Regulation

Energy Companies | Industrywide Issues | New York | Pipelines | Regulation | Seneca Resources | Steuben County

17-Mile Gas Pipeline in Steuben County, NY Makes Progress
March 28, 2014March 28, 2014

Empire Pipeline, a subsidiary of National Fuel Gas Company (which also owns driller Seneca Resources) is asking the Federal Energy Regulatory Commission (FERC) for approval on a new 17-mile pipeline in Steuben County, NY. The project is called the Tuscorara Lateral Project and will cost a projected $43 million. The pipeline will connect a gas storage field and compressor station in Tuscarora, NY (also owned by National Fuel Gas) with the existing Empire Pipeline network–a network that stretches from Buffalo to Syracuse and down to Corning. This “little” piece of pipeline will open up much needed extra volumes of natural gas for Upstate New Yorkers.

Empire/National Fuel is now negotiating with landowners to run the pipe under their property. They hope to begin building later this year and have the pipeline in service in November 2015. Below is a story about the project, the reason for it, the jobs it will create, and finally a copy of a presentation given last year at a special open house with full details…
Read More “17-Mile Gas Pipeline in Steuben County, NY Makes Progress”
Energy Services | Industrywide Issues | New York | Pennsylvania | Pipelines | Regulation | Statewide NY | Susquehanna County | Williams

EPA/DOI Ask for More Time to Review PA-NY Constitution Pipeline
March 27, 2014March 27, 2014

NGI’s Shale Daily is reporting both the federal Environmental Protection Agency (EPA) and the Dept. of Interior (DOI) have filed requests with the Federal Energy Regulatory Commission (FERC) to extend the comment period on the proposed 124-mile Constitution Pipeline. The Constitution will run from the prolific gas fields of Susquehanna County, PA across the border and up into Schoharie County, NY where it will interconnect with two major interstate pipelines–carrying Marcellus Shale natural gas produced by Cabot Oil & Gas and other drillers (see New Marcellus Constitution Pipeline Announces “Final” Route). Along the way a local utility company will tap into the Constitution to deliver natural gas to rural locations (see Leatherstocking to Tap Constitution Pipeline for Local Deliveries).

However, the Constitution will need to make a few changes, according to FERC (see FERC: Constitution Pipeline Should Make Changes to Lessen Impacts). But nothing too major. That is, unless the EPA and DOI jump in with new demands. Their delay is unwelcome and potentially troubling–although we’re not ready to hit the panic button just yet. Here’s what Shale Daily says about the request from EPA & DOI:
Read More “EPA/DOI Ask for More Time to Review PA-NY Constitution Pipeline”
Energy Companies | Hydraulic Fracturing | Industrywide Issues | Litigation | New York | Norse Energy | Regulation | Statewide NY

NY Update: Norse/JLCNY Lawsuit Hearing Date Set for April 25
March 26, 2014March 26, 2014

Sadly, politics in New York State have become so corrupt that even the State Attorney General, Eric Schneiderman, actively works against the interests of the people he’s sworn to protect–the citizens of New York State. Late last year Norse Energy sued Gov. Andrew Cuomo, DEC Commissioner Joe Martens and State Health Commissioner Nirav Shah over their collusion to stop shale drilling in the state (see Norse Energy Sues Gov. Cuomo to Force Release of Fracking Regs). Later, the 70,000-member Joint Landowners Coalition of New York joined that lawsuit (see D-Day: JLCNY Files Lawsuit Today Against Cuomo, Martens, Shah).

How has AG Schneiderman reacted? By filing to dismiss the lawsuits and delay (see NY Attorney General Files to Dismiss Norse Lawsuit, More Delays). It’s utterly shameful. The lawsuit was scheduled for a hearing first in January, then moved to February, then March, and now April. It appears Norse and the JLCNY, whose cases are now tied together, will finally get a hearing at the end of April–on the 25th…
Read More “NY Update: Norse/JLCNY Lawsuit Hearing Date Set for April 25”
Boardwalk Pipeline Partners | Energy Services | Industrywide Issues | Litigation | Pipelines | Regulation | Williams

Judge Rules Bluegrass Pipeline Cannot Use Eminent Domain in KY
March 26, 2014March 26, 2014

On Monday MDN brought you the news that the Kentucky House had voted to strip the right to use eminent domain from natural gas liquids pipelines (see Kentucky House Votes to End Eminent Domain for Bluegrass Pipeline). An alert MDN reader predicted the measure wouldn’t get signed into law because the KY Senate president said with only 10 days left in this session, it’s not likely to come up for a vote in the Senate (see Bluegrass Pipeline bill passes House).

Looks like it won’t matter what the KY legislature does. Last December a lawsuit was filed by a group calling itself KURE (Kentuckians United to Restrain Eminent Domain), to prevent the Bluegrass Pipeline from using eminent domain in the Bluegrass state (see Bluegrass NGL Pipeline’s Eminent Domain Challenged in KY Court). Yesterday Franklin Circuit Judge Phillip J. Shepherd ruled in KURE’s favor and said the Bluegrass cannot use eminent domain to force landowners to allow the pipeline to be buried under their property…
Read More “Judge Rules Bluegrass Pipeline Cannot Use Eminent Domain in KY”
Energy Companies | Forced Pooling | Hilcorp Energy | Industrywide Issues | Lawrence County | Litigation | Pennsylvania | Regulation

Hilcorp Forced Pooling Hearing Postponed, More Landowners Added
March 24, 2014March 24, 2014

MDN previously told you about Hilcorp’s lawsuit to force some hold-out landowners in Lawrence County, PA to allow drilling under their land–a concept called forced pooling. The PA Dept. of Environmental Protection (DEP) and the PA courts treated it like a hot potato. The courts finally told the DEP that they (the DEP) would need to decide the matter. So the DEP had set aside two days this week to conduct public hearings in New Castle (see Forced Pooling Circus (ie Hearing) Coming to Lawrence County, PA).

However, the circus/hearing scheduled for this week has been postponed. No new date has been announced. The DEP and Hilcorp both wanted the delay offering the explanation that they need more time, “to provide more complete notice to potentially affected people.” Apparently some landowners haven’t yet been served notice that they will be affected–forced–to be part of a Hilcorp drilling unit, and both Hilcorp and the DEP want them to know it before the public hearing commences. Seems like the forced pooling in Lawrence issue keeps getting better and better (not)…
Read More “Hilcorp Forced Pooling Hearing Postponed, More Landowners Added”
American Water Management | Earthquakes | Energy Services | Industrywide Issues | Mahoning County | Ohio | Regulation | Trumbull County | Wastewater

OH Earthquakes May Delay Opening of New Niles Injection Well
March 24, 2014March 24, 2014

Although Niles (Trumbull County), Ohio is about 18 miles from Poland (Mahoning County), Ohio by car, it’s only about 8-9 miles “as the crow flies.” And that proximity may be a problem for a new Class II frack wastewater injection well set to open in just a few weeks in Niles. Why? Because nearby Poland is where there was a recent series of earthquakes (see # of Youngstown Earthquakes go from 2 to 11 – Fracking to Blame?).

American Water Management Services Inc. say they are about two weeks away from opening their new injection well in Niles–or could open if they get the necessary permits. The Ohio Dept. of Natural Resources (ODNR) says it’s too early to say whether or not the new injection well will be allowed to open in the next few weeks because of the ongoing earthquake investigation…
Read More “OH Earthquakes May Delay Opening of New Niles Injection Well”
Boardwalk Pipeline Partners | Energy Services | Industrywide Issues | Litigation | NGLs | Pipelines | Regulation | Williams

Kentucky House Votes to End Eminent Domain for Bluegrass Pipeline
March 24, 2014March 24, 2014

The Bluegrass natural gas liquids (NGL) pipeline is a $1.5 billion project that will stretch from the Utica/Marcellus all the way to Gulf Coast. It’s being built by Williams and Boardwalk Pipeline Partners and as of last October the joint venture partners held an open season and said everything is on track for a 2015 launch (see Bluegrass Pipeline Launches Open Season, on Track for 2015 Launch). But a lot has happened in the past six months, including Boardwalk’s stock tanking (see Serious Concerns about Boardwalk Pipeline Partners Continue). Not only that, but there’s been a lot of anti-pipeline sentiment in Kentucky–one of the states the new pipeline must cross on its way to the Gulf Coast. So much anti-pipeline sentiment that Boardwalk and Williams have threatened using eminent domain in order to get the property they need for a crossing (see Bluegrass NGL Pipeline’s Eminent Domain Challenged in KY Court).

The eminent domain issue is coming to a head in Kentucky with respect to the Bluegrass Pipeline. Last Friday the KY House voted to approve House Bill (HB) 31 which will strip NGL pipelines of their right to use eminent domain in the state. The measure now heads to the Senate. What are its chances? No one is saying, although Boardwalk and Williams have hired no less than nine lobbyists to make their case with KY lawmakers…
Read More “Kentucky House Votes to End Eminent Domain for Bluegrass Pipeline”
Anti-Drilling/Fossil Fuel | Chautauqua County | Hydraulic Fracturing | Industrywide Issues | New York | Regulation

Chautauqua County Fed Pack of Lies about Fracking, Considers Ban
March 21, 2014March 21, 2014

And so it begins. MDN told you yesterday about the City of Dunkirk, NY that has bitten off the natural gas hand that feed them–by passing a fracking ban (see Dunkirk, NY City Council Bites Off the NatGas Hand that Feeds It). The dolts on Dunkirk City Council said they want the entire county–Chautauqua County–to follow suit and ban fracking countywide. County legislators attended a special session Wednesday night where they heard some truth, and a whole lotta lies, about hydraulic fracturing.

Here’s how it went…
Read More “Chautauqua County Fed Pack of Lies about Fracking, Considers Ban”
Industrywide Issues | Regulation | Statewide WV | Taxation | West Virginia

Back to the Future (Fund) – WV Gov. Tomblin Signs New Law
March 21, 2014March 21, 2014

Last year a bunch of West Virginia lawmakers went on a quick vacation to North Dakota (of all places), at a cost of $25,000 to WV taxpayers, to try and convince those lawmakers to look at and adopt a “future fund” similar to ND’s “legacy fund” (see 18 WV Lawmakers Flying to ND for a $20K Overnighter on Drill Tax). The Future Fund bill, which would set aside 3% of revenue raised from WV’s oil and gas severance tax in a rainy day fund, came up for a vote a few weeks ago. It passed, but not the way hoped for (see Fate of 3 WV Laws that Impact Marcellus/Utica Drilling). The final bill was altered so that only if certain economic conditions are met would the 3% be set aside.

However, that makes no difference when it comes to photo ops. Yesterday WV Gov. Earl Ray Tomblin signed the bill into law and the headlines today all ready that WV now has a Future Fund and the state’s politicians are almost breaking their arms patting themselves on the back–even though it’s doubtful that money will be set aside for years to come…
Read More “Back to the Future (Fund) – WV Gov. Tomblin Signs New Law”
Anti-Drilling/Fossil Fuel | Chautauqua County | Hydraulic Fracturing | Industrywide Issues | New York | Regulation

Dunkirk, NY City Council Bites Off the NatGas Hand that Feeds It
March 20, 2014March 20, 2014

Talk about biting (off) the hand that feeds you. Get this one: The dunderheaded City Council members of Dunkirk, NY (near Buffalo) voted yesterday to ban fracking. Not only that, they want the entire county to follow suit! City Council members recited, almost chapter and verse, the same worn-out old lies told in Gasland, the fictitious movie from Josh Fox. After reading their comments we’re left to think the sum total of research done by the braintrust in Dunkirk into fracking was to munch popcorn and watch a movie. They apparently bought it hook, line and sinker. What dolts.

Here’s the thing. Three months ago almost to the day Andrew “can’t make a decision” Cuomo visited Dunkirk to tell them that the coal-powered electric generating plant that was about to close, and take some 40% of the local tax contributions to the City with it, had his lordship’s permission to convert to burning natural gas–fracked gas–instead (see Dunkirk, NY Electric Plant Saved – Converting from Coal to NatGas). City Council rejoiced. “Yah! We get to keep 40% of the taxes that would have disappeared overnight!” And now? “Ban that evil, nasty fracking.” The very same fracking that will bring natgas from other states to Dunkirk so they can burn it to make electricity. Maybe that electric plant should reconsider its decision and close after all. Hmmm….
Read More “Dunkirk, NY City Council Bites Off the NatGas Hand that Feeds It”
Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Statewide PA | Taxation

PA State Treasurer Rob McCord Unveils Gas Death Plan
March 20, 2014March 20, 2014

Poor old “Pass a Joint for John” Hanger dropped out of the race to be the Democrat nominee for governor in PA. Who will be next? Apparently not State Treasurer Rob McCord. Get this, he’s just released an utterly brilliant natural gas plan–tax the whole darned thing 10%…on everything produced. According to McCord, that will raise $1.63 billion for the state in just the first year.

Of course the plan is, in reality, utterly brain dead and moronic. If such a plan were ever to see the light of day it would effectively kill all shale drilling in the state. Done. Finished. Over. And then instead of the $200 million+ PA now extracts in a reasonable impact fee–they would get nothing. How on earth do these people keep getting elected to office? Here’s more of the moronic McCord gas death plan:
Read More “PA State Treasurer Rob McCord Unveils Gas Death Plan”
Air Quality | Anti-Drilling/Fossil Fuel | Industrywide Issues | Regulation

Childlike Green Groups Continue Letter Writing Campaign to Feds
March 20, 2014March 20, 2014

A handful of loud-mouthed anti-drillers with printed letterhead, pretending to represent a popular uprising–a veritable horde–sent yet another ninny nanny letter to Obama’s Secretary of Energy Ernest Moniz–because they’re not getting invited to private talks about methane pollution.

Here’s what petulant, ill-raised children grow up to do:
Read More “Childlike Green Groups Continue Letter Writing Campaign to Feds”
Industrywide Issues | Lease & Royalty Payments | Pennsylvania | Regulation | Statewide PA

PA NARO Alert: Tell Your State Rep to Vote YES on HB 1684
March 19, 2014March 19, 2014

The Pennsylvania chapter of the National Association of Royalty Owners (NARO) sent out a flash alert email yesterday asking members to contact their state representatives to encourage a “yes” vote on House Bill (HB) 1684–the Guaranteed Minimum Royalty Act. This bill is partially in response to the apparent gouging Chesapeake Energy has done with respect to royalty payments. A vote may come as early as TODAY.

Here is the text of the email from PA NARO president Jackie Root:
Read More “PA NARO Alert: Tell Your State Rep to Vote YES on HB 1684”
Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

Pittsburgh TODAY’s CSSD Propaganda Piece – Gag Me with a Spoon
March 18, 2014March 18, 2014

A masterful piece of propaganda written by Pittsburgh TODAY appears on the Washington Observer-Reporter website promoting the so-far underwhelming Center for Sustainable Shale Development (CSSD). The CSSD, announced exactly one year ago this week, is a joint effort between a few big drilling industry players and a few environmentalist organizations–an uneasy partnership created to make shale drilling palatable to crazy anti-drillers (see Important: Drillers & Enviros Form New Group, Launch Cert Program). If we might summarize, the article about the CSSD on the anniversary of its debutante ball adopts the the classic “against all odds” storytelling formula.

According to PT, the CSSD is the story of a (very few) brave men and women who dared to buck the odds and sit down at the table to discuss their differences on shale drilling–people from both the industry and (more importantly of course) from environmentalist wacko groups. These brave men and women faced challenges, both internal (they agonized in their souls, am I selling out?) and external (they fought their own organizations and their brethren in other companies/green organizations). Against all odds, they stuck to it, found “common ground” (i.e. industry caved), and in the end, they “hammered out” 15 standards that if adopted (at extreme cost by the industry) will mean precious Mother Earth will survive this nasty, filthy activity called shale drilling after all. The End.
Read More “Pittsburgh TODAY’s CSSD Propaganda Piece – Gag Me with a Spoon”
Industrywide Issues | Landfills | Regulation | Statewide WV | West Virginia

WV Drill Cuttings in Landfill Bill Passes in Record Time
March 17, 2014March 17, 2014

Last Thursday MDN told you legislation to codify into law a current directive by the state’s Dept. of Environment Protection to allow higher volumes of drill cuttings in WV landfills may get a second chance (see WV Drilling Cuttings in Landfill Bill May Get 2nd Life, If…). It already passed! On Friday during a special session of the legislature called by Gov. Earl Ray Tomblin, House Bill (HB) 4411 was one of ten pieces of legislation listed by the governor for consideration. The bill was voted on and passed (full copy of the bill embedded below). HB 4411 passed in record time after being dropped for consideration during the regular session. It is a certainty that Gov. Earl Ray Tomblin will sign it since he wanted it on the docket in the first place.

Most media stories, stoked by anti-drillers, focus on the “limitless” aspect of the directive-now-passed-law. That is, the law lifts arbitrary small caps on the amount of drill cuttings (leftover rock and dirt from drilling) that can be hauled to a landfill. Those stories would have you imagine this new law means that any municipal landfill can willy nilly now accept mountains of “radioactive” dirt–and that consequently West Virginia will become a radioactive hot zone. Zombies everywhere. Yes, limits are lifted under this bill. But, at the same time, the law stipulates that if a landfill accepts larger amounts of cuttings (over the previous lower cap), it must build a special, separate cell where the cuttings will be stored. The landfill must also monitor leachate from the cell to ensure nothing nasty leaks out. And the landfill must install radiation detectors to monitor truckloads of cuttings coming into the landfill. In other words, this is a good bill that not only gives drillers a safe place to dispose of drill cuttings–it protects WV citizens. But you wouldn’t know that from reading most stories…
Read More “WV Drill Cuttings in Landfill Bill Passes in Record Time”
Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | Regulation

NJ Congressman Wants Permanent Drilling Ban in Dela. River Basin
March 17, 2014March 17, 2014

U.S. Congressman Rush Holt from New Jersey is, by all accounts, a pretty smart guy. He worked as a nuclear physicist and starred on Jeopardy! (going up against the Watson robot) before joining Congress in 1999. Holt is also an anti-drilling Democrat, apparently under the vise grip of far-left environmentalist organizations. He and his far-out enviro pals (including Sierra Clubers) took the opportunity of last week’s announcement of the new incoming head of the Delaware River Basin Commission (see DRBC Selects Steve Tambini as New Leader, Enviro Groups Unsure) to call for a permanent ban on fracking in the Delaware River Basin. Oh, and just for good measure, they also want all new shale drilling in the PA and WV to stop immediately, until “someday”…when Holt and his “smart” friends determine whether or not it’s really safe.

If Holt thinks that 60,000+ safely drilled shale wells is not enough proof, maybe Holt, who is (thankfully) not running again this November, is not so smart after all…
Read More “NJ Congressman Wants Permanent Drilling Ban in Dela. River Basin”