Ohio

Economic Impact | Hydraulic Fracturing | Industrywide Issues | Ohio | Research | Statewide OH | Utica Shale

Quarterly OH Utica Shale Report from CSU: Huge Economic Impact
January 16, 2014January 16, 2014

Each quarter, researchers at Cleveland State University publish the Ohio Utica Shale Gas Monitor, a report that looks at the economic impacts of Utica and Marcellus Shale drilling in Ohio. The latest report was issued a few weeks ago and MDN has just now been able to locate a copy to share with you (full copy of the 39-page report embedded below). What does the report tell us? The number of counties with “strong” shale activity has gone to eight from 15, and the number of counties with “moderate” shale drilling activity has gone to five from 30. That’s a head-turner! The “strong” counties, in addition to producing methane (or dry gas), are also producing “commercial amounts” of natural gas liquids (wet gas).

Here’s a good overview of the report as provided by NortheastPA.com:
Read More “Quarterly OH Utica Shale Report from CSU: Huge Economic Impact”
Belmont County | Blue Racer Midstream | Economic Impact | Energy Services | Industrywide Issues | Jobs | Marshall County | Ohio | Ohio County | Pipelines | Processing Plants | West Virginia | Williams

Utica/Marcellus Construction Spending Rockets in Wheeling Area
January 14, 2014January 14, 2014

According to McGraw Hill Construction, the Wheeling, WV Metropolitan Statistical Area, which includes Ohio and Marshall counties in WV and Belmont County in Ohio, saw construction explode from $60.3 million in 2012 to $1.57 billion in 2013–a 29-fold increase. The vast majority of that explosion in construction came from–you guessed it–the Marcellus and Utica Shale. Midstream companies Williams and Blue Racer spent the majority of that on new processing plants and pipelines in the area.

This is incredibly good news for that area of the Ohio Valley. The even better news? Ironworkers Local No. 549 predicts this kind of spending by the drilling industry will go on for at least another 5-10 years. Wow!…
Read More “Utica/Marcellus Construction Spending Rockets in Wheeling Area”
Belmont County | Ohio | Utica Shale

Belmont County Continues to be One of Hottest Spots in OH Utica
January 13, 2014January 13, 2014

MDN has previously told you, on a number of occasions, that an early indicator of where drilling will soon heat up is to watch the local county land recorder’s office–the place where they keep official copies of property deeds. If it’s crowded in the local land records office, that means drillers are ready to make offers to landowners and want to start drilling. Of course they first have to figure out who owns the mineral rights, hence the activity in title searchers and abstactors checking deeds.

Over a year ago we told you about the crazy lines and overpacked recorder’s office in Belmont County, OH (see Belmont County, OH Deed Research Impacts Local Library Too). Our prediction held true as Belmont has become one of the hottest hot spots in the eastern Ohio Utica Shale. You might think a year later things would have settled down at the Belmont County Recorder’s Office. Not so. Last Wednesday when Belmont County Recorder Mary Catherine Nixon arrived at the office at 8:30 am, she found 120 people waiting in line to get in. Oy vey!…
Read More “Belmont County Continues to be One of Hottest Spots in OH Utica”
Anti-Drilling/Fossil Fuel | Education | Hydraulic Fracturing | Industrywide Issues | Ohio | Statewide OH

Radio Disney Pressured, Pulls Out of OH O&G Education Program
January 13, 2014January 13, 2014

Radio Disney had been participating in a tour of elementary schools in Ohio as part of an education project that, among other things, educates kids on how oil and gas drilling and pipelines work. Called “Rocking in Ohio” the program’s intent is to foster interest in science and technology. Because the tour is sponsored by the Ohio and Gas Energy Education Program and partially funded by the drilling industry, the anti-drilling brigade came out in force and has now pressured Disney into withdrawing from the program. We can’t have the truth getting out there in song and dance, ya know!

Few American-based media outlets are covering the story, so we have to get the Disney story from the pro-terrorist Al Jazeera America network. You know, the network that paid Al Gore a gazillion dollars for his dying Current TV network, finally making Al a rich man and giving Al Jazeera access to American airways to spread their garbage. The network that hires CNN has-beens like Soledad O’Brien to put a pretty face on an ugly network. The network that loves to air terrorists beheading people? Yeah, that network–the network owned by Middle Eastern oil sheiks who fear fracking will end their massive wealth gives us the Disney pulling out in Ohio story…
Read More “Radio Disney Pressured, Pulls Out of OH O&G Education Program”
Forced Pooling | Industrywide Issues | Litigation | Ohio | Statewide OH | Utica Shale

Forced Pooling in Ohio Utica Shale on the Rise, Sadly
January 13, 2014January 13, 2014

Drillers in Ohio’s Utica Shale are increasingly using the state’s “unitization” or forced pooling laws to force landowners who don’t want drilling to be included in drilling units where a majority of the neighboring land is leased. According to an article in the Akron Beacon Journal, 22 such requests have been filed in Ohio to date. Of those 22 filed, 6 were approved, 6 were resolved or dropped, and 10 are pending.

We know the arguments for and against forced pooling, and you know where we stand on the issue (we take a dim view of it), so we won’t belabor the point. Here’s the Beacon Journal’s update on some of the forced pooling cases in eastern Ohio, including which drillers are doing the forcing, and the results…
Read More “Forced Pooling in Ohio Utica Shale on the Rise, Sadly”
Hydraulic Fracturing | Industrywide Issues | Ohio | Regulation | Statewide OH | Utica Shale

OH Gov. Kasich Goes After Out-of-State Engineers/Surveyors
January 10, 2014January 10, 2014

Ohio Gov. John “Foreigner Hunter” Kasich is on the prowl again–seeking to block “foreigners” (from exotic places like Texas and Oklahoma and Louisiana) from working in Ohio. It’s been more than a year since Kasich made it one of his missions as governor to block “foreigners” from working in Ohio’s flourishing Utica Shale industry (see OH Gov. Kasich Continues Trash Talk Out-of-State Workers).

The latest action taken by the Kasich administration, via the Ohio State Board of Registration for Professional Engineers and Surveyors, is to let professional engineers and surveyors know that if they come to Ohio to work for the Utica Shale industry, they will need to be registered, forms filled out in triplicate, and (steep) dues paid–or they’ll be bounced out of the state on their collective ear…
Read More “OH Gov. Kasich Goes After Out-of-State Engineers/Surveyors”
Athens County | Industrywide Issues | Litigation | Ohio | Wastewater

Athens County, OH Anti-Drillers Sue to Stop New Injection Well
January 10, 2014January 10, 2014

Anti-drillers with the Athens County Fracking Action Network (ACFAN) have filed a legal challenge to the permit issued last month by the Ohio Dept. of Natural Resources (ODNR) approving a new injection well to be drilled in the county. The injection well would be the second well at a site owned by K&H Partners and would dispose up to 168,000 gallons of frack wastewater per day. According to ACFAN, this is the first challenge to a permitted injection well in 20 years, something they’re quite proud of.

Here’s the ACFAN announcement:
Read More “Athens County, OH Anti-Drillers Sue to Stop New Injection Well”
Industrywide Issues | Ohio | Statewide OH | Taxation | Utica Shale

Hearings Underway on OH Plan to Bribe Voters with Utica Shale Tax
January 9, 2014January 9, 2014

Some RINO elected Republicans in Ohio and some oil and gas industry folks have combined forces to endorse a horrible idea: raising the drilling tax on Utica Shale drilling. MDN previously outlined our objections to the plan (see Taking a Closer Look at Ohio’s “Piddly” Utica Shale Tax Increase). The Ohio House is now holding hearings on the plan–listening to testimony both for and (presumably) against.

Here’s the latest on the Ohio hearings to retard the growth of the Utica Shale by increasing taxes on it to bribe redistribute some of the money to people who don’t have a thing to do with producing it:
Read More “Hearings Underway on OH Plan to Bribe Voters with Utica Shale Tax”
Belmont County | Harrison County | Monroe County | Ohio | Utica Shale

OH’s Biggest Producing Utica Counties: Belmont, Monroe, Harrison
January 8, 2014January 8, 2014

More analysis of the recent third quarter 2013 Utica Shale production report released on Dec. 31 by the Ohio Dept. of Natural Resources, including which counties had the best production in 3Q13:
Read More “OH’s Biggest Producing Utica Counties: Belmont, Monroe, Harrison”
Blue Ridge Mtn Res/Magnum Hunter | Energy Companies | Energy Services | Eureka Midstream | Industrywide Issues | Ohio | Pipelines | Statewide OH | Statewide WV | West Virginia

Eureka Hunter Boasts 360% Yearly Increase in Marcellus/Utica Flow
January 8, 2014January 8, 2014

Eureka Hunter, the wholly-owned midstream (pipeline) subsidiary of driller Magnum Hunter, published their month by month flow numbers yesterday for how much gas they pumped through their pipelines in West Virginia and Ohio during 2013. It was an impressive year for Eureka Hunter. The average daily flow or “throughput” in 2012 was 23,291 million Btus (or MMBtus), which equates to 23.3 million cubic feet per day (or MMcf/d). If the “average” well is producing, say, 3 MMcf/d, that’s the equivalent of having 8 wells connected to the pipeline. The average daily flow in 2013 was 83,828 MMBtus, or 83.4 MMcf/d, or 28 wells hooked up and flowing. That’s a 360% year over year increase–nearly quadruple the volume!

What the average doesn’t tell you, however, is that by the end of the year, Eureka Hunter’s pipeline flowed nearly 160,000 MMBtus, or 160 MMcf/d, which is production from an average 53 wells. They predict in 2014 the daily flow rate will hit 206,500 MMBtus. Somewhere between 40-50% of the gas they flow is from Triad Hunter, another Magnum Hunter subsidiary (sister company to Eureka Hunter). Below is the press release with Eureka Hunter’s monthly flow numbers. With our explanation above, you now know how to view it!…
Read More “Eureka Hunter Boasts 360% Yearly Increase in Marcellus/Utica Flow”
Anti-Drilling/Fossil Fuel | Crime | Industrywide Issues | Litigation | Mahoning County | Ohio | Wastewater

Sierra Club Gets What They Want in OH, and It’s a Big Fat Nothing
January 8, 2014January 8, 2014

The anti-drilling Sierra Club–an organization that once lauded natural gas as an energy bridge to the future but now hates it (because it’s a good fundraiser for them to demonize it)–went fishing for information in Ohio, and came up with nothing. The Sierra Club previously sued the Ohio Dept. of Natural Resources (ODNR) seeking all documentation (emails, etc.) for the case of D&L Energy/Hardrock Excavating–the company that repeatedly dumped untreated frack wastewater in the dead of night down a drain–untreated wastewater that ended up in the Mahoning River (see Youngstown Business Dumped >200K Gal of Untreated Wastewater).

Not only did the ODNR immediately take strong action against the perpetrators of this environmental crime by shutting down the companies involved, the drilling industry itself loudly and strongly condemned it. Not good enough for the Sierra Clubers. They thought there may be some teeny tiny sliver of something they could demagogue and use in yet another fundraising letter–if only they could sort through the pile of communications surrounding the case. So they sued. The ODNR finally relented and gave them what they wanted–and according to the Sierra Clubers, there were “few new details” in the document dump. In other words, it was a colossal waste of time and taxpayer money…
Read More “Sierra Club Gets What They Want in OH, and It’s a Big Fat Nothing”
Belmont County | Guernsey County | Harrison County | Lease & Royalty Payments | Ohio | Utica Shale

MWCD Open House on Leasing Piedmont Lake Property for Drilling
January 8, 2014January 8, 2014

Oh, we love it! The Muskigum Watershed Conservancy District (MWCD) has definitely seen the light. Although they were scared off from allowing shale drilling on Watershed-owned property early on, the board came around and eventually saw the light. Now they can’t get enough of shale drilling! They’re leasing MWCD-owned land for shale drilling, and they’re selling water to drillers–in many instances to frack wells being drilled on MWCD land. Beautiful!

The MWCD announced yesterday that so many drillers are knocking on their door to lease MWCD land in and around Piedmont Lake (in Belmont, Guernsey and Harrison counties) for Utica Shale drilling, they will have a public open house next week to discuss it. The MWCD owns some 6,600 acres around Piedmont Lake–and leases in that area have seen some of the highest signing bonuses and royalties in the entire northeast. We’re talking serious money (many many millions) for the MWCD if they lease that land for Utica Shale drilling…
Read More “MWCD Open House on Leasing Piedmont Lake Property for Drilling”
Energy Companies | Lease & Royalty Payments | Ohio | Protege Energy | Utica Shale | Washington County (OH)

Marietta, OH Offered $4,750/Acre + 17.5% Royalties for 35 Acres
January 7, 2014January 7, 2014

An offer–or more accurately a pre-offer–was made at the Marietta (OH) City Council meeting yesterday that would put an initial $166,250 in the city’s coffers from leasing 35 city-owned acres along the edge of the city for shale drilling. A driller is tentatively offering $4,750 per acre as a signing bonus, plus 17.5% royalties, for land in the area. Some city council members (Democrats) expressed concerns about the potential offer, and several residents from anti-drilling groups in attendance also added their ~~drivel~~ 2 cents.

Here’s more of the details about the offer–the driller who’s making it, when the drilling would begin, and what was ultimately decided as the next step at yesterday’s meeting…
Read More “Marietta, OH Offered $4,750/Acre + 17.5% Royalties for 35 Acres”
Energy Companies | Energy Services | Hilcorp Energy | Industrywide Issues | Mahoning County | NiSource | Ohio | Pennant Midstream | Processing Plants | Utica Shale

Pennant Midstream Says Hickory Bend (OH) Cryo Plant Now Ready
January 7, 2014January 7, 2014

Good news! Pennant Midstream announced yesterday that its Hickory Bend cryogenic processing plant in Mahoning County, OH is now live and online and ready to receive “wet gas” from the Utica Shale. You may recall Gov. John “foreigner hunter” Kasich dedicated the plant back in October (see OH Gov. Kasich Dedicates Hickory Bend Plant, No Foreigners Found). However, the $375 million plant was not quite ready at that point. It is now, and the gas will start flowing soon.

The even better news is that Pennant, a joint venture between Hilcorp Energy and NiSource, is preparing to build two more plants at the same location. Each plant can handle 200 million cubic feet of raw gas per day, separating it into methane and natural gas liquids (NGLs). The NGLs are then pipelined elsewhere for further processing. Here’s yesterday’s announcement:
Read More “Pennant Midstream Says Hickory Bend (OH) Cryo Plant Now Ready”
Energy Companies | Gulfport Energy | Ohio | Statewide OH | Utica Shale

Gulfport Energy Issues Utica Production Guidance for 2013, 1Q14
January 7, 2014January 7, 2014

Gulfport Energy, one of the most important (and increasingly prolific) drillers in the Utica Shale released a short update yesterday to crow about their production numbers for 2013, set production expectations for the first quarter of 2014, and to remind investors to invest early and invest often.

Here’s yesterday’s Gulfport update…
Read More “Gulfport Energy Issues Utica Production Guidance for 2013, 1Q14”
Hydraulic Fracturing | Industrywide Issues | Ohio | Regulation | Statewide OH | Utica Shale

ODNR’s Proposed New Water Handling Rules for 2014
January 7, 2014January 7, 2014

Here’s a look at proposed new rules and regulations coming to drillers in Ohio’s Utica Shale–this year:
Read More “ODNR’s Proposed New Water Handling Rules for 2014”