FERC Rejects Blue Racer Midstream Plan to Change NGL Pipe Rates
We have to confess this story is a bit complex to understand. We will take a stab at making the complex understandable. Blue Racer Midstream has a subsidiary called Blue Racer NGL Pipelines LLC. The subsidiary operates the G-150 pipeline system, which provides batched propane and butane service. G-150 currently, located in West Virginia, connects a Natrium, WV processing plant to the TE Products Pipeline Co. (TEPPCO). The G-150 pipeline will also have a connection to the Mariner East 2 Pipeline when it goes into service, theoretically in June of this year. Currently the G-150 is flowing about 6,300 barrels per day of product through it–only 20% of its capacity. When the connection with ME2 is up and running, Blue Racer says it can handle 30,000 bbl/d through the G-150. However, Blue Racer itself signed up for most of the capacity (27,000 bbl/d). Blue Racer recently asked the Federal Energy Regulatory Commission (FERC) to allow it to have two different rate structures–a lower rate for “committed” shippers (Blue Racer itself with its 27,000 bbl/d) and a higher rate for uncommitted shippers. FERC rejected the request pointing out that existing shippers with contracts–namely Chesapeake Energy–would be left out in the cold in favor of Blue Racer moving its own volumes at lower prices. Yes, it’s complicated. Bottom line, Blue Racer can’t do what it wants and has to go back to the drawing board…
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Dominion Energy’s $6.5 billion Atlantic Coast Pipeline (running from West Virginia through Virginia and into North Carolina) is supposed to get built this year. ACP began to cut trees along the pipeline’s path in late January (see 
The Pennsylvania Dept. of Environmental Protection (DEP) has just shut down further drilling for the Mariner East 2 Pipeline project at Snitz Creek in Lebanon County, PA because of a 50 gallon spill of non-toxic drilling mud. This isn’t the first time the DEP has stopped underground horizontal directional drilling (HDD) work at Snitz Creek. Last November they did the same thing for a piddly 1 gallon spill (see 
Anti-fossil fuel nutters have been on a holy mission to stop a 3.5-mile, 8-inch pipeline from being built under the Potomac River by Columbia Gas (see 
In April 2016, three Obama-appointed Federal Energy Regulatory Commission (FERC) commissioners approved the $116 million Williams Transco Garden State Expansion pipeline project (see 
There’s a number of threads to the ongoing saga of Constitution Pipeline, a $683 million, 124-mile pipeline from Susquehanna County, PA to Schoharie County, NY to move Marcellus gas into New York State and from there, into New England. The Andrew Cuomo-corrupted NY Dept. of Environmental Conservation (DEC) refused to grant the pipeline necessary federal stream crossing permits, blocking construction, in April 2016 (see 
Anti-fossil fuel nutters have been on a holy mission to stop a 3.5-mile, 8-inch pipeline from being installed under the Potomac River (see 
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In January MDN brought you the sad news that the Philadelphia Energy Solutions (PES), which operates the East Coast’s largest refinery on the banks of the Delaware River, had filed for Chapter 11 bankruptcy (see 
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Last week MDN reported that due to underground horizontal direction drilling (HDD) in Chester County, PA for the Mariner East 2 (ME2) Pipeline project, a third sinkhole had developed. ME2 is being built close to the existing Mariner East 1 (ME1) pipeline. The sinkhole exposed a portion of the ME1 pipeline to the open air, which is why the head of the state Public Utility Commission (PUC) temporarily shut down the propane and ethane flowing through ME1 (see 
We bet you didn’t know that a bloated, inefficient government bureaucracy like the Pennsylvania Dept. of Environmental Protection (DEP) can cut down on the amount of time it takes them to review permits necessary in the drilling process (like erosion and stream crossing permits)–just by changing the paperwork. That’s the claim the DEP is making. Yesterday the DEP released new paperwork–new forms to fill out–for Chapter 105 General Permit Registrations relating to water obstructions and encroachments. These new forms “will improve the quality of General Permit registration requests, eliminate unnecessary redundancies, and reduce review time frames.” Yeah, and we have a bridge in Brooklyn we’d like to sell ya…
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