Pennsylvania

Industrywide Issues | Litigation | Pennsylvania | Regulation | Statewide PA

New Twist in PA Act 13 Case: Motion to Re-Hear Oral Arguments
August 8, 2013August 8, 2013

A new twist in the ongoing court battle over Pennsylvania’s still relatively new Act 13 Marcellus Shale drilling law. A court case has been before the PA Supreme Court since last year challenging provisions in the new law to replace local zoning of oil and gas drilling with a uniform, statewide standard. As MDN told you a few weeks ago, it appears the newly sworn-in seventh justice on the PA Supreme Court will not participate in the decision, leaving a split 3-3 decision a likely outcome (see PA Problem: Act 13 Zoning Case to be Decided by 6 Supremes, Not 7). Split decisions are not good for anyone, and a split decision in this case would leave the lower court rulings stand, gutting part of the Act 13 law.

The new twist: On Tuesday, the PA state Public Utility Commission (PUC) and the Dept. of Environmental Protection (DEP) filed a joint request that the entire seven-member court re-hear oral arguments in the case so the entire court can make a decision and finally lay this thing to rest, one way or the other. The towns that brought the lawsuit in the first place are objecting because they think they have a better chance at winning with a six-justice panel–a split decision means they win. Are the towns trying to cheat justice?…
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Anti-Drilling/Fossil Fuel | Guest Post | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

What if PA Dems Win the Next Election and Ban Drilling Statewide?
August 8, 2013August 8, 2013

MDN reader, friend and contributor Chris Acker provides the insightful commentary below in response to (and building on) our article of a few days ago, titled: 18 PA House Democrats Dissent from Party’s Vote for Frack Moratorium.

Chris delves into the economic apocalypse that would happen should PA Democrats gain power again in the next election and fulfill their promise of enacting a statewide moratorium/ban on drilling. It is, as Chris points out, a true nightmare scenario:
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Commodity Price | Coterra Energy (Cabot O&G) | Energy Companies | Industrywide Issues | Pennsylvania | Research | Susquehanna County

At What Mmcf Price Do Shale Drillers Make Money?
August 8, 2013August 8, 2013

Ken Medlock, senior director of Rice University’s Baker Institute Center for Energy Studies and a team of Rice researchers recently performed a study of shale drilling economics. One of the questions they looked at: At what price per million cubic feet (or Mmcf) must a driller sell the gas in order to at least break even and not lose money? They have some interesting findings…
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Energy Companies | Industrywide Issues | NG Vehicles | Pennsylvania | Range Resources Corp | Statewide PA | Washington County

Range Rolls Out New Fleet of CNG Trucks in SW PA
August 8, 2013August 8, 2013

Range Resources is practicing what it preaches–or rather consuming what it produces. Yesterday at a ceremony at Range’s regional HQ in Southpointe (near Pittsburgh), the company showed off a new fleet of Dodge and Chevy pickup trucks that run on compressed natural gas (CNG). With the new trucks added, Range now operates 100 of them out of their Southpointe operation. With CNG prices running at the gasoline equivalent of around $2 per gallon, Range says the trucks will pay for themselves within two years due to the low price of using CNG.

According to the PA Dept. of Environmental Protection, by the end of this year there will be 100 CNG fueling stations across PA. More and more Pennsylvanians are interested in converting to CNG vehicles…
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Energy Companies | Energy Services | Industrywide Issues | Litigation | MarkWest Energy | Pennsylvania | Pipelines | Range Resources Corp | Washington County

Washington County, PA Judge Continues Anti-Drilling Decisions
August 7, 2013

What if a county judge’s wife was an anti-drilling activist–so motivated by her fervor she knocks on area residents’ doors to ask for their signature on petitions to ban drilling. Do you think that might affect the objectivity of said judge? And what if that judge repeatedly rules against gas drillers in case after case? Do you think that might be evidence that said judge is not capable of setting aside his own bias? Yeah, we would think so too–and such is the case with Washington County, PA judge John DiSalle.

Earlier this year, Judge DiSalle blocked Range Resources from obtaining two permits to drill wells in Robinson Township (see Judge Refuses to Recuse Himself from Range v Robinson Twp Case). Judge DiSalle is back–this time on a different case. DiSalle is now refusing to allow Range and MarkWest Energy to build a compressor station in Cecil Township. See a trend here? Range and MarkWest are appealing DiSalle’s latest anti-drilling ruling to the PA Commonwealth Court…
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Energy Companies | Industrywide Issues | Litigation | Pennsylvania | Range Resources Corp | Washington County

Range Resources Backpedals on Gag Order for Hallowich Children
August 7, 2013August 7, 2013

Last week MDN told you about the “final document” to be released in a previously sealed court case in Washington County, PA (see Last Document Released in Hallowich v Range $750K Settlement). The document was a transcript of a court hearing where the Hallowiches, their attorney and attorneys for Range and MarkWest discussed the non-disclosure “gag order” agreement being signed by the Hallowiches. The agreement binds the Hallowiches from ever talking publicly about the case for which they received a $750,000 settlement.

The funky part is, it appears the agreement signed by the Hallowich parents would also bind their children from ever talking about fracking and drilling in public too. Even the judge in the case admitted the agreement seemed to do just that, saying it would be “a law school question.” In a new twist in the case, lawyers for Range now say the gag order does not apply to the children, although previously they said it would apply and that they would “certainly” enforce it…
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Electrical Generation | Industrywide Issues | Lackawanna County | Pennsylvania

Marcellus Gas to Power Combined-Cycle Electricity Plant in NE PA
August 7, 2013August 7, 2013

A very interesting latest-and-greatest technology is slated to be used in an electricity generating power plant in Jessup Borough (Lackawanna County), PA. The project will use locally produced Marcellus Shale gas from northeastern PA to power a combined-cycle electricity plant. Here’s how combined-cycle technology works: In the first pass, natural gas is burned and the resulting combustion turns a big turbine to produce electricity. The hot exhaust from that process is captured to boil water, turning it to steam, and the steam turns a second turbine. Very efficient and far less polluting than other types of fuel.

More combined-cycle plants are planned for the greater Scranton-Wilkes-Barre area as well. As coal-fired plants continue to shut down due to strict new regulations from the federal EPA, something has to replace the lost power. Either that or turn off your smart phones and televisions. However, look for short-sighted nimby-types and anti-drillers to try and stop this bit of progress…
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Indiana County | Industrywide Issues | Pennsylvania | Regulation | Wastewater

PA Frack Wastewater Plant Closes, Loses Permit to Operate
August 7, 2013August 7, 2013

Although companies like GreenHunter Water can’t get enough fracking wastewater facilities online fast enough to meet demand from Marcellus and Utica drillers, it appears not everyone has the same level of success when it comes to operating such facilities. The PA Dept. of Environmental Protection (DEP) has pulled the operating permit for a frack wastewater treatment facility in Indiana County, PA. Seems the facility operated “sporadically” in July and August of last year before stopping operation in September. The owner, Aquatic Synthesis, ran into financial difficulties (i.e. bankruptcy).

Problem is, there’s still a million gallons of wastewater at the plant that need to be disposed of. Who will pay for that?…
Read More “PA Frack Wastewater Plant Closes, Loses Permit to Operate”
Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

18 PA House Democrats Dissent from Party’s Vote for Frack Moratorium
August 6, 2013

Well well, what do you know? There are 18 brave Democrats in Pennsylvania after all. MDN was (we think) the first and one of the only sources to tell you of the insanity of the PA Democrat Party who, at their most recent statewide meeting, voted to adopt an official plank in their party platform supporting an immediate and ongoing moratorium–essentially a ban–of all Marcellus Shale drilling in the state (see PA Democrat Party Votes to End Marcellus Shale Drilling Statewide). The state and national media ignored the story, knowing how toxic such a stupid move will be for Democrats at the next election (got to protect the Dem hegemony ya know).

But, we’ve just learned that 18 brave elected Democrats from the PA House of Representatives, including House Minority leader Frank Dermody, wrote a letter on July 15 to the state committee telling them the frack moratorium vote in June is not kosher with them. To which we say, three cheers! Finally, some people with ~~balls~~ intestinal fortitude inside the PA Democrat Party…
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Accidents | Coterra Energy (Cabot O&G) | Energy Companies | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Research | Susquehanna County

EPA’s Dimock PowerPoint Revealed – But, is it Real?
August 6, 2013August 6, 2013

Apparently the Los Angeles Times has a friend in the radically left DeSmogBlog and so has shared the famed, single EPA PowerPoint presentation that supposedly blames drilling and fracking by Cabot Oil & Gas for methane in nearby water wells. DeSmogBlog has an “exclusive” copy of said PowerPoint, so we assume they got it from the LA Times. We grabbed a copy from the DeSmogBlog website and embedded it below so you can read it and evaluate it for yourself.

The most recent hubbub about Dimock arose when the LA Times trumpeted they have in their possession a never-before-seen secret/internal “report” from the EPA–which turns out to be a PowerPoint presentation–blaming Cabot’s fracking for water problems in Dimock, PA (see LA Times Attempts New Hatchet Job on Fracking in Dimock). Is this finally the smoking gun? Is the Obama EPA now covering up evidence against evil “big oil & gas”?…
Read More “EPA’s Dimock PowerPoint Revealed – But, is it Real?”
Butler County | Energy Services | Industrywide Issues | Pennsylvania | Reserve Environmental Services | Wastewater

RES Breaks Ground for Wastewater Treatment Plant in Butler, PA
August 6, 2013August 6, 2013

Reserved Environmental Services, otherwise known as RES Water, is a Pennsylvania-based shale drilling wastewater treatment processor. RES’ claim to fame is that they build and operate zero liquid discharge facilities–100% of treated wastewater is returned to the field for re-use in fracking and drilling.

RES has just broken ground on its second wastewater treatment plant–in Penn Township (Butler County), PA. The new $2.5 million facility is projected to be operational later this year. According to RES president Andy Kicinski, more RES treatment plants are on the way in the Marcellus region…
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Energy Companies | EXCO Resources | Pennsylvania | Statewide PA

EXCO Resources 2Q13 Update: 33 Marcellus Wells Now Online
August 6, 2013August 6, 2013

EXCO Resources reported their second quarter results yesterday. EXCO is active in a number of shale plays, among them the Marcellus. EXCO reports during 2Q13 they started to drill two new Marcellus wells and completed three wells, all of them in Pennsylvania. The plan is to complete nine wells by the end of the year.

The Marcellus section of yesterday’s EXCO update:
Read More “EXCO Resources 2Q13 Update: 33 Marcellus Wells Now Online”
Industrywide Issues | Pennsylvania | Regulation | Statewide PA | Statewide WV | West Virginia

Marcellus Hiring Practices “Under a Microscope” by DOL
August 5, 2013August 5, 2013

Are you a driller, oilfield services or other supply chain company whose primary activity revolves around the PA or WV Marcellus Shale? If so, there’s a good chance you’re going to get audited by the U.S. Labor Department (DOL). Best to get your records (and hiring practices) in order now.

The biggest violation found by the DOL’s so-called Marcellus Shale Initiative: improperly classifying workers as independent contractors instead of salaried or hourly employees. Hiring workers as independent contractors is coming back to bite a number of companies, large and small. If the DOL finds a violation, they helpfully pass it on to the IRS, so after the DOL is done fining you, the IRS typically shows up on your doorstep for a second pound of flesh. Sweet…
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Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Research | Statewide PA

Heinz Endowments Fires Head of Enviro Grants – Change Coming?
August 5, 2013August 5, 2013

Anti-drillers are nervous that one of the big-money spigots for funding their so-called research into the dangers of fracking is about to be shut off. In a developing soap opera, the “longtime head” of environmental grant making for the Heinz Endowments, Caren Glotfelty, has been shown the door. A number of anti-drilling studies have been funded by Glotfelty during her tenure at Heinz. Bobby Vagt, president of Heinz Enowments, will fill in for Glotfelty until a replacement is found. Vagt, you may recall, is involved with the Center for Sustainable Shale Development (see Important: Drillers & Enviros Form New Group, Launch Cert Program). It was also recently disclosed that Vagt sits on the board of natgas pipeline company Kinder Morgan (see Heinz Endowments President Owns $1.2M in Kinder Morgan Stock).

Anti-drillers have broken out the tea leaves, chicken feet and anything else they can to divine whether or not the move to oust Glotfelty is an indication of a change in (funding) priorities for Heinz…
Read More “Heinz Endowments Fires Head of Enviro Grants – Change Coming?”
Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Pipelines | Processing Plants | Research | Washington County

DEP Marcellus Air Study in SW PA Extended Extra Half Year
August 2, 2013August 2, 2013

In July 2012 MDN told you about a one-year study of air quality in and around Chartiers Township in Washington County, PA being conducted by the PA Dept. of Environmental Protection (see PA DEP Announces 1 Year Study on Air Quality in Marcellus). The aim of the study is to determine whether or not Marcellus drilling, pipelines and the MarkWest natural gas processing plant in the Chartiers area causes an unhealthy increase in various air pollutants for residents.

What has the research found? The DEP says testing so far shows “no levels of any pollutant that would violate federal ambient air quality standards.” However, they’ve decided to extend the study until the end of this year. The one-year study has turned into a one-and-a-half year study. The DEP now expects to file a final report in “Spring 2014″…
Read More “DEP Marcellus Air Study in SW PA Extended Extra Half Year”
Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

PA Acting Sec of DEP Making his Agency a “Problem-Solver”
August 2, 2013August 2, 2013

We noted our sadness in March when then-PA Sec. of the Dept. of Environmental Protection, Michael Krancer, announced he was resigning (see Developing… PA DEP Sec. Krancer Resigns). Krancer was tough but fair–someone with a sharp wit (and sometimes a sharp tongue). He knew how to dish it back to anti-drillers–and they hated it. At the time of Krancer’s resignation, Gov. Tom Corbett named his deputy chief of staff, E. Christopher Abruzzo, as Acting Secretary for the DEP. Abruzzo’s appointment was panned by Democrat John Hanger, who wants to run against Corbett in the next election, calling the appointment “bizarre and irresponsible” (see Former PA DEP Sec. Hanger Blasts Interim Replacement for Krancer).

We haven’t read much in the media about Abruzzo since his appointment six months ago, however, yesterday Abruzzo addressed the Washington County, PA Chamber of Commerce’s annual energy symposium. Contrary to what political opponents would have you believe, he sounded and acted quite responsible and un-bizzare…
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