Pipelines

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    Exclusive: Shell Leasing Land for 2 Pipelines to PA Cracker Plant

    exclusiveMDN received an exclusive tip from a trusted source (who is also an MDN subscriber) yesterday about the Shell ethane cracker plant in Monaca (Beaver County), PA. Our source, who lives in Beaver County, told us he was approached by a Shell landman about signing a pipeline right-of-way through his property to build a pipeline to the plant. We have an account of our source’s conversation with the landman, and some key information the landman let slip about Shell’s plans for two such pipelines…
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    Maple Syrup Farm in Path of PA Pipeline, Antis Make Most of It

    We’ve often said that pipelines should not be allowed to use eminent domain. But what about when there’s no other choice? What if there are one or two holdout landowners whose land over which a pipeline must travel if it is to get built at all? In those cases, pipeline companies are left with no other choice but to invoke eminent domain. Williams, in planning and now beginning to build the Constitution Pipeline from Susquehanna County, PA into New York to Schoharie County, NY, has bent over backwards, forwards, and sideways to accommodate landowners along the proposed route. In fact Williams has changed more than half of the route in response to requests from landowners. Williams is, today (Feb. 5), beginning to selectively cut down trees along the route–in Pennsylvania for now (New York is next). There’s one small portion of the route Williams wanted to avoid but could not–running through a stand of maple trees. The owners of those trees have aligned themselves with some of the most radical of radical anti-drillers to oppose the pipeline and they are now running a public relations campaign to attempt to try and create a public uproar. We at MDN do NOT sympathize with them–for a number of reasons…
    Read More “Maple Syrup Farm in Path of PA Pipeline, Antis Make Most of It”

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    Did Deerfield, MA Just Threaten Citizens Who Want Pipeline?

    Deerfield, MA seems to be inhabited (infested?) with radical anti-fossil fuelers who get the creepy crawlies when they think about a pipeline being buried in the ground–even though miles of pipelines are already in the ground under their feet right now and have been for decades. The Deerfield town health board, in the past, has claimed “unlimited power” to stop Kinder Morgan’s proposed Northeast Energy Direct (NED) pipeline (see MA Town Health Board Claims “Unlimited Power” to Stop TGP). The town tried to get Kinder Morgan to sue them over the pipeline (see Deerfield, MA Hoping Kinder Morgan Sues Them over Pipeline “Ban”). When that didn’t work, Deerfield tried to sue the Federal Energy Regulatory Commission (see Mass. Town Sues FERC to Stop Pipeline Claiming Gas is for Export). When that didn’t work, the town filed a second lawsuit against the federal government (see Deerfield’s 2nd Bite at the Litigation Apple Against NED Pipeline). Now the town is claiming its police force will stop surveyors from entering a property–even if those surveyors have permission from the state–if the landowner doesn’t want them there. Deerfield is on very thin ice and about to fall through. But what if a resident wants to allow a surveyor and wants the pipeline? “Deerfield residents who choose to grant Kinder Morgan access to their private property do so at their own risk, according to the town.” Is that a not-so-veiled threat, from the town against it’s own citizens?…
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    New Midwest Pipeline to Tap REX’s Marcellus/Utica Gas

    An exciting new market for Marcellus and Utica Shale gas may open up in the next 2-3 years in the Midwest. On a quarterly analyst conference call yesterday, Laclede Group (St. Louis-based natural gas utility) said they plan to build a 60-mile pipeline from St. Louis through southwest Illinois and connect to the Rockies Express (REX) and Panhandle Eastern Pipeline (see the map below). That will bring low-cost Marcellus and Utica Shale gas to the utility, not only for resale to gas customers, but also potentially for new natgas-powered electric plants planned to replace retiring coal-fired plants. The project will cost $170-$200 million and take 2-3 years to complete, according to Laclede CEO Suzanne Sitherwood…
    Read More “New Midwest Pipeline to Tap REX’s Marcellus/Utica Gas”

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    Spectra Energy Provides Update on 3 NE Pipeline Projects

    Midstream giant Spectra Energy released their fourth quarter and full year 2015 update yesterday. It was a mixed bag. Overall Spectra showed strong performance for the year, but their natural gas liquids business combined with a weak Canadian dollar worked to drag down the company’s financials. Of primary interest for us is a section in the report updating us on several important pipeline projects for the Marcellus/Utica: NEXUS, AIM and Access Northeast…
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    NJ Pinelands Commission Chairman Replaced, Pipeline Back On?

    In January 2014 MDN brought you the story that due to incessant nagging from the NJ Sierra Club and the NJ League of [Liberal Democrat] Women Voters the Pinelands Commission, which oversees a stand of scrub pines in South Jersey, nixed a plan for a new natural gas pipeline to bring cheap, clean, abundant Marcellus Shale natural gas to South Jersey for use by residents and to feed an electric plant a local utility wants to convert from burning coal to natgas (see Sierra Club, LWV Chooses Coal over NatGas in South Jersey). In May 2014, NJ Gov. Chris Christie replaced two of the “no” voters on the Pinelands Commission, much to the consternation of the antis (see Marcellus Pipeline May Come to South Jersey After All). It was our hope that the plan to build the short 22-mile pipeline to bring natural gas to South Jersey would once again reactivate. So far it hasn’t. But perhaps there is new hope. Gov. Christie has just replaced the chairman of the Pinelands Commission with his own person in that position. The former chairman, who is a Republican (but caved to pressure and voted no on the pipeline) is not saying this is political payback, but he implies such is the case. We certainly hope it is…
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    FERC OKs Tree-Cutting for Constitution Pipeline – in PA

    In a crushing blow to anti-drilling radicals who have tried their best to stop the Constitution Pipeline, the Federal Energy Regulatory Commission (FERC) has granted Williams, builder of the Constitution, permission to begin cutting down trees along the pipeline’s path in Pennsylvania. Williams still cannot fell trees in New York State, where the bulk of the pipeline will be built. However, FERC would not grant permission for PA unless they intend to grant permission on the other side of the border too–and everyone knows it. Currently New York’s anti-drilling governor, Andrew Cuomo, is holding up the 125-mile project that will deliver natural gas from Susquehanna County, PA to Schoharie County, NY by connecting with two interstate pipelines. Cuomo is about to create a constitution crisis in which the federal government will be forced to overrule the state and allow the pipeline to be built. Cuomo is withholding stream crossing permits–the only thing left before bulldozers begin to clear a path. Cuomo is once again caving to pressure from his lunatic left base of supporters. And he’s about to turn New York into a third-rate state, controlled by the federal government, through his unwillingness to grant the permits…
    Read More “FERC OKs Tree-Cutting for Constitution Pipeline – in PA”

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    5 New Pipelines Now Give Northeast Drillers Access to New Markets

    Our favorite government agency, the U.S. Energy Information Administration, continues to pump out the hits. Yesterday we highlighted a story from the EIA about the price of natural gas in the Marcellus/Utica gradually rising because new pipelines have provided new markets for northeast drillers (see EIA: New Pipelines Continue to Boost Marcellus/Utica Gas Prices). Today we bring you another great EIA story. This one does a deep dive into five pipelines that have come online in late 2015/early 2016 and that are now providing drillers with access to new markets that pay more for gas than they can get here at home…
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    Southern NJ NatGas Pipeline Approved by State BPU

    In January 2014 MDN brought you the very sad news that through bullying and intimidation, radical environmentalists from the New Jersey Sierra Club and the League of [Liberal Democrat] Women Voters had pressured the New Jersey Pinelands Commission into rejecting a plan for a 22-mile natural gas pipeline that would power an electric generating plant–replacing coal that powers the plant now–and also bring natural gas to residential homes in beautiful Cape May County, NJ (see Sierra Club, LWV Chooses Coal over NatGas in South Jersey). These so-called environmentalists would rather have the residents of South Jersey breath dirty air rather than clean air that comes from natural gas powering a local electric plant. We’re happy to report that a different pipeline, a $130 million, 30-mile natural gas pipeline just north of where the rejected pipeline would have run, has been approved by the NJ Board of Public Utilities (BPU). It is a major defeat of the Sierra Clubbers and their ilk. So of course, the Clubbers are suing…
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    EIA: New Pipelines Continue to Boost Marcellus/Utica Gas Prices

    It’s a pretty simple case of cause and effect, and economics 101. If you build more natural gas pipelines from the northeast to other regions, drillers can sell their gas to new markets. New demand = higher prices. And that’s just what’s happening in the Marcellus/Utica. The U.S. Energy Information Administration (EIA) pointed out in a recent Natural Gas Weekly Update that prices being paid in the Marcellus/Utica have gone UP because of new pipelines (see New Pipelines in the Marcellus Dramatically Improved Prices in 2H15). The great researchers at EIA have now expanded on that theme and have posted a new article on their Today in Energy which expands on that theme…
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    ISO New England: We Need More NatGas, Pipelines for Electric Grid

    ISO New England, the independent, not-for-profit corporation responsible for keeping electricity flowing across the six New England states, held a conference call/webinar on Tuesday. On the call, Gordon van Welie, president and CEO of ISO New England delivered a “state of the grid” address. On the call van Welie revealed that 49% of all electricity produced in New England now comes from natural gas-fired power plants–a number that will only go higher as nuclear and coal facilities are shuttered. According to van Welie, more gas-fired plants are needed, and pipelines like Kinder Morgan’s Northeast Energy Direct (NED) and Spectra Energy’s Access Northeast are needed to get cheap Marcellus gas to the region. Natural gas and electric generation are truly joined at the hip. The relationship is between natgas and electricity is tight and getting tighter as electric generation becomes a key market for drillers…
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    FERC Investigates 3 Northeast Pipelines for Overcharging

    The Federal Energy Regulatory Commission (FERC) has launched five investigations into four pipelines, three of which operate in the northeast, to determine whether or not those pipelines have been “substantially” overcharging their customers with the excuse of “we have to recover our costs.” Although you might think the free market would govern what pipelines charge, pipelines, like other utilities, don’t operate in a totally free market. You can’t just up and leave one pipeline and take your gas to another. The government grants permission to operate, and the government keeps an eye on the rates charged–just like they do with your local gas and electric company. In the case of interstate pipelines, the government agency monitoring how much they charge is FERC. Apparently someone complained and FERC is now on the case. The three pipelines in the northeast under investigation are: Empire Pipeline, Iroquois Gas Transmission System and Columbia Gulf Transmission…
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    API & GPA Say PHMSA Regs for Liquids Pipelines Not Necessary

    Last October the Dept. of Transportation’s Pipeline and Hazardous Materials Safety Administration (PHMSA) issued a notice of proposed rulemaking for new regulations governing hazardous liquid pipelines. It appears to be another case of aggressive action by the Obamadroids, bent on hassling the fossil fuel industry by requiring unnecessary regulations that don’t really improve safety. They just cost more money and take more time. The new rules will require safety inspections after “extreme” weather events and natural disasters–just to be sure there aren’t any leaks. Stepped up inspections would be required even if no problems are found–just to be sure no problems are found. The new regs also require all hazardous liquids pipelines to be piggable–something not physically possible with some pipelines. The list goes on. Recently both the American Petroleum Institute (API) and the Gas Processors Association (GPA) weighed in on the proposed new regulations. Needless to say they’re not impressed…
    Read More “API & GPA Say PHMSA Regs for Liquids Pipelines Not Necessary”

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    Cuomo Needs to “Snap on a Pair” and Approve the Constitution Pipe

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    Constitution Pipeline Meeting in Afton – click picture for larger version

    “What do we want? Pipeline! When do we want it? Now!” It was a raucous crowd who gathered last Saturday in the tiny village of Afton, New York to show support for the Williams Constitution Pipeline project. The River Club in Afton was jammed with people–by our estimation some 250-300 people. The meeting was organized and hosted by the Joint Landowners Coalition of New York (JLCNY). The JLCNY’s attorney, Scott Kurkoski (from Levene Gouldin & Thompson LLP) began the meeting with a full-throated yell: “New York Can’t Wait!” That simple sentence summed up the focus of the rally. The Constitution Pipeline is fully permitted by the Federal Energy Regulatory Commission (FERC). The only thing holding up construction of the pipeline is a stream-crossing permit from New York State. The tail is wagging the dog. Speaker after speaker (politicians, business people, labor reps) outlined the reasons why New York State can no longer wait for Gov. Cuomo to continue his waffling on this project. The frustration with Cuomo and the DEC was palpable in the audience. Whenever Cuomo’s name was mentioned there were cat calls and boos. Perhaps the best line of the day, from all of the speeches, was uttered by Assemblyman Clifford Crouch. Cliff mentioned he had called the Dept. of Environmental Conservation (DEC) just a few days prior to ask about the status of the permits. Without saying so, the DEC rep indicated the delay is not due to the agency itself. The implication was clear: Cuomo is holding it up. Crouch then said this: “We need to contact Snap-on Tools and get the governor a pair to snap on!” The crowd roared. They loved it!…
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    Con Edison Becomes a Partner in Mountain Valley Pipeline

    The $3.5 billion Mountain Valley Pipeline (MVP) stretching from Wetzel County, WV to the Transco Pipeline in Pittsylvania County, VA filed an official application with the Federal Energy Regulatory Commission last October (see Mountain Valley Pipeline Files FERC Appl, Now Just Matter of Time). It’s now working its way through the process. Along the way, the number of project partners expanded from the original EQT and NextEra Energy to include WGL Holdings, Vega Energy Partners, and RGC Resources. You can now add one more partner: Consolidated Edison. Con Edison is purchasing a 12.5% interest in the pipeline and at the same time signed a 20-year deal to buy/move 250,000 dekatherms per day of natural gas on the pipeline. In a related deal, Con Edison also agreed to a 20-year firm transportation agreement for 250,000 dekatherms per day on the Equitrans system, located in northern West Virginia and southwestern Pennsylvania, providing more direct access to supply resources upstream of MVP…
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    US Forest Service Blocks Atlantic Coast Pipeline in National Forests

    Cow Knob Salamander
    Cow Knob Salamander

    In the end it was the cow nobs and red spruce that have slowed down Dominion’s $5 billion Atlantic Coast Pipeline (ACP) project from West Virginia through Virginia and into North Carolina. Specifically, the U.S. Forest Service (USFS) has refused to grant Dominion a special permit to cross teeny tiny sections of the Monongahela and George Washington national forests in West Virginia and Virginia. Why? Because of concerns about cow knob salamanders, northern flying squirrels and red spruce trees. Just last November MDN told you that Dominion and ACP were bending backwards, forwards and sideways to avoid running through cow nob salamander territory (see Dominion Files Pipeline Route Change to Avoid Salamanders, Swamp). Apparently the USFS doesn’t think Dominion’s plan is good enough. It’s now back to the drawing board to see where, in those regions, ACP can safely be run to avoid radical environmentalist demands. Of course the answer is “no where” as they are always unreasonable about these things. There is no “how can we work this out to your satisfaction” when it comes to nut cases. The antis simply demand, like petulant children, that you not do it at all. Which is just what the other side is now saying about ACP…
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