Statewide OH

Economic Impact | Industrywide Issues | NGLs | Ohio | Statewide OH | Utica Shale

Northeastern Ohio Benefits from Shale Too, Just Different
April 29, 2014April 29, 2014

There’s not much drilling in the Utica Shale in northeastern Ohio, but that doesn’t mean folks in the northern part of the state don’t benefit (and profit) from it. In fact, many in northern Ohio are downright excited about what’s happening in the state. Why? Because the plastics industry, which uses byproducts from natural gas liquids (NGLs) being extracted in Ohio, is taking off like a rocket, providing jobs, products and an economic bonanza in northern Ohio and indeed throughout the state…
Read More “Northeastern Ohio Benefits from Shale Too, Just Different”
Industrywide Issues | Ohio | Statewide OH | Taxation | Utica Shale

Ohio Business Roundtable Sells Out – Endorses High Severance Tax
April 23, 2014April 23, 2014

Unbelievably, the Ohio Business Roundtable, comprised of CEOs of big businesses in Ohio, has endorsed a high severance tax on Utica Shale drilling. The OBR is using (abusing) an Ernst & Young “analysis” to say, in essence, go ahead and screw drillers and landowners–the drillers will stick around because they get screwed worse elsewhere. We’re somewhat befuddled at how the OBR can say it’s OK to steal the wealth from a specific industry and transfer to others who didn’t earn it. But we’re simple folks in our reasoning power. All’s we can say is that, with friends like these…

Below is the statement from the OBR and a copy of the “analysis” done by E&Y that blesses a high severance tax and makes it OK for Ohio’s RINOs to force it through.
Read More “Ohio Business Roundtable Sells Out – Endorses High Severance Tax”
Industrywide Issues | Jobs | Ohio | Statewide OH

Utica/Marcellus Welders Making $150K/Year – More Needed
April 23, 2014April 23, 2014

In a Wall Street Journal op-ed article, Ohio State Treasurer Josh Mandel says schools might want to think about bringing back shop class. Why? Because companies like Pioneer Pipe, operating in Ohio’s Utica Shale, can’t find enough certified welders to keep up with the demand. Right now Pioneer employs 60 welders who make over $150,000 per year!

Let’s see–go to college, get a four-year degree, and end up working at Starbucks. Or, go to trade school (or shop class), become a certified welder, work hard and join the ranks of what President Obama calls the 1% (those earning over $150K a year)…
Read More “Utica/Marcellus Welders Making $150K/Year – More Needed”
Industrywide Issues | Ohio | Statewide OH | Taxation | Utica Shale | Washington County (OH)

OH County Commissioner Says ‘No Thanks’ to Severance Tax Increase
April 22, 2014April 22, 2014

A lone voice crying in the wilderness! Amid all of the calls for more socialism–redistributing the hard-earned money from landowners and drilling companies to people who didn’t earn it via a higher severance tax–a Washington County, OH commissioner says “No!” He says raising the severance tax is a fundamentally bad idea and he does not endorse the Republicans’ dalliance with the idea.

And so we bring you a letter to the editor reprinted in the Parkersburg (WV) News and Sentinel from Washington County, OH commissioner Ron Feathers, a man we salute!…
Read More “OH County Commissioner Says ‘No Thanks’ to Severance Tax Increase”
American Energy Partners | Chesapeake Energy | Energy Companies | Ohio | Statewide OH | Utica Shale

Aubrey McClendon Leases Rigs from Chesapeake to Drill in the Utica
April 21, 2014April 21, 2014

Aubrey McClendon, the former CEO of Chesapeake Energy (before corporate raider Carl Icahn tossed him from the company he founded) is back in business with Chesapeake. Sort of. McClendon’s new company, American Energy Partners, which is set to go great guns in the Ohio Utica Shale, is leasing drilling rigs from Chesapeake for $26,000 per day–six of them (with a seventh at $23,500 per day). Makes for strange bedfellows, no? But hey, a rig’s a rig’s a rig. Doesn’t matter who owns it. What matters is to get drilling now, before the competition. And Aubrey is all over it.

However, Aubrey is being mum on the arrangement. Here’s the little that is know, picked up from Chesapeake’s financial filings with the SEC…
Read More “Aubrey McClendon Leases Rigs from Chesapeake to Drill in the Utica”
Industrywide Issues | Jobs | Ohio | Pennsylvania | Statewide OH | Statewide PA | Statewide WV | West Virginia

Labor Unions a Powerful Ally for Northeast Shale Industry
April 21, 2014April 21, 2014

Unions in Pennsylvania, West Virginia and Ohio are backing shale drilling in a big way, and that’s giving lefty Democrats heartburn. The unions note that in the early days of northeast shale drilling a lot of the help came from out of state–places like Texas, Oklahoma and Louisiana. But that’s changed. Today most of the workers are local, and many of them belong to labor unions. Regardless of your opinion on labor unions, there is one inescapable fact–their members want jobs and they’re willing to work and work hard in those jobs.

Labor unions have become an important and powerful ally for the drilling industry. Here is that story…
Read More “Labor Unions a Powerful Ally for Northeast Shale Industry”
Anti-Drilling/Fossil Fuel | Industrywide Issues | Ohio | Regulation | Statewide OH | Utica Shale | Wastewater

OH Anti-Driller Suing MWCD Asks EPA to Stop OH Injection Wells
April 17, 2014April 17, 2014

The virulently anti-drilling and misnamed Fresh Water Accountability Project (FWAP) has just generated more toilet paper, er, a press release in which they claim they’ve written a letter to the Region 5 office of the federal Environmental Protection Agency asking the EPA to trample on the U.S. Constitution by stripping away the right of Ohio to issue permits for Class II injection wells. Nothing new there–such groups habitually like to enforce their fascism on common folks (which is why they should be vigorously opposed and defunded).

The interesting thing to MDN is not that the FWAP is generating yet another fundraising press release–but that it was written by Lea Harper–you know, the woman who’s suing the Muskingum Watershed Conservancy District to try and stop fracking and drilling on MWCD land around Seneca Lake (see Anti-Drillers Win Minor Victory Against Muskingum Watershed Dist). It’s also no coincidence that Lea Harper and her FWAP is being partially (or wholly) funded by the odious and fascist Food & Water Watch. That is, FWAP is nothing more than a front for FWW. We just thought you’d want to know how incestuous it is with anti-drillers…
Read More “OH Anti-Driller Suing MWCD Asks EPA to Stop OH Injection Wells”
Earthquakes | Hydraulic Fracturing | Industrywide Issues | Ohio | Regulation | Statewide OH | Utica Shale

Did ODNR Overreact & Set Earthquake Detect Bar Too Low?
April 15, 2014April 15, 2014

An article in the Cleveland Plain Dealer provides some perspective on Ohio’s new rules regarding fracking and earthquakes. As MDN reported yesterday, the Ohio Dept. of Natural Resources (ODNR) is sortof, kindof convinced that a fracking operation over a previously unknown fault line triggered a series of earthquakes (see ODNR Says Youngstown Earthquakes “Probably” Caused by Fracking). The earthquakes were essentially undetectable at the surface, but it makes for great headlines.

What else can trigger an earthquake? How about 67,000 football fans stamping their feet? Yep–that happened earlier this year in Seattle, WA at CenturyLink Field during the NFL playoffs. Marshawn Lynch made a touchdown and the fans went wild, stamping their feet, which created a detectable earthquake–at the same level now measured for in Ohio. All of which means Ohio has set the bar pretty low and just about anything can set off the earthquake alarm…
Read More “Did ODNR Overreact & Set Earthquake Detect Bar Too Low?”
Antero Resources | Energy Companies | Hydraulic Fracturing | Industrialization | Industrywide Issues | Noise | Ohio | Statewide OH | Trucking | Utica Shale

Is MWCD Lease for Piedmont Lake, OH with Antero a Good Thing?
April 15, 2014April 15, 2014

MDN previously reported that as early as this Friday the Muskingum Watershed Conservancy District (MWCD) will vote to approve a proposed lease that would allow Antero Resources to drill around, and even under, Piedmont Lake (see MWCD Close to Signing Utica Lease for Piedmont Lake, OH Property). We told you yesterday that a lawsuit to prevent drilling at another MWCD property–Seneca Lake–is proceeding, which begs the question, will something similar happen with the Piedmont Lake deal (see Anti-Drillers Win Minor Victory Against Muskingum Watershed Dist)?

MDN was contacted by a reader who lives in the Piedmont Lake area–Eric Fenster. Eric seems like a reasonable guy–not adamantly opposed to all shale drilling. But he is concerned about what may happen if Antero leases and begins to drill in the Piedmont Lake area. Eric tells MDN he lives a few miles from an active drill site (not under MWCD oversight) and has personally experienced 24/7 truck traffic, noise and flaring from that site. He’s not excited about more of it near where he lives. Eric’s chief concern is that the lease as proposed is essentially unenforceable when it comes to industrialization concerns like truck traffic, noise and lights. He believes the MWCD has the right to enter into the lease legally, but he views such an agreement as an abuse of MWCD’s stewardship and authority. We bring you Eric’s viewpoint (below) not because we agree or endorse it, but because he’s one of the few who respectfully wants to argue the opposing viewpoint and make a case for his views based on logic and reason. We appreciate that. You decide if his arguments have merit…
Read More “Is MWCD Lease for Piedmont Lake, OH with Antero a Good Thing?”
Antero Resources | Energy Companies | Lease & Royalty Payments | Ohio | Statewide OH | Utica Shale

More Info on MWCD Proposed Lease with Antero Resouces
April 15, 2014April 15, 2014

See our companion story today about the potential downsides to drilling around the 6,700-acre area around (and under) Piedmont Lake in Ohio. We also spotted a brief story the deal that stands a good chance of being signed on Friday. Here’s a status report…
Read More “More Info on MWCD Proposed Lease with Antero Resouces”
American Energy Partners | Energy Companies | Hydraulic Fracturing | Industrywide Issues | Jobs | Ohio | Statewide OH | Utica Shale

Aubrey McClendon Wants Ohioans to Help Him Frack the Utica
April 15, 2014April 15, 2014

Good news for Ohio Gov. John “foreigner hunter” Kasich: The man who once famously said he’s the biggest fracker in the world, former Chesapeake Energy CEO Aubrey McClendon, wants Ohians to help him frack the Utica Shale in Ohio. Aubrey’s new company, American Energy Partners, has a huge “help wanted” billboard along Route 315 near Ohio State University (Columbus, OH). Since Aubrey was booted from Chesapeake Energy last year by corporate raider Carl Icahn, he’s started a new company and has hauled in over $3 billion of seed capital to keep on frackin’.

Want a good job? Contact American Energy Partners in Ohio…
Read More “Aubrey McClendon Wants Ohioans to Help Him Frack the Utica”
Earthquakes | Energy Companies | Hilcorp Energy | Industrywide Issues | Ohio | Regulation | Statewide OH | Utica Shale

ODNR Says Youngstown Earthquakes “Probably” Caused by Fracking
April 14, 2014April 14, 2014

Although they don’t know for certain, the Ohio Dept. of Natural Resources (ODNR) is assuming that Hilcorp’s Utica Shale drilling and fracking in the Youngstown area a month ago is the “probable” cause of a series of earthquakes in the area (see # of Youngstown Earthquakes go from 2 to 11 – Fracking to Blame?). A few of the earthquakes were barely felt by some people. Most of the 11 quakes were not noticeable by humans on the surface. On Friday the ODNR instituted a new policy requiring drilling and fracking near known faults and active earthquake areas to use a seismic monitor. If a 1.0 or higher quake occurs during drilling and fracking, all drilling will stop until it’s investigated.

If we assume the Ohio quakes in March were caused by fracking over a “previously unknown microfault” as the ODNR assumes, this would be the fourth such instance of fracking itself causing an earthquake–out of 60,000+ horizontally fracked wells (see Fracking has (so far) Triggered Earthquakes 3x – Out of 60K Wells). Statistically speaking it’s still zero. It’s important to a) acknowledge it can happen, but b) keep it in perspective. You have a greater chance of being struck by lightening than of experiencing a fracking-triggered earthquake. It only happens in specific, rare circumstances. Here’s the statement (and map) from the ODNR on how they’re going to treat drilling near faults and previous earthquake zones…
Read More “ODNR Says Youngstown Earthquakes “Probably” Caused by Fracking”
Energy Companies | EnerVest | EQT Corp | EV Energy Partners | Ohio | Statewide OH | Utica Shale

Utica Shale Oil Far from Dead – EnerVest, EQT Try Again
April 14, 2014April 14, 2014

In September 2012 EV Energy Partners/EnerVest put 539,000 Ohio Utica Shale acres on the auction block. It didn’t sell. A year ago they announced they would begin selling sections piecemeal, a strategy that has netted a few sales since then (see EnerVest Strategy: Sell Utica, Drill Vertical, Expand Midstream). However, EnerVest still retains a lot of Utica acreage–in fact they are the largest Utica acreage holder according to the NGI’s Shale Play Factbook (with 903,000 acres, more than Chesapeake!).

A recent article in the Akron Beacon Journal takes a look at EnerVest’s interest in figuring out how to get the oil that everyone knows is present in the Utica, out of the ground. The company recently got approval from the Ohio Dept. of Natural Resources to drill two Utica wells targeted at getting oil in southern Tuscarawas County. EnerVest is not the only driller who is taking another run at striking oil in the Utica…
Read More “Utica Shale Oil Far from Dead – EnerVest, EQT Try Again”
Antero Resources | Anti-Drilling/Fossil Fuel | Energy Companies | Hydraulic Fracturing | Industrywide Issues | Litigation | Ohio | Statewide OH | Utica Shale

Anti-Drillers Win Minor Victory Against Muskingum Watershed Dist
April 14, 2014April 14, 2014

Last October MDN told you about a lawsuit filed by a Guernsey County, OH couple seeking to stop drilling and fracking under Seneca Lake (Ohio). The Muskingum Watershed Conservancy District (MWCD) approved a $40.3 million lease with Antero Resources to allow drilling around and under 6,400 acres, including the Seneca Lake. It’s not surprising that the odious Food & Water Watch is behind the lawsuit (see Muskingum Watershed Taken to Court by Anti-Frackers (Yawn)). Last week a Franklin County judge ruled that the lawsuit brought by Leatra Harper and her husband Steven Janstro (strong anti-drillers) can move forward.

Below is the story of their minor victory, a decision that simply means the lawsuit continues, for now. However, it brings up an important issue. Later this week the MWCD is due to sign another lease with Antero–this one for drilling around and under 6,700 at Piedmont Lake (see MWCD Close to Signing Utica Lease for Piedmont Lake, OH Property). Will this small victory at Seneca Lake embolden the odious Food & Water Watch to find sympathetic, fossil fuel-hating landowners around Piedmont to stir up yet another new lawsuit?…
Read More “Anti-Drillers Win Minor Victory Against Muskingum Watershed Dist”
Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | Ohio | Pennsylvania | Research | Statewide OH | Statewide PA

Marcellus/Utica Anti-Drilling Group Back with Impacts “Research”
April 14, 2014April 14, 2014

The Multi-State Shale Research Collaborative (MSSRC) attempts to pass itself off as a non-partisan, “just the facts ma’am” kind of organization dedicated to measuring the “impacts” of Marcellus and Utica Shale drilling. They are anything but. The organization is extremely partisan and anti-drilling, backed by the likes of the Heinz Endowments and Park Foundation, two organizations that back only anti-drillers when it comes to the issue of shale drilling (just ask Bobby Vagt, former president of the Heinz Endowments, Bobby Vagt Out as Pres of Heinz Endowments – Fracking Connection?).

Last November the MSSRC issued a faux research “report” that said, “Nah, Marcellus/Utica doesn’t create all that many jobs after all” (see Anti-Drilling Cabal Issues Biased Report on Marcellus/Utica Jobs). The anti-drilling MSSRC is back with a series of four “case studies” on counties in the Marcellus/Utica and how they’ve fared with a number of metrics. As you might expect, the “study” found loads of negative impacts. It’s all crap, but we highlight it for you so you know that it’s crap and so you’re not taken in by their lame attempt at covering up who they really are and their insidious agenda…
Read More “Marcellus/Utica Anti-Drilling Group Back with Impacts “Research””
Industrywide Issues | Ohio | Statewide OH | Taxation | Utica Shale

OH Severance Tax Blues – Kasich Says the Tax Trains’ a Comin’
April 11, 2014April 11, 2014

With apologies to the memory of the late, great Johnny Cash, to be sung to the tune of Folsom Prison Blues…

I hear the severance tax train a comin’
It’s rolling round the legislative bend
And I ain’t seen a better vote-buying scheme since, I don’t know when
I’m stuck in Tea Party prison, and time keeps draggin’ on
But that severance tax train keeps a rollin’, on down to a legislative vote.

RINO Gov. John “foreigner hunter” Kasich is so excited, he may pee his pants. After a year of debating stupid Tea Party Republicans, his administration is “really close” to reaching an agreement with those in his own party to start soaking the Utica Shale drilling industry in his state. Really close. Really. But, you’ll have to wait until next month to find out just how much the industry will get soaked. They want to announce it and slam bam vote on it before anyone can raise the alarm. So deliberative. So open and transparent. What paragons of authority and leadership to emulate. What jerks.

Here’s the story of a RINO governor and Republicans who apparently are willing to cave on their principles…
Read More “OH Severance Tax Blues – Kasich Says the Tax Trains’ a Comin’”