The Richard King Mellon Foundation has just awarded a two-year grant (no specific amount mentioned) to the Center for Sustainable Shale Development (CSSD). The Mellon folks apparently like what they see with the CSSD certification program and want to see more of it. So they’re lending a (financial) hand to ensure that happens…
Read More “CSSD Thrown a Lifeline from Richard King Mellon Foundation”
On Monday MDN reported that the chairman of the Pennsylvania Public Utility Commission, Robert F. Powelson, was up in arms over what he considers to be the illegal dumping of steel pipes by South Korea in the U.S. (see New Issue: Ban Use of Cheap/Imported Steel Pipes in PA Marcellus?). Many (most?) of those steel pipes are being used by the shale drilling industry across the country, including (presumably) in the Marcellus/Utica region.
Powelson is not the only person to voice a concern. Now, liberal Democrat Senator Sherrod Brown (Ohio) and conservative Republican Senator Jeff Sessions (Alabama) have joined the chorus. Citing a new report that says illegal dumping of steel pipes threatens a half million U.S. jobs, Brown and Session are pushing U.S. trade officials to remove an exemption on steel imports for South Korea…
Read More “US Senators Join Chorus: “Illegal” Steel Pipe Dumping by S Korea”
We’re not exactly sure when the Pittsburgh Post-Gazette turned anti-drilling. We’ve previously theorized that perhaps the drilling industry is throwing more advertising money to their arch-competitor, the Pittsburgh Tribune-Review, and so the PPG’s strange turn to anti-drilling is either sour grapes, pay-back, or an elaborate shake down to get more ad revenue. However, one thing is for sure, the editors at the PPG don’t like drilling, as evidenced by the increasing number of negative articles and editorials they write about the industry. When they hired reporter Anya Litvak away from the Pittsburgh Business Times last year we were thrilled. After a few initial stories–they’ve all but hidden her talents away. We haven’t spotted an Anya story on shale in months.
Perhaps Pittsburgh-area residents should cancel their subscriptions to the PPG in protest? Here’s the latest editorial by the PPG that asserts “drilling will kill you because of traffic accidents” …
Read More “PPG Says Drilling is Killing PA Residents – via Traffic Accidents”
At some time in the past 25 years, radical environmentalists succeeded in renaming swamps to “wetlands,” thereby re-casting the debate over whether it’s OK to build something on, in or under them. In other words, environmentalists made it really hard to drain a swamp, giving rise to things like mosquitoes that carry West Nile Virus. But we digress. Although this will sound rather bizarre, there is a new program alive in Pennsylvania whereby companies that want to, say, dig up a wetland to lay a natural gas pipeline, can buy credits to do so. What kind of credits and how?
Companies may now buy credits that create swamps, er wetlands, in other areas. That is, as long as the net amount of wetland acreage remains the same, the federal fascist bureaucracy is happy. (We know! Don’t bother will silly logic. Don’t ask questions like, “What happened when Indians ruled North America and nature created and destroyed swamps all on her own? Was there anyone around to ensure Mother Nature didn’t screw herself?”) Here’s the (to us) funny and bizarre story of what’s called “mitigation banking,” sometimes referred to as “wetlands banking”…
Read More “Wetlands Banking Comes to PA – No, It’s Not a Savings & Loan”
The prime minister of Latvia–Her Excellency Mrs. Laimdota Straujuma–recently visited Philadelphia. For those who don’t know, Latvia is an ex-Soviet Union country in eastern Europe. Mrs. Straujuma wants U.S. natural gas–Marcellus gas–really bad. Some of the unnamed people she met with in Philly said they’ll be more than happy to sell her some–as soon as the Obama administration gets off it’s rear-end and issues export permits.
Here’s the story of how home-grown, cheap, abundant Marcellus Shale gas may give freedom in Europe a boost (and give the dangerous bully Putin a poke in the eye)…
Read More “PA Marcellus Shale Gas Going to…Latvia?!”
Last night was the final debate in Philadelphia between the final four Democrat candidates seeking the nomination to run for governor in November in Pennsylvania. Which was a yawner. All four are Democrat hacks that will try to screw up the economic miracle happening in PA from Marcellus Shale drilling. None of them deserve your vote–including the presumptive winner of today’s primary, Tom Wolf.
We only mention last night’s debate because a hysterical (i.e. distraught) young woman who is anti-drilling took to the stage and interrupted the debate to vomit out the same old lies that drilling’ll kill everyone and Mother Earth, while the obsequious candidates just looked on. It was, well, hysterical (i.e. funny)…
Read More “Final PA Democrat Gov Debate Interrupted by Anti-Drilling Kook”
As MDN told you three weeks ago, Pennsylvania House Bill (HB) 1684 has hit some turbulence on its way to quick passage (see PA HB 1684 Guaranteed Minimum Royalty Act Hits a Snag). The bill, as originally introduced, was supported by the PA chapter of the National Royalty Owner’s Association and would provide for landowners to receive a minimum 12.5% in royalties, disallowing some of the shenanigans Chesapeake Energy has engaged in with reducing post-production expenses via a back door (see PA NARO Alert: Tell Your State Rep to Vote YES on HB 1684).
But along the way the drilling industry objected–rather loudly–saying lease contracts signed by two parties, the landowner and the driller, should not be modified by the legislature (see Rare Schism Between Landowners & Drillers over PA Royalty Law). Since the original bill, a number of amendments have been proposed, one of them that may well get adopted, that would fundamentally gut the intention of the bill to provide a minimum 12.5%. Lawmakers debated HB 1684 and amendments last week–before adjourning and heading out of town for a 3-week recess (wish we had a 3-week vacation whenever we wanted!). Here’s a status report and update on what happened last week and where things now stand with HB 1684…
Read More “Status Report on PA Royalty Bill HB 1684 – Recess Limbo”
Last week the Pennsylvania Dept. of Environmental Protection (DEP) published their first-ever Oil and Gas Annual Report–for the year 2013 (full copy below). The report celebrates the miracle of fracking shale in PA and the DEP’s hard work to keep it safe. Along with the report (with a lot of great information) the DEP has released a video starring some of the hard-working people for the Office of Oil and Gas Management. It is a FABULOUS video–we’ve embedded it below. Please give it a watch and as you have time, peruse the 31-page first-ever Annual report.
First up, the DEP press release announcing the report and its raison d’être…
Read More “PA DEP Publishes First Annual O&G Report + Video (Very Cool)”
A rather long, and surprisingly pretty balanced, article appeared over the weekend in The Buffalo News comparing and contrasting Pennsylvania and New York’s approach to the issue of shale drilling. The reporter actually talked to a number of sources on both sides of the drilling issue and wrote a good article that presents the facts of the economic miracle happening in PA, and the economic misery happening in upstate NY because of our state’s dithering. You can tell it’s a good article when the cadre of about a half dozen anti-drillers (pathetic people with no lives apart from opposing drilling) flock to the comments to condemn the article and condemn those who dare to post a positive comment about drilling.
The article opens with the classic tale of two cities theme, comparing the fortunes (or lack thereof) of two farmers on opposite sides of the NY/PA border…
Read More “PA Farmers Flourish Thanks to Marcellus While NY Farmers Fail”
Brilliant move or manipulating the system? Your view will depend on your drilling proclivity. Late last week Sunoco Logistics, in a bid to strengthen its case before the PA Public Utility Commission (PUC) that the Mariner East pipeline should be considered a public utility, filed an application to deliver propane from western PA to its Twin Oaks terminal in Delaware County (eastern PA) using the Mariner East. By delivering propane from one end of the state to the other and redistributing it to customers in that area, Sunoco is attempting to prove that it is a public utility under PA’s definition.
MDN has chronicled Sunoco’s fight to use eminent domain against some recalcitrant landowners who refuse to allow the pipeline to cross their property in western PA, and homeowners in eastern PA who don’t want new compressor stations built along the pipeline’s existing route (see Sunoco Logistics Faces Hostile Crowd Over NGL Pipeline Station). Sunoco claims they are a public utility corporation with the right of eminent domain. Anti-drillers (and possibly some pro-drillers) fighting them claim they are not a public utility. The case is before the PA PUC and Sunoco has just hired attorney Michael Krancer and the legal beagles from the Blank Rome law firm to help out (see Sunoco Hires Big Gun Law Firms to Help Complete Ethane Pipeline). Looks like the legal assist is already paying off with this new strategy…
Read More “Sunoco Builds Stronger Case for Mariner East as Public Utility”
A new issue comes to light–for us anyway. The chairman of the Pennsylvania Public Utility Commission, Robert F. Powelson, writes an editorial in today’s Philadelphia Inquirer that claims America’s steel industry–in particular PA’s steel industry–is suffering from cheap steel pipeline imports from places like South Korea. The pipeline imported is used in shale drilling, namely in gathering pipelines and perhaps larger transmission pipelines. A lot of pipeline is also used during the drilling process itself. Powelson says “oil country tubular goods” or OCTG pipeline is illegally “dumped” on the market–meaning it’s sold below the cost to manufacture it. And that cuts some of the economic benefits PA would otherwise realize if PA or OH steel plants created that pipe.
Powelson’s proposed fix? Amend the Pennsylvania Gas and Hazardous Liquids Pipeline Act (Act 127) and require companies to report to the PUC the country of manufacture of the steel pipe used to transport natural gas from unconventional wells in PA. Would that work?…
Read More “New Issue: Ban Use of Cheap/Imported Steel Pipes in PA Marcellus?”
New York Sen. Chuck Schumer earlier this week paid nominal lip service to the marvels of shale drilling (see Sen. Chuck Schumer Supports Fracking in NY – Sort of). Although some on the pro-drilling side didn’t like MDN’s take on the gasbag Schumer and his false support of drilling, we offer evidence of his true intentions. Yesterday Schumer and six other senators (all liberal Democrats) introduced a bill to “preserve and improve [the] Delaware River Watershed.” The so-called “Delaware River Basin Conservation Act of 2014” would “establish the Delaware River Basin Restoration Program within the U.S. Fish and Wildlife Service. The program would implement a coordinated approach, requiring the U.S. Fish and Wildlife Service director to adopt a basin-wide plan that sustains and enhances the Delaware River basin restoration and protection efforts. The program would support projects from federal, state, and local governments and stakeholders, ensuring that existing successful restoration plans are leveraged.”
Translation: The feds want to trample over the states and take over the Delaware River Basin, which means there never will be any shale drilling in places like Wayne County, PA which happens to sit in the basin. It’s a horrible bill–a federal power grab–and it needs to be opposed. Vigorously. Thanks Chucky, for your so-called “support” of shale drilling. Schmuck. An even bigger schmuck is Sen. Bob Casey–from Pennsylvania! He’s one of the seven lib Dem senators sponsoring this abomination…
Read More “Feds Attempt a Power Grab of Delaware River Basin”
Although MDN editor Jim Willis literally missed the bus and could not attend the PA Energy, PA Jobs rally in Harrisburg, PA on Tuesday (see PA Energy Rally Huge Success with Thousands Marching to Capitol), our good friend Tom Shepstone was there. He performs a miracle with his coverage–he captures the tone and essence of the event in written word (and pictures and a video). Tom is a real gem, staunchly pro-drilling, wicked smart–and a superb writer. If MDN could be anyone else, we would be Tom!
Forthwith, here is Tom’s report (from his always excellent Natural Gas Now website) in its entirety–well worth your time to read, especially if you could not attend…
Read More “First-Hand Account of History-Making PA Energy Rally”
This one goes under the “that’s interesting” heading. Three Pennsylvania Republican legislators say they will soon introduce new legislation that will separate regulations for conventional (vertical only) and unconventional (shale) drilling in the state. According to Reps. Martin Causer (R-Turtlepoint), Kathy Rapp (R-Warren) and Matt Gabler (R-Clearfield/Elk), the two styles of drilling are way different and “it simply makes no sense to apply the same standards to these operations.” Huh.
We’re sure the representatives have the best of intentions, but we’re not sure new and different regulations are required. The concern is not about unconventional rules and regulations–the concern is that new rules implemented for unconventional drilling are and have been onerous for traditional/conventional drilling. The claim is that the rules applied across the board to both types of drilling are driving many mom and pop drilling operations out of business. Below is the press announcement and justification for the politicians’ proposed new legislation. We’ll reserve judgment for now and wait to hear more. In the mean time, we come down on the slightly skeptical side that this is truly needed…
Read More “New PA Bill Would Separate Conventional/Unconventional Regulations”
Sunoco Logistics held an analyst call yesterday to discuss first quarter 2014 earnings and operations. On the call, Sunoco Logistics’ CEO Michael Hennigan had quite a bit to say about both the Mariner East 1 pipeline, due online starting later this year, and the proposed Mariner East 2 pipeline that would run along side Mariner East 1. MDN has been monitoring the latest legal situation with Mariner East and with Sunoco’s request to be made a public utility corporation (for the latest, see Sunoco Hires Big Gun Law Firms to Help Complete Ethane Pipeline).
MDN found Hennigan’s comments interesting. When asked by an analyst about the NIMBY pushback their getting in building the 50-mile pipeline in western PA, and the pushback on building new compressor stations in eastern PA and whether that would delay or cost the company more money–Hennigan said “no” and that Sunoco is “very confident that we can work through those issues.” Bluster? Brave face for investors? Calm assurance? Who knows. MDN has extracted all of the comments and Q&A’s from yesterday’s call that touch on either the Mariner East 1 or 2, or Mariner West pipeline. We’ve also embedded (below) a copy of the PowerPoint slides used during the call. Pay attention, in particular, to the slides on pages 9, 10 and 11…
Read More “Sunoco Logsitics CEO Says Legal Issues Won’t Delay Mainer East”
A (not so funny) thing happened on the way to the forum, er PA Energy Rally yesterday. MDN editor Jim Willis showed up at the appointed bus stop at 6:45 am with 15 minutes to spare–and as he pulled in, the bus was pulling out onto Interstate 81. Jim missed the bus! The Marcellus Shale Coalition has been very apologetic (and very upset with the bus company–the contract clearly states don’t leave until 7 am). So after inviting you to the rally, and with intentions of having a first-hand account report, Jim missed it. He was equal parts sad and angry–but that’s life.
But don’t despair. By all accounts it was a great day with anywhere from 2,500-3,000 people marching to the Capitol steps in Harrisburg. By the way, when was the last time you heard about 3,000 anti-drillers marching in Harrisburg? Yeah, us neither. There were, however, anti-drillers who tried to rain on the parade–something like 6 to 8 anti-drillers. You read that right–single digits for the loonies who turned out to hold up a sign against shale drilling in their big, huge “counter protest.” The only people who even noticed them were reporters sticking cameras in their faces. At one point a single anti-driller tried to shout something. A few pro-drillers noticed–and laughed. Silly fools.
Below we have a couple of media accounts of the rally. Strangely, the AP article is about the most fair and balanced we found. The reliably anti-drilling StateImpact Pennsylvania covered it too, with their reliably anti-drilling slant. We also have a funny sour grapes comment from the anti-drilling Jan Jarrett, former president/CEO of the anti-drilling environmentalist group PennFuture…
Read More “PA Energy Rally Huge Success with Thousands Marching to Capitol”