South Korean SK Group Buys a Piece of Eureka Midstream for $100M
Eureka Midstream, which was once called Eureka Hunter (a subsidiary of Magnum Hunter Resources) popped back up on the radar screen earlier this month (see M-U Pipeline Co. Eureka Midstream Expands Line of Credit to $400M). Eureka, which operates exclusively in the Marcellus/Utica with ~200 miles of local gathering pipelines, announced it had expanded its line of credit from $225 million to $400 million, with an “accordion” option to further expand it to $500 million. Eureka’s former parent Magnum Hunter spun the company off into a standalone company last year, so Eureka did not get dragged through bankruptcy along with Magnum Hunter (see Magnum Hunter Emerges from Bankruptcy with CEO Gary Evans Gone). The newest news is that South Korean SK Holdings, the holding company of SK Group (one of the largest conglomerates in South Korea) has bought itself a piece of Eureka for $100 million…
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The “best of the rest” – stories that caught MDN’s eye that you may be interested in reading. In today’s lineup: OH rig count stands at 26; Sabine Pass LNG train 4 ready for service; Zinke says 1/3 of Interior staff disloyal to Trump (and the country); E&P profits shrink in Q1; crude by rail could hamper future pipeline investment; Exxon Mobil replaced by Russia’s Gazprom as world’s biggest energy firm; China continues to invest heavily in LNG; and more!
Some big news that both Cabot Oil & Gas and the two families suing them seem to want to keep quiet: they’ve settled out of court. Brief background for those new to MDN and to the “Dimock” story: There were 14 families along the Carter Road area of Dimock Township, PA (Susquehanna County) that reportedly experienced turbidity in their water from methane migrating, supposedly from Cabot’s drilling operations nearby. The state Dept. of Environmental Protection (DEP) investigated in 2010 and declared Cabot guilty and imposed stiff fines and requirements, including a requirement to install permanent water treatment systems at each home and even an offer to each of the families to pay twice what their property was worth at the time (see 
Reuters ran a story yesterday quoting an analyst with Tudor Pickering who says he thinks Chesapeake Energy is actively considering a sale of some (most? all?) of its Marcellus and Utica Shale assets, as a way of helping raise $2-$3 billion which the company previously said it would raise from asset sales this year and next. Idle speculation? Perhaps. There’s no doubt Chesapeake has a real jewel in its Utica and Marcellus acreage–built by Aubrey McClendon back in the day. Would Chessy really consider selling it? The Tudor analyst says yes, because these days the company is concentrating on oil drilling and production more than gas. But is that really true?…
Yesterday we brought you the “Top 10” drillers in southwestern Pennsylvania, as ranked by the number of permits issued (see 
Two serial, paid protesters, along with a landowner and her daughter have sued Sunoco Logistics and parent company Energy Transfer for breaching their constitutional rights. You may recall our story about the daughter of a Huntingdon County, PA landowner, radicalized by Big Green groups (as evidenced by her association with well known protesters previously arrested), who took to a tree on her mom’s property in March 2016 in order to illegally stop crews working on tree clearing for the Mariner East 2 pipeline (see 
Last week MDN told you about a visit by Pennsylvania Gov. Tom Wolf to Wyoming and Susquehanna counties in northeastern PA (see 
The good news is that any number of severance tax proposals in Pennsylvania are still “stalled” and going nowhere fast. The bad news is that there still is not a finalized budget. Republicans have no one to blame but themselves. They passed an unbalanced, whopping $32 billion state budget plan months ago–without a way to pay for it all. Which has set up extreme pressure to adopt new taxes, including a severance tax and gross receipts tax. It appears that the GRT is dead, but the severance tax is not yet totally dead. Why? Because House Speaker Mike Turzai continues to hold the line–preventing a floor vote on the severance tax. Pin a medal on that man! Elect him as your next governor! He knows how to lead. However, since the severance tax is not totally dead (yet), we feel it’s necessary to keep talking about it. We’ve heard from some MDN readers who ask, “Why not adopt a small severance tax? It’s not all that bad, is it?” Yes! It is bad! And the Commonwealth Foundation (of PA) tells us why…
Over the past few years MDN has tracked the progress of 4 LNG export plants planned for the eastern shore of Nova Scotia. Two of those projects appear to have life–the Bear Head LNG project (
For years Hollywood celebrities and those who want to be celebrities have lied and spread fake news about fracking. Some of the more colorful attempts have come from the likes of the singularly untalented Julian Lenon and stepmom Yoko Ono “singing” (if that’s what you call it) the song “Don’t Frack My Mother” (see 
Last week MDN told you that Community College of Beaver County (CCBC) is operating a program in process technology that leads to an associate’s degree as preparation for a job at Shell’s $6 billion ethane cracker plant, being built now in Beaver County (see 
As enormously productive as the Marcellus/Utica wells are, did you know that the best wells only recover perhaps 20% of the available gas trapped in shale rocks? Often it’s more like 10%, or 5% recovery. The National Energy Technology Laboratory (NETL) in Morgantown, WV is trying to change those numbers. In a research program NETL calls “mastering the subsurface,” researchers are learning what happens at the smallest level of fracturing shale–so they can improve recovery rates using new processes and materials. In addition to improving recovery, they’re also looking for ways to cut down on water use. Since there’s a fair bit of water already trapped in shale, NETL is experimenting with carbon dioxide foam, as a way of using less water. (Don’t tell Al Gore. He HATES carbon dioxide, calling it a “pollutant” and saying it causes Mom Earth to toast). NETL is also using natural gas itself to frack rock. A lot of very important research is happening at NETL–research that may one day change the way we frack…