Ohio

Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Lorain County | NEXUS Pipeline | Ohio | Pipelines | Regulation

CORNy Letter to FERC: NEXUS Pipeline will Contaminate our Creeks
June 9, 2015June 9, 2015

The anti-drillers who inhabit Oberlin (Lorain County), OH are nothing if not determined. In November 2013 Oberlin voted to commit economic suicide by passing a so-called Community Bill of Rights law, which is nothing more than a ban on shale drilling (see Economic Suicide Avoided in 2 OH Cities but Oberlin Pulls Trigger). Of course so-called “home rule” laws have since been overturned by the Ohio Supreme Court (see OH Supreme Court Strikes Down Home Rule in Gas Drilling Case). The NEXUS gas pipeline is planned to run through the Oberlin area, so a group calling themselves CORN–Coalition to Reroute NEXUS–popped up in Oberlin and surrounding counties to oppose the pipeline. Why? Because it will flow nasty, evil fossil fuels. We call it the CORNy opposition. A member of CORN from the Oberlin City Council has written to the Federal Energy Regulatory Commission (FERC)–which is reviewing the NEXUS project–to say if the pipeline is built, it will “result in the contamination of the streams that produce water for the city’s domestic use.” Just one CORNy lie right after another…
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Baker Hughes | Energy Services | Industrywide Issues | Ohio | Pennsylvania | Research | Statewide OH | Statewide PA | Statewide WV | West Virginia

Rig Counts Take Another Hit in May, Rapid Decline Continues
June 8, 2015June 8, 2015

We had thought/hoped that the we were near the end of a decline in drilling rig counts. But such is not the case. Baker Hughes released their May rig count report on Friday and it shows a continued slide in the numbers. In April there were 943 active rigs drilling on land in the U.S., down from 1,067 rigs in March (see Rig Counts Continue Big Decline in April, NE May Have Bottomed). In May, the number slide again–to 857 land-based rigs (a loss of another 86 rigs going idle). Double ouch. What about the Marcellus/Utica region? Did those rigs decline in May?…
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Industrywide Issues | Ohio | Statewide OH | Taxation

Kasich Predicts Severance Tax Deal Will Happen, Others Say No
June 8, 2015June 8, 2015

Once upon a time Ohio Gov. John “foreigner hunter” Kasich (Republican) wanted to tax Utica Shale drillers 2.5%. But then he talked to some of his Democrat buddies and decided to hike it. After thinking it over, Kasich finally settled on 6.5%. When Kasich got resistance to his brilliant tax increase idea, he threatened the drilling industry by saying take my 6.5% or “someone else” may push for a ballot measure of 10% (see OH Gov Kasich the Bully: Accept My 6.5% Tax or Risk a 10%+ Tax). Kasich has been on the 6.5% bandwagon from some months now, and not giving in. One news account says he’s about to go down in defeat yet again, but another news account has him buoyant, like he’s about to get what he wants…
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Columbiana County | Industrywide Issues | Litigation | MDN Sponsor | Ohio | Pipelines

NEXUS Pipeline Sues Columbiana County Landowners for Survey Access
June 4, 2015June 4, 2015

The NEXUS Gas Transmission pipeline, you may recall, is a $1.5 billion natural gas pipeline that will carry Utica and Marcellus Shale gas spanning 11 counties in Ohio, 3 counties in Michigan, and eventually connect to the Dawn Energy Hub in Canada (see NEXUS Gas Pipeline Pre-Files with FERC, New Details Come to Light). A number of landowners in Ohio have been less than cooperative when it comes to surveying their property. One old codger in Medina County, OH threatened he would meet anyone trying to survey his property with a gun (see Medina, OH Landowner Says He’ll Meet NEXUS Surveyors Packing Heat). Two couples in Columbiana County aren’t threatening guns, but they have denied access to NEXUS, repeatedly, and NEXUS has had enough. NEXUS sued the two couples in Columbiana County Common Pleas Court to force them to allow their surveyors on their property…
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Eclipse Resources | Energy Companies | Monroe County | Ohio | Utica Shale

Eclipse Resources Update: Squeezing More Wells in Smaller Space
June 3, 2015June 2, 2015

Eclipse Resources, a Marcellus/Utica driller headquartered in State College PA, but drilling mainly in the Ohio Utica Shale, issued an operational update yesterday. The company says by the end of the second quarter they expect to be producing around 180 million cubic feet of natural gas per day–the high end of the previous estimated range. The company is spending less money than it expected, which keeps the investors happy. Eclipse recently completed drilling a 3-well pad in Monroe County, OH with the well spacing just 730 feet apart–the first time they’ve tried spacing wells below 1,000 feet apart. All eyes are on the outcome of that experiment. (If successful, it means they can drill more wells in the same amount of space–by their estimates, 20% more wells.) Eclipse had wanted to put those 3 wells into sales in December of this year–which now looks like it will slip into January of next year. Here’s the update with details about their Utica drilling program…
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Ohio | Statewide OH

Utica Natgas Production by County in Ohio for 1Q15 – Top 6
June 3, 2015June 2, 2015

Which counties in Ohio produced the most shale gas in the first quarter of 2015? Can you guess? We have the top 6 (of 17) listed below…
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Ohio | Statewide OH

1Q15 Ohio Production Numbers Released: Natgas Production Up 11%
June 2, 2015June 2, 2015

The Ohio Dept. of Natural Resources (ODNR) released their first quarter 2015 production report yesterday. It shows natural gas production in the Buckeye State was up 11% from the previous quarter. That rate of increase has slowed (but is still good, all things considered). In 4Q14 production numbers were up 25% from the previous quarter. The production number increase for 1Q15 slowing to only 11% is a reflection of less new drilling in the state. There’s plenty of Utica wells already drilled awaiting completion and connection to pipelines–so production will almost certainly continue to increase in Ohio for the foreseeable future–albeit at a slower pace. According to yesterday’s report, Ohio produced 183.6 billion cubic feet (Bcf) of natural gas, and 4.4 million barels of oil in 1Q15. Note that NGLs are part of the natural gas figures–Ohio doesn’t break out NGLs in a separate number, unfortunately. Below are a few of the highlights from the ODNR, with a link to download the full production report…
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Belmont County | Guernsey County | Monroe County | Noble County | Ohio | Statewide OH

Top 6 Utica Natgas & Top 6 Utica Oil Wells by Production in 1Q15
June 2, 2015June 2, 2015

Yesterday the Ohio Dept. of Natural Resources (ODNR) released their first quarter production numbers for both oil and natural gas (see our companion story today). Below are details for the top 6 natural gas producing wells, and the top 6 oil producing wells in the state. Rice Energy and Antero Resources split the top 6 natural gas wells with three apiece. Of note, Rice’s wells took the top 3 slots. Aubrey McClendon’s American Energy drilled the most top oil wells (4 of the top 6), followed by one apiece for Antero Resources and PDC Energy…
Read More “Top 6 Utica Natgas & Top 6 Utica Oil Wells by Production in 1Q15”
Anti-Drilling/Fossil Fuel | Industrywide Issues | Ohio | Regulation | Statewide OH | Wastewater

Anti-Drillers Ask Fed EPA (Again) to Regulate OH Injection Wells
June 2, 2015June 2, 2015

In December we wrote about anti-drillers in Ohio asking the federal Environmental Protection Agency (EPA) to step in an usurp the legal authority of Ohio’s Dept. of Natural Resources in their role of overseeing wastewater injection wells (see OH Anti Group Wants EPA to Suspend ODNR Injection Well Oversight). As we wrote at the time, “Whenever anti-drillers in a given state don’t like how the state environmental authority is doing its job, they run to the federal government like a petulant child clinging to its mother’s skirt.” The petulant children are back, asking yet again for the EPA to take over injection well regulation in the Buckeye State…
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Belmont County | Economic Impact | Education | Ethane | Industrywide Issues | Ohio | Processing Plants

Belmont, OH School Will Need to Accept $ Cut from Cracker Project
June 1, 2015June 1, 2015

The teachers’ unions won’t like this one. As part of the “aggressive incentive package” (not yet disclosed) by Ohio Gov. John Kasich in order to lure an ethane cracker plant to the state, the local school district in Belmont County will have to accept concessions. That is, John Kasich wants to deny the lil’ chil’ren money OWED to them. The Shadyside school board will need to sign off on any property tax deal cut with the companies (from PTT Global Chemical from Thailand and Marubeni Corporation from Japan) planning to build the cracker plant complex. We seriously doubt that the school will have much choice in the matter. What if the school (and teachers’ unions) say “no”? Will that stop the plant? You can bet your bottom dollar that ain’t gonna happen with John “foreigner hunter” Kasich on the job…
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Crime | Industrywide Issues | Litigation | Mahoning County | Ohio | Regulation

Hardrock Pleads Guilty to Illegal Wastewater Dumping, Fined $100K
May 29, 2015May 29, 2015

A final footnote to tell you about concerning the notorious case of illegal frack wastewater dumping near Youngstown, OH that happened in 2012 and 2013. Ben Lupo, previous owner of D&L Energy and its associated company Hardrock Excavating, directed employees to dump frack wastwater hauled by Hardrock into a drain that emptied into a stream that emptied into the Mahoning River near Youngstown, OH (see Youngstown Business Dumped >200K Gal of Untreated Wastewater). It was later discovered that from September 2012 to end of January 2013, Lupo was responsible for dumping at least 30 loads of frack wastewater literally down the drain and into the river. After an investigation and charges, last August Lupo plead guilty and was sentenced to 23 months in prison and a $25,000 fine (see Final Chapter for Youngstown Illegal Wastewater Dumper: Prison & Fine). The final final chapter has now been written. Lupo’s company, Hardrock Excavating, pleaded guilty on Thursday and was fined $100,000. In an interesting twist, the judge ordered $25,000 of that total to be paid to two environmental organizations…
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American Energy Partners | Energy Companies | Ohio | Statewide OH | Utica Shale

McClendon Running Out of Money?! Paloma Utica Deal Goes Bust
May 28, 2015May 28, 2015

In February 2014 MDN told you about a deal cut by wildcatter Aubrey McClendon to lease 130,000 acres in the Ohio Utica Shale, a deal with three different companies (see McClendon Confirms 3 New Utica Shale Deals: Hess, XTO, Paloma). At least one of those deals, with Paloma Resources, went bust this year. According to Paloma’s president, Christopher O’Sullivan, Aubrey didn’t have enough money to close the deal. Which makes us ask the question, is Aubrey running out of money to finance his massive expansion in the Utica?…
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Ohio | Statewide OH

John “Foreigner Hunter” Kasich Ready to Announce Run for President
May 28, 2015May 28, 2015

This is so rich. RINO John Kasich, governor of Ohio and someone who despises “foreigners” from places like Texas and Oklahoma from working in his state while courting investments from Thailand and Japan with big money incentives (see OH Gov Kasich Keeps Cracker Plant “Incentives” a Secret–for Now), and someone who wants to tax the Utica Shale industry into oblivion (see OH Gov Kasich the Bully: Accept My 6.5% Tax or Risk a 10%+ Tax), thinks he’s presidential timber. We previously told you Kasich was seriously considering a run for the White House (see OH Gov “Tax Oil and Gas” Kasich Wants to Run for White House). We kind of thought it was a joke. Well, it’s no joke. According to a story in the Washington Post, Kasich will soon make an official announcement that he’s running…
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Economic Impact | Ethane | Industrywide Issues | Ohio | Processing Plants | Statewide OH

OH Gov Kasich Keeps Cracker Plant “Incentives” a Secret–for Now
May 27, 2015May 27, 2015

We continue to find it deliciously ironic that the jingoistic man who hates having “foreigners” from places like Texas, Oklahoma and Louisiana come to work in his state in the oil and gas fields, Ohio Gov. John Kasich, is the man who is desperately courting a Thai and Japanese joint venture to invest billions in his state. Along with that investment will come workers from those countries. We’re talking, of course, about the recent announcement that that PTT Global Chemical, Thailand’s largest integrated petrochemical and refining company, and money partner Marubeni Corporation, a Japan-based company, have selected Belmont County, OH as the location to build a $5 billion ethane cracker plant complex (see It’s Official: Belmont County Chosen as POSSIBLE Cracker Plant Site). The key negotiator of the deal is JobsOhio, which is an agency set up by Kasich to promote the state. That is, JobsOhio = John Kasich. Now we learn, from none other than PTT, that JobsOhio/Kasich offered “an aggressive incentive package” to lure the project there. How aggressive? JobsOhio (i.e. Kasich) is keeping the details of the incentive package secret until PTT signs the paperwork to proceed with the project–something that won’t happen for at least a year or two…
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Economic Impact | Electrical Generation | Industrywide Issues | Ohio | Regulation | Trumbull County

Lordstown $800M Gas-Powered Electric Plant Gets Village Approval
May 27, 2015May 27, 2015

In April 2014, MDN told you about a proposal from Clean Energy Future to build an $800 million electric generation plant in Lordstown (Trumbull County), OH. The plant will be fired by natural gas from the Utica and Marcellus (see Clean Energy Plans NatGas Electric Generation Plant in Lordstown). At that time, the plan was to begin construction in December 2015 and complete the plant by the end of 2018. There was some initial resistance to the location, so Clean Energy Future changed the location and moved up the timeline to build it (see Lordstown Gas-Powered Electric Plant Moves Up Construction Timeline). Last night the last major hurdle was scaled when the Lordstown Village Council gave the project a big thumbs up. The Village Council voted to offer the project a number of incentives and actively worked to get the deal done–not something you observe very often with these kinds of projects…
Read More “Lordstown $800M Gas-Powered Electric Plant Gets Village Approval”
Anti-Drilling/Fossil Fuel | Cuyahoga County | Hydraulic Fracturing | Industrywide Issues | Litigation | Ohio | Regulation

Broadview Hghts, OH Won’t Appeal Overturned Home Rule Law
May 27, 2015May 27, 2015

In March MDN told you about the crushing defeat of a home rule law in Broadview Heights, a Cleveland, OH suburb (see OH Antis Handed Crushing Defeat in Broadview Hghts Home Rule Case). A Cuyahoga County Common Pleas Court judge struck down Broadview Heights’ so-called community bill of rights that bans all oil and gas drilling–including shale drilling. The judge rightly ruled that only the state–and not localities–have the right to regulate oil and gas drilling. That caused the anarchists at the Ohio Community Right to Know Network (OHCRN) to call for an uprising. They “refuse” to recognize the court’s decision (i.e. they’re lawless). Fortunately for the citizens of Broadview Heights, city leaders do still recognize the rule of law. Last week the city announced it will not appeal the decision, because it has no basis on which to appeal it. But that doesn’t stop the nutters from an OHCRN associate group, calling itself Mothers Against Drilling In Our Neighborhoods, from filing yet another frivolous lawsuit, which they’ve done…
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