Pennsylvania

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    CEC Interview: 6-9 Mo Delays for New Drilling Permits in PA

    Civil & Environmental Consultants (CEC) is a large engineering firm with offices scattered across the country. We’re not sure which office is “headquarters,” but we know they have a sizable office in Pittsburgh. While CEC provides services to a number of industries, they have been a big part of the Marcellus/Utica since its birth in the 2000s. As the Farmer’s Insurance commercials say, “They know a thing or two because they’ve seen a thing or two.” Which is, of course, an understatement. They know a lot because they’ve seen (and done) a lot–when it comes to the Marcellus. Another large company, law firm Buchanan Ingersoll & Rooney (headquartered in Pittsburgh), recently interviewed CEC Founding Principal and Strategic Development Officer Greg Quatchak for their “Energy Insider” series of interviews. Quatchak talks about CEC and it’s important role (as he should), but woven into the responses to BIR’s questions we learn some important information, like this: It still takes 6-9 months on average for Pennsylvania Dept. of Environmental Protection to issue Marcellus Shale drilling permits. In Texas it takes their counterpart (the Texas Railroad Commission) about a week to issue the same type of permit. Yes, there are important differences between Texas and PA–geography, wetlands, threatened/endangered species, archaeology. And yes, the time to get a permit in PA has improved over the past year or two. But come on, 6-9 months! Here’s an interesting interview of one of the principals in an employee-owned company…
    Read More “CEC Interview: 6-9 Mo Delays for New Drilling Permits in PA”

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    6 Charged with Bypassing Emissions Controls on Marcellus Trucks

    We may not always agree with certain rules and regulations, but skirting or ignoring them is not an option. Especially not in the Marcellus industry. A small group of men (six so far) in Williamsport (Lycoming County), PA are accused of conspiring to illegally alter emission systems on 30+ trucks with heavy-duty diesel engines. The trucks belong to Rockwater Northeast of Canonsburg, a subsidiary of Rockwater Energy Solutions Inc. of Houston, Texas, used to haul fresh water and wastewater to/from Marcellus Shale wells being drilled. The men “tampered with and removed emission monitoring devices on trucks to reduce repair costs and maintenance down time.” Five of the six have already plead guilty, and a sixth was recently charged in the scheme. They all face jail time and stiff fines. Folks, this is not acceptable behavior for our industry…
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    Small Group of Old Hippies Oppose Shell Ethane Pipeline

    A small group boasting a big name, The Breathe Project, recently sent a letter to the Pennsylvania Dept. of Environmental Protection proclaiming their opposition to Shell’s planned Falcon Ethane Pipeline–a 97-mile pipeline system with two “legs” that will feed Shell’s mighty ethane cracker plant now under construction in Monaca, PA. Right. So the DEP and Shell should simply give up on the $6 billion ethane cracker, which can’t operate without ethane to feed it–ethane that will flow through this pipeline. Of course the group’s opposition is for show, maybe for fundraising, and certainly not serious. The funny thing for us was in viewing a picture of some of the members of the group, standing around clutching signs that say SHELL FALCON PIPELINE with a big circle/slash through it. The group, when you look at them, is the geriatric squad. Old folks. In our opinion, they look like old hippies–people who likely protested the Vietnam War in the 60s and have now found their new reason for living–to defeat a small ethane pipeline. On Thursday a tiny protest of the Falcon Pipeline (under two dozen people) caught the interest of the Pittsburgh Business Times on a slow news day…
    Read More “Small Group of Old Hippies Oppose Shell Ethane Pipeline”

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    PA Consumers Save $30B Over 10 Years Thx to Marcellus Shale

    Although the push is on to get Marcellus molecules to new markets where they can fetch higher prices, there is one group who has benefited in a major way from an overabundance of cheap, clean-burning Marcellus Shale gas. That would be the residents and businesses located in the great state of Pennsylvania. Industry group Consumer Energy Alliance has just published a new report that reveals PA residents and businesses have saved a cumulative $30.5 billion from 2006-2016 as a result of the decreasing price of natural gas in the state. Can you imagine the economic impact! What president or governor or state legislator wouldn’t salivate over a cash infusion of $30 billion over ten years! It’s mind-blowing. And it’s all thanks to the Marcellus Shale. And that $30B is just the savings that went into folks’ pockets (and got spent on other things). That number doesn’t even take into consider the billions upon billions of dollars paid out in signing bonuses, royalties, and drilling work done. The Marcellus industry has single-handedly lifted many PA residents out of poverty. Hey, how much revenue and how many jobs and how much energy savings have groups like Delaware Riverkeeper, Sierra Club, Clean Air Council, Food & Water Watch, PennEnvironment, PennFuture and other radical Big Green groups generated for PA? What’s that? They’ve actually COST the state money? Think about that the next time you read about these so-called environmental groups and how much they “care” about the Keystone State…
    Read More “PA Consumers Save $30B Over 10 Years Thx to Marcellus Shale”

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    Riverkeeper Lawsuit Against Atlantic Sunrise Tossed by Fed Court

    In May 2016, three Big Green groups–THE Delaware Riverkeeper, Lancaster Against Pipelines and the Sierra Club (fueled by money from the William Penn Foundation and Heinz Endowments)–conspired and sued the Pennsylvania Dept. of Environmental Protection (DEP) saying the DEP erred in granting federal Clean Water Act “401” stream crossing permits for Williams’ Atlantic Sunrise Pipeline project (see Dela. Riverkeeper Launches Lawsuit Against Atlantic Sunrise Project). It took nearly two and a half years, but yesterday the U.S. Court of Appeals for the Third Circuit finally rejected the lawsuit. Although the lawsuit was frivolous and a long-shot to begin with, we’re glad to see it resolved. It’s never good to have these lawsuits hanging out there–especially since startup of Atlantic Sunrise is coming any day now, which will be the ultimate victory over these nutters (see Atlantic Sunrise Pipeline Slightly Delayed, Ready by Sept 10). Riverkeeper’s Maya van Rossum, who fancies herself the sole protector of the Delaware River, threw a snit fit…
    Read More “Riverkeeper Lawsuit Against Atlantic Sunrise Tossed by Fed Court”

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    2nd PA Toilet Paper Plant Converting from Coal to Gas-Fired Elec

    In early 2013, the Proctor & Gamble manufacturing plant in Wyoming County (northeastern PA) began generating 100% of its own energy needs thanks to the Marcellus Shale beneath plant property (see PA P&G Plant: 100% Energy Self-Sufficient from Marcellus Gas). The plant, which manufactures Pampers and Luvs diapers and Charmin toilet tissue, uses a LOT of electricity and natural gas. They built their own gas-fired electric plant and began generating all of their own electricity–enough electricity to power 40,000 homes! Fast forward to today. P&G competitor Kimberly Clark has just announced that it too will build a gas-fired electric plant, in Delaware County (near Philadelphia), to power its plant that manufactures Scott 1000 toilet paper. What is it about toilet paper and gas? Kimberly Clark is getting a $6 million grant from PA toward the $150 million project. Make way for another new major customer for PA’s Marcellus fracked gas…
    Read More “2nd PA Toilet Paper Plant Converting from Coal to Gas-Fired Elec”

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    Pittsburgh Utility Experiments with NatGas Fuel Cells in Homes

    An intriguing concept: What if you could generate your own electricity for your own home–without big, ugly solar panels plastered on your roof, or without an unsightly (and loud) wind mill stuck in your yard? What if all you need is a natural gas pipeline connected to your home. What’s that? You don’t want to contribute to man-made global warming by *burning* natural gas? No problem. This nifty little invention, called a fuel cell, uses natural gas in a *chemical* reaction to create electricity. These types of fuel cells have been around for a while, but what’s new is that they are now getting good enough to be commercially viable. Peoples Natural Gas, the largest natural gas distribution company in PA, providing natural gas service to approximately 700,000 customers in western PA, West Virginia, and Kentucky, has cut a deal with a Westmoreland County fuel-cell manufacturer to put 100 test systems in customer’s homes to create electricity at home. It’s an experiment. If all goes well, more will be deployed. Remember when cable companies first began offering internet access, then telephone access? Yeah, electric utilities and electric generators might want to look over their shoulder. They may get some serious competition! If natgas fuel cells ever take off for the residential market, demand for natural gas would be ginormous. Hence our interest. Is this technology anywhere near mainstream yet? No. But let’s keep a close eye on this potential new market for Marcellus/Utica gas. It may happen sooner than you think…
    Read More “Pittsburgh Utility Experiments with NatGas Fuel Cells in Homes”

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    PA Natural Gas Production Hits Another All-Time High in 2Q18

    Last Thursday the PA Independent Fiscal Office (IFO) released their latest quarterly Natural Gas Production Report for Apr-Jun 2018 (full copy below). It shows natgas production rose 9.9% compared to the same period last year–same as the increase in 1Q18 (see PA Natural Gas Production Hits New All-Time High in 1Q18). The report also shows the number of producing wells is up 10.4% from last year. Total natural gas production volume was 1,455.8 billion cubic feet (Bcf), and the number of producing wells in 2Q18 was 8,672 (of which 8,194 were shale wells). The biggest news is that once again 2Q18 saw the highest quarterly production of natural gas in the state–ever. This is the seventh quarter in a row there has been an increase in production. Two-thirds of the state’s natural gas production consistently comes from four counties: Susquehanna, Washington, Bradford and Greene. The #1 county for natgas production in 2Q18 was, as it was in each quarter of 2017 and in 1Q18, Susquehanna County, in the northeastern corner of the state. The #1 producing driller in Susquehanna County is Cabot Oil & Gas. Here’s the full 2Q18 natural gas production report from the IFO…
    Read More “PA Natural Gas Production Hits Another All-Time High in 2Q18”

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    Shell Ethane Cracker Gets Reprieve from Trump Steel Quotas

    Shell ethane cracker plant under construction in Monaca, PA – so many cranes you can’t count them!

    RINO Pat Toomey can rest easy–there will be no delays in building the $6 billion Shell ethane cracker near Pittsburgh. The Trump Administration previously slapped a 25% tariff (i.e. tax) AND quotas on imported steel coming from countries dumping steel in our markets, driving out our own steel industry. Last week Trump lifted the quota from steel coming from certain countries, including Brazil. Shell is getting steel they need for the cracker from Brazil. Indeed, Shell’s Brazilian steel is already sitting in a U.S. port, undelivered due to the quota (a limit on how much can be imported). Now Shell’s steel can get shipped to Pittsburgh and used by the army of people working there. But get this: Shell will still have to pay the 25% tariff/extra charge for their Brazilian steel. Toomey, an early and persistent Trump critic (and a DC swamp dweller), one of PA’s two U.S. Senators, recently claimed Trump’s quotas/tariffs would result in layoffs and delays at the cracker (see Sen. Pat Toomey Claims Trump Tariffs Will Delay Shell Cracker). With that barrier now gone, Toomey will have to find something else to criticize about Trump. How about his hair?…
    Read More “Shell Ethane Cracker Gets Reprieve from Trump Steel Quotas”

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    PA Supreme Court Victory for ME2 Pipeline re Two Zoning Cases

    Two different townships in the Philadelphia area, amped-up by and using money from Big Green groups like THE Delaware Riverkeeper (aka Maya van Rossum), tried to stop Sunoco Logistics Partners’ Mariner East 2 (ME2) pipeline project by claiming it violated local zoning ordinances. The construction of ME2 is governed by the PA state Public Utility Commission and the state Dept. of Environmental Protection. It is not a federal (i.e. FERC) project. Because it is a state-oversight project, the issue of primacy (whose rules and regulations govern) resides at the state level and not at the local level. Two local townships–one in Chester County the other in Delware County–argued in separate cases before PA Commonwealth Court that local zoning regulations for siting the pipeline should still apply. Commonwealth Court, in a pair of decisions earlier this year, ruled against that view (see PA Town Loses Appeal to Block ME2 Pipe with Local Zoning Ordinance and PA Appeals Court Rules ME2 Pipe NOT Under Local Zoning). Using Big Green money, both towns appealed their cases to the PA Supreme Court. On Tuesday, the Supremes declined to hear either case, meaning the Commonwealth Court ruling stands and this issue is now, finally, done. Antis’ attempts to stop the ME2 project by using local zoning ordinances is a closed door…
    Read More “PA Supreme Court Victory for ME2 Pipeline re Two Zoning Cases”

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    Peters Twp Votes to Allow Fracking Under Town Property, Again

    Peters Township, the most populous township in Washington County, PA, is one of the seven selfish towns that sued the state in 2012 over the zoning provisions in the then-new Act 13 law, eventually winning at the PA Supreme Court level (see PA Supreme Court Rules Against State/Drillers in Act 13 Case). The Act 13 victory gave townships like Peters the right to pass local zoning ordinances that restrict, but don’t outright ban, Marcellus/Utica drilling. In September 2016, Peters decided to officially screw Marcellus drillers. Town council passed a drilling ordinance that says drilling is ONLY allowed in areas zoned for industrial uses, which rules out areas zoned for agricultural uses, where most drilling happens (see Peters Twp Gives the Middle Finger to Drillers One Final Time). Even the theoretical drilling that would happen in industrial areas, a grand total of 138 acres in the township, would have to be a “conditional use” with loads of permits and reviews. In other words–don’t bother drilling in Peters. So we found it quite ironic that in May 2017 Peters Township Council threw their lordly “principles” right out the window by signing a five-year lease with EQT allowing drilling under (not on) some of the township’s own land, something they’ve denied every other landowner in the township (see Peters Township Votes to Allow Fracking Under Town Property). They’ve just done it again. Peters Township Council voted Monday to approve a lease with Range Resources for the very same terms as they agreed to with EQT. This time the land is located under Peters Lake Park. That’s right, drilling and fracking under a lake, in Peters Township, where the town can get away with it, but not private citizens. How much will Peters get this time? Keep reading for the answer, available only on MDN…
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    Atlantic Sunrise Pipeline Slightly Delayed, Ready by Sept 10

    In July MDN told you that Williams said their $3 billion Atlantic Sunrise Pipeline that runs through 10 Pennsylvania counties to connect Marcellus Shale natural gas from northeastern PA with the Williams’ Transco pipeline in southern Lancaster County will go online in August (see Williams: Atlantic Sunrise Pipeline Going Online in August). At the time, we said this: “We have no reason to doubt Williams. After all, if they make an announcement like that and then don’t live up to it, there will be PR hell to pay.” Oops. Looks like it’s time for Williams to pay PR hell. Last Friday Williams filed an official request with the Federal Energy Regulatory Commission (FERC) to begin flowing gas along the rest of Atlantic Sunrise beginning Sept. 10. Yeah, it’s only 10 days late, and perhaps close enough that we can forgive them. It is exciting! We’ve waited years to announce the beginning of Atlantic Sunrise flows–amidst protests from nuns, kooks and quacks. Most of the time we think of Atlantic Sunrise as the new greenfield pipeline that cuts through 10 northeastern PA counties, traveling from Susquehanna County to Lancaster County. But that part of the project, called the  Central Penn Line, is only part of the project. Other parts of the larger Atlantic Sunrise project were actually up and running a year ago around this time (see Williams Atlantic Sunrise Project to Begin Partial Service on Sept 1). What will happen Sept. 10 is the completion of those parts of the project not yet online, including the Central Penn Line…
    Read More “Atlantic Sunrise Pipeline Slightly Delayed, Ready by Sept 10”

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    Sen. Pat Toomey Claims Trump Tariffs Will Delay Shell Cracker

    US Sen. Pat Toomey

    Pennsylvania’s U.S. Senator Pat Toomey is a DC swamp dweller–let’s just be honest about it. He’s a Republican, largely in name only. He’s better than a Democrat–but not by much. Toomey is claiming that President Trump’s attempt to stop the flow of foreign steel dumping in our markets by using tariffs (dumping which hurts our own steel industry and isn’t anywhere close to being fair or free trade), will delay incoming material for the Shell ethane cracker plant in Beaver County and result in the layoff of “hundreds” of workers. A Shell spokesman neither confirms nor denies Toomey’s claims but uses doublespeak to sidestep the issue–meaning Shell likely asked Toomey to be the front guy in shaming the Trump Administration into granting waivers so they can get their cheap, imported steel. Toomey has been an early and repeat critic of Trump. Toomey opposed Trump’s tariffs from the beginning and is currently trying to get a new law passed stripping the President of his constitutional power to impose tariffs…
    Read More “Sen. Pat Toomey Claims Trump Tariffs Will Delay Shell Cracker”

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    Fake Study Recommends Quarter-Mile Setbacks for PA Shale Drilling

    More fake “research” on drilling, courtesy the anti-drilling Southwest Pennsylvania Environmental Health Project (EHP). This is the same group of antis who brought us the so-called list of the harmed (in 2013) and last year launched a faux health registry that attempts to link everything from the sniffles to “performance issues” to nearby fracking (see Fake Science: SWPA Enviro Health Registry for Those Near Fracking). Here’s the latest laughable “research” published (yes published) in a pay-for-play journal: Setback distances for unconventional oil and gas development: Delphi study results. The so-called researchers from EHP asked 18 of their anti-drilling friends, who are supposedly experts, for an opinion on how far away a building should be located from a shale well. The current standard in PA is 500 feet. That is, a well being drilled must be at least 500 feet away from an “occupied building.” EHP’s anti-drilling friends (16 of the 18) said that number should be 1,320 feet–a quarter mile. EHP wrote it all up, presenting it as fact, and got it published in the very low-standard PLOS One journal–a journal where you pay them and they’ll publish anything. Totally made-up research. PLOS One is “peer reviewed” so voila, there’s now a “peer reviewed study” that says setbacks in PA should be at least a quarter of a mile away when it comes to shale drilling. Which would eliminate about 90% of all shale drilling in the state (which is the purpose of this “study”). We really don’t know how those from EHP can show their faces in public, pedaling this kind of junk science. More to the point, how can any honest, self-respecting organization spend good money to fund EHP?…
    Read More “Fake Study Recommends Quarter-Mile Setbacks for PA Shale Drilling”

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    FERC Finally Approves 2 Key Rover Pipeline Laterals, Sept 1 Start

    The Federal Energy Regulatory Commission (FERC) game of hardball with Energy Transfer over the Rover Pipeline has finally paid off. For months FERC has refused to allow four Rover laterals–feeder pipelines to shuttle gas from where it’s produced into the main Rover pipeline–to start up (see FERC Plays Hardball with Rover – Refuses to Certify 4 Laterals). The reason? ET has not, according to FERC, lived up to its word on restoration work. Things like smoothing over the dirt and replanting grass and other vegetation over top of the buried pipeline. Earlier this month ET assured FERC it would have the majority of restoration work done on two key laterals–the Burgettstown Lateral in southwestern PA, and the Majorsville Lateral in the northern panhandle of WV–by the end of this month (see FERC Continues to Block Rover Laterals Until Restoration Work Done). With recent evidence that ET is indeed living up to its word, last Thursday FERC gave ET permission to start up both the Burgettstown and Majorsville Laterals on Sept. 1. The majority of the restoration work will be done by this Friday, Aug. 31. However, there will still be some odds and ends after that (addressing “ground movement areas) that will go on through December. That leaves two final laterals–the CGT (Columbia Gas Transmission) and Sherwood Laterals, still not online. This is a prime example of FERC playing hardball, contrary to the “rubber stamp” antis claim FERC is for pipeline companies…
    Read More “FERC Finally Approves 2 Key Rover Pipeline Laterals, Sept 1 Start”

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    Partial Victory for PA Drillers re DEP Chapter 78a Drilling Regs

    The Pennsylvania Commonwealth Court has handed PA drillers a partial victory in their quest to block onerous new drilling regulations, part of something called Chapter 78a. In October 2016, after five years in the making, PA adopted new shale drilling regulations (see PA’s New Chapter 78a Drilling Regs Go into Effect Oct 8). Although the regs were ready at the end of the Gov. Tom Corbett Administration, Corbett fumbled the ball and the regs didn’t get adopted, which left them vulnerable to the incoming left-leaning Tom Wolf Administration. Wolf’s people mangled the regulations under the Dept. of Environmental Protection (DEP) Dictator/Secretary John Quigley, who got fired over unethical collusion with Big Green groups. Some of the good stuff remained, but onerous new elements were introduced. The Marcellus Shale Coalition (MSC), which represents PA’s biggest shale drillers, filed an appeal in Commonwealth Court to block the most onerous aspects of the new regulations (see Marc. Shale Coalition Files Lawsuit to Block PA Chapter 78a Regs). In December 2016, the DEP escalated the case by asking the PA Supreme Court to undo the block on those regulations imposed by the lower Commonwealth Court. Last October the Supremes heard oral arguments in the case, and in June of this year the Supremes ruled to not undo the block on DEP’s onerous regs–but instead bumped the case back down to Commonwealth Court to let the matter play out there (see PA Supreme Court Upholds Block on DEP Chapter 78a Drilling Regs). Last week Commonwealth Court struck down provisions in Chapter 78a (f) and (g) defining “common areas of a school’s property and playgrounds,” and “species of special concern” as public resources under Act 13. While we didn’t get 100% of what we wanted, we got maybe 95%–at least for the two provisions in sections (f) and (g). Other parts of the lawsuit are still under consideration by Commonwealth Court. Here’s the deets on this important victory for Marcellus drillers…
    Read More “Partial Victory for PA Drillers re DEP Chapter 78a Drilling Regs”