Industrywide Issues

Carroll County | Hydraulic Fracturing | Industrywide Issues | Ohio | Research

Chorus Grows Louder for U of Cinci to Release Fracking Study
March 7, 2016March 7, 2016

The chorus is getting louder for the University of Cincinnati to release the results from a detailed study of water wells in Carroll County, OH undertaken by researchers at the university. We previously told you that the lead researcher shared some high level results from the study, and those results show that fracking in areas where there are water wells doesn’t affect those wells (see Antis Not Happy with Results of OH Fracking Study They Funded). Two anti-drilling groups were the primary funders of the study–Deer Creek Foundation in St. Louis and the Alice Weston foundation from Cincinnati. The two groups immediately cut their funding when they heard results they believe they didn’t pay for (see Anti Groups Abruptly Cut Funding for OH Fracking Study). But here’s the thing: They were not the only funders. The researchers also accepted public money–an $85,714 grant from the Ohio Board or Regents and the use of a spectrometer purchased through a $400,000 grant from the National Science Foundation. That’s public money–and the research is public research that should be released immediately. U.S. Andy Thompson, R-Marrietta, and the U.S. Chamber of Commerce are now calling on the university to release the study. Below we have their calls for the university to cough up the research, along with comments from a researcher involved with the study…
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Industrywide Issues | Ohio | Statewide OH | Taxation

Insanity: Ohio Dems Seek 7.5% Severance Tax in Severe Downturn
March 7, 2016March 7, 2016

Ever wonder why the Democrat refrain is always to raise taxes–never to cut spending. What is that? Perhaps they’re born with a “taxing” gene. The innocent-sounding but rabidly partisan group Policy Matters Ohio (founded by, led by, populated by, run by Dems) is once again making the case that because local governments get less revenue in this current downturn, with production in the Utica Shale continuing to expand, Ohio should tax the @#$% out of drillers by increasing the severance tax–as if the money earned by drillers/private businesses (at great risk and hard work) somehow belongs to politicians in Columbus with sticky fingers…
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Garrett County | Hydraulic Fracturing | Industrywide Issues | Maryland | Regulation

Maryland Continues to Shoot Itself in the Head re Shale Drilling
March 7, 2016March 7, 2016

Even the Republicans in Maryland are Democrats. That’s the only conclusion we can come to, to explain why politicians in Maryland keep shooting themselves in the head with respect to shale drilling. First, the state, under former governor Martin O’Malley (who tried to run for the Democrat nomination for president and washed out) studied fracking for four long, bloody years. There’s only drillable shale deposits under 1.5 counties in the entire state–in the far western corner (Garrett County and Allegany County). As he was leaving office, O’Malley–to his credit–teed up new fracking regulations that would allow the state to begin fracking THIS YEAR. Then the new Republican governor, Larry Hogan, took office as a supporter of natural gas. He promptly wimped out after the legislature voted on a new two-year moratorium. The legislators from Garrett & Allegany counties voted FOR the moratorium! Insane. And now, the Garrett County Commissioners are considering a frack ban around one of the lakes in the county. Hello! There ain’t that many places to drill in the first place in Maryland!…
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Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Litigation | PennEast Pipeline | Pipelines | Regulation

THE Delaware Riverkeeper Sues FERC, Tries to Close it Down
March 4, 2016March 4, 2016

Maya van Rossum – THE Delaware Riverkeeper

We thought radical leftists, like Maya van Rossum aka THE Delaware Riverkeeper, loved the heavy hand of Big Government. It appears she and her ilk only love CERTAIN Big Government agencies, like the federal EPA–those they can influence toward their radical anti-fossil fuel agenda. THE Delaware Riverkeeper is attacking a government agency–the Federal Energy Regulatory Commission–the agency charged with reviewing and approving (or not approving) interstate pipeline projects. Maya and company sued FERC on Wednesday with the sole purpose of shutting down the entire agency by defunding it. Delaware Riverkeeper filed their lawsuit against FERC in U.S. District Court for the District of Columbia–one of the most liberal jurisdictions across the country. The lawsuit claims FERC can’t objectively make decisions about projects like the Penn East Pipeline (running from the Wilkes-Barre area to New Jersey) because FERC derives some of its operating revenue from the projects it either approves or does not approve. That’s its rationale for attempting to shut down an entire agency of the federal government. This is Riverkeeper’s last ditch “Hail Mary” effort to stop the Penn East Pipeline project…
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Coterra Energy (Cabot O&G) | Energy Companies | Industrywide Issues | Litigation | Pennsylvania | Susquehanna County

Dimock Trial Update: Parents Use Their Kids to Rescue Case…Fail
March 4, 2016March 4, 2016

If you want to be a blithering idiot and spout your anti-fossil fuel garbage–do it all you want. But don’t abuse your own children by making them do it too. And if you want to try to shake down a company with deep pockets to line your own pocket–same thing. Go for it. It’s sleazy and slimy–but don’t involve your kids in your unethical schemes. That’s just what the Elys have done. In a bid to try and rescue a trial that in all likelihood is about to be dismissed for lack of evidence, plantiffs Scott and Monica Ely had their lawyer put their own children, ages 10-13, on the witness stand. Who would do that to their own children? Even when the plantiffs’ lawyer, the inept Leslie Lewis, asked leading questions in an attempt to tug at the jury’s heartstrings, the entire effort was a bust. The Elys and Huberts, suing Cabot Oil & Gas for allegedly contaminating their water in Dimock, PA, are about out of options. After resting their case, the judge told the plantiffs he has “grave concerns” about the case and lack of evidence. The judge is seriously considering dismissing the case before it reaches the jury…
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Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

PA DEP On Course to Jam New Regulations Down Drillers’ Throats
March 4, 2016March 4, 2016

In January, MDN told you that the Pennsylvania Dept. of Environmental Protection (DEP) finally pushed out new drilling regulations, required under the 2012 Act 13 law (see PA DEP Issues “Final” New Drilling Regulations; Industry Pushback). The new regulations were already done and ready to be adopted–and then radical leftist Tom Wolf took office and decided to put his own environmentalist fingerprints all over the regulations–ruining them. The industry is pushing back. Not at stricter controls here and there, but against superfluous and stupid requirements that cost a lot of money but don’t make the environment (or people) safer. Last month we told you that the DEP continue to keep secret some of the parts of the new regulations (see PA DEP Sec. Quigley Keeps Secret Key Part of New Drilling Regs). That’s shifty. Sneaky. Sleazy. So what’s the status? During an education presentation last week in Murrysville (Westmoreland County), PA, DEP deputy secretary for oil and gas management, Scott Perry, said the DEP will push through the new regulations as written. In other words, open wide drillers, here it comes…
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Industrywide Issues | Supply Chain

New Gas Compression Services Co is Born with $175M Investment
March 4, 2016March 4, 2016

A new company is born, targeting the Marcellus/Utica as well as Eagle Ford, Permian and Niobrara shale plays. The new company is based in Texas and is called Pegasus Optimization Managers. It is a “gas compression services” company. What the heck is that?…
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CNG/LNG | Dominion Energy | Energy Services | Exporting | Industrywide Issues | Processing Plants

Cove Point LNG Export Plant Now 24% Complete, Rapid Progress
March 4, 2016March 4, 2016

Dominion is making excellent progress with the Cove Point LNG (liquefied natural gas) export facility. Despite the fact that shrill anti-fossil fuelers are trying to stop the facility in court (see Radical Enviro Groups Continue Lawsuit Against Cove Point LNG), fully 24% of the new plant is already done. And Dominion continues to make progress. Here’s an update on the LNG plant the antis couldn’t stop…
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CNG/LNG | Exporting | Industrywide Issues

East Coast LNG Export Updates – Bear Head & Downeast
March 4, 2016March 4, 2016

LNG is increasingly seen as vitally important to America’s natural gas industry. LNG, by which we mean liquefied natural gas (it gets liquefied by a process known as liquefaction), can be exported to other countries, providing an important new market for American natural gas. The way it gets shipped abroad is through an LNG export facility. In February the very first LNG export cargo left from Cheniere Energy’s Sabine Pass facility in southwest Louisiana (see Cheniere Finally Ships First Sabine Pass LNG Export – to Brazil). Some of the gas could have been (and likely will be in the future) from the Marcellus/Utica–piped to the Gulf Coast. But what about closer to home? The Cove Point LNG export facility is now 24% complete (see today’s companion story). However, there are other plants north of the Marcellus/Utica that can play a role. Some five LNG plants are planned for Canada’s East Coast area. There’s also a new project planned for the state of Maine. We have quick updates for one of the Canadian projects, and the project in Maine…
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Coterra Energy (Cabot O&G) | Energy Companies | Industrywide Issues | Litigation | Pennsylvania | Susquehanna County

Dimock Trial: Ingraffea Day 2 – Hides Behind a Woman’s Coat
March 3, 2016March 7, 2016

Yesterday we brought you first-hand reporting on Day 1 of testimony from so-called expert witness Dr. Anthony (Tony the Tiger) Ingraffea at the Dimock water trial (see Dimock Trial: Cornell Prof Tony Ingraffea Exposed as Fractivist). Both MDN friend Tom Shepstone and FrackNation filmmaker Phelim McAleer are attending the trial and filing superb reports. It’s a good thing they are there. The Democrat-controlled Scranton Times-Tribune–the “newspaper of record” in the very place where the trial is being held–has stopped reporting on the trial, because the news is just so bad for anti-drillers. It’s a total news blackout by mainstream media. But there is a TON of news coming from this trial, and none of it so interesting as the total destruction of Ingraffea under cross examination. He’s not only been exposed as a fractivist, he’s been exposed as knowing nothing about the Dimock water well case! The very case he’s supposed to know about–the very reason he is testifying as an “expert.” Below is a summary of day two of Ingraffea’s testimony, in which he admits to a huge list of things he doesn’t know. Also below, Phelim got his camera out and tried to interview Ingraffea outside the courthouse and Ingraffea, sounding like a baby muttering “He’s harassing me,” hid behind a woman’s coat and wouldn’t answer Phelim’s questions. It’s hysterical! You have to watch the video (below)…
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Energy Services | Industrywide Issues | Kentucky | Landfills | Regulation

Local Residents Demand KY Landfill Accepting Frack Waste Close
March 3, 2016March 3, 2016

On Tuesday MDN told you about Marcellus and Utica Shale waste (concentrated drill cuttings) that were illegally dumped in a Kentucky landfill (see Marcellus/Utica Frack Waste Illegally Dumped in Kentucky Landfill). We have an update. Tuesday night a crowd of 300+ local residents, up in arms over the possibility of high levels of radiation that might potentially leak from the landfill, which sits across the street from a school, called on local officials to shut down the landfill. Although the local officials didn’t take action at the meeting, they did say they have “no problem” shutting it down if it’s found there was foreknowledge they accepted the waste. The operator of the landfill, Advance Disposal, claims they were lied to about what was in the loads they accepted. In other words, the fingers have come out and are all pointing at the other party…
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Energy Services | Industrywide Issues | Litigation | Pennsylvania | Pipelines | Susquehanna County | Williams

Maple Trees Finally Come Down for Constitution Pipeline
March 3, 2016March 3, 2016

In the end, not even self-righteous Hollywood actor James Cromwell–who played Zefram Cochrane (mythical creator of the warp engine) in the 1996 movie Star Trek: First Contact (one of our favs)–could stop the chain saws in Susquehanna County, PA. We’ve been telling you about some holdout the anti-drilling Holleran family who didn’t want the much-needed Constitution Pipeline to cross their land (see Maple Syrup Farm in Path of PA Pipeline, Antis Make Most of It). Cromwell and other antis heard about it and visited to add their shrill voices to the protest (see Actor James Cromwell Admits He’s Clueless, Fights Pipeline Anyway). The protesters tried to stop Williams from clearing trees on the property–and a judge got tired of that real quick (see Judge Tells NEPA Family to Let Williams Cut Maple Trees, Or Else). The Hollerans finally obeyed the judge’s order and the trees are now down…
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Commodity Price | Industrywide Issues

Moody’s Oil & Gas Liquidity Stress Index Hits Worst-ever Level
March 3, 2016March 3, 2016

Ratings service Moody’s issued a flash update yesterday to let everyone know that their Oil & Gas Liquidity Stress Index, a measure of the liquidity health of oil and gas companies, hit a worst-ever high of 27.2%. Translation: there are a record number of energy companies stretched to the limit, ready to run dry in the cash department. If prices don’t turn around soon, some (many?) of these companies will go under…
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Electrical Generation | Industrywide Issues | Monroe County | Ohio

Old Ormet Site in Monroe, OH Shopped as Power Plant Location
March 3, 2016March 3, 2016

Going back a few years we’ve written about what used to be Monroe County, OH’s largest employer–the Ormet aluminum smelter plant–at one time employing 900 people. Ormet tried to get a price concession on electricity but couldn’t, so the plant closed (see Final Chapter of Ormet Plant Closing – Utica Could have Saved It). Niagara Worldwide bought the plant out of bankruptcy and renamed it Center Point Terminal. Early on they worked to convert part of it as a transloading facility for the shale industry (see Out with Old Ormet Plant, In with New Center Port Transload Facility). They also converted part of it into a barge facility (see New Ormet Aluminum Plant Owner Shops Barge Facility to Shalers). Niagara is now advertising the site as a perfect location for natural gas-fired power plants to locate at…
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Electrical Generation | Industrywide Issues | Research

The Critical Role of NatGas for New England’s Electric Generation
March 3, 2016March 3, 2016

Not that there was ever any doubt, but natural gas is critical to New England. Why? Because it is the #1 source for powering electric generation in the region. Coal plants and the region’s last nuclear plant are closing. The only thing that stave off rolling blackouts is natural gas. The New England regional power system (called ISO New England) has just released their 2016 Regional Electric Outlook (full copy below). Here’s what they have to say about the critical role of natgas in New England…
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American Energy Partners | Chesapeake Energy | Energy Companies | Industrywide Issues | Litigation

Aubrey McClendon Indicted by DOJ for Conspiracy in Bid Rigging
March 2, 2016March 2, 2016

con·spir·a·cy – noun – a secret plan by a group to do something unlawful or harmful. Yesterday the U.S. Department of Justice indicted a single person–Aubrey K. McClendon, on a single count of conspiracy. He is alleged to have conspired to rig bids for oil and gas leases in Oklahoma, his home state, from 2007 to 2012. Do you see the obvious contradiction here? In order to have a conspiracy, you need more than one person. Yet the FBI and the DOJ have brought charges against only one person. It takes at least two people to have a conspiracy–so why has no one else been indicted? McClendon issued a statement (below) blasting the DOJ, pointing out he is the only person in 110 years to be prosecuted under the Sherman Act for bid rigging. What really hurts is that Chesapeake Energy, the company Aubrey co-founded, has been attempting to sell him out in return for not being prosecuted by the DOJ. Anyone else smell a rat in this whole thing?…
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