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MDN Research: $58B in NE Infrastructure Projects, List of Top 5
October 14, 2014October 14, 2014

Marcellus Drilling News collaborates with the excellent ShaleNavigator service to publish a series of research reports called the Marcellus and Utica Shale Databook. MDN editor Jim Willis is very excited to announce that Volume 2 for the 2014 Databook series has just been released–and it is, without question, our best-ever. Among the pearls in this newest edition: Jim completely updated a comprehensive list of Marcellus/Utica Shale midstream and infrastructure projects (pipelines and processing plants) that first appeared in Vol. 2 of last year’s series. At that time, in 2013, projects either under construction or planned added up to a staggering $40 billion of investment coming to the northeast. This year? It’s even more mind-blowing. Infrastructure projects planned for the northeast now tally $58 billion–a 45% increase! Read on for the list of the top 5 big-money projects planned for the Marcellus/Utica…
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Crestwood Midstream | Energy Services | Industrywide Issues | Pennsylvania | Pipelines | Statewide PA

Crestwood Midstream Marcellus Volume Up 10%, New NEPA Pipeline
October 14, 2014October 14, 2014

Crestwood Midstream filed their latest quarterly operations update yesterday, for third quarter 2014. Crestwood has pipeline gathering/processing systems in three major U.S. shale gas plays: the Marcellus, the Niobrara and the Barnett. They also have an oil pipeline gathering system in the Bakken Shale. The Marcellus is the largest of their natgas gathering systems, and according to the update, flows for the Marcellus system were up another 10% in 3Q14. At one point, the system hit a new daily average high of 700 million cubic feet per day (Mmcf/d). With a couple of new compressor stations coming online, the system will have a capacity of 875 Mmcf/d…
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Industrywide Issues | Pennsylvania | Statewide PA | Taxation

Corbett Starting to Cave on Taxing Natgas? Sort of…
October 14, 2014October 14, 2014

In a fight for his political life, PA Gov. Tom Corbett is dipping his toe in waters he has, until now, not been willing to enter. In an interview with the anti-drilling PBS reporters at StateImpact Pennsylvania, Corbett talked about the possibility of a “transmission tax” on natural gas. He still doesn’t support a severance tax (thank God), but he is talking about a new tax on gas flowing through pipelines in the state. Dangerous talk, if you ask us. Corbett’s best shot at re-election is to NOT cave on the issue of unfairly taxing the drilling industry so grubby politicians in Harrisburg can redistribute the wealth, spending it on their own pet projects (pork barreling)…
Read More “Corbett Starting to Cave on Taxing Natgas? Sort of…”
Anti-Drilling/Fossil Fuel | Butler County | Energy Companies | Industrywide Issues | Litigation | Pennsylvania | Regulation | Rex Energy

Martian Chronicles: Delaware River Basin Shifts to Western PA?
October 14, 2014October 14, 2014

The Martians are getting an assist from THE Delaware Riverkeeper herself (Maya van Rossum). Get this: The Delaware Riverkeeper, along with another anti-drilling group called The Clean Air Council (both based near Philadelphia), have filed an appeal with Adams Township (Butler County), PA over the town’s decision to grant Rex Energy permits to drill gas wells 3/4 of a mile away from the Mars public school. In June, Adams Township supervisors voted 4-1 to allow drilling to commence, subject to getting permits from the Dept. of Environmental Protection (see Adams Twp, PA Votes to NOT Block Drilling “Near” Mars School). Just a month ago, Rex got the permits from the DEP to begin drilling (see Rex Gets Permits to Drill Near Martian School, Antis Apoplectic). Some Martian parents objected, and found a sympathetic wallet all the way across the state in Philadelphia with van Rossum. What does Butler County, on the western edge of PA have to do with van Rossum’s Delaware River Basin group, which is focused exclusively on the eastern edge of PA? NOTHING. Except for her personal hatred of fossil fuels and willingness to spend her own (and other people’s) money to fight shale drilling wherever it happens…
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Harrison County | Industrywide Issues | Pennsylvania | Pipelines | Supply Chain | Washington County | West Virginia

Painting a Different Picture of Pipeline Companies
October 14, 2014October 14, 2014

You might think, when reading the claims of some groups, that pipeline companies are callous and will run their pipeline any ole place they want, landowners be damned. “See that hayfield? Who cares! Run that steel right on through it!” That’s the (false) impression you get from some people. The reality is, of course, far different. Let’s hear it straight from the horse’s mouth–from the people who do the surveying to figure out the route a pipeline will take…
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Electrical Generation | Industrywide Issues | Luzerne County | Pennsylvania

Balancing Act for New Natgas-Fired Electric Plant in NEPA
October 14, 2014October 14, 2014

Something’s gotta give. The Obama EPA has declared war on coal energy. In case you didn’t know, something like half (or more) of the electricity you use in your house comes from electric generation plants powered by coal. Because of much stricter new regulations, many coal generating power plants will close in the coming few years. We either face rolling blackouts from lack of electricity–or something else steps up to the plate to produce that electricity. That something else is most likely natural gas. Either existing coal plants have to change out their technology to be fired by natgas, or new plants built. That’s going to inconvenience some folks. There aren’t enough “isolated” spots to build electric plants that are close to the population centers they serve. We (collectively, as a society) face a balancing act, as Moxie Energy is facing with a planned natgas-fired electric plant near Wilkes-Barre, PA…
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Accidents | Energy Companies | Industrywide Issues | Pennsylvania | Range Resources Corp | Regulation | Statewide PA | Tioga County (PA) | Washington County | Wastewater

Second Generation Wastewater Impoundments – Truly Safe?
October 13, 2014October 13, 2014

Little did we know it at the time, but former PA Dept. of Environmental Protection Chris Abruzzo’s last public interview was granted to MDN editor, Jim Willis, just three weeks ago before Abruzzo resigned (see PA DEP Sec. Abruzzo’s Last Public Interview…with MDN). Topic A that Jim asked Sec. Abruzzo was about the recent record fine of Range Resources ($4.15 million) for a series of leaky wastewater impoundments. Abruzzo stated during that interview, several times, that newer “next generation” impoudments have come along that are much safer. What are these “next generation” impoundments and are they really safer?…
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Coterra Energy (Cabot O&G) | Energy Companies | Industrywide Issues | Lease & Royalty Payments | Litigation | Pennsylvania | Statewide PA | Susquehanna County

Important Landowner/Driller Case Heads to PA Supreme Court
October 13, 2014October 13, 2014

A Pennsylvania landowner signed a lease with Cabot Oil & Gas in 2007. Part of the way through the lease, before Cabot initiated drilling, the landowner sued Cabot to dissolve the lease, citing certain reasons that they believe justified that action. The case went to court and the court eventually threw out the landowner’s case, meaning the lease is still in effect. Cabot then filed a counterclaim to have the lease term extended, something called an “equitable extension of lease terms.” In other words, once sued, the lease term should go on pause, and because they won, Cabot should then be able to un-pause the lease term and continue (which would otherwise have expired due to the long time it takes for court cases to play out). The court did not grant Cabot’s request and the case has now been appealed all the way to the PA Supreme Court. The decision will set an important precedent for both landowners and drillers…
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Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Litigation | Minuteman Environmental Services | Northumberland County | Pennsylvania

Minuteman Sues AG Kane’s Office for $20M + Punitive Damages
October 10, 2014October 10, 2014

What a sad story. In May 2013, Pennsylvania’s anti-drilling Attorney General, Kathleen Kane, had the offices of Minuteman Environmental Services in Milton (Northumberland County) raided using the FBI, IRS and the PA Dept. of Environmental Protection (DEP) agents, in addition to agents from the AG’s office (see Shale Environmental Services Company Raided by PA AG’s Office). After conducting a witch hunt of Minuteman for 13 months following that raid, Kane finally charged them (see PA’s Anti-Drilling AG Charges Minuteman with Enviro Crimes). During that 13 months and following, Kane’s office terrorized the family and drove the company–that employed over 100 people with $49 million in revenues–into bankruptcy (see Minuteman Enviro Says PA AG Office “Terrorized” Family Members, Filing Lawsuit). Minuteman’s owners threatened to sue the AG’s office and they followed through. We have an exclusive copy of the lawsuit…
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Cameron County | Elk County | Industrywide Issues | McKean County | Pennsylvania | Wildlife

Marcellus Drilling Helps Local Elk Population Flourish
October 10, 2014October 10, 2014

One of the potential problems raised by those who oppose shale drilling is how it impacts wildlife. They maintain when you carve up forests with clear spots for drill pads, and carve up pathways for pipelines, and have trucks traveling in and out around the clock, it damages the wildlife (see USGS Study: Marcellus Drilling Fragmenting Forests in PA. Who’s not for being kind to the wild critters around us? At MDN HQ we faithfully maintain our bird feeder in the front yard and go out of our way to avoid hitting squirrels (just so you know our enviro creds). It certainly sounds reasonable that “fragmenting” forests may impact wild species. So let’s have a look at a real example. How about the wild elk that roam around Elk, McKean and Cameron counties in northcentral Pennsylvania? In 2008, at the dawn of the shale revolution in PA when there were no wells, there were about 500 wild elk roaming those three counties. Today, with more than 100 wells drilled in those three counties, the elk population has almost doubled. Say what? Yep–drilling has helped the local wildlife in northcentral PA…
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CNG/LNG | Exporting | Industrywide Issues | Luzerne County | Pennsylvania | Statewide PA

MSC Pushes Back Against NEPA Newspaper Sham Editorial on Exports
October 9, 2014October 9, 2014

Three cheers for Marcellus Shale Coalition president David Spigelmyer for responding to a bone-headed editorial that recently appeared in the Wilkes-Barre, PA Times Leader castigating potential natural gas exports and denigrating the entire Marcellus Shale industry. The “reporters” of the Times Leader, in their sycophantic zeal and eagerness to obsequiously seek favor with their favorite candidate, Tom Wolf, ran an editorial titled, “Our Opinion: Exporting Pennsylvania’s natural gas to the globe defies good sense” in which they take pot shots at the men and women of the Marcellus along with mis-characterizing the issue of Marcellus gas exports. Mr. Spigelmyer had the ~~balls~~ intestinal fortitude to verbally slap them across the face and tell them to grow up…
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Bradford County | Electrical Generation | Energy Services | IMG Midstream | Industrywide Issues | Pennsylvania

Details on 3 Marcellus-Powered Electric Plants in Bradford County
October 9, 2014October 9, 2014

With 60 gigawatts of electric power generation going dark over the next few years due to Obama’s war on coal (enough electricity to power 45 million homes), something has to replace it. That something is almost always natural gas-fired electric generating plants. Some of those plants are sizable. But some are smaller. MDN previously reported that IMG Midstream wants to build a dozen tiny electric generating plants in across Pennsylvania–plants that will generate 4.4 megawatts of electricity. Seven of those plants are located in northeast PA (see 7 Small Marcellus-Powered Electric Plants Coming to NEPA). Three of those seven will be located in Bradford County, PA–one of the most heavily drilled counties in the state. Here’s a bit more detail about the three plants coming to Bradford County…
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Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Luzerne County | Northampton County | PennEast Pipeline | Pennsylvania | Pipelines | Statewide PA | UGI Energy Services

Update on PennEast Pipeline–Its Physical & Emotional Path
October 9, 2014October 9, 2014

The anti-drilling nutters at the Sierra Club (we call them Sierra Clubbers, you know, people who like to go “clubbing“?) have apparently polled a new phrase that they think is a winner. They’ve found when you say magic words, like “pipeline x will leave a nasty, ugly scar that’s irreversible” on Old Mother Nature, that gets low information people really fired up. So that’s the new phrase they toss around for projects like the recently announced PennEast Pipeline (see 3rd New NEPA Marcellus Pipeline Proposed, Connects to Trenton, NJ). PennEast will run from Wilkes-Barre, PA all the way to a spot near Trenton, NJ. Communities along the proposed route have been organizing meetings with the express purpose of castigating and ridiculing the proposed $1 billion project. “Not in my back yard!” they yell. The Sierra Clubbers helpfully sprinkle magic words like “scar the earth” which whips them up into even more of frenzy. So UGI and the four other partners in the project have abruptly stopped attending those meetings and will, instead, host their own meetings in an attempt to keep anti-drillers from trying to manipulate people’s emotions. Good for them…
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Chester County | Energy Services | Industrywide Issues | Litigation | Pennsylvania | Pipelines | Regulation | Sunoco Logistics

West Goshen’s Legal Shenanigans Try to Block Mariner East Pipeline
October 9, 2014October 9, 2014

Even though Sunoco Logistics’ Mariner East pipeline is already buried in the ground and has been for decades, some communities along the path of the pipeline don’t want Sunoco to repurpose the pipeline for use to flow natural gas liquids (NGLs) like ethane and propane. In order to repurpose the pipeline, Sunoco needs to build 18 pump stations and 17 valve control stations in 31 municipalities along its 299-mile route. Communities like West Goshen (Chester County, near Philadelphia) are fighting it because they don’t want such a station built in their township. Sunoco recently won a very important decision by the state Public Utility Commission (PUC) that said Mariner East always has been and still remains a “public utility” under PA law, which exempts them from local zoning ordinances (see Major Milestone: PA PUC Rules Mariner East IS a Public Utility). West Goshen isn’t happy with that so they’re appealing the decision in PA Commonwealth Court, asking the court to stop Sunoco from beginning construction before the appeal process plays out. West Goshen is holding the gun of the courts to the head of Sunoco and will intentionally try to play this out as long as they can (death by a thousand cuts)…
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Accidents | Energy Companies | EQT Corp | Industrywide Issues | Litigation | Pennsylvania | Regulation | Tioga County (PA) | Wastewater

PA DEP Levies Biggest Fine Ever, $4.5M Against EQT
October 8, 2014October 8, 2014

We’ve got some bad blood happening between EQT–a big Marcellus driller headquartered in Pittsburgh, PA–and the PA Dept. of Environmental Protection (DEP). The DEP has just filed a lawsuit against EQT to force the company to cough up a new record–$4.53 million in fines–for a leaky wastewater impoundment in Tioga County, PA. The fine comes a week after the anti-drilling PA Attorney General, Kathleen Kane, once again abused her office’s powers by filing criminal charges against EQT (see today’s companion story). The DEP says EQT filed for and received permission to build a freshwater impoundment at that location in 2012, but after the impoudment was built, they decided to change and use it for frack wastewater. Problem is, with a wastewater impoundment you need monitoring wells drilled around the impoundment and extra protections that were lacking because it was supposed to be used for freshwater only. EQT then built a second impoundment next to it for wastewater and did install monitoring wells, figuring those monitoring wells would cover both impoundments. The first impoundment leaked and, according to the DEP, EQT just doesn’t get how serious the problems were/are that resulted, and so they’ve slapped them with their biggest single fine ever. EQT is already fighting back both legally and with their own press release…
Read More “PA DEP Levies Biggest Fine Ever, $4.5M Against EQT”
Accidents | Energy Companies | EQT Corp | Industrywide Issues | Litigation | Pennsylvania | Regulation | Tioga County (PA) | Wastewater

PA Attorney Gen. Kane Abuses Office Again, Arrest Warrant for EQT
October 8, 2014October 8, 2014

Last year Pennsylvania’s anti-drilling Attorney General, Kathleen Kane, abused her office and filed criminal charges against XTO Energy over a spill of fracking wastewater at a site in Lycoming County, PA that happened more than three years ago–long before she took office (see PA AG Abuses Her Authority, Files Criminal Charges Against XTO). In a Britney Spears “Oops!…I Did It Again” moment, Kane has filed a second case of criminal charges against a driller over an accident. Last week Kane filed charges against EQT over a leaky wastewater impoundment in Tioga County, PA. Yesterday the PA Dept. of Environmental Protection fined EQT $4.53 million–it’s highest ever fine–over the same incident (see today’s lead story). Kane is claiming that EQT polluted and disturbed PA waterways and committed misdemeanor crimes in the process…
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