Pennsylvania

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    Chesapeake Tries to Wiggle Out of PA Royalty Lawsuit on Technicality

    In December 2015, Pennsylvania’s felony-indicted Attorney General, Kathleen Kane (now gone), brought a lawsuit against Chesapeake Energy, Anadarko and Williams accusing them of, among other things, royalty fraud (see PA Atty General Sues Chesapeake Energy, Williams for Royalty Fraud). In May 2016, MDN reported that Chesapeake and Anadarko had filed to dismiss Kane’s complaints against them, accusing Kane of attempting to litigate federal antitrust claims in state court (see Chesapeake, Anadarko Try to Wiggle Out of PA Royalty Lawsuit). In June 2016 Kane’s office fired back by filing a motion to keep the case in state, not federal, court. In August, U.S. Middle District Judge Christopher C. Conner granted Kane’s motion–the case stays in the state court system (see Lawsuit Against Chesapeake, Anadarko Heads Back to PA Court). We now have a new AG (thank God), but it’s the same case and once again Chesapeake and Anadarko are trying to get the lawsuit tossed–this time by saying the law that the AG claims was violated has to do with consumer protection–for people who buy things. Chessy & Anadarko argue landowners aren’t buying anything, they’re selling (minerals), so the law doesn’t protect them from predatory leasing practices. The Bradford County judge in charge of the case is considering their latest argument to wiggle out of the lawsuit, based on a technicality…
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    New Frack Wastewater Well on the Way in Allegheny County, PA

    The Federal Environmental Protection Agency (EPA), which is the agency in charge of approving oil and gas wastewater injection wells, will hold a hearing next Wednesday in Plum, PA (Allegheny County, near Pittsburgh) on whether or not to approve an application and plan from Penneco Environmental Solutions (division of Penneco Oil Co.) to convert a plugged gas well into a brine (wastewater) injection well. Typically when a hearing like this is held, it’s an indicator that the EPA will approve the project. However, just because the EPA approves it doesn’t mean it’s a done deal. After an EPA approval, the application then goes to the PA State Dept. of Environmental Protection where it goes through another round of reviews–and likely more public hearings. The stuff getting disposed of, which we generically call wastewater, is technically called brine, because of it’s salty/mineral-ly composition. Brine is naturally occurring water from the depths that comes out of oil and gas wells for years after they are drilled. Because of the high concentration of minerals in the water, it either must go through a rigorous recycling process, or get disposed of via an injection well. OH has more than a hundred such wells. WV has a few dozen. PA has less than a dozen, due to the geology needed. Every new injection well in PA is a big deal, including this one…
    Read More “New Frack Wastewater Well on the Way in Allegheny County, PA”

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    New Penn State Frack Wastewater “Study” Beats a Dead Horse

    Not long after Michael Krancer was appointed Secretary of the Pennsylvania Dept. of Environmental Protection in 2011, he “requested” (which was more order than request) that municipal sewage treatment plants still accepting and processing Marcellus drilling wastewater stop the practice. At the time there were 15 plants accepting Marcellus wastewater. Under pressure from Krancer, they ended the practice in May 2011 (see PA DEP, Marcellus Shale Coalition Admit Drilling Wastewater Likely Contaminating Drinking Water). His prescience was rewarded. A year later there were far lower bromide levels in PA rivers (see Marcellus Wastewater Ban Leads to Lower Bromide in PA Rivers). That’s how things should work: the state looks after its own environment. But that means less power for the power-mad bureaucrats in Washington, DC. Right on cue, before Obama was ejected from office next January 2017, his out-of-control EPA issued rules that do what Krancer did without a new law back in 2011. The EPA has issued a new regulation (i.e. unlegislated law) that declares no municipal sewage treatment plant in any state (not just PA) can accept and process shale wastewater (see EPA Bans Disposal of Frack Wastewater at Public Sewer Plants). Researchers at Penn State thought it would be fun to study this issue that no longer exists–disposing frack wastewater via municipal sewage treatment plants. They found evidence of “lasting environmental damage” in Conemaugh River Lake, claiming the damage came from Marcellus Shale wastewater treated at two centralized waste treatment (CWT) facilities years ago. Uh, OK. We already knew that. We already stopped it. But mainstream fake news is now treating this new “study” as some sort of revelation, implying one can never recycle frack wastewater again without grave consequences. More nonsense…
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    Research: Shale Dev in PA Leads to Spread of Invasive Plants

    While we wrote about a Penn State research study today that appears legitimate, but seven years too late (see New Penn State Frack Wastewater “Study” Beats a Dead Horse), there is another recently published Penn State study that is also legit that is not yet a huge issue, but certainly has potential to be a big deal. Penn State’s College of Agricultural Sciences has found that invasive, non-native plants are making significant inroads with shale gas development in Pennsylvania, with negative consequences for PA forests. How so? The invasive, non-native plants are hitching a ride on gravel and equipment used to create roadways in forested areas, and once those plants take root, they crowd out local, native plants. The study, titled “Unconventional gas development facilitates plant invasions” and published in the Journal of Environmental Management, concludes that more monitoring and early detection can help put a lid on the problem…
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    MSC: PA Impact Fee Far Superior to a Quick Fix Severance Tax

    Once again it’s necessary to counter the false narrative in Pennsylvania media that “Pennsylvania is the only state without a severance tax” and “a severance tax will magically fix our over budget mess.” Last week MDN brought you news that 12 so-called Republicans in the PA House were behind an effort to force a vote on a severance tax (see PA RINOs Pressure House Speaker to Allow Severance Tax Vote). The ring leader is Gene DiGirolamo, a RINOsaur (an old RINO, practically a fossil himself) from the Philly area. DiGirolamo has been agitating for a severance tax for more than five years. Responding to DiGirolamo and others braying for new severance tax, Marcellus Shale Coalition president Dave Spigelmyer sent a hard-hitting letter (fully copy below) on Tuesday to PA House Speaker Mike Turzai. Here’s just one fact from Dave’s letter, to set the record straight: “It is simply disingenuous for Rep. DiGirolamo and his colleagues to fail to acknowledge that Pennsylvania already has a tax on drillers – called the Impact Fee – which was enacted in 2012 and is levied on every unconventional natural gas producer in Pennsylvania. For context, Pennsylvania’s Impact Fee brought in more revenue in 2016 than the severance tax collections did in Ohio, West Virginia, Colorado and Arkansas combined.” Did you catch that? PA’s impact “tax” brought in more revenue that the severance taxes in four other major oil and gas producing states–combined. And yet the media, and RINOsaurs like DiGirolamo, persist in lying to the public and repeating, like a mantra, “We don’t have a severance tax, we don’t have a severance tax.” What they are really saying is that they don’t like how the tax revenue generated from the impact tax gets spent. DiGirolamo and his ilk would prefer to give the money away to teachers unions and other supporters–in political payoff–rather than have it go back to the communities where drilling happens, where there is an “impact” (hence the name). Here’s Dave’s hard-hitting, and very truthful, letter to Speaker Turzai, outlining the case against a new severance tax…
    Read More “MSC: PA Impact Fee Far Superior to a Quick Fix Severance Tax”

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    Antis’ Fake Outrage at ME2 Construction “Spills,” Demand Stop Work

    Anti fossil fuelers believe they have a new angle in their years-long war to prevent Sunoco Logistics Partners from building the Mariner East 2 twin pipelines across the state: drilling mud spills. When a pipeline company installs a new pipeline, the vast majority of pipe is laid in trenches. However, there are places (creeks, rivers, wetlands, roadways) where you can’t just dig a trench to lay the pipe. In those cases, you drill underground horizontally, something called horizontal directional drilling (HDD). When you drill through rock, you need drilling mud to cool the drill bit as it chews away. Drilling mud is typically bentonite, a non-toxic clay substance used to manufacture things like toothpaste, cosmetics and kitty litter. The only threat from bentonite is that it can smother aquatic life if enough is spilled. Or it can foul a water aquifer–making the water in your well cloudy for a period of time, until it settles. Such an instance recently happened in Chester County, when Sunoco’s drilling for ME2 fouled an aquifer, causing well water for some 15 homes to become temporarily unusable (see Sunoco Stops ME2 Drilling in Chester County Following Water Issue). Sunoco has agreed to run a nearby municipal water line to the affected homes. Sunoco is using HDD in a number of locations, to avoid disturbing surface structures. Along the way, a few gallons of benonite mud have gotten spilled here and there. Literally just a few gallons. But each time that happens, it must be reported. Big Green groups have gotten ahold of the reports and are now (via mouthpiece organizations like StateImpact Pennsylvania) proclaiming Sunoco has “already” experienced “61 drilling mud spills.” And based on that very misleading number (vast majority just a few gallons), those same Big Green organizations are demanding the Dept. of Environmental Protection’s Environmental Hearing Board close down construction, immediately. Stop all work on the pipeline–to give Big Green groups time to try and block the project permanently…
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    DRBC’s Anti-Fracking Chickens are Roosting – PA Slashes Funding

    For the past two years running, the Delaware River Basin Commission, a cooperative organization with five members–Pennsylvania, New York, New Jersey, Delaware and the U.S. Army Corps of Engineers–has received more than half a million dollars per year from PA as its dues to support the anti-drilling organization. The problem is, PA pays its full share, but states like NY and NJ consistently short-change the DRBC. PA Gov. Tom Wolf is a big DRBC fan. Wolf supports the DRBC’s ongoing ban of drilling in the Delaware River Basin–which unfairly denies landowners in Wayne and Pike counties (PA) from benefiting from Marcellus Shale drilling–Wolf’s own constituents. However, the DRBC’s gravy train from PA is now over. Gov. Wolf recently allowed the PA budget to pass, without his signature. Part of the budget bill whacks PA’s contribution to the DRBC to just $217,000 this year–less than half of what is has been getting. The effort to whack the DRBC came from PA representatives in northeastern PA, tired of the ongoing drilling ban. Looks like layoffs are coming to the DRBC. They don’t do a heck of a lot, so why not? Time to toss the bureaucrats out on their rear-ends…
    Read More “DRBC’s Anti-Fracking Chickens are Roosting – PA Slashes Funding”

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    Lancaster Nuns Sue FERC to Stop Atlantic Sunrise Pipeline

    A group of Catholic nuns who prefer to worship Mother Nature rather than Jesus Christ (the Person they pledged to serve) is suing the Federal Energy Regulatory Commission (FERC) for approving the $3 billion, 198-mile Atlantic Sunrise Pipeline project–because it will run through their cornfield. Perhaps the sisters consider themselves Sisters of the Corn? We previously told you about this small group of nuns–who use the same natural gas that will flow through Atlantic Sunrise Pipeline to heat their own property (see Catholic Nuns Use Radicals to Build Chapel in Path of PA Pipeline). The nuns, with the help of radical Big Green groups, plopped a couple of wooden park benches and portable flower trestle in the middle of the same corn field–clearing some of those precious stalks of corn–declaring the spot a “chapel.” What a joke. What if you want to temporarily clear some corn to dig a trench and bury a pipeline? No no no–now THAT crosses the line for the Sisters of the Corn…
    Read More “Lancaster Nuns Sue FERC to Stop Atlantic Sunrise Pipeline”

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    Thailand’s Banpu Investing Another $293M in Northeast PA Shale

    Banpu CEO Somrudee Chaimongkol (credit: Nikkei Asian Review)

    From May 2016 to May 2017, Banpu Pcl, Thailand’s largest coal producer, has invested in no less than four deals to grab ownership of Marcellus Shale wells and leases in northeast Pennsylvania (see Thai Company Banpu Invests in Another 34 Marcellus Wells in NEPA). So far Banpu’s total investment has been $207 million. The wells they own generate 46 thousand cubic feet (Mcf) of natural gas per day. It seems that Banpu can’t get enough of the Marcellus in northeast PA. In an article running in the Bangkok Post yesterday, Banpu CEO Somrudee Chaimongkol said her company will set aside $293 million to invest in more Marcellus wells from now until 2020, hoping to goose production to 78 Mcf/d (an increase of 70%)…
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    Bizarre Complaints to Water Authority re Shell’s Ethane Pipeline

    An article published in the anti-drilling Pittsburgh Post-Gazette is quite bizarre–even by Post-Gazette standards. The article reports concerns expressed by residents in Beaver County, PA at a recent meeting of the Ambridge Water Authority. The opener quotes one resident this way: “‘No one knows what’s going to happen when the explosions are set off,’ said Bob Schmetzer, 70, of South Heights, referring to the underground blasting required in the fracking process. ‘God forbid that the dam would breach and take out human lives down Raccoon Valley … that would be a national catastrophe.'” Uh, Mr. Schmetzer sir…and “reporter” Eliza Fawcett…there IS NO FRACKING involved with installing a pipeline. Perhaps they’re both a bit confused? Mr. Schmetzer’s confusion likely comes from working with a local anti-fracking group, the Beaver County Marcellus Shale Awareness Committee. The meeting appeared to have gone downhill from there, with wild claims that “volatile compounds” from the Shell cracker plant will “settle” in the Ambridge Reservoir, endangering everyone who drinks water from it. And that the area will become “Cancer Valley”…
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    New Marcellus-Fired Electric Plant Coming in Clinton County, PA

    Click for larger version

    It seems like Marcellus gas-fired electric generating plants are popping up faster than early summer dandelions around Pennsylvania. However, appearances can be deceiving. Decisions and plans to build these vitally important energy infrastructure projects aren’t made at the drop of a hat. They take years. For example, we spotted an article about the groundbreaking for a new natgas electric plant in Clinton County, PA that will take place next year, in 2018. The $800 million Renovo Energy project (in Renovo, PA) is a 950 megawatt dual fuel (natural gas and ultra-low sulfur diesel (ULSD)) combined cycle electric generating plant proposed for the Renovo Industrial Park. Clinton County is located in central PA, surrounded by prolific Marcellus-producing counties including Lycoming, Centre and Tioga. This recent article is the first we had heard of the plant. However, the plant was first announced in April 2015. The official application for the project was filed with the PA Dept. of Environmental Protection (along with an application fee of $29,700) in August 2015. Here is the information we could locate on this power plant, including the full application (with site plan), and a reference that plant will get its gas from the Dominion Transmission interstate pipeline…
    Read More “New Marcellus-Fired Electric Plant Coming in Clinton County, PA”

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    PennFuture Tries to Bully Allegheny County re Lease Revenue

    The true colors of PennFuture, a radical anti-drilling group, are now revealed for all to see. In June, MDN warned you that Big Green groups like PennFuture are attempting to “weaponize” a recent PA Supreme Court ruling (see PA Anti Strategy: Weaponize Recent Court Ruling Against Shale Dev). The Supremes, in a sharply divided decision, sided with a virulent anti-drilling group, the Pennsylvania Environmental Defense Foundation, against the state, saying that any revenue generated from leasing and drilling on *state-owned land* must be used solely for conservation and the environment (see PA Supreme Court Hands Antis Partial Victory re State Land Drilling). The decision is based on the Oil and Gas Lease Fund Act, which states any revenue from oil and gas leases (and signing bonuses) generated for the Commonwealth (that is, for the state of Pennsylvania) “shall be placed in a special fund to be known as the ‘Oil and Gas Lease Fund’ which fund shall be exclusively used for conservation, recreation, dams, or flood control or to match any Federal grants which may be made for any of the aforementioned purposes” (see Radical Enviros Now the Tail Wagging the PA DCNR Dog re Funding). Radical groups have wasted no time. PennFuture is now bullying Allegheny County (Pittsburgh area) by saying any revenue raised by leasing county land for drilling, like parks and airports, must be spent on Big Green causes groups like PennFuture approves of, and not anything else. Which is ludicrous. However, they are citing the recent Supreme Court decision and using it as a bludgeon to force a change in the way lease revenues are spent. In other words, those revenues are now a poison pill. If municipalities like counties and local towns can’t spend lease money the way they want, it removes the incentive to lease those properties in the first place…
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    Sunoco Stops ME2 Drilling in Chester County Following Water Issue

    The on-again, off-again, on-again construction of the Mariner East 2 pipeline in Chester County, PA (near Philly)…is now off again. At least in West Whiteland Township. Sunoco Logistics Partners was using horizontal directional drilling (HDD) to install pipeline through an area where digging a trench would not work. The HDD work hit a water aquifer that feeds private water wells for homes in the area. Drilling mud used during the work leaked into the aquifer and resulted in cloudy water for some 15 households. MDN previously reported that Sunoco quickly addressed the issue and committed to paying for a municipal water line in the area (see Sunoco Extending Public Water to Homes Affected by ME2 Drilling). Last week Sunoco had resumed work in the area. But work is once again stopped, and will remain stopped “until further notice” according to local officials–until “the water situation is addressed.” We thought it had been addressed, but apparently not. Here’s the latest…
    Read More “Sunoco Stops ME2 Drilling in Chester County Following Water Issue”

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    H&H: Seismic Testing Coming to Monroeville, Not to Oakmont

    In June MDN brought you news about a move by the Borough of Oakmont (suburb close to Pittsburgh, northeast side of the city) to regulate seismic testing in the Borough, essentially to prevent it from happening by Huntley & Huntley (see Pittsburgh Suburb Moves to Regulate Seismic Testing by H&H). Not long after that story ran, MDN was contacted by H&H CEO Keith Mangini to set the record straight. H&H never intended to do any seismic testing in Oakmont. According to Mangini, Oakmont “is just too congested and one could not possibly have ever designed a seismic program as such.” H&H’s land agents were making the rounds, and Oakmont was on the list (for full transparency). But the company never had plans to test there. So we found it curious to run across an article in the Pittsburgh Post-Gazette stating that Oakmont has adopted seismic testing restrictions, and because of it, H&H has now “dropped its plans” for testing in Oakmont. The Post-Gazette gets it wrong again. There never were plans to test there! However, H&H is beginning to run seismic tests in the nearby town of Monroeville…
    Read More “H&H: Seismic Testing Coming to Monroeville, Not to Oakmont”

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    Latest Amount Shell Paid for Ethane Pipeline Easements Goes Down

    Bit by bit, piece by piece, Shell is getting landowners in Beaver County, PA to sign easements for its 94-mile Falcon Ethane Pipeline–a pipeline with two “legs” that will feed Shell’s mighty ethane cracker plant. MDN exclusively broke the news in February 2016 that Shell had begun to sign leases with landowners for the pipeline (see Exclusive: Shell Leasing Land for 2 Pipelines to PA Cracker Plant). More easements signed in January, and again in May. However, it was not until last month, June, that we learned what money Shell is paying out for those easements. The numbers for leasing 3,138 feet of space for the pipeline in Greene Township worked out to be roughly $75 per foot (see New Easement for Shell Ethane Cracker Pipeline Reveals Price Paid). Which is far higher than any other rate we’ve seen for pipeline easements–ever. We now have another recorded easement from Shell for the ethane pipeline in Beaver County. This one is a bit more modest: $43 per foot. That’s still a lot more than the typical pipeline easement, but quite a bit less than the previous deal. Bear in mind this is only the second time we’ve spotted actual numbers, so we have no way of knowing what the average price is that Shell has been paying…
    Read More “Latest Amount Shell Paid for Ethane Pipeline Easements Goes Down”

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    Dela. Riverkeeper Changes Strategy, Targets Small Pipe Project

    A change-up in tactics for Maya van Rossum, THE Delaware Riverkeeper. Until now, Riverkeeper has mostly concentrated it’s efforts on big, federally regulated interstate pipeline projects, like the PennEast Pipeline (see THE Delaware Riverkeeper Plans to Pack DRBC Hearing to Oppose PennEast). However, new marching orders have been delivered from Riverkeeper’s overlords at the William Penn Foundation. Time to go after the small potatoes too. So Riverkeeper (which is funded by William Penn) obeys, and has filed a petition against building a small, 14-mile pipeline near Philadelphia that will feed a proposed Birdsboro Power project, slated for construction in 2018. Birdsboro Power is a proposed 488-megawatt natural gas-fired electric plant in Birdsboro (Berks County), to be built by EmberClear with major backing by two Japanese companies (see Japanese Now Own 2/3 of Marcellus-Powered Electric Plant in SEPA). DTE Midstream plans to build a 14-mile pipeline from the nearby Texas Eastern Transmission Company (Tetco) pipeline to feed the plant. Riverkeeper has filed a complaint about the DTE pipeline with the Federal Energy Regulatory Commission (FERC), trying to slow or cancel the pipeline project–which would prevent the Birdsboro plant from getting built. Riverkeeper’s aim is to stop the use of fossil fuels, and do so using the excuse of “pipelines harm the environment.” The change in strategy for Riverkeeper is in moving from big pipeline projects to smaller pipeline projects…
    Read More “Dela. Riverkeeper Changes Strategy, Targets Small Pipe Project”