Allegheny County

Allegheny County | Chevron | Energy Companies | Pennsylvania

Chevron Consolidates Reduced Marcellus Workforce Under One Roof
February 25, 2015February 25, 2015

In January, Chevron announced it is cutting 23% of its Marcellus Shale workforce in the Pittsburgh area (see Chevron Laying Off 23% of their Marcellus Workforce in Pittsburgh). Last July, the company put a long-planned massive new 350,000 square foot office complex project they planned to build in Moon Township on hold (see Chevron Puts Moon Twp, PA Office Building Project on Hold). The new office complex project is still under reconsideration. Meanwhile, since they’ve downsized, Chevron is consolidating the workforce under one roof, renting a new office space in Moon Township…
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Allegheny County | Energy Companies | Industrywide Issues | Olympus/Huntley & Huntley | Pennsylvania | Statewide PA | Taxation

Wolf’s Severance Tax Threat Costs Small PA Town $315,000
February 24, 2015February 24, 2015

Two weeks ago the hapless newly elected governor of Pennsylvania, Tom Wolf, introduced a new 7.5% severance tax plan to soak the Marcellus Shale industry in his state (see PA Gov Wolf Proposes Marcellus-Killing 7.5% Severance Tax). Wolf wants to target one industry, oil and gas, to give their hard-earned money away to another industry, teachers. He’s trying to pay back all of those good union voters in Philadelphia who elected him. But Wolf’s threat of a tax is already having very tangible consequences. Huntley & Huntley Energy Exploration has pulled out of a deal to lease 90 acres of land owned by Harmar Township (Allegheny County), PA. That just cost Harmar $315,000. Why did Huntley & Huntley pull out? The uncertainty over Wolf’s severance tax. If the tax passes, a great deal of drilling in PA’s Marcellus Shale will be idled–and that’s not idle speculation…
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About MDN | Allegheny County | Education | Industrywide Issues | MDN Resources | Meetings | Pennsylvania

Exclusive for MDN Readers: Attend Pittsburgh O&G Industry Summit FREE
February 11, 2015March 2, 2015

Last March, MDN participated in the Oil & Gas Awards regional event in Pittsburgh (see Oil & Gas Awards “Northeast Conference for Excellence” Now on MDN). It was a blast meeting and talking with members of the industry. Like last year, we are once again participating in the event this March in Pittsburgh. MDN editor Jim Willis is moderating a couple of the panel discussions during the day-time conference, which is dubbed the Northeast Industry Summit. We have two pieces of big news for MDN readers: 1) The U.S. Chamber of Commerce is sponsoring and participating this year, and 2) Jim wants MDN readers to attend, so he’s arranged with the O&G Awards crew to offer MDN readers a FREE pass to the Summit, which will save you $199. Here’s how to register…
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Allegheny County | Lease & Royalty Payments | Ohio | Pennsylvania | Statewide OH | Statewide PA | Statewide WV | West Virginia

Pittsburgh Private Equity Fund Looks to Lease in Marcellus/Utica
January 28, 2015January 28, 2015

Not everyone is sitting on the sidelines during the downturn in shale drilling in the northeast. And yes, there is no doubt there’s been a downturn, along with the dropping price of gas (and oil). Ridgetop Capital, located in the Pittsburgh area, has just raised it’s sixth round of private investment capital (cash from wealthy people)–a huge $200 million. Ridgetop’s owner, Brad Carpenter, is now on the prowl to snap up Marcellus and Utica Shale leases that he hopes to get at a bargain because of the slow-down…
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Allegheny County | Chevron | Energy Companies | Industrywide Issues | Jobs | Pennsylvania

Chevron Laying Off 23% of their Marcellus Workforce in Pittsburgh
January 23, 2015January 23, 2015

Well, don’t say we didn’t warn you. In November MDN brought you the news that Chevron announced the are “restructuring” their northeast business until to “become more efficient” and for “long-term growth.” We pointed out at the time that kind of language doesn’t inspire confidence (see Chevron Scaling Back in the Marcellus/Utica? Maybe). We also said it was a good sign that no WARN Act notices of impending large layoffs had been issued. Oops. That’s now changed. In an emailed statement yesterday, Chevron said it plans to lay off 162 Pennsylvania workers as part of their “restructuring”–nearly a quarter of their Marcellus workforce. Ouch. It wasn’t so long ago Chevron was planning to build a massive, new 350,000 square foot regional headquarters near Pittsburgh (see Chevron Puts Moon Twp, PA Office Building Project on Hold). It seems that project is now dead–no signs of life. Here’s the disappointing info on Chevron’s coming round of layoffs…
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Allegheny County | Industrywide Issues | Pennsylvania | Supply Chain

Pittsburgh Oilfield Services Co Expands with Local Investment
January 16, 2015January 16, 2015

Three Pittsburgh-area oilfield services companies–White’s Equipment Rental, Crossfire Production Services, and White’s Welding–are collectively owned by a single company, White’s Holdings. Owner Calvin White started White’s Welding first, in Oklahoma, and grew the enterprise from there, eventually expanding into the northeast. White’s move to the northeast was prescient. The Marcellus/Utica has supercharged his businesses in the region. It was time to grow, and is often the case, small businesses growing into medium-sized businesses need cash to do so. Enter another Pittsburgh-area company, F.N.B. Capital Partners (FNBCP), a private equity firm. FNBCP has just announced they’ve made an investment in White’s Holdings so the company can expand. That is, White has traded away some ownership (retaining majority ownership) in return for cash to expand the three businesses that serve the drilling industry in the northeast. Another jobs and economic miracle courtesy of fracking…
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Allegheny County | Economic Impact | Energy Services | Industrywide Issues | Jobs | New York | Ohio | Pennsylvania | Pipelines | Statewide NY | Statewide OH | Statewide PA | Transco | Williams

Williams Spending $100 million Per Month in the Marcellus/Utica
January 14, 2015January 14, 2015

There’s an excellent regional television program in Pittsburgh called “Our Region’s Business” hosted by veteran reporter Bill Flannigan. On December 7, Jim Scheel, Senior Vice President for Northeast G&P for Williams, appeared in a segment on the program (video embedded below). Scheel shared some eye-popping statistics about the Marcellus/Utica, and about Williams and their commitment to the region. Scheel said, among many things in the short 7-minute segment, that in 2014 Williams spent an astonishing $100 million per month on pipeline projects in the northeast region. They currently employ 750 people in the northeast and over the next year or so expect to add another 160 people to the payroll. What an exciting, dynamic company! Here’s a few more stats Scheel mentioned…
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Allegheny County | Energy Companies | Laurel Mountain Energy | Pennsylvania | Statewide PA

“New” Pittsburgh Company Forms to Target Marcellus/Utica in W PA
January 12, 2015January 12, 2015

A brand new baby is born! Or is it? Using money from private equity firm TPH Partners, the father-son team of Clark and David Nicklas have just given birth to a new “upstream” (exploration and production) company called Laurel Mountain Energy which will be headquartered in Pittsburgh and target the Marcellus, Upper Devonian and Utica layers in western PA. Dad Clark founded Vista Resources in 1987 and since that time the company has drilled over 1,000 wells in the northeast. This is Houston, TX-based TPH’s first investment in the Marcellus, and they couldn’t be happier…
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Allegheny County | Housing | Industrywide Issues | Pennsylvania | Washington County

Home Values in Heavily Drilled Western PA Go Up, Not Down
January 5, 2015January 5, 2015

Yet another anti-drilling lie is put to rest–again. You often here that “the value of my house, my property, will decrease if drilling comes to the area.” Not so. Take the uber-drilled area of Allegheny and Washington counties, essentially the Pittsburgh, PA area. Housing values there have gone up–and it’s a “seller’s market” according to real estate professionals. Why? The Marcellus Shale, of course…
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Allegheny County | Industrywide Issues | M&A | Pennsylvania | Supply Chain

Marcellus Supply Chain: Pittsburgh Hydraulic Hose Supplier Sold
December 8, 2014December 8, 2014

Powertrack International, a Pittsburgh-based company that sells hydraulic hoses and fittings to the oil and gas industry, has been bought out by F.N.B. Capital Partners, a $175 million investment fund also located in Pittsburgh. This is the twelfth such SBIC (federal Small Business Investment Company program) investment this year for F.N.B. Terms of the deal were not disclosed (private transaction, private company). Edward Condon, the owner of Powertrack, is cashing in his chips. He’ll hang around for some consulting work, but essentially he’s now out the door and a “long-time” employee of the company, Andrew Kuron, will take the helm as president…
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About MDN | Allegheny County | Meetings | Pennsylvania

Oil & Gas Awards Summits, Looking Back & Looking Forward [Video]
December 4, 2014December 4, 2014

In October, MDN editor Jim Willis had the pleasure of once again participating in two regional Oil & Gas Award Summits–this time in Dallas, TX and in Oklahoma City, OK. Yes, a little bit out of the Marcellus/Utica orbit, but the event organizers asked nicely. 🙂 It was a blast meeting and talking with oil and gas people in other regions of the country. What a breath of fresh air to visit states like Texas and Oklahoma–where the average resident actually likes the O&G industry! Jim was there to moderate two panel sessions at each event (links to videos to view all four sessions below). Once again the O&G Awards are coming to Pittsburgh, in March 2015. Jim previously sent an email to MDN subscribers, but we also want to post a notice here. There’s a fast-approaching deadline of Dec. 11, 2014 to submit your company for consideration for an award. We have the details…
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Allegheny County | Industrywide Issues | M&A | Pennsylvania

Florida Condo Developer Buys 500 Acres of Marcellus/Utica Leases
December 1, 2014December 1, 2014

A deal to sell Wroblewski Oil and Gas, a small exploration and production and frac sand company headquartered in western PA, was announced last week. Wroblewski owns leases on 500 acres of Marcellus/Utica Shale leases–about enough to drill one well. The interesting thing, for MDN, is who is doing the buying: American Leisure Holdings, Inc. American Leisure, according to what we can find, develops vacation real estate properties (condos and such) in Florida. So what in the world are they doing buying a small Marcellus E&P company?…
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Allegheny County | Industrywide Issues | Pennsylvania | Supply Chain

Non-Destructive Testing Company Opens Branch in Pittsburgh
November 13, 2014November 13, 2014

The depth and variety of companies that provide services for the shale industry never ceases to surprise us. Would you think that non-destructive testing (NDT) has a role in shale exploration and drilling? It does! And it has enough of a role that Applus RTD, a global energy service provider that delivers “technical assurance through non-destructive testing, inspection, and certification in every region of the world” has just opened a new branch office in Pittsburgh to service the demand for their services in the Marcellus/Utica region. One of their happy customers is Range Resources…
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Allegheny County | Pennsylvania

Allegheny, PA Councilman Reveals Why He Voted Yes on Park Lease
November 12, 2014November 12, 2014

Pretty soon drilling will begin under (not on) Deer Lakes Park in Allegheny County, PA. After months and months of anti-drillers showing up at county council meetings to drone on and on about the disaster that awaits us all if drilling takes place a mile below the earth underneath the 1,180-acre park, council members voted to approve the plan (see Allegheny Cty Approves Deer Lakes Park Lease, Antis Throw Tantrum). The deal gives the county a $4.7 million signing bonus and 18% royalties. Sweet. It’s not often you get a full explanation from one of the politicians who faced the droning anti-drillers and then voted in favor of a project like this–but we have such a unique opportunity. Councilman Tom Baker, who cast one of two deciding votes in favor of the project, recently published his thinking and explanation for why he cast a “yes” vote for the Deer Lakes Park deal…
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Allegheny County | Butler County | Lease & Royalty Payments | Pennsylvania

East Allegheny, PA Leases School Property for Marcellus Drilling
November 11, 2014November 11, 2014

Earth to Mars (PA): To the anti-drilling parents in the Mars School District in Butler County, cast your eyes to the south in neighboring Allegheny County. The school district in East Allegheny, PA has just signed a lease with EQT to drill shale wells on district-owned property–in one case 500 feet away from the middle school! Now what was that about a well pad 3/4 of a mile from a Mars school–on non-school property–that has you so enraged? (see Rex Gets Permits to Drill Near Martian School, Antis Apoplectic) Back here on earth, the East Allegheny school board unanimously voted last night to lease 170.28 acres of district-owned land (in 14 parcels) to EQT. The terms are…
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Allegheny County | Chevron | Energy Companies | Pennsylvania

Chevron Scaling Back in the Marcellus/Utica? Maybe
November 10, 2014November 10, 2014

What a difference just a year or two makes–at least in the plans of a major oil and gas company like Chevron. It wasn’t so long ago that Chevron (2011) that Chevron bought out Atlas Energy and along with it 622,000 acres of Marcellus Shale leases. Chevron then picked up another 228,000 acres of Marcellus leases from Chief Oil & Gas. A little over a year ago Chevron got an initial approval to build a massive new 350,000 square foot headquarters in Moon Twp, PA, near Pittsburgh. Then the first red flag–Chevron put that project on hold in July of this year (see Chevron Puts Moon Twp, PA Office Building Project on Hold). Now a second, big red flag: Chevron is “restructuring” its northeast business unit. When a company throws around words like “become more efficient” and “long-term growth” that, frankly, does not foreshadow good things for some of the 700+ people who work in the Appalachia unit…
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