FERC Approves Dominion WV/OH Compressor Project, Rips Anti Group
In June 2014 Dominion filed an application with the Federal Energy Regulatory Commission (FERC) to construct and operate new compression facilities at existing compressor stations in Marshall County, WV and Monroe County, OH, and certain other facilities, collectively called the Clarington Project (see Dominion Asks FERC for New Compressors in Upstate NY, WV). The Clarington project, costing a modest $76.5 million, will allow Dominion to provide 250,000 dekatherms (Dth) per day of firm transportation service for CNX Gas, otherwise known as CONSOL Energy. One week ago today, FERC approved Dominion’s request. Below we outline the particulars of what Dominion requested and was granted. However, the project was not without opposition. The Allegheny Defense Project filed a motion to intervene. Allegheny tried to force FERC into denying Dominion’s application–but it didn’t work. What’s most interesting to MDN about the FERC approval of the Clarington Project is their very extensive, line by line response to Allegheny. In FERC’s response, they rip Allegheny’s arguments apart, bit by bit, argument by argument–and expose the group for the outrageous extremists they are, devoid of facts, with a total reliance on empty allegations and innuendo. We LOVE FERC’s response that puts Allegheny in its place…
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Yesterday Gastar Exploration announced production rates for their second Utica well–drilled in Marshall County, WV. The Blake U-7H well production initially spiked at a high of 36.8 million cubic feet per day (MMcf/d) early in its first 30 days of being online. The overall average production rate during the first 30 days of going online was 20.2 MMcf/d. Following the first 30 days, the average production over the most recent 5 days was 14.8 MMcf/d. Which kind of gives you an idea of just how quickly well production tappers off…
Apparently torrential rains in Marshall County, WV last week softened up the earth and led to soil shifting and two Williams pipelines rupturing–within hours of each other. One of the pipelines is a 12-inch gathering line that runs from wells in the area to the nearby Fort Beeler processing plant. The other pipeline is a 4-inch condensate pipeline. Condensate spilled out of a hole and into the nearby Little Grave Creek. Cleanup efforts are ongoing. For a short time, five families who live near the 12-inch gathering line were evacuated as a precautionary measure–but they returned home within a few hours…
The Vikings are Coming! Er, well, at least the Norwegians are. And they’re not coming to conquer but to drill–underneath the Ohio River in West Virginia on the border of Marshall and Wetzel counties. The West Virginia Department of Commerce has cut a deal with Norway-based Statoil which allows the company to drill and frack for oil and natural gas on 474 acres thousands of feet beneath the Ohio River. What are the lease terms? An average price of $8,732 per acre with 20 percent production royalties. That translates into a signing bonus of $4.14 million. And that’s not all. WV is near to signing a deal with Noble Energy and Gastar Exploration on two other Ohio River tracts that will provide lease bonuses of $4.9 million and $749,000 (respectively) along with 20% royalties…
Three weeks ago MDN reported a Buffalo, NY-based company had successfully gotten all necessary permits to move forward with building a $615 million, 549 megawatt electrical generating plant near Moundsville, WV that will be powered by Marcellus Shale gas (see