Pennsylvania

Industrywide Issues | Pennsylvania | Regulation | Statewide PA

PA Drilling Regs in Process Since 2012 Delayed by PA Gov Wolf
February 11, 2015February 11, 2015

The 2012 Act 13 law did a great deal to update oil and gas drilling regulations, something Gov. Ed Rendell failed to do when he was in office. But it didn’t do the whole job. Part of the law left it up to the five-member Oil and Gas Technical Advisory Board, part of the PA Dept. of Environmental Protection, to codify all sorts of new regulations to make drilling better and safer. Remember, this started in 2012 (which tells you how slowly government moves). The original proposal had 23 pages of changes and new rules, which later blossomed to 73 pages (see 1984 PA Oil & Gas Act Rewrite Delayed but Still Coming). In 2013, the DEP took the draft regulations on “road show” seeking public comment, which they extended into early 2014 (see PA DEP Extends Roadshow for Public Comment on New Drilling Rules). The last we heard, the new regs were supposed to be released in very early 2015 (see DEP Sec. Abruzzo Says Budget Bill Means Delay in New Drilling Regs). Scratch that now. A draft of the final final final final rules was supposed to be discussed on Jan. 22, two days after the coronation of Gov. Tom Wolf, but that was canceled to give Wolf and presumably John Quigley, Wolf’s nominee to head the DEP, time to rewrite them yet again…
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Crawford County | Energy Services | Industrywide Issues | Jobs | Pennsylvania | Supply Chain | Universal Well

Universal Well Services Closes PA Facility, Lays Off Some Workers
February 11, 2015February 11, 2015

It wasn’t so long ago that MDN told you about the “feel good” story of Universal Well Services, a Meadville (Crawford County), PA company specializing in pressure-pumping wells, cementing well pads and other well services (see Marcellus Supply Chain Success Story: Universal Well Services). Universal is a subsidiary of Patterson-UGI Energy, Inc.–a large oilfield services company. The company had grown from 200 to more than 1,000 employees in 10 years. But that was before the price of oil and gas went into the basement. Now they’re laying off employees…
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Industrywide Issues | Pennsylvania | Regulation | Statewide PA

PA Senators Have Some Tough Questions for DEP Nominee John Quigley
February 10, 2015February 10, 2015

As the time approaches for hearings on newly-elected Pennsylvania Gov. Tom Wolf’s choices to head up key agencies, like John Quigley nominated to heard the Dept. of Environmental Protection, some senators will have some pointed questions for him. MDN has covered some of Mr. Quigley’s controversial positions–things he’s written on his blog and the time he has spent at the anti-drilling PennFuture (see In His Own Words: Quigley’s Positions on Fracking, NY Ban, Etc.). He’s a true believer in global warming and thinks the heavy hand of government should do more to stop it. He’s also on record as saying in PA “in large measure, we have not gotten it right in the past”–referring to Marcellus Shale drilling (see Quigley Says Opportunity to Get Marcellus Drilling “Right” in PA). It’s statements like that that are giving some senators, according to Senate President Pro Tempore Joe Scarnati, “indigestion”…
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Columbiana County | Energy Companies | Hilcorp Energy | Lawrence County | Mahoning County | Mercer County | Ohio | Pennsylvania | Trumbull County | Utica Shale

Full Speed Ahead for Hilcorp in the Northern Utica in 2015
February 10, 2015February 10, 2015

In 2014 Hilcorp spent some $400 million on drilling in the *northern* Utica Shale play–an area that virtually everyone else has abandoned for the more alluring wet gas to be found in the southeaster portion of the play. According to Hilcorp, they are enjoying success in the northern Utica and that’s where they will continue to focus their efforts…
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Anti-Drilling/Fossil Fuel | Berks County | Industrywide Issues | Pennsylvania | Processing Plants

Canadian EmberClear Aborts Plan to Build $1B GTL Plant Near Philly
February 10, 2015February 10, 2015

Nearly a year ago MDN told you about another plan to build a gas-to-liquids (GTL) plant in Berks County, near Philadelphia (see Another New Gas-to-Liquids Plant Coming in PA – Near Philly). GTL plants convert natural gas into other products, like diesel fuel. Canadian company EmberClear planned to sink $1 billion into the project, but almost immediately the wacko anti-drillers came crawling out of the woodwork (see 0.0024 of Berks County Population Opposes New $1B GTL Plant). Even though fairly small in number, they are mouthy and they are dedicated. So much so that EmberClear has just announced they’re giving up on the project, partially (mostly?) because of the wackos who oppose it…
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Anti-Drilling/Fossil Fuel | Crime | Industrywide Issues | Pennsylvania | Statewide PA

Anti-Drillers Don’t Like Being Considered Suspects in Crimes
February 9, 2015February 9, 2015

Some children are never taught the life lesson that actions have consequences–and that you have to take responsibility for your actions. Some of those children grow into adulthood never learning that lesson. If you belong to groups that engage in “peaceful” blockades of fracking facilities or drill sites or pipeline sites, while shouting and screaming like you’re possessed, you might end up on a “watch list” by law enforcement. Why? Because some who act the very same way you’re acting tilt over into acts of lawlessness–sabotage and breaking things. It’s only prudent to keep an eye on groups of people who might be prone to such actions. But if you’re a spoiled child who grew up to be a spoiled adult, you take offense at being held to account for your actions because, well because YOUR actions shouldn’t have consequences. Your actions never had consequences when you were growing up–why should they now? We’re speaking about those who don’t like the fact that law enforcement–and yes, the drilling industry–keeps an eye on people who may be prone to breaking the law…
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Anti-Drilling/Fossil Fuel | Crime | Energy Services | Industrywide Issues | Lancaster County | Pennsylvania | Pipelines | Transco | Williams

Convicted Lancaster Protesters Taunt Williams After Court Date
February 9, 2015February 9, 2015

It’s kind of funny how eight anti-drillers can conflate themselves to seem as if they represent untold thousands. They get themselves arrested for a lawless act and they’re actually proud of it–like they’ve accomplished something with their lives. We’ve been following the somewhat bizarre story of the “Conestoga 8” in Lancaster County, PA who are trying to stop the Williams Atlantic Sunrise Pipeline project. One of the eight is supposedly a Native American (i.e. Indian) who goes by the name of Chief Carlos Whitewolf (see Indians on the War Path Against Pipeline in Lancaster County, PA and Indians on the Anti-Pipeline War Path – Part 2). Except his last name isn’t really Whitewolf–it’s Rivera. Huh. A “Native American” with a very Hispanic first and last name. That’s a new one. Anywho, Chief Whitewolf-Rivera is protesting on behalf of the Conestoga people–who have been extinct for generations. He’s asking the United Nations to step in and stop the pipeline, on behalf of the long-dead Conestogas (see Lancaster, PA Antis Request United Nations Interfere in Pipeline). Chief Whitewolf-Rivera and the other small band of ne’er do wells had their day in court, and then they went on a field trip to the local Williams office straight from court to see if they could get arrested again…
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Pennsylvania | Statewide PA

Shale Gas News Radio – Feb 7, 2015 [Audio]
February 9, 2015February 9, 2015

Every Saturday the one-hour Shale Gas News show airs on Scranton, PA’s 94.3 FM “The Talker” radio station. The show is co-hosted by Kevin Lynn of Linde Corporation and Bill desRosiers from Cabot Oil & Gas. MDN brings you the latest program show notes and recordings for Shale Gas News each week (well worth your time to listen). Here’s the latest program, recorded on Saturday, Feb 7…
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Industrywide Issues | Pennsylvania | Statewide PA | Taxation

Philly State Senators Want to Slap Marcellus Industry with 9.9% Tax
February 6, 2015February 6, 2015

We seriously wonder if some of the legislators that serve in the Pennsylvania State Legislature are on drugs. Seriously. What else can explain comments like those from Pennsylvania State Senator Vincent Hughes (Democrat from Philadelphia) in saying the Marcellus Shale industry currently pays no taxes, that the drilling industry is making PA children “suffer,” and he thinks the industry should be hit with a new 8% severance tax PLUS another 1.9% impact fee. It’s absolutely mind-blowing–like psychedelic mind blowing. Does Hughes live in an alternate universe? Oh that’s right, he’s in the back pocket of teacher$’ union$ and is $imply their tool…
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Accidents | Energy Companies | Industrywide Issues | Pennsylvania | Range Resources Corp | Washington County

More on that Range Rig Fire in Washington County, PA
February 6, 2015February 6, 2015

Range Resources dodged a bullet with the fire at a well pad in North Strabane (Washington County, PA) on Wednesday. We now know that a hydraulic line leaked oil and that’s what started the fire. Personnel on site tried to extinguish it but enough oil spread on the rubber well pad liner that the liner itself caught fire–essentially like a huge tire burning. Which is what caused the billowing black smoke in the area. The fire spread and consumed the rig, destroying it, and a couple of trailers parked at the site. Range was in the beginning stages of drilling the well. The bullet they dodged is that no one was injured. Equipment can be replaced–people can’t…
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Economic Impact | Energy Services | Industrywide Issues | Jobs | Pennsylvania | Pipelines | Research | Statewide PA | Sunoco Logistics

New Study: Mariner East 1 & 2 Pipelines Mean $4.2B Windfall in PA
February 6, 2015February 6, 2015

Sunoco Logistics has an important new tool in its fight to build the Mariner East 1 and Mariner East 2 pipeline projects in Pennsylvania. Mariner East 1 is already partially up and running but needs the final leg completed that will connect it to the Marcus Hook refinery near Philadelphia (see Range Cuts 2015 Drilling Budget 33%; Mariner East Up & Running!). Mariner East 2 is still on the drawing board. It will be a new 350-mile pipeline, most of it laid next to Mariner East 1 (see Sunoco Logistics Will Build $2.5B Mariner East 2 Pipeline). The new tool? Sunoco hired Econsult Solutions Inc. to do a proper, independent, rigorous and accurate study of the potential economic impact from the two projects on the PA economy. The study, titled “The Economic Impact of Sunoco Logistics’ Mariner East Projects in Pennsylvania” (full copy embedded below), says the two projects will add $4.2 billion to Pennsylvania’s economy, support more than 30,000 jobs during the construction period, and create 300-400 permanent jobs…
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Accidents | Energy Companies | Industrywide Issues | Pennsylvania | Range Resources Corp | Washington County

Fire at Range Resources Well Pad in Washington County, PA
February 5, 2015February 5, 2015

Photo Credit: NewsChopper 2/KDKA

A “large fire” broke out at a Range Resources well pad in Washington County, PA last night. Fortunately no one was injured. The fire was caused by “equipment failure” according to Range. The fire did not at any time involve the well itself. It was a fire in the machinery on the well pad. The details as we know them…
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Industrywide Issues | Pennsylvania | Statewide PA | Taxation

PA High Tax Game Plan: Keep Impact Fee, Add Severance Tax To It!
February 5, 2015February 5, 2015

Here’s how tax-devouring Democrats and RINOs in Pennsylvania plan to pass a Marcellus-killing severance tax: Step 1: Keep the impact fee (which is really a tax) in place, which amounts to the revenue that a 2% 3.2% severance tax would raise. Never mind the state’s corporate income tax more than makes up the other 3% of a proposed 5% severance tax. The media, and politicians, intentionally ignore that inconvenient truth. [UPDATE: MDN has it from a highly-placed and trustworthy source that impact fees now being paid by drillers are actually closer to a 3.2% severance tax, not 2% as we previously noted.] Step 2: Introduce a severance tax bill of 3.2% severance tax bill, offered as a “compromise” that lets local communities keep their 60% of the impact fee, but steals money from landowners and drillers (the other 3.2%) to give to teachers’ unions, feeding the beast to keep it at bay (and to pay back a campaign debt). Step 3: After a year or two, when it’s apparent that Harrisburg’s continuing out-of-control spending hasn’t been reigned in and drilling slows down so there’s less tax revenue coming in, just goose the 3.2% tax all the way up to 5% or higher. That’s the plan of Reps. Gene DiGirolamo, R-Bensalem; Tom Murt, R-Hatboro; Harry Readshaw, D-Pittsburgh; and Pam DeLissio, D-Philadelphia as they introduce their “fair and reasonable” 3.2% severance tax bill…
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Dauphin County | Dominion Energy | Economic Impact | Energy Services | Industrywide Issues | Jobs | Pennsylvania | Pipelines | Statewide PA | Supply Chain

Dominion Selects PA Company to Manufacture 540 Miles of Pipe
February 5, 2015February 5, 2015

Keepin’ it in the family. Love it. Dominion plans to build the Atlantic Coast Pipeline–a 550-mile, $5 billion natural gas pipeline that will flow, cheap, abundant, clean-burning Marcellus Shale gas from West Virginia into Virginia and North Carolina (see Dominion Commits to Major New Marcellus/Utica Pipeline Project). Provided the Federal Energy Regulatory Commission (FERC) approves it, construction will begin in 2016. Yesterday, Dominion announced that a Pennsylvania company near Harrisburg–Dura-Bond–has been selected to manufacture 540 of the 550 miles of the pipe needed for the project. It is, according to Dura-Bond, the largest order in the company’s history. The announcement doesn’t disclose the terms of the deal, but we do know it will generate 150 new jobs at Dura-Bond and inject a huge amount of money into the Harrisburg-area economy starting later this year. American/Pennsylvanian jobs, American/Pennsylvanian company. All in the heart of the Marcellus…
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Anti-Drilling/Fossil Fuel | Cumberland County | Energy Services | Industrywide Issues | Pennsylvania | Pipelines | Sunoco Logistics

Anti Groups “Outraged” at Mariner East 2 Open House Invite
February 5, 2015February 5, 2015

Once again the Philadelphia-based anti-drilling group Clean Air Council (CAC), along with THE Delaware Riverkeeper (Maya van Rossum) have their collective knickers in a twist. The two groups are “outraged” that Sunoco Logistics, in sending around invitations to an open house on the Mariner East 2 pipeline, didn’t send one to them. Not only that, but the invites that were sent out–to landowners and elected officials–said the invite is “not transferable” to anyone else. We could hear the howls and screams from Philly all the way up here in upstate NY!…
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Anti-Drilling/Fossil Fuel | Energy Companies | Industrywide Issues | Pennsylvania | Range Resources Corp | Washington County

PennFuture Does Happy Dance for Stopping Range Wells in SWPA
February 4, 2015February 4, 2015

The anti-drilling organization PennFuture–once the employer of newly nominated Secretary of the PA Dept. of Environmental Protection, John Quigley, and the organization whose president was, until recently, Cindy Dunn, now nominated as Secretary of the PA Dept. of Conservation and Natural Resources–is once again celebrating that shale drilling won’t happen. PennFuture has just pushed out a press release to claim credit for stopping Range Resources from drilling at a site in Washington County because the well pad would be a mile away from a school. They’re such heroes, such champs of the environment. What a positive organization serving the great good in PA (not!)…
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