Columbia Gas of Pennsylvania, a division of NiSource, has filed a request with the Pennsylvania Public Utility Commission (PUC) to raise rates so it can recuperate costs spent in upgrading its natural gas delivery system for customers. Columbia Gas has spent $1.1 billion from 2007 to 2015. However, they’re only asking for a mere $55 million rate increase… Read More “Columbia Gas of PA Asks PUC for Permission to Raise Rates”
Details are just now coming to light of a new E&P (exploration and production, or drilling) company headquartered in Pittsburgh and focused totally on the Marcellus and Utica region. Until now the company has flown under our radar. The company is American Petroleum Partners (APP)–not to be confused with Aubrey McClendon’s American Energy Partners (AEP)–and is headed by Rice Energy alumnus Varun Mishra, who is the founder and CEO. The big news is that last September Mishra’s new company, founded in 2014, received a major injection of investment capital. Apollo Global Management invested $411 million in APP with the option to double it up to $800 million. MDN has it on very good authority that although APP quietly issued a press release about this last September (see it below), the company has intentionally kept the news quiet. Not any more! Big mouth MDN is blabbing it to the world. Below are the bits and pieces we’ve been able to put together about this newest Utica/Marcellus driller… Read More “New Marcellus/Utica Driller Quietly Launches w/$800M Investment”
Shale companies in Pennsylvania have been hammered hard. The prices they get for natural gas in PA are already among the lowest in the country (in the world!); they’ve cut back their budgets by 50-80% on average; they’ve laid off thousands of employees. In fact, things right now are fairly bleak in Marcellus-land. And yet….and yet these same companies continue to fund charities and non-profits at the same level they previously funded them when times were good. Which amazes and disappoints anti-drillers, both at the same time… Read More “Shale Companies Keep Giving to PA Charities, Even During Downturn”
Pennsylvania state officials estimate there are as many as 200,000 abandoned oil and gas wells in the state–the vast majority of them conventional wells drilled over 50 years ago. Most of them are not mapped or known. Some of them are hazards for shale drillers who stumble across them when drilling new wells. If you drill horizontally and clip an old/abandoned well, it becomes like an elevator pumping fluids and gas to the surface. Not good. Everyone is committed to finding and marking and capping these old wells–the question is, how do you pay for it? The shale industry says it’s not fair to put the economic burden solely on the shoulders of the Marcellus industry. The PA Environment Protection Agency (DEP) Abandoned and Orphan Well program attempts to find an owner of the well first, before committing public money to plug it. However, there’s a second way to get public money to plug an old well… Read More “Who Pays for Abandoned O&G Wells in PA?”
Just about nothing makes us more angry than when self-righteous “religious” leaders prance in front of cameras to denounce extracting and burning fossil fuels, like natural gas, as immoral or unethical. They are the height of hypocrisy–because they left them homes and churches heated with natural gas, wearing clothes made from fibers that come from petrochemicals (oil and natural gas), driving vehicles powered by fossil fuels, speaking into microphones with plastics in them and standing at a podium made from a material derived from petrochemicals–to denounce it all. Yet they use it every single day themselves. They claim to have God on their side. Repugnant. The Rev. Dr. Leah Schade (United in Christ Lutheran Church in Lewisburg, PA) and a group of 50 or so other hypocrites recently held an interfaith rally in Harrisburg to call on Gov. Tom Wolf to stop all drilling for gas and oil in the state–because it’s “immoral.” Too bad Rev. Shade lost her way and quit worshiping God and instead now worships nature. Her twisted philosophy is what happens when you quit worshiping the Creator and instead worship the creation… Read More “Radical Democrats Invoke God + Sham Science to Bash PA NatGas”
Invenergy is in the process of building a $500 million Marcellus gas-fired electric plant in Jessup (Lackawanna County), PA–near Scranton, PA in the northeastern part of the state (see PA DEP Approves Jessup, PA Marcellus Gas Electric Plant). When built, the 1,480 megawatt plant will be the largest natgas-fired electric plant in the state. In January Invenergy announced they want to build a second natgas-fired electric plant–in southwestern PA (see Invenergy Eyes SWPA for Second Marcellus-Powered Electric Plant). The second plant would be much smaller, at 550 megawatts, and would be built on a brownfield site near Pittsburgh. Even though the site where Invenergy wants to build is a former landfill where fly ash was dumped, making it unusable for just about any other purpose, a group of local residents would prefer to keep it a dump rather than convert it to a beneficial use like generating electricity… Read More “Invenergy Gets Pushback on Proposed Natgas Power Plant in SWPA”
In early 2013 Bear Lake Properties in Warren County, PA (near the New York border) opened a new injection well to accept Marcellus Shale wastewater (see NW PA Frack Wastewater Injection Well Begins Operation). The new injection well faced stiff opposition. Columbus Township, where the well is located, originally passed and later rescinded a ban on injection wells under threat of lawsuit (see Columbus Twp, PA Ban on Injection Wells Rescinded). A few local residents tried to pressure the federal EPA, the agency that permits and oversees all injection wells, into reconsidering their approval (see Local Residents Protest 2 Wastewater Injection Wells in NW PA). Finally, anti-drilling group Clean Water Action tried to get the EPA to reverse their decision (see Anti-Drillers Go After EPA on PA Injection Wells Approvals). In the end, it didn’t matter. The EPA reviewed and re-reviewed and said the location and construction for the well is safe. Since that time, a group of local citizens began and have continued testing every well, pond, creek, swamp and mud puddle anywhere close to the injection well, looking for evidence that the well is leaking. Guess what they’ve found? Nothing… Read More “Concerned Citizens Test Water Near NWPA Injection Well, No Leaks”
Pennsylvania natural gas production continues to impress, despite rigs being laid down in the later half of last year. Looking at all of 2015, the top two producing counties in the state likely won’t surprise you: #1 was Susquehanna County (where Cabot Oil & Gas drills). Susquehanna produced about 25% of all natural gas produced in the state last year! The #2 producing county was Bradford, also in northeast PA. But counties #3 and #4 in the list may surprise you: Washington and Greene counties, both in southwestern PA. In fact, an analysis done by the Pittsburgh Business Times finds that the 11-county southwestern PA region accounted for 86% of the state’s growth in production last year. That is an amazing statistic! Here’s more of their analysis of PA’s natgas production numbers for 2015… Read More “SWPA Created Bulk of PA’s NatGas Production Increase in 2015”
There is a renewed push in Harrisburg to pass a minimum royalty bill to protect landowners from getting the shaft by drillers deducting expenses from royalty checks. We’ve tracked this issue for the past few years–an issue that came to the forefront when Chesapeake Energy started to screw landowners in Bradford County (and other locations) out of royalty money (see Bradford County, PA Landowners Sue Chesapeake over Royalties). Bills were introduced in the PA legislature and went nowhere. Last year another new bill was introduced by State Rep. Garth Everett: House Bill (HB) 1391 (see New Bill HB 1391 Will Guarantee PA Landowners 12.5% Royalties). Organizations like the PA chapter of the National Association of Royalty Owners (NARO) fully supports the bill. However, drillers make the counterargument that duly signed contracts which allow for certain deductions should not be swept away with the stroke of a pen. As we’ve previously commented, the issue is one of those rare times when landowners and the industry are on different pages altogether (see Rare Schism Between Landowners & Drillers over PA Royalty Law). HB 1391 is once again being pushed–under discussion yesterday in the PA House… Read More “Landowners vs Drillers: PA Minimum Royalty Bill Gets a Hearing”
Last week MDN told you that members of the Jessup Borough Council (Lackawanna County, PA) approved several measures clearing the way for Invenergy to begin building Pennsylvania’s largest natural gas-powered electric generating plant (see Jessup Borough Final Approval for PA’s Largest NatGas Power Plant). We thought Invenergy had all of the necessary permits to begin moving earth and building the plant. But it seems there’s no end of government permits for such a project. The PA Dept. of Environmental Protection yesterday issued a National Pollution Discharge Elimination System (NPDES) permit to Invenergy so they can discharge treated wastewater used to cool the plant… Read More “PA DEP Issues Wastewater Permit for Invenergy Jessup Power Plant”
The slowdown in Marcellus drilling continues–and it continues to take a big bite out of local jobs and local economies. The latest victim comes in Clinton County. Baker Hughes has closed its pressure pumping facility in Lamar Township in Clinton County. That $40 million facility was only opened in 2012. The company, which has laid off thousands of people over the past year or so, says those who worked at the Clinton facility “may be eligible for redeployment.” Here’s the sad news… Read More “Baker Hughes Closes $40M Facility in Clinton County, PA”
Last week a brain dead, OJ-style jury awarded two families $4.25 million (one of the families already being millionaires) in the six year-old case claiming Cabot Oil & Gas contaminated water wells in Dimock, PA with their drilling activities (see Dimock Jury Levies $4.25M Judgement Against Cabot in Dimock Case). The jury rewarded the plantiffs for being unreasonable and refusing to allow their water to be fixed–because methane in water CAN be fixed. The plantiffs held out, hoping to shake down Cabot, and they got an obtuse jury to agree with them. The case is still generating shock waves with both supporters of shale energy, and irrational detractors of fossil energy. Below is reaction to the decision from the Pennsylvania chapter of the National Association of Royalty Owners (NARO), the litigious radicals at Food & Water Watch, and from Penn State’s Marcellus Center for Outreach and Research… Read More “Reaction to Dimock Court Decision Continues”
Guess what’s just happened? The fiscal year for Pennsylvania is in its last four months. Republicans held firm against an out-of-control-spending governor, Tom Wolf, with no increase in income taxes and no new Marcellus severance tax. And schools went on as they always do. Teachers taught, students learned. The educational Holocaust didn’t happen without hundreds of millions of dollars being transferred from Marcellus drillers to teachers unions. And everything is just fine. Illustrating that Wolf lied about the need for a new/high severance tax. But don’t worry, Democrats are consistent if anything. Wolf is absolutely insisting on a 6.5% severance tax this year, instead of the 5% severance tax he wanted last year. He’s doubling down on the tax, even though it was just proved it’s not needed… Read More “Education Doing Just Fine Without Marcellus Tax in PA”
Here’s what MDN notices about pipeline supporters and detractors. Not that long ago MDN editor Jim Willis attended a meeting in Afton, NY supporting the delayed Constitution Pipeline (see Cuomo Needs to “Snap on a Pair” and Approve the Constitution Pipe). Reports say there were over 300 people jammed into that meeting. Then we read about two anti-pipeline groups in Lebanon County, PA holding a meeting to oppose two different pipelines coming through their area–and they can barely scrape together 50 people. What does that tell you about opposition to pipelines? It’s nearly non-existent, except for a few loud mouths that are endlessly interviewed by mainstream media… Read More “Pipeline Opposition in Lebanon, PA Fading Away to Nothing”
John Quigley should be fired–immediately. He is the Secretary of the Pennsylvania Dept. of Environmental Protection (DEP). Quigley previously worked for the anti-drilling PennFuture organization, an organization that seems to still have a big influence over him. On Friday, March 4, in his role as DEP Secretary, Quigley did intentional, massive damage to the state’s ability to attract new investment to the Marcellus industry. Quigley used calculated, disparaging comments about the industry during a call with Deutsche Bank Markets Research, broadcast to big money investors. He actually intended to, and did, talk down the industry and its prospects in Pennsylvania–meaning many investors decided to write PA off their list of places where they might want to invest. By all accounts, Quigley wants to discourage more investment in his state’s Marcellus industry. Although not criminal, it is unforgivable and he needs to be removed from office–NOW… Read More “Time to Fire John Quigley Following Remarks to Marcellus Investors”