Big Green, Democrats Launch Effort to Block NY CO2 “Fracking”
At the end of October, MDN told you about a company called Southern Tier CO2 to Clean Energy Solutions, based in Binghamton, NY, sending fliers to landowners in Broome, Tioga, and Chemung counties (along the border with Pennsylvania, where there is no doubt large amounts of Marcellus and Utica gas beneath the ground) inviting landowners to sign up for what appears to be an exciting opportunity to sell gas rights (see Company Seeks to Lease New York Mineral & Pore Rights for Flat $10). The flier and company website says the company plans to use carbon dioxide (CO2) to (a) store it underground, but also (b) use it to extract natural gas from underground and then (c) either sell the gas via pipeline or burn it to produce electricity. The technology envisioned is an alternative to fracking. The reaction from the insane left took about a month, but it’s now fully metastasized. Southern Tier Solutions (STS) has poked the leftist hornet’s nest that is New York State, and they are now swarming.
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A small group of New York landowners in Tioga County, NY continue to pressure the New York Dept. of Environmental Conservation (DEC) to allow them to drill and frack a single Utica well using LPG, or liquefied petroleum gas (i.e. propane). The DEC under the direction of Andrew Cuomo continues to purposely drag its feet in approving the project. The landowners are not giving up and hope to prove that fracking in NY can happen. They’re keepin’ the dream alive.
This news is a bit dated, but still interesting and is new for us: Last October a group of landowners in Tioga County, NY filed a lawsuit to force the NY Dept. of Environmental Conservation (DEC) to quit dragging its feet and set a date to consider the groups application to allow LPG (liquefied petroleum gas, i.e. propane) fracking for a shale well.
Whatever happened to the idea of fracking a shale well in Tioga County, NY using liquefied petroleum gas (LPG, or propane)? We sometimes get asked that question. In July 2015 a group of landowners flying under the name of The Snyder Farm Group (five families make up the group) contracted with Tioga Energy Partners (based in Texas) to drill a fracked Utica Shale well, and follow it up with drilling a fracked Marcellus Shale well, using LPG and sand (see 
In September MDN brought you the news that the buyer of the bankrupt Canadian waterless fracking company, GASFRAC, is shelving the waterless propane fracking product the company was known for (see 
The U.S. Court of Appeals for the Second Circuit, located in New York State, released a decision yesterday in a case known as Beardslee v. Inflection Energy, LLC (copy of the decision is embedded below) that may create problems for future shale drilling in New York State–should the existing statewide ban ever be lifted. Yesterday’s decision is good news for landowners in one sense–it officially upholds the right of Tioga County, NY landowners party to the lawsuit to be released from old leases made in pre-Marcellus days when landowners signed leases for $3 per acre. Those leases were signed before the words “Marcellus” or “Utica” meant anything other than municipalities in New York State. (Interesting factoid: both shale plays are named after the NY towns where they were first identified. Further interesting factoid: both Marcellus, NY and Utica, NY banned fracking before the statewide ban was official.) The Second Circuit upheld a previous decision which we first wrote about in 2012 (see 
Some more details about the brilliant move by some average farmers in Tioga County, NY who plan to use propane to frack a Utica Shale well, bypassing the existing ban on fracking in New York because the existing ban only disallows high volume water-based fracking…
As MDN noted last Thursday, taking a break from being on break in breathtakingly beautiful Ogunquit, Maine, a group of Tioga County, NY landowners have painted Andrew Cuomo and his Dept. of Environmental Conservation (DEC) in a corner with respect to fracking in the Empire State (see 
Wouldn’t you know? The very day that MDN goes on vacation, a HUGE story–at least for New York State–happens. So we’re back with a single posting today. Yesterday a press conference was held in the Town of Barton (Tioga County), NY to announce that a group of landowners flying under the name of The Snyder Farm Group (five families make up the group) have contracted with Tioga Energy Partners to drill a fracked Utica Shale well, and follow it up with drilling a fracked Marcellus Shale well, using liquefied petroleum gas (LPG or propane) and sand. The wells will not use water for fracking–and therefore, according to the landowners, avoid the ban on high volume fracking recently imposed by Andrew Cuomo and his underling Joe Martens at the state Dept. of Environmental Conservation (DEC). There is no doubt this is huge news throughout the state–and is giving heartburn to Cuomo and Martens. What cockamamie grounds can the DEC possibly use to refuse it? It’s a brilliant move by the landowners in Tioga County…
A court case decided earlier this week by New York’s Court of Appeals (NY’s highest court), will, in our opinion, have a profoundly negative effect on oil and gas development in the state, forever. Or until another court case overturns it (which seems very unlikely). The case, as its core, is about the question of whether or not state action or inaction constitutes an extraordinary action, in essence an Act of God outside of the control of parties who sign a contract. Years ago landowners signed leases to allow oil and gas drilling, often for a few bucks and acre, long before Marcellus and fracking were common, household words. Then came delay after delay in New York–from the governor–and eventually a more or less semi-permanent ban on fracking. Energy companies argued that the leases they had signed could be extended until the day they are allowed to drill in the Marcellus because of “force majeure”–the concept that due to circumstances beyond our control we could not drill as we intended during the original term of the lease, usually five years. The NY Court of Appeals on Tuesday decided that the state preventing drilling does not qualify as force majeure after the original five-year period of a lease (full copy of the decision below). If the original lease was extended for some reason and then the driller was prevented from drilling during the extended time due to state laws preventing it, it’s not force majeure in the eyes of the “wise” justices in Albany…