PA DEP Reaches $1.48M Settlement with CNX to Plug Abandoned Wells
Last year the Pennsylvania Department of Environmental Protection (DEP) issued administrative orders requiring three oil and gas companies–Alliance Petroleum Corporation (a subsidiary of Diversified Gas & Oil), XTO Energy, and CNX Resources–to plug 1,058 abandoned oil and gas wells across Pennsylvania (see PA DEP Orders CNX, XTO & Diversified to Plug 1,058 Abandoned Wells). All three appealed the DEP’s order to the state Environmental Hearing Board. In March of this year the DEP cut a deal with Diversified (see DEP and Diversified Gas & Oil Compromise on Plugging Old PA Wells). As of last week, the DEP has now cut a deal with CNX, relaxing their earlier edict.
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What happens when two of three elected town supervisors either have a lease with a pipeline company, or have close family members who have leases with the pipeline company, and they must vote to approve a new power plant project that would use shale gas from that pipeline to power it? It’s called a conflict of interest, and we’re about to find out the answer to that question in Robinson Township (Washington County), PA.
Xtreme Energy Co., headquartered in Victoria, Texas, has been ordered by the Pennsylvania Dept. of Environmental Protection (DEP) to shut down/stop producing at two Marcellus wells operated by the company located in Somerset County, PA, in the southwestern part of the state. Why? Because, says the DEP, Xtreme has not paid its impact fee (i.e. severance tax) for those wells for 2014, 2015 and 2016.
Here’s a cautionary tale for landowners who think they can go court-shopping on the other side of the country to settle their differences with pipelines that cross their land. Don’t do it. A Pennsylvania landowner in Schuylkill County, PA thought he could force Williams’ (Transco Pipeline) into arbitration to compensate him for allowing the Atlantic Sunrise pipeline crossing his land. Except the landowner filed for arbitration in California! Williams/Transco refused to participate in the arbitration since Cali has NOTHING to do with Pennsylvania when it comes to arbitrating compensation for eminent domain.
Leftist Democrats in Pennsylvania are still hopping mad that they couldn’t block Invenergy’s 1,480 megawatt, $1 billion Marcellus gas-fired electric plant called the Lackawanna Energy Center, located near Scranton, PA (see 
The so-called FracTracker Alliance is a group of leftist anti-fossil fuelers who heavily shade the truth (i.e. lie) about the “health impacts” of shale drilling in western Pennsylvania. In May some two dozen FracTracker “volunteers” visited the Pine Creek Watershed in parts of Clinton, Lycoming, Potter and Tioga counties. Their stated purpose was to “catalog the impacts of the unconventional oil and gas industry and related infrastructure on the landscape.” The effort resulted in a false map misrepresenting even basic facts about shale drilling in the region. The Marcellus Shale Coalition could not keep silent about FracTracker’s false and misleading narrative, and wrote to set the record straight.
We have an ongoing problem. Some of the more radical protesters in the “environmentalist” movement–those who tend toward anarchy–illegally enter work sites for pipelines and other fossil fuel infrastructure under construction, and block the work being done in an attempt to cost companies money. Typically they chain themselves to a piece of equipment with a device that takes law enforcement authorities hours to remove. They cause delays and endanger themselves and workers and law enforcement with their illegal actions. It’s time to make the penalties for these dangerous, willful and illegal acts stiffer. Pennsylvania State Senators have introduced a pair of bills to help put a stop to this nonsense.
In yet another sign of a slowdown in Marcellus/Utica drilling, a company that manufactures drilling equipment and fracking pumps, Gardner Denver, is laying off 45 employees at its plant located in Tipton, PA (near Altoona). That’s two-thirds of its local workforce. Why? According to a company rep, because of the slowdown in drilling and because of ongoing depressed gas prices.
In September MDN brought you news of the U.S. Court of Appeals for the Third Circuit ruling that disallows PennEast Pipeline from using the delegated power of eminent domain to cross properties either owned by, or with easements granted to, the state of New Jersey (see 
In April, Pennsylvania State Rep. Mike Turzai, Speaker of the House, and a group of conservative Republicans, announced a plan for the future of PA (see 
Here’s how it works for Pittsburgh Post-Gazette “reporters” Don Hopey and David Templeton. A group of fellow travelers who hate the fossil fuel (shale) industry as much as they do gather at a small, pre-announced meeting, preferably at a school, and make wild, unsubstantiated, frankly reckless (actionable?) accusations against the “hated” shale drilling industry. Stenographers Hopey and Templeton are there to record it all and share it with the general public. That’s what happened yesterday at meeting in Washington County, PA.
It’s not often (these days) we come across a new instance of publicly-known leasing terms in the Marcellus/Utica. We like to highlight such cases when we see them. In Saturday’s Pennsylvania Bulletin, the state Dept. of Conservation and Natural Resources (DCNR), the agency in charge of state-owned land, published details of a newly signed lease for 40.6 acres of creekbed in Greene County, PA. The DCNR got its standard $4,000 per acre signing bonus plus will get a 20% royalty from any gas produced. Who did they lease to? And why do we object to this practice so strenuously? To learn those details, you need an