PA DEP Fines Regency/PVR $306K for Sloppy Pipeline Work in 2012/13
It’s old news, but is just now hitting the public domain. PVR Midstream, which is now part of Regency Energy Partners (see Marcellus/Utica Midstreamer PVR Bought by Regency Energy for $5.6B), did some sloppy installation work with pipelines in Lycoming and Tioga counties in Pennsylvania in 2012 & 2013. So says the PA Dept. of Environmental Protection (DEP). According to the DEP, PVR had multiple violations of the Clean Streams Law, Dam Safety and Encroachment Act and state regulations while building two pipelines. PVR, at the time of the citations, quickly corrected everything wrong. Regency, the new owner of PVR, had to pay the fine. Oh, the fine (paid in August by Regency) was $306,570. Ouch…
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A pair of bills recently passed both the Pennsylvania House and Senate now sit on Gov. Tom Corbett’s desk that are sure to delight landowners and (likely) frustrate drillers. The prime sponsor and author of both bills is PA Rep. Tina Pickett (Republican, Bradford/Sullivan/Susquehanna). House Bill (HB) 2278 will require drillers to file monthly production numbers with the Dept. of Environmental Protection. They currently file every six months. The second bill, HB 402, requires a driller to present a “recordable surrender document” to a landowner within 30 days of a lease cancellation/termination. With such a document, landowners know for sure, they have proof, that they can re-lease with someone else if they so choose…
The Chesapeake Energy fire sale continues–and this time it’s cut right into the bone and sinew of the company. The beneficiary of Chesapeake’s ongoing divestiture, this time, is Southwestern Energy. Southwestern has signed a deal to pick up 413,000 (!) Marcellus/Utica acres, most of it in West Virginia with some of it in Washington County, PA. Much of the land is in prime wet gas areas (see the map below). The deal includes 256 (!) operating and producing Marcellus and Utica Shale wells and another 179 (!) non-operated, non-producing wells–a total of 435 drilled wells. Southwestern is paying Chesapeake $5.375 BILLION for the deal–which will make Chesapeake’s real boss, corporate raider Carl Icahn, very happy…
A disturbing bit of news. Officials in Waynesburg, PA (county seat of Greene County, in the very southwestern tip of PA) say about 4,000 gallons of a “gray, milky substance” flowed through the local sewage treatment plant and that the plant’s flow meters spiked up when it happened. In other words, someone, somewhere dumped something down a manhole and that something got processed by the plant and ultimately discharged into Ten Mile Creek. The disturbing bit is that the plant’s operators, along with the PA Dept. of Environmental Protection (DEP), think the substance dumped may have been frack wastewater…