PA Gov Wolf Basks in Predecessor’s Accomplishment at Cracker Site

For a guy who wants to tax the Marcellus industry out of existence, PA Gov. Tom Wolf sure likes to bask in the glow of the industry’s success. Perhaps the crowning achievement of former PA Gov. Tom Corbett was the wooing and winning of Shell to build a multi-billion dollar ethane cracker near Pittsburgh. It’s hard to overstate just how big a deal the cracker plant is for the state–not only for PA, but also for nearby OH and WV. Shell’s ethane cracker will attract manufacturers to relocate nearby to take advantage of the cheap plastics that will come from the plant. While Shell will invest somewhere on the order of $6-$8 billion, with the coming build-out of manufacturing facilities in the region, it promises to turn into a $20 billion economic boost for the entire northeast. An amazing story! Right now Shell is busy at work clearing the site, which used to be a Horsehead zinc smelting operation. Gov. Wolf toured the site on Monday and was impressed, basking in the glow of what’s happening. Thing is, Wolf didn’t have a single thing to do with the plant coming to PA–other than not screwing up the deal before it was formally announced…
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This is so unusual, it qualifies as news: Supervisors in Buffalo Township (Butler County), PA have approved a new compressor station to be built by Mountain Gathering–a subsidiary of XTO Energy. The reason it’s news is for how the approval process was handled. Town residents who live near where the station will be built understandably had some concerns. Those concerns were aired. Town officials visited other compressor stations built by Mountain Gathering. They had XTO officials in to answer questions. There was no bleating and blatting, no parading in front of cameras and microphones, no “die-ins” and radical protests. Just deliberative, calm, adult discussions. And at the end of it, the supervisors voted to grant permission for the compressor station to get built. Unusual!…
A year ago MDN told you about a new gathering pipeline project in Butler County, PA. Rex Energy contracted with Stonehenge Energy Resources to build a gathering system in Butler County (see
Rex Energy Corporation, one of our favorite smaller Marcellus/Utica drillers, issued an update on their Marcellus drilling program on Tuesday. You may recall that just last week Rex announced they were selling off the rest of their non-Marcellus acreage to become a pure play driller (see
MDN previously reported on the injustice happening in Bulter County, PA where a handful of anti-drilling parents from the Mars School District (“Martians”), backed by money from Philadelphia Big Green groups Delaware Riverkeeper and Clean Air Council, have filed frivolous lawsuit after frivolous lawsuit. The effort is aimed at denying landowners in Middlesex Township revenue from legally permitted drilling. The actions by these radicalized parents have cost the taxpayers of Middlesex Township over $80,000 in legal fees. Landowners with leases got together and sued the radicals to stop this miscarriage of justice (see
EdgeMarc Energy is a small driller headquartered in the Pittsburgh area, formed in 2012. The company has leased 50,000 acres in the Marcellus and Utica Shales. On Monday EdgeMarc issued a press release to announce they’ve attracted a new investor–the Ontario Teachers’ Pension Plan–which has promised the company up to $300 million in cash in return for part ownership (called an “equity commitment”). The announcement also says EdgeMarc currently drills and produces natural gas in Monroe and Washington counties in Ohio, and Butler County in Pennsylvania. In checking the latest issue of our
Layoffs in the natural gas industry have cut wide and deep. We spotted one article recently that said layoffs worldwide have hit 200,000 (see Forbes: 
An update on a royalty lawsuit we first reported in July. Two Butler County, PA landowners with a combined 245.7 acres of land leased to (and drilled by) XTO Energy have sued XTO claiming the company is breaking the lease agreement by paying royalties below 1/8 of what XTO receives in revenue for the gas (see