Pennsylvania

  • | | | | | | |

    PA Supreme Court Hears Arguments in EQT Wastewater Leak Case

    Buckle up while we explain the background for this story. In October 2014, the DEP fined EQT a whopping $4.53 million for a leaky wastewater impoundment in Tioga County, PA (see PA DEP Levies Biggest Fine Ever, $4.5M Against EQT). While EQT did not say there wasn’t a problem with leaks at the site, they did say the way the DEP calculated the fine is unreasonable and arbitrary. In fact, EQT says the DEP levied the fine and took EQT to court because a few weeks prior EQT had sued the DEP over a different matter–that is, sour grapes. EQT appealed the fine and the case all the way to the PA Supreme Court. In December 2015, the high court handed EQT a “procedural victory” by saying EQT has a point about the manner in which the DEP is calculating the fine (see PA Supreme Court Gives EQT “Procedural Victory” in $4.5M Fine Case). The Supreme Court sent the case back to a lower court, PA Commonwealth Court, for follow up work, and in January 2017, a three-judge panel ruled that the method the DEP currently uses to assess fines–by how many days pollution lingers, instead of by how many days the initial release of pollution lasted–is not legal nor common sense (see EQT Wins Court Case Against PA DEP re $4.5M Wastewater Leak Fine). The judges said such a method in fining, “would result in potentially limitless continuing violations.” Under the old way of calculating fines, the DEP was considering upping the fine on EQT to an insane $157 million. Calculating it under the new way will mean a fine of around $120,000. Not long after that ruling, the Environmental Hearing Board, a special “court” set up to hear appeals of DEP decisions, decided to reduce the original $4.5 million fine down to $1.1 million (see PA Hearing Board Reduces EQT Fine from $4.5M to $1.1M). We thought that would be the end of it. But no! Both the DEP and EQT appealed the matter back up to the PA Supreme Court and yesterday the Supremes heard the case once again…
    Read More “PA Supreme Court Hears Arguments in EQT Wastewater Leak Case”

  • | | |

    How Low Will They Go? RINOs/Dems Decrease PA Sev Tax Bill to 1.5%

    We’re not sure when this happened, but the dreadful severance tax bill in the Pennsylvania House, House Bill (HB) 1401 went from being a 3.2% tax to now a 1.5% tax on Marcellus production. Even with the lower rate, as we pointed out in a post yesterday, liberal Democrats are already voicing disgust and laying blame in anticipation that the bill will not pass (see Ray of Hope in PA Severance Tax Debate: Lib Dems Attack M-U). We have yet more evidence along those lines. An editorial by John Baer, a lib Dem “columnist” for the Philadelphia Daily News says he smells something “fishy” about the current debate over HB 1401. Baer thinks the bill is going nowhere fast and is nothing more than a fundraiser, to get both sides of the debate charged up and flooding Harrisburg with big bucks to fund political campaigns…
    Read More “How Low Will They Go? RINOs/Dems Decrease PA Sev Tax Bill to 1.5%”

  • | | | | | | |

    Survey Indicates O&G Investing in WV More Attractive than PA or OH

    Each year (for the 11th year running) the Canadian-based Fraser Institute surveys petroleum industry executives and managers (333 of them for 2017) asking them their opinions on the barriers to investing in exploration and production in various geographies across the globe. That is, what makes them more likely or less likely to spend money drilling in a particular location? The Global Petroleum Survey (full copy below), tallies the survey responses and ranks each geography from most desirable place to invest, to least desirable. The rankings for this year are interesting and illustrative that politicians’ words and regulatory environment have a direct bearing on where, and how much, drilling companies are willing to spend. No money spent, no drilling. The barriers to spending in a given geography include: high tax rates, costly regulatory schemes, uncertainty over environmental regulations and the interpretation and administration of regulations governing the petroleum industry, and security threats. Only one state in the Marcellus/Utica ranked in the Top 10 “most attractive” jurisdictions for oil and gas investment–West Virginia…
    Read More “Survey Indicates O&G Investing in WV More Attractive than PA or OH”

  • | | | | | | |

    ME2 Construction Plan Near Philly Changed, Antis Still Not Happy

    Why are we not surprised that antis are NEVER happy. EVER. Sunoco Logistics Partners has, after experiencing problems using underground horizontal direction drilling (HDD) at a couple of locations near Philadelphia while building the Mariner East 2 NGL pipeline, decided to abandon HDD and instead switch to another method to get the pipeline installed. Even with the change in methodology, antis are still fussing and moaning. The only outcome that will make them “happy” is for Sunoco to abandon building the pipeline, which isn’t going to happen. Even if Sunoco did quit building ME2, we doubt the antis would really be happy. Have you ever noticed they’re perpetual sourpusses?…
    Read More “ME2 Construction Plan Near Philly Changed, Antis Still Not Happy”

  • | | | | | | |

    4-Wk FREE Training Program Helps Unemployed Get M-U Pipeline Jobs

    If you are unemployed–particularly if you once worked in the coal industry–and you’re interested in getting your foot in the door of a rewarding job in the Marcellus/Utica industry, LISTEN UP! For those who live in southwestern PA and eastern OH, the Washington Greene County Job Training Agency and the Gas Technology Institute have teamed up to provide a FREE 4-week training program just for you (details here). Called “From Black to Blue,” the program includes classroom and hands-on training so you will understand how the natural gas industry works, with an emphasis on natgas utilities and the pipeline industry. Starting salaries for pipeline-related jobs often exceed $50,000 per year, and eventually you may make in excess of $100,000 per year. These are awesome jobs, and this is an awesome opportunity to get trained for it. The first round of classes start Nov. 30 and Jan. 8 in Freeport, PA. Training in Ohio begins Jan. 15 in St. Clairsville. Below are the details, along with an application for the program. DO NOT DELAY, fill it out today and send it in…
    Read More “4-Wk FREE Training Program Helps Unemployed Get M-U Pipeline Jobs”

  • | | | | | |

    Monroeville Seismic Testing Ordinance Court Case Settled

    Monroeville, PA (Allegheny County, suburb of Pittsburgh) is hostile toward the shale industry. In September, Monroeville Council voted to enact a super-restrictive seismic testing ordinance (see Monroeville, PA Passes Restrictive Seismic Testing Ordinance). The ordinance is meant to hassle Huntley & Huntley (H&H), which wants to conduct seismic testing in two rural areas of the municipality. In October, the contractor hired to do the seismic work for H&H, Geokinetics, took Monroeville Council to court over their punitive seismic ordinance (see Monroeville Seismic Testing Ordinance Challenged in Court). In the complaint, Geokinetics said, “Monroeville’s intransigence is not motivated by any legitimate concerns for the health and safety of its citizens, but rather by its council’s concerns about November elections.” The elections have come and gone and the hostile-to-shale Monroeville Council has settled the court case with Geokinetics. And yes, seismic testing will now begin!…
    Read More “Monroeville Seismic Testing Ordinance Court Case Settled”

  • | | |

    Ray of Hope in PA Severance Tax Debate: Lib Dems Attack M-U

    MDN has closely followed the effort to pass a dreadful bill in Pennsylvania known as House Bill (HB) 1401, which would tack a 3.2% severance tax on top of the existing ~5% impact tax (called a “fee”) already levied on Marcellus drillers, thereby effectively killing any new Marcellus drilling in the state. Last week, just ahead of the Thanksgiving holiday, the House debated the bill for two days–then left town “abruptly” without taking any further action (see Update on PA Severance Tax Bill – More Progress, House Leaves Town). What happens now? Mainstream media is doing its best to put on a brave face that the bill is inevitable (see Final Push to Tax PA Drillers & Give Money to Philly Teachers). However, we’ve spotted more than one article in which the liberal Democrats who advocate for this bill are complaining about oil and gas “lobbying” being done in Harrisburg–blaming the big, bad Marcellus industry for continuing to block the bill. We take that as a very good sign–that the lib Dems are moaning and complaining. If they thought they had a prayer of a chance in passing 1401, they wouldn’t lash out in frustration as (for example) PA Rep. Vitali is now doing–lib Dem from the Philadelphia area. Nor would lib Dem newspapers like the Delaware County Daily Times run an “editorial” blaming Republicans playing politics for refusing to do what “everyone knows” should be done–pass a severance tax. These are a sure signs the lib Dems think they’ve lost and will not get the disastrous HB 1401 bill passed. Which makes us break out in a broad smile…
    Read More “Ray of Hope in PA Severance Tax Debate: Lib Dems Attack M-U”

  • | | |

    PA Awards 5 “Alternative Fuel” Projects $1.1M – All Fossil Fuels

    Yesterday Pennsylvania Gov. Tom Wolf (liberal Democrat) issued a press release to take credit for/crow about handing out another $1 million of taxpayer money. This time the money is part of the state’s Alternative Fuel Incentive Grants (AFIG) program–a program aimed at replacing gasoline and diesel fuel. At least replacing a little bit of it–a token gesture. The state issued grants totaling more than $1.1 million in their effort to replace fossil fuels as the fuel that powers vehicles. And what “alternative” will replace those nasty fossil fuels? What clean-burning, good-for-the-environment option did PA deign to fund for over $1 million? Was the money used to purchase new electric charging stations for Chevy Volts, Nissan Leafs, and Teslas? Nope. The superior option to replace those nasty fossil fuels is…other fossil fuels! The grants will buy buses that run on propane, and build compressed natural gas (CNG) refueling stations for vehicles that run on CNG. No electric outlets in sight. By using propane and CNG, Wolf says PA will replace “hundreds of thousands of gallons of fuel” (meaning gasoline and diesel), making PA’s air cleaner. We think it’s kind of funny that Wolf’s enviro left hates natural gas, yet Wolf calls it clean and green and hands out money to make it more widely available…
    Read More “PA Awards 5 “Alternative Fuel” Projects $1.1M – All Fossil Fuels”

  • | | |

    New Gas-Fired Power Plant Announced for Tioga County, PA

    Energy Solutions Consortium, based in Buffalo, NY, has been trying to build a number of gas-fired electric plant projects in West Virginia for years (see Big News: 3 More Marcellus-Powered Electric Plants Coming to WV and WV Builder Tells PSC Power Plant Can Burn Methane AND Ethane). However, the regulatory environment in WV creeps along, like molasses, and none of the projects are even under construction–yet. WV’s own Secretary of Commerce, Woody Thrasher, recently said WV is downright unfriendly to electric plant projects (see WV Sec Commerce Says State Unfriendly to Gas-Fired Power Plants). Meanwhile, Pennsylvania is building new Marcellus-fired electric plants left and right. Perhaps noticing the difference in regulatory climates, Energy Solutions has decided to try a project in PA–in Tioga County (about 2.5 hours from Buffalo). The $500 million project will be called Tioga County Power–a 680 megawatt plant capable of powering 430,000 homes, fed by yummy Marcellus Shale gas produced in PA…
    Read More “New Gas-Fired Power Plant Announced for Tioga County, PA”

  • | | | | |

    Tenaska Westmoreland Power Stn Construction Milestone: 1M Hours

    Artist’s rendering of what Tenaska Westmoreland will look like

    In August 2016, energy giant Tenaska (headquartered in Omaha, NE) broke ground to build a 925-megawatt natural gas-fueled power plant in Westmoreland County, PA (see Groundbreaking for Tenaska Marcellus-Fired Electric Plant in SWPA). The Tenaska Westmoreland Generating Station is costing $780 million to build. Some of that money, $22 million so far, is being spent to upgrade the local Municipal Authority of Westmoreland County water treatment plant (see Tenaska Spends $22M in Water Plant Upgrades Ahead of Elec Project). The plant is on track to be completed by late 2018 when it will go online, providing power for 925,000 homes. Some 600 workers are active on the project. Tenaska recently announced a major milestone in the construction of the plant: Those 600 workers have now logged 1 million hours of work in building the plant, and there’s still plenty of hours to go. That’s 600 workers being paid with private money–money that circulates and recirculates in the local and regional economy, into the pockets of other businesses, into the pockets of labor unions (via dues), and into the pockets of local municipalities (and the state) via tax revenue. Westmoreland County and PA owe Tenaska a huge “thank you” for building the Tenaska Westmoreland Generating Station…
    Read More “Tenaska Westmoreland Power Stn Construction Milestone: 1M Hours”

  • | | | | | | |

    Converted Oil Pipeline Near Philly Extends Open Season for NatGas

    Earlier this month we shared the exciting news that an old oil pipeline stretching from Northampton County, PA through Bucks, Montgomery, and Chester counties, terminating in Delaware County at Marcus Hook had been purchased by a subsidiary of New Jersey Resources will get converted to flow more Marcellus natural gas to the greater Philadelphia region (see Oil Pipeline Near Philly to be Converted to Flow Fracked NatGas). The project/pipeline has been named the Adelphia Gateway. On Nov. 2nd the project began an “open season”–a period of time when shippers can reserve capacity along the pipeline. Such contracts typically run for 10-20 years and guarantee the pipeline (which will invest millions) can recoup its investment and make a profit. The open season was scheduled to expire on Nov. 20th, but Adelphia has extended the open season to Dec. 8th. Adelphia says the extension was to allow for the Thanksgiving holiday. Typically such an extension means the project hasn’t secured enough business to be profitable. We don’t have a feel one way or the other for this project. Perhaps a number of people did take off for the Thanksgiving holiday and this will give Adelphia a chance to button up previously expressed interest. Signing on the dotted line means an office full of lawyers will need to review it first–and lawyers like their vacations…
    Read More “Converted Oil Pipeline Near Philly Extends Open Season for NatGas”

  • | | |

    Final Push to Tax PA Drillers & Give Money to Philly Teachers

    The tax-and-spend liberals in Pennsylvania and those who oppose fossil fuels (almost always one-and-the-same) are still pushing a dreadful, devastating severance tax bill proffered by RINOsaur (i.e. ancient RINO) State Rep. Gene DiGirolamo known as House Bill (HB) 1401. The bill, if passed into law, would tack a 3.2% severance tax on top of the existing ~5% impact tax (called a “fee”) already levied on Marcellus drillers, thereby effectively killing any new Marcellus drilling in the state (see PA Frankenstein House Bill Merges Severance Tax & Minimum Royalty). Last week, just ahead of the Thanksgiving holiday, the House debated the bill for two days–then left town “abruptly” without taking any further action (see Update on PA Severance Tax Bill – More Progress, House Leaves Town). What happens now? The House doesn’t return for voting work until next Monday, Dec. 4th. In the meantime, the bill’s lib supporters in mainstream media are trying to create the impression the bill will get adopted when the House returns from break…
    Read More “Final Push to Tax PA Drillers & Give Money to Philly Teachers”

  • | | |

    “Environmental Justice” Lunacy in Allegheny County, PA

    In Pennsylvania, the “Office of Environmental Justice” (sounds like a comic book thing) is nothing more than a way for po’ folk and minorities to sue the Marcellus industry over non-existent transgressions. In 2015, then-Secretary of the Dept. of Environmental Protection (DEP), John Quigley, “reactivated” the Office of Environmental Justice (see Environmental “Justice” for Some, Not for All, Courtesy PA DEP). If you live in a PA community where at least 20% of the people are below the poverty line, or if the community is composed of at least 30% minorities (defined as “non-whites”), the so-called Office of Environmental Justice will give you special treatment if you claim to have been harmed somehow by the Marcellus industry. Everyone else gets ordinary/regular environmental “justice”–no special treatment if you’re white or middle class. In Allegheny County local officials are miffed that the municipality of McCandless got labeled as an environmental justice community, but Etna didn’t. McCandless is too white and too rich, whereas Etna is not. We would find it all rather comical–if the Environmental Justice Leaguers didn’t have such a potent weapon to oppose the shale industry…
    Read More ““Environmental Justice” Lunacy in Allegheny County, PA”

  • | | |

    Update on PA Severance Tax Bill – More Progress, House Leaves Town

    We have a brief respite, but are still in a dangerous position. The Pennsylvania House continued to debate and vote on amendments to House Bill (HB) 1401 yesterday–the Frankenstein bill introduced by RINOsaur Gene DiGirolamo (“Republican” from the Philadelphia area) that would tack a 3.2% severance tax on top of the existing ~5% impact tax (called a “fee”) already levied on Marcellus drillers, thereby effectively killing any new Marcellus drilling in the state (see PA Frankenstein House Bill Merges Severance Tax & Minimum Royalty). Debate on the bill began Monday, making quick progress (see Disastrous PA Severance Tax Bill Debated in House, Makes Progress). More progress was made yesterday. Some amendments to the bill passed, some failed–and then the House “abruptly adjourned” late last night without voting on the full bill itself. They got outta Dodge. The House returns to Harrisburg for more voting on Dec. 4th, so we have nearly two weeks of a reprieve before the battle begins again. It is vital this bill NOT PASS–for the future of Marcellus drilling in PA. Below is a list of the amendments that have, so far, passed and not passed, and how they tweak and change the overall Marcellus-killing HB 1401 bill…
    Read More “Update on PA Severance Tax Bill – More Progress, House Leaves Town”

  • | | | | |

    DRBC Lawyer Nearly Faints 2nd Time When Questioned by Fed Judges

    This is getting pretty old, fast. Two weeks ago MDN told you about a lawsuit that finally got it’s day in court–a case brought by a Wayne County, PA landowner against the Delaware River Basin Commission (DRBC) over its ongoing, 10+ year ban on fracking in the Delaware River Basin (see DRBC Attorney Faints in Federal Court During Questioning). Under “heaving questioning” the attorney for the DRBC fainted in the court room, ending the session that day. Both sides were back in court yesterday to finish what began two weeks ago, and the judges once again turned up the heat on the DRBC attorney–and he almost fainted again, having to sit down (delaying proceedings for a time). Every time this lawyer gets tough questions that he doesn’t like, he pulls this fainting routine. Is it legitimate? Does he have a “condition?” Frankly, we don’t care. His “condition”–if that’s what it is–keeps blocking justice. If he’s not up to the job, remove him. Get someone who can handle the pressure. At least the session yesterday finished. Oral arguments are now done. MDN friend Tom Shepstone listened to a recording of the session and filed a fantastic report, recounting the back and forth–and how the DRBC’s defense collapsed (metaphorically) under the sharp eye of the judges doing the questioning. The DRBC and its shill leader Steve Tambini (a MAJOR disappointment since he was appointed in 2014) were exposed yesterday as the obstructionists they are…
    Read More “DRBC Lawyer Nearly Faints 2nd Time When Questioned by Fed Judges”

  • | | |

    Disastrous PA Severance Tax Bill Debated in House, Makes Progress

    Warning: Pennsylvania House Republicans are about to kill Marcellus drilling in PA by adopting a severance tax on top of the existing impact tax–creating the highest taxation of the oil and gas industry in the United States. Is PA ready to trade away an entire industry propping up its sorry finances–just to give money to Philly teacher’s unions? This is a TRAGEDY in the making. RINOsaur Gene DiGirolamo (“Republican” from the Philadelphia area) introduced a Frankenstein bill earlier this year called House Bill (HB) 1401 (see PA Frankenstein House Bill Merges Severance Tax & Minimum Royalty). The bill would tack a 3.2% severance tax on top of the existing ~5% impact tax (called a “fee”) already levied on Marcellus drillers. As soon as the bill made its way out of committee to the full House for consideration, over one hundred amendments were attached to it. Most of those amendments have been ruled “out of order” and removed from the bill, reviving the bill which is now under active consideration. A number of important amendments still remain and some of those were voted on yesterday. What you need to know front and center is that this bill is about a massive transference of wealth from those who produce wealth by working hard (drilling companies and landowners) to those who don’t (teacher’s unions). One of the amendments to HB 1401 passed yesterday reserves the first $150 million of the new severance tax solely for Big Education. The entire amount of revenue raised from a new severance tax, according to RINOsaur DiGirolamo, is expected to be $150 million. That is, ALL of the severance tax will go to Big Education, as payback. And you thought MDN was just spouting off, using hyperbole, ignorant or just plain mistaken all these years we’ve been screaming at the top of our lungs that the severance tax is nothing more than payback to Philly teachers for voting Tom Wolf into office. We (don’t) hate to say it: we were right. And now traitorous Republicans are making it possible for this to happen–for Wolf to get his way and corruptly funnel money back to the unions that elected him. Is any one else outraged at this? Are House Republicans asleep at the wheel???…
    Read More “Disastrous PA Severance Tax Bill Debated in House, Makes Progress”