Sunoco Strikes Deal with Devil, “Settles” with Anti Groups re ME2
Energy Transfer’s Sunoco Logisitics unit has struck a deal with the devil–the devil being the Philadelphia-based (and odoriferous) Clean Air Council, THE Delaware Riverkeeper and Mountain Watershed Association–that will ultimately lift the current ban on underground horizontal directional drilling (HDD) for the Mariner East 2 NGL pipeline project. The three Big Green groups (well funded by colluding leftist organizations) filed an appeal with the Pennsylvania Environmental Hearing Board to block all HDD work following several drilling mud leaks, one of them fouling a water aquifer in Chester County (see Sunoco LP’s Generous Deal to Chester Co. Residents with Water Issues). The Hearing Board judge agreed and stopped all HDD work, temporarily (see PA Enviro Judge Puts 2-Week Pause on ME2 Pipeline Drilling). However, earlier this week the judge allowed a partial lift of the ban (see PA Enviro Judge Lets Sunoco Restart ME2 Drilling 16 of 55 Locations). Sunoco and the Big Green groups have now “settled.” The terms of the “settlement” call for Sunoco to reevaluate and resubmit plans for HDD drilling at 47 locations for review by the Dept. of Environmental Protection (DEP). Landowners who live within 450 feet of a planned HDD site may request water well testing before, during and after Sunoco’s underground drilling activity. In return, the Big Green groups agreed to drop their appeal requesting no further HDD work. As deals with the devil go, perhaps this one isn’t so bad after all. However, we still question why the groups had standing to bring the action in the first place…
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Yesterday a group of Pennsylvania business and economic leaders from trade associations representing thousands of PA businesses held a conference call to roar their disapproval of the GOP-led Senate plan to impose high/new taxes on energy in the Keystone State. Those on the call included: Gene Barr, president of the Pennsylvania Chamber of Business and Industry; Terry Fitzpatrick, president of the Energy Association of Pennsylvania; David Taylor, president of the Pennsylvania Manufacturers Association; Mark Chasse, treasurer for Industrial Energy Consumers of Pennsylvania; Stephanie Catarino Wissman, executive director of Associated Petroleum Industries of Pennsylvania; David Spigelmyer, president of the Marcellus Shale Coalition; and Dan Weaver, president of the Pennsylvania Independent Oil and Gas Association. A group of heavy hitters. Their message was loud and very clear: no new severance tax, no new gross receipts tax. To enslave Pennsylvanians with these taxes now–to fix a single year’s budget–would sacrifice PA’s economic future. Gene Barr pointed out the Senate plan taxes natural gas four different times: 1. when drillers drill a well (impact fee); 2. the gas coming out of the well (severance tax); 3. when the gas gets used by consumers (gross receipts tax); and 4. if drillers make a profit, their profits are taxed too (income tax). It is a plan crafted to satisfy Big Education–to funnel money to teachers, rewarding them for voting Democrat. How many times do we have to point out this is not compromise, it’s insanity!…
On July 25th, a Pennsylvania state environmental judge issued an order blocking all underground horizontal directional drilling (HDD) work being done across the state to install the Mariner East 2 (ME2) pipeline (see 
We’ve noticed a meme, largely started by an Associated Press article endlessly repeated and published in dozens of news outlets across Pennsylvania, that the recent budget deal (with a severance tax) passed by the traitorous Republican-controlled PA Senate “jams a shale tax and industry permits into unhappy package” that now sits before a House that essentially has no choice but to adopt it. Here’s the establishment “received wisdom” in a nutshell: Drillers don’t get what they want (a severance tax), but they do get what environmentalist wackos don’t want (streamlined approvals for permits). And guess what? “That’s politics.” And if you don’t like it, on either side of the equation, you’re an unrealistic dope who doesn’t know anything about politics. We manifestly reject that assertion. Here’s why this deal is one sided–a severance tax only deal. Big Green groups with endless pockets to fund litigation factories are already talking about how if this budget is passed with what they want (a high severance tax) but also with what they don’t want (streamlined approvals for permits), no problem. They’ll just sue to remove the streamlined permits part, leaving drillers with the high severance tax. That’s how “fairness” works for Democrats and antis. Get part of what you want, then litigate the rest–force it on people who don’t want it. That’s the strategy laid out in the AP article claiming both sides are unhappy, implying it’s a good deal because both sides are getting something they want and something they don’t want. The clear signal being sent by environmentalists is that they’ll litigate their way to happiness. Meanwhile the Marcellus industry will get the shaft, which is why the House MUST reject this budget as written…
What’s this? The Pennsylvania State Senate, which is controlled by the Republican Party, has added insult to injury. We’ve already told you about Republican traitors in the Senate who sold out their House counterparts by voting for a disastrous severance tax to raise money to give away to teachers’ unions (see 
We suspect Pennsylvania Gov. Tom Wolf (a Democrat) may be smoking some of the state’s medical marijuana–sampling the goods, just to be sure it’s safe, ya know. During an interview with a PA public radio station yesterday, commenting on the horrible budget bill passed by traitorous Senate Republicans, Wolf said, “I believe that the House will support the Marcellus Shale tax as well.” Notice the Freudian slip? Wolf WANTS to target the Marcellus industry. He called it a “Marcellus Shale tax” as opposed to a severance tax. The Dems are attempting to conflate a “Marcellus Shale tax” with things like a “cigarette tax.” Nasty, vile stuff–but if people want it, tax ’em to hell and back. RINOs in the Senate fell for the severance tax trap sprung by Wolf and the Dems. We predict the House will NOT pass the Marcellus tax, Mr. Wolf. We don’t smoke weed–so we have a clear head about these things…
Good news if you’re a welder, or interested in a welding career, and you live in southwestern Pennsylvania. Shell needs you. Shell is in the process of building a massive, $6 billion ethane cracker plant in Beaver County, PA (northwest of Pittsburgh). Cracker plants have lots of pipes that need to be welded as the plant goes up. While these jobs are not long-term, as in “the rest of you career,” they’re long enough, likely lasting several years. Steamfitters Local 449 is right now recruiting new apprentices, offering a free 17-week apprentice training program. Local 449 is holding an open house this Saturday…
In March, MDN told you about a small group of radical protesters who established a protest “camp” on a private farm along the path of the Williams $3 billion, 198-mile Atlantic Sunrise Pipeline in Lancaster County, PA (see 
There’s an app for that! Williams is launching an app (for smartphones) latter this month to connect Williams contractors with local businesses–to ensure as much of the work (and supplies) as possible is sourced from local businesses for the Atlantic Sunrise Pipeline project. This is a great sign that Williams believes they are about to receive final permits from the foot-dragging Pennsylvania Dept. of Environmental Protection (DEP) to begin work. In August, Williams will launch WillShop Local, a digital application designed to connect local businesses with contractors and construction crews working in the project area. The app is not for local businesses but for the contractors and workers working on the pipeline to locate local suppliers. So how do you, as a local business, get listed on the app? Glad you asked! Just 
Yesterday the American Petroleum Institute (API) released a new study showing that the natural gas and oil industry supported 10.3 million U.S. jobs and added $1.3 trillion to the nation’s economy in 2015. The study, “Impacts of the Natural Gas and Oil Industry on the US Economy in 2015” (full copy below) found that jobs supported by the o&g industry increased by half a million since 2011, and showed that all 50 states, whether producing or non-producing, continued to benefit from the o&g industry. The study was conducted by PricewaterhouseCoopers (PwC) and commissioned by API. Yes, it’s an industry-funded study. But hey, if we don’t do the research and toot our own horn, you can be sure anti-fossil fuelers won’t do it for us! This is solid, no-nonsense (and real) economic research. We thought it would be interesting to look at the impact of the o&g industry in Pennsylvania, Ohio and West Virginia–the only three states producing Marcellus and Utica Shale gas and oil. Yes, each of those states still has a thriving conventional o&g industry as well and conventional numbers are part of the study–but let’s be honest. The unconventional (shale) sector dwarfs production of the conventional sector. When you look at o&g’s impact in our region, you find that it created 322,600 jobs in PA, 262,800 jobs in OH, and 70,900 jobs in WV. Value added (economic impact) for each state was: $44.4 billion in PA, $37.9 billion in OH, and $8 billion in WV. Add them all together and you get roughly 656,000 jobs and $90 billion of economic contribution in 2015. From one industry–oil and gas. WE LOVE FOSSIL FUELS!…
When a state produces more energy than it consumes, that state is a net energy “supplier” (or exporter). States consume energy in the form of oil, gas, coal and electricity, primarily. They produce energy in the same way. Our favorite government agency, the U.S. Energy Information Administration, recently released State Energy Data System estimates for net energy supply, state by state, from 1960-2015. Their analysis found that currently, for the year 2015, some 12 states produced more primary energy than they consumed, while 38 states and the District of Columbia were net recipients of energy. Among the state producing more than they consume, two of the top five are Marcellus Shale states: Pennsylvania and West Virginia. PA’s net supplier status is due mostly to the rise of the Marcellus. In the case of WV, the state still is a big coal producer, but it is the Marcellus that lifts the state into the column of net energy supplier…
Yesterday the Pennsylvania Senate voted 26-24 to pass a so-called compromise budget bill that adopts a Marcellus-killing severance tax. What’s most distressing about the situation is the betrayal of Senators like Gene Yaw, of northeastern PA. The bill not only raises taxes on drillers, slapping a severance tax on top of the existing impact fee, it also slaps a 5.7% gross receipt tax (GRT, or “usage tax”) on natural gas used by homes and businesses, meaning PA gas bills will go up starting August 1st (if the bill passes the House). What happens next? The bill has gone to the PA House for consideration. The pressure on the House, and Speaker Mike Turzai, is intense. The Senate has done a big disservice to the House by not getting agreement ahead of time. But we deal with the cards in our hand. What’s going to happen now?…
As part of the horrible severance tax bill the Pennsylvania Senate passed yesterday (see today’s companion story), Republican Senators placed into the bill what they hope is “an olive branch” (more like a withered twig) by including reforms to the regulatory process they say the drilling industry has been asking for. Senators included a provision to have third party contractors (people outside of the Dept. of Environmental Protection) review applications at the DEP, including permits for oil and gas drilling, when the DEP can’t review those applications in a timely manner. There’s also a provision that certain permits, like those granted to drillers for sediment and erosion, will automatically be granted if the DEP drags its feet and doesn’t grant the permit by the current, specified deadline (45 days, with a possible 15 day extension). Those permits are currently taking up to 200 days to be granted. Enough. If the DEP can’t get it done, the permit gets granted automatically or goes to someone on the outside who can get it done. There are other provisions in the severance tax bill as well. Of course these proposed changes have antis in an uproar. You see, “compromise” for antis and Democrats means “you do it all our way, and we give you nothing in return.” That Republicans actually want something in return for voting for a horrible tax bill is beyond belief for antis, who are now squealing like stuck pigs. Here’s what we’ve been able to find out about the proposed changes, the “olive branch” offered by traitorous Republicans, as part of the newly passed severance tax bill…