Energy Transfer Says Mariner East 2X Online by End of 2020
It’s been a loooong road getting the Mariner East 2 (ME2) pipeline system, which includes building two pipelines side-by-side from eastern Ohio across Pennsylvania to the Philadelphia area, done. From what we can tell, ME2 is now done–with the possible exception of a few miles where smaller pipeline is being used until a bigger replacement is done. For all intents, ME2 is done. However, ME2X, a second pipeline being built next to the first, is not yet done. But it’s getting close! According to comments from Energy Transfer (ET) made during a quarterly conference call yesterday, ME2X will be in service by the end of this year, and the entire project will be done-done sometime in 2Q21. Finally!
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Most of the layoffs during this particularly brutal (and historic) downturn in the oil and gas market have taken place in oilfield services companies like Halliburton, Baker Hughes and Sclumberger. But exploration & production companies are not immune. Chevron is laying off workers in their Marcellus/Utica operation because the company is selling all of its Appalachian assets and leaving the region (see
The Federal Energy Regulatory Commission (FERC) finally got its butt in gear and issued a favorable environmental assessment (EA) for an amended request by PennEast Pipeline to break the project into two phases–building the pipeline through Pennsylvania in Phase One, and through New Jersey in Phase Two. FERC was supposed to issue its findings on or by July 10. Finally, after two weeks with no report, no explanation, and no communication, PennEast goosed FERC on July 24 (see
What is it with Democrats and the urge to tax everything–even things that breathe? They have a particular fascination with taxing carbon dioxide–the building block of life and the substance every living thing breathes out with every breath. The latest Democrat who wants to tax CO2 is Pennsylvania Senate Minority Leader Jay Costa, Jr. (from Pittsburgh) who introduced Senate Bill (SB) 15. Costa falsely calls it a “cap and invest” plan. In reality and normal plain English, it’s a tax plan–taxing natural gas-fired power plants.
Cabot Oil & Gas issued its 2Q20 update on Friday. CEO Dan Dinges said natural gas prices hit a historic low in 2Q (lowest since 1995), but he thinks the price will improve “this winter.” Although the price Cabot got for its gas last quarter ($1.52/Mcf) was 33% lower than a year ago, the company still made a profit. Cabot netted $30 million in 2Q, vs. netting $181 million a year ago. The company drilled 14 new shale wells, completed/fracked 31 wells, and placed 25 new wells online last quarter. They produced an average of 2.2 Bcf/d of natural gas.
Pennsylvania State Sen. Gene Yaw, Majority Chair of the Senate Environmental Resources and Energy Committee, is hammering ICF International, a consultant hired by the PA Dept. of Environmental Protection (DEP). The DEP has paid $874,000 (so far) to ICF for research relating to “climate change.” ICF is providing research used by the DEP to justify Gov. Wolf’s harebrained idea to join the Regional Greenhouse Gas Initiative (RGGI), a carbon tax scheme meant to drive natgas electric plants out of existence in the state. All in the name of saving Mom Earth. Ludicrous. ICF, supposedly impartial, appears to be anything but according to Yaw.
The dirty deed is finally done. It now officially costs more for a new shale permit to drill in Pennsylvania than in any other state in the country. In Ohio, it costs drillers $5,500 to file for and receive a permit to drill a new shale well. In West Virginia, the cost is $10,150. In Pennsylvania, it used to cost drillers $5,000 for a new shale well permit. As of Saturday, the price went up 250% to $12,500.
Over a year ago, in March 2019, MDN told you about a new Williams plan to beef up the Transco pipeline in Pennsylvania and New Jersey to deliver an extra 760 MMcf/d (originally 1 billion cubic feet per day) of Marcellus gas to PA, NJ, and Maryland (see
We include this story on MDN because (a) it’s Friday and sometimes we get a little giddy and have fun on Fridays, and (b) to illustrate the lengths crazies will go to reduce the amount of “fugitive methane” that “escapes” into the atmosphere. Agriculture (farm animals) produce huge amounts of fugitive methane–a fact that the climate loons grudgingly have to deal with if they want to keep up the false pretense that the planet is catastrophically warming. So every now and again the crazies come out with truly insane plans to capture, or in this case restrict, the amount of methane cows fart and burp. Penn State is all proud of itself that it has determined the optimum “dosing” of a really big antacid tablet for Bessie…
Radical environmentalists (far outside the mainstream) are making one final push to pressure the Pennsylvania Dept. of Environmental Protection (DEP) to expand an already onerous new regulation it is planning to implement. Last December the DEP’s Environmental Quality Board (EQB) approved new regulations that supposedly will capture every last molecule of stray methane that leaks from shale drilling operations (see
What’s happening with New Fortress Energy’s $800 million LNG liquefaction plant in Wyalusing (Bradford County), PA? We recently had an inquiry from a union member/MDN reader wondering whether or not the project has been scrubbed because there is no activity at the site. We have an answer…
On Friday the Pennsylvania Dept. of Environmental Protection (DEP) announced it has fined CNX Resources and its subsidiary CNX Midstream $310,000 for two incidents in which 65 barrels (2,730 gallons) of non-toxic brine (salty water) leaked into the ground and 43 gallons of non-toxic drilling mud leaked into a creek. The DEP says CNX did “not adequately maintain erosion and sedimentation best management practices.”
It’s time for a victory lap. Pennsylvania Republicans, with the help of some brave Democrats (and former Democrats), passed and convinced Gov. Wolf to sign a bill into law that will grant tax breaks to companies willing to build brand new petrochemical plants in the Keystone State–plants that use huge quantities of Marcellus Shale gas. Wolf signed the bill yesterday, after vetoing a similar bill earlier this year. The normally chatty Wolf press operation barely mentioned his signature on the bill.
This absolutely must stop. Pennsylvania Attorney General Josh Shapiro is completely out of control and abusing his power as AG. He has charged a third Marcellus/Utica company, National Fuel Gas Company, with crimes because of a few minor cases of erosion runoff during the installation of a pipeline in Washington County, PA. Since when is erosion a CRIME?