Pipelines

Economic Impact | Energy Services | Energy Transfer Partners | Industrywide Issues | Jobs | Ohio | Pipelines | Statewide OH | Taxation

Property Tax Revenue/Economic Impact from ET Rover Pipeline in OH
December 4, 2014December 4, 2014

Seems like “all of a sudden” large pipeline projects planned for the northeast have begun talking about how much property taxes (and economic impacts) their projects will pay out. Yesterday it was the 550-mile Atlantic Coast Pipeline project from Dominion (see Atlantic Coast Pipeline: $25M/Yr in Prop. Tax, $70M/Yr Econ Impact). Today? Energy Transfer Partners’ Rover pipeline, a 620-mile pipeline that will carry Marcellus and Utica Shale gas west, through Ohio into Michigan and on to Ontario, Canada (see Big News: ETP “Rover” Marcellus/Utica Pipeline to Midwest/Canada). How much of an economic impact and how much in property tax will it pay out? We have some numbers…
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Broome County | Chenango County | Coterra Energy (Cabot O&G) | Delaware County | Energy Companies | Energy Services | Industrywide Issues | New York | Pennsylvania | Pipelines | Regulation | Schoharie County | Susquehanna County | Williams

FERC Issues Final Approval for Constitution Pipeline in PA/NY
December 3, 2014December 3, 2014

We’ve been writing about the Constitution Pipeline for, like, forever! The Constitution is planned to run 124 miles from Susquehanna County, PA up into New York State, all the way to Schoharie County where it will connect to both the Iroquois Gas Transmission pipeline and the Tennessee Gas Pipeline. It will flow some 650,000 dekatherms of natural gas per day (enough natural gas to serve approximately 3 million homes), most of it produced by Cabot Oil & Gas, one of the owners of the pipeline. In October, the Federal Energy Regulatory Commission (FERC) issued a final environmental approval (see Constitution Pipeline Gets FERC Final Environmental Approval). Yesterday, FERC issued its final approval for the project–meaning the shovels will now hit the ground and construction will now begin. Horray!…
Read More “FERC Issues Final Approval for Constitution Pipeline in PA/NY”
Energy Services | Industrywide Issues | Kinder Morgan | Pipelines | Regulation

Deerfield MA, Kinder Morgan Lawyers Swap Barbs over NED Pipeline
December 3, 2014December 3, 2014

Kinder Morgan has put the town of Deerfield, MA on notice that its attempt to block the Tennessee Gas Pipeline expansion through the town–the Northeast Energy Direct (or NED) project–will not be stopped by a laughable “ban” enacted by the Deerfield Board of (so-called) Health. You may recall MDN covered the Deerfield BOH “order” in October to “cease immediately all of its activities in Deerfield related to the construction of the proposed pipeline within the boundaries of the town” (see Deerfield MA “Bans” Kinder Morgan TGP Pipeline – Or So They Claim). Kinder says, in so many words, nice try, but no cigar…
Read More “Deerfield MA, Kinder Morgan Lawyers Swap Barbs over NED Pipeline”
Dominion Energy | Economic Impact | Energy Services | Industrywide Issues | Jobs | Pipelines | Statewide WV | West Virginia

Atlantic Coast Pipeline: $25M/Yr in Prop. Tax, $70M/Yr Econ Impact
December 3, 2014December 3, 2014

The arguments by anti-drillers against pipeline projects, like Dominion’s Atlantic Coast Pipeline which is slated to run from West Virginia to North Carolina, usually amount to this: “There’s no long-term benefit to the communities through which the pipeline runs. We have to ‘put up’ with the darned thing, but we see no benefit from it.” Benefit meaning money–other than a one-time fee paid to landowners through whose land it runs. Dominion is attempting to counter those criticisms by pointing out that once the Atlantic Coast Pipeline is fully operational, it will be paying in excess of $25 million per year to counties and local municipalities in property taxes (see the list below). During construction, the pipeline will generate nearly half a billion dollars per year in economic impact in WV, VA and NC. Once the construction phase is over, through permanent jobs created and associated ongoing operating costs for the pipeline, Dominion projects the pipeline will spur nearly $70 million per year of ongoing economic activity (see full report below)…
Read More “Atlantic Coast Pipeline: $25M/Yr in Prop. Tax, $70M/Yr Econ Impact”
Air Quality | Industrywide Issues | Pennsylvania | Pipelines | Regulation | Statewide PA

PA DEP Says Compressor Stations Not Major Source of GHG Pollution
December 2, 2014December 2, 2014

Good news for midstream operators in Pennsylvania: The PA Dept. of Environmental Protection has decided not to slap compressor stations with the onerous regulatory label of being a “major source” of air pollution simply because they belch out carbon dioxide–the stuff you breathe out with every breath. A U.S. Supreme Court ruling in June said environmental regulators can require facilities to limit GHGs only if the facility also emits other nasty stuff, like soot and smog. Since compressor stations don’t emit high volumes of soot and smog, the plants are off the hook as being a “major source” in PA…
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Industrywide Issues | Pipelines | Research

EIA Says 1/3 Natgas Pipelines in Northeast Bidirectional by 2017
December 2, 2014December 2, 2014

The U.S. Energy Information Administration is out with a new report today that says fully 1/3 of the major interstate natural gas pipelines that serve the northeast will be bidirectional by 2017–in just three years. That is, instead of bringing gas to the northeast, those same pipelines will be flow gas out of the northeast. Why? One word: Marcellus. Here’s the expert analysis by some of the best minds in the business (and we sincerely mean that)…
Read More “EIA Says 1/3 Natgas Pipelines in Northeast Bidirectional by 2017”
Energy Services | Industrywide Issues | Pipelines | Regulation | TC Energy/TransCanada

More Marcellus Gas Set to Flow into Canada Following NEB Approval
December 2, 2014December 2, 2014

TransCanada, one of North America’s largest midstream (pipeline) companies, has just received a key approval from the Canadian National Energy Board (NEB) that allows the company to raise rates on their main natural gas pipeline. The NEB approval ratified an agreement between TransCanada and its shippers worked out some two years ago. The reason the approval is news is this: “It gives all shippers the flexibility to source gas from various geographic locations including the Marcellus shale plays in the U.S., while ensuring that tolls are stable and set at levels that allow TransCanada to recover its system-wide costs.” In other words, more (cheap and abundant) Marcellus Shale gas will likely begin to flow into Canada. And that’s a good thing, as Martha Stewart says…
Read More “More Marcellus Gas Set to Flow into Canada Following NEB Approval”
Accidents | Energy Services | Harrison County | Industrywide Issues | MarkWest Energy | Ohio | Pipelines | Regulation | Statewide OH

MarkWest Fined $320K by Ohio EPA for Mud Spills in Creeks/Swamps
December 1, 2014December 1, 2014

MarkWest Energy, the largest midstream company in the Marcellus/Utica, has spent the last three years building pipelines in eastern Ohio to connect wells to processing plants and to larger interstate pipelines. In the process, the company has spent some $2.2 billion building 350 miles of pipeline (and processing plants)–and MarkWest isn’t done yet. However, during the rapid buildout of infrastructure in the Buckeye State, some minor spills have happened along the way. When drilling under creeks and swamps (otherwise renamed as “wetlands”), occasionally drilling mud spilled out–some 19 different times between 2012 and 2013. The Ohio EPA has concluded their investigation and has just fined MarkWest $320,000 for the series of spills…
Read More “MarkWest Fined $320K by Ohio EPA for Mud Spills in Creeks/Swamps”
Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Kinder Morgan | Pipelines | Tennessee Gas Pipeline

Anti-Pipeline Arguments in New Hampshire Debunked by MDN Reader
December 1, 2014December 1, 2014

A conservative and a liberal get into a discussion at a local landfill about a plan to run a new pipeline through their state…. Sound like the setup to a joke? It’s no laughing matter. MDN subscriber Rick G. from New Hampshire recently had such an encounter. The arguments Rick heard from those opposed to the Kinder Morgan pipeline, and his counter arguments, are instructive for us all…
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Anti-Drilling/Fossil Fuel | Dominion Energy | Energy Services | Industrywide Issues | Pipelines | Statewide WV | West Virginia

So-Called ‘Pipeline Air Force’ to Track Dominion Pipeline in WV
November 26, 2014November 26, 2014

Just when you think you’ve heard it all, along comes another bizarre twist from those who oppose shale drilling. As we’ve reported in a number of stories, Dominion is planning to build a 550-mile, $5 billion natural gas pipeline from West Virginia through Virginia and into North Carolina. It’s called the Atlantic Coast Pipeline project and the Federal Energy Regulatory Commission is now evaluating it (see Dominion Asks FERC to Start Environmental Review of SE Pipeline). Apparently a group of people who oppose the pipeline plan to keep an eye on it as it’s built (they must figure it’s a foregone conclusion that it will get built). They’ve somehow gotten ahold of three airplanes that they will use to spy from the sky as the pipeline gets built through the mountains of West Virginia…
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Energy Services | Industrywide Issues | PennEast Pipeline | Pipelines

New Jersey Resources Update: NJ Loves Natgas & PennEast
November 26, 2014November 26, 2014

A casual news consumer may think that the State of New Jersey is somewhat anti-drilling and takes a dim view of natural gas. After all, the NJ legislature has twice passed a bill that would ban any frack waste from entering the state (see NJ Gov. Christie Vetoes Frack Waste Ban 2nd Time). And opposition to the PennEast Pipeline that runs from PA to NJ has been loud and shrill on the NJ end. What you may not know, however, is that two NJ utilities are partners in the PennEast Pipeline project (see NJ’s Largest Utility Becomes 5th Partner in PennEast Pipeline). New Jersey Resources, one of the two PennEast partners, yesterday issued an update on 2014 with guidance for 2015. The thing that caught our eye? NJR continues to add new natgas customers at a rapid clip–and they’re jazzed on the prospects for the PennEast Pipeline and new sources of cheap, abundant Marcellus Shale gas that will flow to NJ…
Read More “New Jersey Resources Update: NJ Loves Natgas & PennEast”
Energy Services | Industrywide Issues | Kinder Morgan | Pipelines | Regulation | Tennessee Gas Pipeline

Kinder Morgan Changes Route for Pipeline from MA to NH
November 25, 2014November 25, 2014

Kinder Morgan has, for some time, been locked in a battle with far-left anti-fossil fuelers in Massachusetts who oppose KM’s plan to extend the Tennessee Gas Pipeline across the width of the state in an attempt to deliver cheap, abundant, clean-burning Marcellus Shale natural gas to New England. Those same anti-fossil fuelers use fossil fuels throughout the day every day of their lives, but fail to see the hypocrisy in their twisted position. Pressure against the pipeline, called Northeast Energy Direct (or NED) is mounting as both MA U.S. Senators–both are Democrat–oppose it (see Both Mass. Senators Oppose TGP Northeast Energy Direct Pipeline). Two weeks ago KM proposed an alternate route (see map below). The alternate route, now said to be the preferred route, will shave off something like half of the distance the pipeline stretches across MA and instead chart a course northward–through southern New Hampshire–following the route of an existing power line. The cool thing? NH wants it…
Read More “Kinder Morgan Changes Route for Pipeline from MA to NH”
Energy Services | Industrywide Issues | Kinder Morgan | Pipelines | Tennessee Gas Pipeline

KM Takes on Minority Partner in Northeast Energy Direct Pipeline
November 25, 2014November 25, 2014

More Tennessee Gas Pipeline – Northeast Energy Direct (NED) news today. Aside from today’s companion story today that Kinder Morgan (KM) is seriously considering a route change for the pipeline–away from Massachusetts and into New Hampshire–a second bit of important news. KM has cut a deal with Canadian-based utility company Algonquin Power & Utilities Corp. to invest in the NED project. KM is selling off up to a 10% ownership in the NED project to Algonquin in return for an investment of up to $400 million…
Read More “KM Takes on Minority Partner in Northeast Energy Direct Pipeline”
Hydraulic Fracturing | Industrywide Issues | Pipelines | Processing Plants | Regulation

EPA Issues New Rules for O&G Industry on GHG Emissions Reporting
November 25, 2014November 25, 2014

The Federal Environmental Protection continues to regulate things it has not business regulating–not that it makes a hill of beans worth of difference that we point it out. Nobody will challenge them on their out-of-control behavior, so we all just pretend it’s OK and go along. The latest aggressive action taken by the EPA is to publish a rule change that will go into effect in 60 days. This new rule change is in how so-called greenhouse gas emissions are reported by the oil and gas industry. Both midstreamers and upstreamers are affected, so pay attention or prepare to be fined by the EPA…
Read More “EPA Issues New Rules for O&G Industry on GHG Emissions Reporting”
Energy Services | Industrywide Issues | Ohio | Pennsylvania | Pipelines | Processing Plants | Regency Energy Partners | Statewide OH | Statewide PA | Statewide WV | Sunoco Logistics | West Virginia

Sunoco Logistics, Regency Energy Presentations from Analyst Day
November 24, 2014November 24, 2014

Last week both Regency Energy Partners, which purchased PVR Partners a little over a year ago (PVR having a major footprint in the Marcellus/Utica), along with Sunoco Logistics, another major midstream player in the northeast, participated in an analyst day last week at Ritz-Carlton in Dallas. While we don’t have a transcript, we do have the PowerPoint slide decks from both companies. And what we find on some of those slides is illuminating…
Read More “Sunoco Logistics, Regency Energy Presentations from Analyst Day”
Coterra Energy (Cabot O&G) | Energy Companies | Energy Services | Industrywide Issues | Lackawanna County | Luzerne County | Pennsylvania | Pipelines | Susquehanna County | UGI Energy Services | Wyoming County (PA)

UGI Turns on New Pipeline for Cabot in NEPA
November 21, 2014November 21, 2014

In May MDN told you that UGI Energy Services, a subsidiary of UGI (a utility company in northeast PA) would build two new pipelines in northeast PA for $80 million that will allow them to transport cheap, abundant, locally mined natural gas from Cabot Oil & Gas in Susquehanna County to residents in the greater Scranton/Wilkes-Barre area (see UGI Energy Building 2 New Pipelines in NEPA for Cabot O&G). Today UGI announced one of those pipelines is now completed and flowing cheap Marcellus Shale gas to NEPA residents, which will result in lower rates. The other will be completed in the spring of next year. Now what was that about the “lucky few landowners” who are the only ones to benefit from Marcellus Shale gas?…
Read More “UGI Turns on New Pipeline for Cabot in NEPA”