided to demolish it. Problem was/is, that house was under consideration to be added to the National Register of Historic Places (see Rover Pipeline in Hot Water Over Demolishing Historic House in OH). The house was not yet on the list of Historic Places, but was on a list of properties under consideration. FERC says Rover should have reported their decision to demolish the house, which landed Rover in hot water with FERC and the Advisory Council on Historic Preservation. How do you fix problems like this one? You pay–of course. Rover agreed to pay out $2.3 million “to a fund administered by the Ohio History Connection Foundation and the State Historic Preservation Office. A total of $1 million is for preservation work in the 18 counties crossed by the pipeline. The rest of the money will be used for projects across the state” (see Rover Pipeline Paying $2.3M for Knocking Down Historic OH House). So Rover didn’t pay a fine. Instead, they paid hush money. A shakedown, with the money going to a PRIVATE nonprofit organization. Yes, the Ohio History Connection Foundation is a private non-profit organization. And they got $2.3 million at the direction of the federal government. Now the history buffs want more. To be precise, they say Rover owes them $1.5 million per year for the next five years. Why? Apparently it’s not related to knocking down the “historic” house, but is some sort of agreement that Rover made with them to cover whatever other damage is done to historic locations during construction of the pipeline. We call it an elaborate shakedown. “Those pipeline companies have more money than God. Let’s grab some of it.” Ohio History Connection says Rover has missed its first payment, so they went whining to FERC. Rover is disputing Ohio History Connection’s claim that it owes them one red cent more… Read More “Private Historic Group Wants Rover to Pay $1.5M/Yr, Rover Says No”

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    Youngstown Antis Seek to Legalize Anarchy with 7th CELDF Petition

    A nation without laws is not a nation. Virulent anti-drillers in Youngstown, OH have now tried six times to pass a so-called Community Bill of Rights ballot measure–and have failed all six times, the most recent last November (see Youngstown, OH Frack Ban Ballot Measure Defeated for 6th Time). The local yokels are pawns, useful idiots, for an ultra-radical group from Pennsylvania called the Community Environmental Legal Defense Fund (CELDF). The CELDF is behind dozens of such efforts, none of which has been successful. The CELDF is also behind a number of bizarre lawsuits–like the one claiming that an ecosystem is a “person” with rights (see CELDF Loses Case to Represent Ecosystem – Turtles Disappointed). The CELDF has the local anti yokels in Youngstown amped up again–circulating a seventh petition for a ballot measure. But this time is different. In addition to the usual no fracking, no pipelines pablum, this petition has language that makes it legal to break the law. You read that right. If the ballot measure were to pass, and if an anti got it into her head to sit in front of a bulldozer that was about to clear ground for a wellpad, or dig a trench for a pipeline, the police would not be able to arrest and remove the anti. It would be within her rights to sit there and block legal, legitimate activity–all in the name of saving the planet. Apparently the brains of the locals are so fried, they don’t realize that if everyone just decides which laws they want to obey or disobey, you soon descend into Lord of the Flies. Mob rule. Anarchy…
    Read More “Youngstown Antis Seek to Legalize Anarchy with 7th CELDF Petition”

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    EIA Drilling Report: More Record Production Coming in June

    On Monday, MDN’s favorite government agency, the U.S. Energy Information Administration (EIA), issued our favorite monthly report–the Drilling Productivity Report (DPR). The DPR is the EIA’s best guess, based on expert data crunchers, as to how much each of the U.S.’s seven major shale plays will produce for both oil and natural gas in the coming month. Get ready to break new records–again! In June, we will once again hit the highest output of shale gas we’ve seen, ever. Output in the Marcellus/Utica region is set to once again reach new highs. In the Marcellus, output will pass 19 billion cubic feet per day (Bcf/d). Astonishing! In the Utica, output will hit 4.4 Bcf/d. Shale oil output across all seven major plays is set to hit 5.4 million barrels per day, up 122,000 barrels in just one month. Perhaps the biggest eye opener is that the shale play with the biggest uptick in natural gas production will be–the Permian. An oil play! When you drill like crazy for more oil, you also get natural gas out of the hole along with the oil. It’s called “associated gas.” And because the Permian (in Texas) is red hot with drilling, it makes sense natural gas production will spike up too. Buckle up and get ready for another wild ride in the month of June…
    Read More “EIA Drilling Report: More Record Production Coming in June”

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    Dominion Contacting First Responders re Atlantic Coast Pipeline

    Atlantic Coast Pipeline (ACP), Dominion Energy’s $5 billion, 594-mile natural gas pipeline that will stretch from West Virginia through Virginia and into North Carolina, has begun an outreach program with Local Emergency Planning Committees in several West Virginia counties. The pipeline is not yet fully approved by the Federal Energy Regulatory Commission (FERC). Dominion expects that approval sometime this fall (see Dominion CEO Says Atlantic Coast Pipeline is Full Speed Ahead). However, Dominion and ACP would not be wasting their time and the time of local first responders with meetings, if they didn’t believe the project is already in the bag. So we take these meetings as a good sign that ACP is on the way… Read More “Dominion Contacting First Responders re Atlantic Coast Pipeline”

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    Now We Know: Lib Dems Wanted FERC Nominees for Grandstanding

    Things that don’t make sense, don’t make sense for a reason. You have to keep digging until you get to the truth. We’re referring to our previous posts where we scratched our heads over calls by both House and Senate Democrats (very liberal, very anti-drilling) for President Trump to hurry up and nominate commissioners to the quorumless Federal Energy Regulatory Commission (see Anti-Drilling Democrats Ask Pres. Trump to Fill Up FERC and Senate Democrats Send Letter to Trump Requesting New FERC Members). We said at the time, this doesn’t make sense. If FERC is out of action and can’t approve new pipeline projects, that’s a good thing (for lib Dems who hate fossil fuels). So why would they want FERC back up and running? Now we know: They don’t really want it up and running. They simply wanted nominees so they could grandstand and try to stop the nominees they demanded in the first place, from actually getting confirmed. It’s sick. It’s sleazy. It’s the reason people find Washington, DC a disgusting swamp that needs to be drained–OF THEM. Now that Trump has nominated two extremely qualified people to be FERC commissioners (see Trump Nominates 2 New FERC Commissioners – Powelson & Chatterjee), the Dems are pledging to hold up the confirmation process… Read More “Now We Know: Lib Dems Wanted FERC Nominees for Grandstanding”

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    Goldboro LNG Export Plant on the Hunt for Marcellus Assets

    Just last week MDN told you that Pieridae Energy has signed a labor agreement to build the Goldboro LNG export facility along the shore of Nova Scotia, Canada (see Update on Goldboro LNG – Labor Agreement Signed to Build). The U.S. Dept. of Energy approved the plant for exporting to non-free trade agreement counties in February 2016, an indication that Marcellus/Utica gas will flow to the plant (see Goldboro LNG Project Gets Final DOE Approval – Good for Marcellus). As we’ve previously pointed out, gas to feed this new export facility will likely come from the Marcellus/Utica via the Maritimes & Northeast Pipeline. However, Goldboro can also get gas from TransCanada’s pipeline system–sourced from Western Canada. A Reuters story provides new details about Pieridae Energy’s plans for the project. Pieridae CEO Alfred Sorensen told Reuters the company is not just looking to buy gas on the open market, but looking to buy a driller or assets (leased acreage someone else is drilling on), to feed the plant. Pieridae is looking at both Western Canada AND in the Marcellus. The other tidbit we glean from the story is that the plant will cost on the order of $7.3 billion to build–the first time we’ve seen a number associated with the project… Read More “Goldboro LNG Export Plant on the Hunt for Marcellus Assets”

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    DEP Grants Air Permit for 2nd Gas-Fired Elec Plant Near Scranton

    The largest (so far) Marcellus Shale-gas fired electric plant in Pennsylvania is currently under construction in Lackawanna County, PA (near Scranton). The Lackawanna Energy Center, being built in Jessup by Invenergy, will produce 1,480 megawatts of electricity. However, there is a second, smaller Marcellus-fired electric plant also in the works. Last October, MDN brought you the news that Archbald Energy Partners, a collaboration between Canada-based EmberClear Corp. and New Jersey-based DCO Energy, wants to build a plant in Archbald, PA (again, near Scranton) that will produce 485 megawatts of electricity (see 2nd NatGas Electric Plant Proposed for Lackawanna County, PA). The Pennsylvania Dept. of Environmental Protection (DEP) announced yesterday they have issued an air quality permit for the Archbald project. This is an important step in the process of building the plant. Although more permits will be needed, we’d say the major hurdles have now been crossed. Below is the DEP announcement, a copy of the full air quality permit issued (68 pages), and responses to comments from members of the community who complained about the project…
    Read More “DEP Grants Air Permit for 2nd Gas-Fired Elec Plant Near Scranton”

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    DEP Appeals $4.5M Wastewater Leak Fine Against EQT to Supremes

    There’s a reason hospitals and court rooms are frequently the settings for soap operas on TV–there’s always so much drama surrounding medicine and the law–the latter of which is our focus today. In January MDN reported what seemed like the final chapter in a long, drawn-out case between Marcellus driller EQT and the Pennsylvania Dept. of Environmental Protection (DEP). In October 2014, the DEP fined EQT a whopping $4.53 million for a leaky wastewater impoundment in Tioga County, PA (see PA DEP Levies Biggest Fine Ever, $4.5M Against EQT). While EQT did not say there wasn’t a problem with leaks at the site, they did say the way the DEP calculated the fine is unreasonable and arbitrary. In fact, EQT says the DEP levied the fine and took EQT to court because a few weeks prior EQT had sued the DEP over a different matter–that is, sour grapes. EQT appealed the fine and the case all the way to the PA Supreme Court. In December 2015, the high court handed EQT a “procedural victory” by saying EQT has a point about the manner in which the DEP is calculating the fine (see PA Supreme Court Gives EQT “Procedural Victory” in $4.5M Fine Case). The Supreme Court sent the case back to a lower court, PA Commonwealth Court, for follow up work, and in January 2017, a three-judge panel ruled that the method the DEP currently uses to assess fines–by how many days pollution lingers, instead of by how many days the initial release of pollution lasted–is not legal nor common sense (see EQT Wins Court Case Against PA DEP re $4.5M Wastewater Leak Fine). The judges said such a method in fining, “would result in potentially limitless continuing violations.” Under the old way of calculating fines, the DEP was considering upping the fine on EQT to an insane $157 million. Calculating it under the new way will mean a fine of around $120,000. We thought with that ruling it was all done and dusted. Not so. The soap opera continued when the DEP appealed the Commonwealth Court panel’s ruling back up to the PA Supreme Court where the Supremes will consider it all over again. When you read the “friend of the court” brief just filed by those supporting the DEP in their case, it’s a Who’s Who of Big Green organizations and virulent anti-drillers–which tells you all you need to know about which side is in the right in the case of EQT v DEP… Read More “DEP Appeals $4.5M Wastewater Leak Fine Against EQT to Supremes”

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    Turns Out OEPA & Columbus Dispatch Were Lying – Rover NOT Fined

    Early last week MDN brought you the news that Energy Transfer’s Rover Pipeline project has been fined by the Ohio Environmental Protection Agency (OEPA) for $431,000 for “18 incidents involving mud spills from drilling, stormwater pollution and open burning at Rover pipeline construction sites have been reported between late March and Monday” (see Ohio EPA Slaps Rover Pipe with $431K Fine for Spills, Other Issues). Based on OEPA’s report to the Federal Energy Regulatory Commission, FERC then told Rover to stop any new horizontal drilling underground (see FERC Slaps Rover Pipeline with Stop Drilling Order). But at the end of last week, a spokeswoman for Energy Transfer told the ace reporters at Natural Gas Intelligence that Rover has NOT been fined by the OEPA (see ET Disputes Ohio EPA Action on Rover, Says there Is No $431K Fine), which led us to say in our opening: “Somebody somewhere isn’t telling the truth.” We now know who didn’t tell the truth: the OEPA and the Columbus Dispatch… Read More “Turns Out OEPA & Columbus Dispatch Were Lying – Rover NOT Fined”

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    ME2 Drilling Leaks 575 Gal of Bentonite Mud into Delco Creek

    Sand bags placed to contain a leak of bentonite clay into Chester Creek. Credit: Middletown Coalition for Community Safety

    When pipeline companies lay a pipeline–they dig a trench. But what happens when you come to a road, or a river, or a creek or another structure where you can’t just dig a trench? For those places, you drill horizontally underground–kind of like what shale drillers do. When drilling horizontally underground, the drill bit gets hot and needs to be cooled, so drilling “mud” is piped in to cool the bit as it chews away. Drilling mud for pipelines is, essentially, bentonite–a nontoxic clay. Bentonite is used to make shampoo, deodorant, toothpaste and kitty litter. You’ve probably already used a product today that contains bentonite. Sometimes when drilling, the bentonite mud leaks out–traveling along cracks in the rock. It’s called an “inadvertent return” in the business. We call it a leak. Fortunately, bentonite can leak all day long and it doesn’t pollute anything. However, if enough of it leaks into a river, stream, or wetland (i.e. swamp), it can smother aquatic life. Poor little critters can’t breathe. And that’s not good. Such leaks are what have slowed down progress on building the Rover Pipeline in Ohio–where one such incident leaked 2 million gallons of drilling mud (see Rover Pipeline Accident Spills ~2M Gal. Drilling Mud in OH Swamp). A leak of 575 gallons of drilling mud into a creek is hardly worth mentioning, but it recently happened when Sunoco Logistics was drilling horizontally under the Chester Creek in Delaware County (near Philadelphia) for the Mariner East 2 pipeline project. According to the Pennsylvania Dept. of Environmental Protection, not a single fish was killed in the leak… Read More “ME2 Drilling Leaks 575 Gal of Bentonite Mud into Delco Creek”

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    Murrysville, PA Drilling Ordinance – Anatomy of a Compromise

    Westmoreland County, PA – click for larger version

    Pennsylvania State regulations require a “setback” of 500 feet from the bore hole of an oil or gas well when it’s drilled. That means there can be no habitable structures (house, school, barn, etc.) within 500 feet of where the hole gets drilled. Last fall in Murrysville Township (Westmoreland County), the town council proposed a 1,000 foot setback–doubling the state requirement. Such a setback would eliminate much of any future drilling planned in the town. Public hearings were held and the Marcellus industry let it be known a lawsuit will follow if the town persists in such a restrictive setback ordinance. After much toing and froing, Murrysville Town Council approved a new ordinance on May 3–with a 750 foot setback from the edge of the well pad (not from the bore hole). It’s still quite restrictive, but apparently acceptable to the industry. Only one town council member (out of seven) voted against the new ordinance–an anti-driller… Read More “Murrysville, PA Drilling Ordinance – Anatomy of a Compromise”