Partial Service Restored to Exploded TETCO Pipe in Kentucky

What the TETCO Kentucky explosion looked like the morning after (click for larger version)

On August 1, Enbridge’s Texas Eastern Pipeline Company (TETCO) pipeline exploded in Lincoln County, Kentucky–killing one and sending six to the hospital (see TETCO Pipe Explodes in Kentucky Killing 1; Southbound M-U Gas Stops). Actually TETCO operates three pipelines in that area, all located next to each other in the same right-of-way and collectively called TETCO. Line 15 is where the explosion occurred. Yesterday morning Enbridge announced it had restarted flows along TETCO Line 25.
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Enbridge Wants to Bring TETCO Pipe in KY Back Online Aug 24-26

TETCO Line 15 explosion & fire on Aug 1

On August 1, Enbridge’s Texas Eastern Pipeline Company (TETCO) pipeline exploded in Lincoln County, Kentucky–killing one and sending six to the hospital (see TETCO Pipe Explodes in Kentucky Killing 1; Southbound M-U Gas Stops). Actually TETCO operates three pipelines in that area, all located next to each other and collectively called TETCO. Line 15 is where the explosion occurred, but Lines 10 and 25 (located next to Line 15) remain offline until further notice (see 3 TETCO Pipelines in KY Closed Indefinitely, Feds Order Repairs). TETCO is hoping to return one of the three lines to service later this week.
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3 TETCO Pipelines in KY Closed Indefinitely, Feds Order Repairs

TETCO explosion/fire in Kentucky

Last Friday the Pipeline and Hazardous Materials Safety Administration (PHMSA) issued their preliminary findings (full copy below) on the explosion of the Texas Eastern Pipeline Company (TETCO) pipeline explosion in Lincoln County, Kentucky–an explosion that killed one and sent six to the hospital (see TETCO Pipe Explodes in Kentucky Killing 1; Southbound M-U Gas Stops). PHMSA also issued a “corrective action order” on Friday that requires TETCO to keep Line 15, where the explosion occurred, and Lines 10 and 25 (located next to Line 15), offline until further notice. Indefinitely.
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TETCO Remains Closed in KY Following Blast, NE Production Back Up

Last Thursday the Texas Eastern Transmission Company (TETCO) pipeline exploded near a trailer park in Lincoln County, Kentucky (see TETCO Pipe Explodes in Kentucky Killing 1; Southbound M-U Gas Stops). The blast and resulting fire killed one woman, injured five more, and destroyed five homes in the area. It shut down the pipeline in that area which flows 1.7 billion cubic feet of Marcellus/Utica gas (Bcf/d) south to the Gulf Coast. The pipeline will remain shut down “at least” until next Monday, Aug. 12.
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TETCO Pipe Explodes in Kentucky Killing 1; Southbound M-U Gas Stops

TETCO Pipeline explosion/fire in Kentucky

Early yesterday morning around 1:20 am, the Texas Eastern Transmission Company (TETCO) pipeline exploded near a trailer park in Lincoln County, Kentucky. The blast and resulting fire killed one woman, injured five more, and destroyed five homes in the area. Flames shot up more than 300 feet into the air, visible from neighboring counties.
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Kinder Morgan Cancels UMTP – Utica Marcellus Texas Pipeline

Once again it seems environmentalists in Kentucky have won–stopping yet another NGL (natural gas liquids) pipeline. On Wednesday Kinder Morgan, one of (perhaps the) largest pipeline companies in North America, announced it is canceling plans to convert part of its Tennessee Gas Pipeline (TGP) that currently flows natural gas from the Gulf Coast to the northeast, to reverse the pipeline and flow natural gas liquids (NGLs) from the Marcellus/Utica region to the Gulf Coast. The project, called Utica Marcellus Texas Pipeline (UMTP), would have cost $4 billion. Instead, Kinder says it will still seek to reverse a big portion of TGP, but will instead flow M-U natgas south, instead of NGLs.
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Diversified Gas & Oil Buys Core Appalachia for $183M

Diversified Gas & Oil continues its mission to buy as many non-shale (conventional) oil and gas wells as it can in the Appalachian Basin. In June, MDN brought you the exclusive news that Diversified had purchased EQT’s Huron Shale assets in Kentucky, Virginia and West Virginia for $575 million (see Diversified Gas & Oil Adds to Conventional Assets in KY, VA, WV). They’ve just done it again. This week Diversified announced a deal to buy out Core Appalachia for $183 million, which includes ~5,000 producing wells (90% of production is natgas) and 1.3 million acres in West Virginia, Kentucky and Virginia.
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Catalyst to Restart Drilling Program in Kentucky Using Shale Tech

There’s only so much you can cram into a 65 character headline. We wanted to say more. Catalyst Energy was, until 2017 (when it quit drilling new wells) a conventional-only oil driller focused mainly on western Pennsylvania. It quit drilling due to low oil prices. Catalyst has just announced that, pending the outcome of a new round of investments it’s seeking, the company will restart its drilling program–but this time with a twist. Catalyst is transforming itself from a conventional to an unconventional driller.
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Opposition to Kinder Morgan NGL Pipeline Plan Builds in Kentucky

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What is it about Kentucky? Is everybody in the Bluegrass State allergic to NGL (natural gas liquids) pipelines? Another government official, this time the mayor of Lexington, is the latest (in a long list) to oppose Kinder Morgan’s plan to convert part of their Tennessee Gas Pipeline to flow NGLs–called the Utica Marcellus Texas Pipeline (UMTP) project.
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EQT Employees in Kentucky Vote to Unionize

A group of 116 EQT production employees who live and work in Kentucky have voted to form a union to protect their jobs and benefits. It is unusual–frankly unheard of–for unions to make inroads with an exploration and production company (E&P) like EQT. Why this group and why now? The fire was lit when EQT announced it is selling its Huron Shale assets to Diversified Gas & Oil (see Diversified Gas & Oil Adds to Conventional Assets in KY, VA, WV). Those assets include transferring 250 workers (including the 116 working in Kentucky) to Diversified. The workers are afraid of what typically happens when such deals occur–“efficiencies” are sought, which usually translates into layoffs and whacking benefits. To get out ahead of that, the group voted to unionize. Here’s the story of a small group unionizing, and the prospects of unionization happening elsewhere in the Marcellus/Utica…
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EQT Confirms Sale of Huron Shale to Diversified for $575M

MDN exclusively brought you the news, on June 19, that Diversified Gas & Oil had purchased EQT’s Huron Shale assets in Kentucky, Virginia and West Virginia for $575 million (see Diversified Gas & Oil Adds to Conventional Assets in KY, VA, WV). At that time, Diversified did not disclose who it had purchased the assets from. MDN provided a guess, but that guess proved wrong. Within an hour of posting about the sale, an MDN tipster confirmed for us the seller was EQT, which we subsequently updated, providing the MDN audience with the inside skinny. On Friday, June 29, EQT issued a press release (below) confirming that yes, it was they who had sold the acreage/assets, including nearly 12,000 wells with 200 million cubic feet per day of natural gas production, to Diversified. The deal also includes 2.5 million acres of leases and some 6,400 miles of gathering pipelines. What we didn’t know about the deal (until now) is that it includes 8 field offices and 250 employees. Here’s the EQT announcement with full details of the deal…
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EQT Looks to “Graduate from” (Exit) Huron Shale “Prep School”

Looks like EQT, the largest natural gas-producer in the U.S., is graduating from prep school. That is, EQT is about to sell all of its remaining assets in the Huron Shale play. The Huron is located mainly in West Virginia and Kentucky, also poking up into Ohio and traveling along the edge of Virginia. Most of EQT’s considerable Huron assets (some 12,000 wells) are located in Kentucky. From what we can tell, most of those wells are conventional. That is, not horizontal wells but vertical. The Huron was EQT’s early experiment in shale before shale was “a thing.” EQT played around in the Huron to learn how to drill in shale. According to former CEO Steve Schlotterbeck, “the Huron play was like prep school for us.” Last Thursday EQT filed a Form 8-K with the Securities and Exchange Commission advertising the news they have plans to sell their Huron assets–not only the wells but the pipeline system that connects the wells…
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$325M Gas-to-Liquids Plant Coming to Floyd County, KY

Last week RCL Chemical announced it has partnered with Y2X Infrastructure to build a $325 million gas-to-liquids (GTL) plant in Floyd County, Kentucky. GTL plants convert natural gas, a hydrocarbon, into other hydrocarbons, like diesel fuel, gasoline, solvents and waxes. An abundance of cheap natural gas in the Marcellus/Utica is one of the prime motivators for establishing GTL plants in the region. Although we’ve heard plenty of talk about such plants, we’ve only seen a few prototypes get built thus far. The RCL/Y2X story caught our attention because Kentucky hates new gas pipelines, yet wants to build a plant that will use gas coming from pipelines (see KY Court Decision Goes Against Pipelines re Eminent Domain). Perhaps attitudes in the Bluegrass State are changing? According to RCL, necessary infrastructure (pipelines) are already present in Floyd, one of the primary reasons RCL wants to locate in Floyd. The company says it will begin construction by the end of this year and have the GTL plant built and operating by 2020. The original plan, a few years ago, was to build a coal-to-liquids (CTL) plant in neighboring Pike County. That plan was eventually scrapped and this new plan to build a GTL project has taken its place…
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Kentucky County Suing to Stop TGP from Reversing Pipeline for NGLs

Rowan County, KY

In February MDN told you that Kentucky antis went to court to try and block a plan by Kinder Morgan to convert a portion of the Tennessee Gas Pipeline that flows natural gas from the Gulf Coast to the northeast, to reverse the pipeline and flow natural gas liquids from the Marcellus/Utica region to the Gulf (see Kentucky Antis File Lawsuit to Stop TGP NGL Pipe Reversal). The reversal is part of a $4 billion project called the Utica Marcellus Texas Pipeline (UMTP) project. The first step in reversing the existing pipeline was approved by the Federal Energy Regulatory Commission last October (see FERC Advances Plan to Reverse Part of TGP to Haul M-U NGLs to Gulf). Antis in Kentucky got their bluegrass knickers in a twist over FERC’s action. They filed a request for “rehearing” of FERC’s decision, which is the first step in a process that typically ends up in court. Normally FERC has 30 days to decide on a rehearing, however, they have a tactic they call a “tolling order” which allows them to extend the amount of time to make a rehearing decision–indefinitely. FERC pulled out the tolling order card and played it last November (see FERC Frustrates Kentucky Radicals Seeking to Stop TGP Pipe Reversal). The ticked-off antis filed a lawsuit challenging the FERC tolling order. While all of that continues to play out, one of the Kentucky counties along the TGP route–Rowan County–is filing its own lawsuit to stop the reversal and conversion of the pipeline. No, Rowan County has no standing to file such a lawsuit, but apparently they’ll need to learn that the hard way…
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Whatever Happened to Illegally Dumped Frack Waste in KY Landfill?

Click image for larger version

In March 2016, MDN reported that 47 dumpsters full of concentrated frack waste from OH, PA and WV was illegally dumped in a Kentucky landfill in Estill County, KY (see Marcellus/Utica Frack Waste Illegally Dumped in Kentucky Landfill). The cuttings were buried between July and November in 2015, near as anyone can tell. The landfill sits across the road from a school. Normal frack waste has extremely low (usually no) radioactivity. But when drill cuttings are further processed and concentrated, as was the case with this series of loads, the naturally occurring radiation present can become more concentrated. Fortunately there’s no indication of a problem at the landfill: no indication that it’s leaking radioactivity into the water table, etc. But parents and residents were rightly up in arms (see Local Residents Demand KY Landfill Accepting Frack Waste Close). We last provided an update on this situation in July 2017 (see Update on Illegally Dumped Frack Waste in Kentucky Landfills). What’s happened since then? Not much. The radioactive waste is still there, buried. Still no signs of any leakage or problems. The landfill owners were fined and are required to create a mitigation plan. State officials want to keep the waste right where it is–best not to disturb it. But some locals want it dug up and moved–to somewhere/anywhere else. Here’s the latest on the “hot mess” in Estill County’s landfill…
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