| |

Rogue EPA Takes a Second Run at Regulating Hydraulic Fracturing

Here we go again. The federal Environmental Protection Agency (EPA) announced today they would once again study hydraulic fracturing (“fracking”) as a mining method to extract natural gas. The EPA already spent considerable time and expense in 2004 to study it and found no evidence that fracking threatens drinking water. But Democrats in Congress, led by Congressman Maurice Hinchey (Democrat from Upstate New York), now have control of the EPA and they want a new study. Their claim is that the original study was “flawed” and unduly influenced by then Vice President Dick Cheney.

The EPA is upset that Congress passed a law in 2005 that prevents them from regulating fracking. And the EPA now has a sympathetic ear in Congress, so they’re trying once again to grab hold of an entire industry not within their jurisdiction or charter to regulate. This is their back door way of doing it.

On the matter of fracking and safety, an ABC News article about the EPA announcement today says:

Arthur E. Berman, a Houston-based petroleum geologist who’s questioned the headlong rush to open up shale fields on economic grounds, said the environmental risks have been overblown.

“We have been doing hydraulic fracturing for 50, 60 years and there is no evidence whatsoever that there has been ground or surface water contamination,” he said.

He said only “point-5 percent” of what goes into a well were chemicals, and those were mostly “common chemicals that you would put in your swimming pool or hot tub, something like chlorine.”*

The EPA is spending $1.9 million on the study, and expects to complete it in 2012. MDN sincerely hopes a likely change in the balance of power in Congress after November 2010 will mean a Congress willing to keep a rogue EPA in check.

*ABC News (Mar 18) – EPA to Study ‘Fracking’ Gas Drilling Method

| | |

Binghamton Natural Gas Summit: Opening Remarks and Scene-Setting with Scott Kurkoski

Scott Kurkoski Marcellus Drilling News attended the Natural Gas Development Summit held in Binghamton on March 18th at the Regency Hotel. The event was organized and sponsored by the Joint Landowners Coalition of New York. There were about 150 people in the audience, made up of landowners, people from the drilling industry (lawyers, energy companies, engineering companies and others), and the press. It was a half day event, starting at 9:30 am and ending at 12:45 pm. MDN will run a series of posts to cover the presentations. This article contains the opening remarks delivered by Scott Kurkoski, a lawyer specializing in mineral rights with Levene, Gouldin & Thompson. Scott was one of the chief organizers of the event and master of ceremonies.

He opened by stating the purpose of the meeting is to have a discussion about the issues, with an aim to move the issue of drilling in New York State forward. He thanked Broome County Executive Barbara Fiala for hosting the event and for her efforts on behalf of landowners.

Scott next provided the background for where we are now in New York, and how we got here. In 1992, the New York Department of Environmental Conservation created a Generic Environmental Impact Statement (GEIS) to govern oil and gas drilling in New York. Since then, newer technologies (horizontal drilling and hydraulic fracturing or “fracing”) have come along and the DEC, under direction from the Governor’s office, drafted Supplemental (new) regulations to account for these new technologies and their use.

Read More “Binghamton Natural Gas Summit: Opening Remarks and Scene-Setting with Scott Kurkoski”

| | | | | |

Drilling in the PA Marcellus Shale Sets Blistering Pace in 2010, On Course for $7 Billion Investment

The Philadelphia Inquirer has an excellent roundup of drilling activity in the Marcellus Shale, with a listing of the top 20 active energy companies in the PA Marcellus Shale. Well worth reading and bookmarking!

The article starts with this:

So far in 2010, natural gas exploration companies have broken ground on three Marcellus Shale wells in Pennsylvania every day, triple the pace of a year ago.

The Marcellus Shale Coalition, the industry trade group, estimates that up to 1,750 wells will be drilled this year, up from 763 last year.

At $4 million a well, that’s a $7 billion investment – not counting land-acquisition costs or royalties on gas produced.*

New York needs to wake up NOW. Marcellus Shale drilling is here to stay, especially in Pennsylvania. It’s having a huge impact on jobs, investments and taxes. New York could use an extra $7 billion in investment right about now!

*Philadelphia Inquirer (Mar 14) – Gas Drilling Going Deep

| | | | |

PA Gas Compressor Facility Causing Grief for Some Neighbors

In states where drilling is now happening, particularly Pennsylvania, there appears to be issues with some (not all) compressor stations used to pump gas from local wells to nearby processing facilities. One such station is located in Mount Pleasant Township in Washington County, PA. Mount Pleasant is the location of the very first horizontal gas well drilled in the Marcellus.

The compressor station in Mount Pleasant is operated by MarkWest Energy, a company that operates more than 100 other such facilities in the U.S. MarkWest has made application to add a fifth compressor to the facility to meet increasing demand, and some of the nearby neighbors are objecting to the noise, lights and odors that come from the facility. An article in the Pittsburgh Post-Gazette, although taking an anti-drilling tone, exposes the tensions that occur in some locations between compressor operators and the people that live close by. It also highlights the debate over where regulation of these facilities lies—with local municipalities? Or with the state?

Read the article for more details:
Pittsburg Post-Gazette (Mar 14) – Neighbors take a stand on noise, odor of gas drilling

| | | |

While Albany Dithers on Marcellus Drilling, Landowner Profits Evaporate

George Phillips, a Republican candidate for the 22nd Congressional District in New York State, penned a viewpoint article in today’s Binghamton Press & Sun-Bulletin on the topic of drilling in the Marcellus Shale. In short, Mr. Phillips is pro-drilling while the man who currently holds that office, Maurice Hinchey (Democrat) is anti-drilling and supports federal government interference. While the article takes political aim at his opponent, Mr. Phillips makes strong arguments on why drilling should commence—now.

He closes his article with this:

But the window of opportunity may be closing. As more areas of the country move forward with plans to develop these types of resources, prices naturally fall as supply increases. This leaves our residents waiting, watching potential profits and opportunities evaporate as others reap these benefits while our government dithers.*

Ah yes, the dithering officials in Albany. Albany needs to move forward now. Other shale plays are becoming active, and the Pennsylvania Marcellus is red hot. If Albany drags on much longer with their obstruction of drilling, landowners will be the ones who suffer.

We also hope, along with Mr. Phillips, that the federal government (and Mr. Hinchey) stay out of states’ business.

*Binghamton Press & Sun Bulletin (Mar 8th) – Clear way for drilling

| | |

4,300 Sign Petition to Encourage New York Leaders to Drill Here, Drill Now

The Independent Oil and Gas Association of New York today issued a press release encouraging landowners to sign their online petition to New York’s governmental leaders to encourage them to move forward—now—with allowing drilling in the Marcellus Shale in New York. Already, more than 4,300 have signed. Landowners who want to add their signatures to the petition can do so here: www.petitiononline.com/YESngNY/petition.html

—–

From the press release*:

Proponents of natural gas exploration petitioned the governor, lawmakers and regulatory agencies and lawmakers to allow drilling to be expanded in New York’s Southern Tier and Western Catskills.

More than 4,300 people have so far signed an online petition already, which reminds elected officials and regulators that harvesting clean-burning natural gas in New York will heat our homes, spur our economy, reduce our dependence on foreign oil for decades to come and bring thousands of job and billions of dollars to New York.

The petition, sponsored by the Independent Oil & Gas Association of New York, will remain open to those interested in urging decision-makers to form objective and scientific opinions on whether expanded natural gas exploration is right for New York. It is available at www.marcellusfacts.com.

“We are very pleased that many so right-minded New Yorkers have spoken up.” said Brad Gill, IOGA of NY executive director. “New York’s leaders have to focus on this tremendous opportunity for our communities and our state, instead being distracted by bad science and misinformation being spread by obstructionists who don’t actually understand our work and history of environmental stewardship.”

The petition follows a Jan. 25 outdoor rally in Albany, where 700 landowners and supporters raised their voices in support of natural gas extraction through a process known as hydraulic fracturing – or “fracking.” The delegation represented 23 landowner groups and 17,500 families.

The fracking process will help release natural gas locked in the Marcellus Shale formation by injecting pressurized water, sand chemicals and other ingredients to shatter the rock. It occurs deep underground and far from groundwater and surface water, and it has been performed safely in New York and nationwide for decades.

IOGA-NY was founded in 1980 to protect, foster and advance the common interests of oil and gas producers, as well as professionals and related industries in the State of New York.

*readMedia (Mar 3) – More than 4,000 New Yorkers Petition the State to Allow Expanded Natural Gas Exploration

| | | |

Two Bills in NY Legislature Will Kill Drilling in the Marcellus Shale

New York State Senator Tom Duane (Democrat-Manhattan), and New York Assemblyman James Brennan (Democrat-Brooklyn) have introduced bills in the state legislature that would kill Marcellus Shale drilling in New York State.

[The] two bills…would prohibit any permits for oil or gas drilling from being issued for two years, prohibit drilling within five miles of the New York City water supply and ban drilling anywhere within the Delaware River watershed.

The bills introduced by Duane and Brennan have already attracted a number of Democratic co-sponsors in the Assembly from both upstate and downstate.*

Sen. Duane says there is no such thing as safe hydrofacturing drilling. The Independent Oil and Gas Association of New York State opposes the legislation, as does the Business Council of New York and many other organizations and individuals.

MDN recommends landowners who support drilling should make their voices heard. Call Sen. Duane and Assemblyman Brennan to register your opposition. And check in with your local Senator and Assemblyperson while you’re at it.

  • Sen. Duane’s phone numbers
    District Office – (212) 633-8052; Albany Office – (518) 455-2451
  • Assemblyman Brennan’s phone numbers
    District Office – (718) 788-7221; Albany Office – (518) 455-5377

*City Hall (Mar 1) – Legislators In Albany And New York Float Hydrofracking Bills

| | | | |

New President of Marcellus Shale Coalition Says Drilling Will Bring 110,000 Jobs to PA in 2010

Katie Klaber, the new President of the Marcellus Shale Coalition recently appeared on the Clean Skies News network to discuss the environmental issues of natural gas drilling. It’s an informative and short piece (under 10 minutes), and worth watching (embedded below).

Among the things discussed that MDN found interesting:

  • Ms. Klaber says Marcellus Drilling will bring 110,000 jobs to Pennsylvania in 2010.
  • Some drillers recycle and reuse 100% of fracking water, but the industry average right now is recycling and reusing 60%.
  • Because of the high rate of recycling, a shortage of wastewater treatment facilities is not critical at the moment, but more facilities will be needed in the next few years.
  • Drilling companies already have an MSDS (Materials Safety Data Sheet) at the drilling site for each and every chemical used in the fracking process. That is right now, today. So the hue and cry that drillers are “hiding” the chemicals used in fracking is not true.
  • Ms. Klaber predicts that Pennsylvania will be a net exporter of natural gas by 2014.

| | | |

DISH, Texas Mayor Calvin Tillman Visits Binghamton – Marcellus Drilling News was There

This will necessarily be a long article. As a regular reader of Marcellus Drilling News, you have come to expect brief articles highlighting information useful for landowners and other interested parties in the Marcellus Drilling debate. Last night, your faithful scribe attended a local meeting in Binghamton, NY at Binghamton’s East Middle School, to hear DISH, Texas Mayor Calvin Tillman and his views on natural gas drilling. I went with an open mind to evaluate whether Mr. Tillman and the other speaker of the evening—lawyer Helen Slottje from Ithaca—would present information that would challenge my views that drilling can be done safely when it’s done right.

I would say it’s a fair statement that if you went to the meeting as a supporter of drilling, or as an opponent, your view was not changed by the presentations. I attended on behalf of the average landowner, even though I do not have land for lease in the Marcellus myself. I tried to be your eyes and ears at the meeting. Disclaimer: I am in no way affiliated with, nor compensated by, anyone in the drilling debate on either side of the debate. I’m just an interested blogger and advocate for landowners and the rights of private property owners.

This is an account of what happened last night…

Read More “DISH, Texas Mayor Calvin Tillman Visits Binghamton – Marcellus Drilling News was There”

| | |

NY DEC Extends Comment Period on New Regulations by 30 Days

Binghamton Press & Sun-Bulletin (Nov 4):
Debate on drilling rules extended by DEC

The New York Department of Environmental Conservation has caved to the anti-drillers who are screaming for more time to read the 800-page draft Supplemental Generic Environmental Impact Statement (dSGEIS)–the proposed new drilling regulations all drillers in New York would have to follow when drilling in the Marcellus Shale. So the DEC has added another 30 days to the “comment period” which is really nothing more than an extra 30 days for the anti-drillers to try and prevent drilling in New York. No worries, drilling is coming and they can’t stop it.

| | | | | | |

Feds Deny Private Landowers the Right to Drill in PA

Kangaroo News Service (Nov 2):
Local Citizens, Civic and Business Leaders Launch Petition to Resume Oil and Gas Development in the Allegheny National Forest

This one should make every landowner shudder–with anger and fear. The Obama Administration has illegally shut down drilling on private land in Pennsylvania. Landowners who own land in the Allegheny National Forest are now denied access to drill and sell the natural gas under their own land by fiat from the U.S. Forest Service, part of the executive branch of the federal government (i.e., Obama). This naked and forceful grab of individuals’ rights by the federal government cannot go unanswered. Make your voices heard!!

We have to go all the way to an Australian news service for this one folks:

In a petition distributed by the Pennsylvania Oil & Gas Association (POGAM) and Allegheny Forest Alliance (AFA), nearly 2,000 citizens, and civic and business leaders from Elk, Forest, Warren and McKean counties have called for President Obama and the U.S. Department of Agriculture to lift a ban on oil and gas development by the U.S. Forest Service, which effectively has halted drilling on privately owned mineral lands underlying the Allegheny National Forest. The petition was also mailed to Pennsylvania Governor Ed Rendell to encourage a greater effort by the Commonwealth to support a critical element of northwestern Pennsylvania’s economy.

In a historically unprecedented action, local and regional managers of the Allegheny National Forest have banned oil and natural gas exploration and barred mineral owners from accessing their property throughout the forest, effectively seizing the development rights to privately owned oil, gas and mineral resources. The ban has shut down oil and natural gas exploration and stymied production in the forest, where the industry has operated for decades in cooperation with the U.S. government. The petition maintains that the ban illegally violates Pennsylvania’s grant of consent to the United States in 1921 to acquire the forest and also violates the protection of private property rights in the federal law, the Weeks Act of 1911, under which it was acquired.

“The behavior by the Forest Service is most irresponsible, and it amounts to the unlawful taking of private property,” said Stephen W. Rhoads, POGAM president. “State records show that fewer than 50 wells, all of them permitted prior to the drilling ban imposed on January 1, have been drilled in the Allegheny National Forest during 2009. The Forest Service has prevented the drilling of between 200-300 wells that would have otherwise occurred. These undrilled wells translate into private investment of nearly $100 million and jeopardize hundreds of good-paying jobs in the region. The action of the Forest Service amounts to a full-scale assault on the economic health of the families and communities living in and around the Allegheny National Forest.”

Private oil and gas development within the Allegheny National Forest accounts for at least 20 percent of Pennsylvania’s oil production and as much as 10 percent of Pennsylvania’s natural gas production. It contributes tens of millions of dollars annually into the regional economy of northwest Pennsylvania and western New York.

For decades, the U.S. Forest Service and the oil and natural gas industry have worked cooperatively to manage oil and gas development. The petition represents a strong consensus among citizens and local community leaders about the importance of this industry and the condemnation of the Forest Services’ current management practices to immobilize the region’s economic recovery and progress.

| | | | | | |

Six Regulators Police Drilling in Eastern Half of PA

Wayne Independent (Nov 2):
Few regulators in place for natural-gas drilling

At a recent meeting in Preston Township (Pennsylvania), Department of Environmental Protection (DEP) officials talked about their role in inspecting gas drilling operations in the Marcellus Shale. The article attempts to make the case there are far too few inspectors for the growing number of drilling locations. In the eastern half of Pennslvania there are only six DEP officers whose job it is to monitor drilling activity and water supplies. The DEP is requesting three more, but with the recent state budget cuts, the additional positions are not assured.

There was one bit of interesting information for landowners in Wayne and surrounding counties in the article:

Although Wayne County has had only two natural gas wells drilled in the past two years, other areas in the region have experienced a rapid proliferation of production sites including in Susquehanna, Bradford, and Tioga counties. Hundreds of drill sites are expected to come online by the end of next year in the eastern office’s jurisdiction.

| | | | | | |

First NY DEC Meeting on Proposed Drilling Regulations Held in Sullivan County

Middletown Times Herald-Record (Oct 29):
300 folks pack Sullivan fracking forum

The first scheduled meeting for public comments on the draft Supplemental Generic Environmental Impact Statement (SGEIS) held by the New York DEC happened yesterday in Sullivan County, NY. According to the Middletown Times Herald-Record:

Most of the speakers in the standing-room-only, mostly anti-drilling crowd of more than 300 at Sullivan County Community College said the proposed Department of Environmental Conservation rules for drilling of the Marcellus shale fall short.

The anti-drilling standard tactic is to delay drilling in hopes of building support to get it banned altogether. This was evidenced at the meeting. With regard to extending the DEC’s public comment period (which would further delay the start of drilling):

Paul Rush, deputy commissioner of the New York City Department of Environmental Protection, called for 45 extra days.

Joe DiPane of Callicoon called for six months, since the shale “has been formed underground for eons,” he said.

There are two more scheduled meetings, Nov. 10 in New York City and Nov. 12 in the Binghamton area. A third meeting is yet to be arranged in the Elmira area. (See Public Hearings on the New York Draft SGEIS for Marcellus Shale Drilling for details.) Landowners need to attend and make their voices heard!

| | |

Make Your Voice Heard on the Proposed NY Drilling Regulations

In addition to attending the hearings previously mentioned (see Public Hearings on the New York Draft SGEIS for Marcellus Shale Drilling), if you’re a landowner in New York, you can also make your voice heard about the new regulations in the following ways:

(1) Leave a comment on the specially created form on the DEC website: www.dec.ny.gov/cfmx/extapps/SGEISComments/

(2) Send an e-mail to: dmnsgeis@gw.dec.state.ny.us

(3) Write a letter to:
Attn: dSGEIS Comments
Bureau of Oil & Gas Regulation
NYSDEC Division of Mineral Resources
625 Broadway, Third Floor
Albany, NY 12233-6500

| | | | | | |

Public Hearings on the New York Draft SGEIS for Marcellus Shale Drilling

New York Dept. of Environmental Conservation (Oct 13):
Press Release: DEC Schedules Public Hearings on Marcellus Shale Drilling Draft SGEIS

Landowners will want to attend the public hearings being held by the New York DEC on the draft regulations for drilling in the Marcellus Shale. The regulations are called the Supplemental Generic Environmental Impact Statement (SGEIS). Why attend? To educate yourself on the regulations, and (if you’re so inclined), to offer your comments of support. You can be sure the anti-drillers will be out and vocal–so you need to be out and vocal too if you’re interested in ever seeing drilling commence in New York State. Here are the dates for hearings so far:

  • Wednesday, Oct. 28, Sullivan County Community College, E Building, Seelig Theater, 112 College Rd., Loch Sheldrake, NY 12759.
  • Tuesday, Nov. 10, Stuyvesant High School, High School Auditorium, 345 Chambers Street, New York, NY 10282.
  • Thursday, Nov. 12, Chenango Valley High School, High School Auditorium, 221 Chenango Bridge Rd., Chenango Bridge, NY 13901.
  • Elmira – Corning, TBD.

The doors will open at 6 p.m. for individual questions and speaker sign up (first come, first called for commenting on the record). The public comment session will start at 7 p.m. Check the DEC web site for possible changes in time or location.

From the press release:

DEC staff will be available prior to the start of each session to answer individual questions about the format and contents of the draft SGEIS. The following procedures will guide the public hearings:

  • To accommodate as many people as possible, there will be a five-minute limit on oral presentations.
  • Speakers may supplement their oral presentations with written comments. Written and oral comments receive equal consideration.
  • Formal presentations (PowerPoint, etc.) cannot be accommodated.
  • Individuals intending to speak will be required to sign-in upon arrival and will be called in the order registered.

To view (or download) the 809-page draft SGEIS, go to this page: www.dec.ny.gov/energy/58440.html

| | |

Sen. Gillibrand Trying to Slow Down Drilling in New York

Binghamton Press & Sun-Bulletin (Oct 15):
Gillibrand urges N.Y. extend comment period on gas drill rules

More delay tactics from the Democrats. Enough already! From the article:

U.S. Sen. Kirsten Gillibrand, a member of the Senate Environment and Public Works Committee, on Thursday urged New York to extend the public comment period on proposed regulations governing development of the gas-rich Marcellus Shale.

New York state released its environmental impact statement Sept. 30 and scheduled a series of public meetings, beginning on Oct. 28 . The state provided a 60-day period for public comment; Gillibrand, D-N.Y., recommended a 90-day public comment period, to Dec. 30.