Expensive Audit Tells PGW to Buy More PA Shale Gas to Save Money
Here’s a thought: Why doesn’t the Philadelphia Gas Works (PGW) convert more of the gas it buys to take gas from the nearby Pennsylvania Marcellus Shale and dump buying gas from the Gulf Coast–because PA’s gas is closer and much cheaper, it will result in lower costs for PGW and lower bills for consumers. Now, where do we go to collect our $1.5 million consulting fee for that fine idea? The Pennsylvania Public Utility Commission contracted with Michigan consulting firm Schumaker & Company, Inc. to perform a top to bottom audit of the PGW. While we don’t know how much the audit cost, we did find a 2008 proposal from Schumaker to New York State touting the same kind of audit, with a total price tag (back then) of $1.3 million. So we figured with a little inflation the audit just turned in by Schumaker must have run at least $1.5M. The chief, number one suggestion by Schumaker? PGW can save $6-$7 million a year by buying more of its gas (60% more) from the Marcellus Shale region, upping it from the current 33% they buy from the Marcellus now. Maybe we should get into the consulting business. Sure pays better than blogging!…
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MDN has just published Volume 2 of the
It’s amazing what lengths otherwise rational-thinking adults will go to, to dispose of carbon dioxide–the stuff you breathe out with every breath you take. Global warmists believe an abundance of CO2 in the atmosphere will lead to global warming and toast Mother Earth (even though average global temps haven’t increased in nearly 19 years now, an inconvenient truth for warmists that they avoid addressing). Sometimes this strange behavior of trying to dispose of CO2 is actually beneficial to the shale industry. Researchers from Virginia Tech have teamed with the National Energy Technology Laboratory (NETL) on a multi-part project to investigate the feasibility of injecting captured CO2 into shale and other rock layers. The experiments, which so far are showing great promise, inject CO2 into the rock forcing natural gas out of the rock and to the surface–and locking away the nefarious CO2 underground where it will stay until a couple of hundred years from now when someone figures out how to use CO2 as an energy source and they go after it again…
A study titled “Endocrine-Disrupting Activity of Hydraulic Fracturing Chemicals and Adverse Health Outcomes After Prenatal Exposure in Male Mice” was published last week in the journal Endocrinology (abstract below). This one is fall-right-out-of-your-chair-laughing funny! The study attempts to make a link between fracking and low sperm counts in men by exposing mice (yes, mice were harmed in the making of this study!) with chemicals used in fracking. Thing is, they overdosed the mice–using far more chemicals at higher doses than are ever used in fracking fluids. That’s just one of the many problems with this new “study.” There are plenty of other problems too, including the raging conflicts of interest for the anti-driller who was the supervising “researcher” for the study…
Yesterday our favorite government agency, the U.S. Energy Information Administration (EIA), issued our favorite government report, the Drilling Productivity Report (DPR). The numbers are interesting. The first thing we notice is that shale oil production in America’s top seven shale plays is set to fall around 93,000 barrels per day over the next month–the biggest monthly drop in oil production since 2007. However, you have to put that in context. Since 2007 we’ve also seen the largest gains in production we’ve had in a generation or more. A big movement up can lead to a sizable movement back down. The fact is, we’re still producing more onshore oil than we ever have. Also of note is that natural gas production is set to drop 294 million cubic feet per day (MMcf/d) over the next 30 days–which is the biggest drop in production of shale gas since the EIA started issuing the DPR, and the fifth month in a row shale gas production has decreased. While the Marcellus will once again see a big decrease in its gas production (expected to drop 215 MMcf/d, which is 73% of the total drop!), the Utica reversed. Last month’s report predicted Utica gas production would drop 4 MMcf/d. This month’s report predicts Utica gas production will increase by a whopping 57 MMcf/d…
Last week MDN reported on a new junk science study that claims to have discovered the closer you live to fracking in Pennsylvania, the more likely your baby will be born prematurely (see
In January 2014, anti-drilling “researchers” jumped the gun at the annual meeting of the American Economic Association in Philadelphia by announcing “preliminary” results of research in which they claim they can show a connection between shale drilling and low birth weights in newborn babies in Pennsylvania (see
The Center for Liquefied Natural Gas (CLNG) released a new report earlier this week that purportedly shows the global environmental benefits of exporting LNG. The Pace Global-authored report, titled “LNG and Coal Life Cycle Assessment of Greenhouse Gas Emissions” (full copy below) found greenhouse gas (GHG) emissions from coal-generated electrical power to be 92 percent to 194 percent higher than from power generated from U.S.-produced LNG in five key international markets. Yes, CLNG is targeting another fossil fuel, coal, to justify itself–which is not a healthy thing in our opinion. Everyone (except
What is it about some anti-drillers (actually, anti-fossil fuelers) that makes them closed-minded and unreasonable? A Colorado research chemist and two technology students from Singapore set out to answer the question of whether or not shale oil should be produced. All three attended a 10-week intensive course focusing on Utah’s vast oil reserves (no, this story is not about the Marcellus/Utica per se, but it is illustrative nonetheless). Although the three had intended on submitting a research paper at the 35th Annual Oil Shale Symposium being held yesterday and today in Salt Lake City, the research paper ended up being a 116-page e-book they’re selling on Amazon, called “
Get this: The Obama administration has made a $730,000 grant to the Pittsburgh Region Clean Cities (PRCC) organization to study how to convert boats to operate more efficiently and pollute the environment less. Most boats today burn a nasty, filthy, rotten fossil fuel called diesel. Belches out all sorts of “pollutants” including carbon dioxide. Obamadroids want to clean up Mother Earth and need to figure out ways to do it. But sticking a windmill or a solar panel on a boat doesn’t work very well (Obama’s already tried it). So for the administration that’s given us the Clean Power Plan that tries to eliminate both coal and natural gas, we have a grant to convert a tugboat from burning diesel to…burning natural gas. Yep. Even Obamadroids have to admit you can power boats with solar and wind–so they’ve given $730,000 to the PRCC to run an experiment in converting a tugboat burning diesel into burning clean, abundant and cheap natural gas. Perhaps the smartest thing Obama has ever done!…
The Joint Landowners Coalition of New York (JLCNY) and JLC United will air another live session of the Good News Table Talk Radio Show on Sunday, Oct. 18 from 7-8 pm on WNBF Radio 1290 in Binghamton (listen online at:
The price of natural gas isn’t going anywhere fast during winter 2015-2016. That’s the takeaway MDN gets from an analysis just released by the Natural Gas Supply Association (NGSA). The NGSA’s 15th annual Winter Outlook assessment (full copy below) says we have record production on the way, record amounts of gas in storage, and according to the National Weather Service, a winter that will average around 7 degrees warmer than last year. NGSA also says demand for natgas from electric generating plants and other users will tick up a bit. So on balance, NGSA says there will be “neutral pressure” on this winter’s natural gas prices compared to the winter of 2014-2015. In other words, the price isn’t going anywhere–likely to stay in the same neighborhood of last winter’s average Henry Hub price of $3.21 per thousand cubic feet (Mcf). MDN points out the price of gas varies widely depending on what part of the country you’re in. Although gas sold at the Henry Hub delivery point for an average of $3.21/Mcf last winter, gas selling at the Tennessee Gas Pipeline Zone 4 Marcellus delivery point was less than half that–around $1.50/Mcf last winter. NGSA is saying: What you saw last winter for prices is what you’re likely to see this winter…