Gov. Wolf’s $300 Million Philadelphia Boondoggle Begins
Pennsylvania Gov. Tom Wolf is stealing $300 million from PA taxpayers and giving it to union bosses in Philadelphia–and everyone is celebrating like it’s some great thing. As we previously reported, over the past two years Philadelphia Energy Solutions (PES) has been on a mission to expand their operation at the Southport Marine site in Philadelphia by leasing an additional 200 acres to build a terminal for shale oil imports and exports (see Marcellus Caught in Crossfire of Philly Port Leasing Controversy). PES was willing to invest its own money in the project. But last month Gov. Tom Wolf canceled PES’ plans by giving a $300 million bribe, er a, “investment” of taxpayer’s money to turn that 200 acres into a big parking lot to park incoming cars arriving by container ships from Japan (see PA Gov Wolf Kills Plan for PES Refinery Expansion in Philadelphia). A bunch of (sleazy) politicians and union officials had a big Christmas party on Wednesday to celebrate the theft of taxpayer money for the project, and to pay Wolf on the back for being the thief…
Read More “Gov. Wolf’s $300 Million Philadelphia Boondoggle Begins”
MDN editor Jim Willis wishes you a very Merry Christmas and a Happy New Year! We expect most folks will take off next Monday as a holiday. In a rarity, MDN will not publish next week and will resume on Tuesday, Jan. 3. Don’t worry! If any earth-shattering news hits, we’ll return to cover it. Just taking a few days of R&R and thinking about a few changes coming to MDN for 2017. Stay tuned, you won’t be disappointed!
The “best of the rest” – stories that caught MDN’s eye that you may be interested in reading. In today’s lineup: Largest ethane carrier ever loads first cargo; four NRG Energy plants switch from coal to gas; fewer jobs in the oil patch as automation takes over; US natgas needs Mexico market; the art of the Arctic deal, Obama screws o&g one last time; Baker Hughes – a GE company; Trump supports Keystone XL pipeline; and more!
One of the country’s largest oil drillers is calling it quits in the Marcellus natural gas play. Earlier today Anadarko announced it has cut a deal to sell all of its Marcellus acreage and wells to Alta Resources for $1.24 billion. The deal is big, including 195,000 acres and daily production from wells that averages 470 million cubic feet per day (MMcf/d). That’s the news you’ll get everywhere else. Here’s the part of the story you’ll read exclusively here on MDN: Anadarko has a partner in the Marcellus–Mitsui–which is also selling their interest in the PA Marcellus to Alta, for $207 million. Also, background on the deal you won’t read anywhere else: Alta was an early investor in the Marcellus, but sold out all of their acreage in 2010. Now they’re back. Anadarko and Mitsui sold for far less than the acreage was valued at in 2010–we’d call it getting taken to the cleaners. MDN sorts it all out below…
Spectra Energy’s Access Northeast Pipeline project, a roughly $3 billion project to connect four existing pipeline systems (with enhancements): Texas Eastern, Algonquin Gas Transmission, Iroquois and Maritimes & Northeast, has suffered a string of setbacks this year. Spectra’s original strategy was to bring natural gas to New England by cutting deals with electric companies who need the gas to produce cheaper electricity at their natgas-fired power generation plants. However, the green environmental Nazis came out in force against the plan, (sadly) aided and abetted by Spectra’s competitors, and those plans are now in ruins with three states blocking any such plans (see 
Based on a recent uptick in new permits issued in PA, OH and WV, a writer for the Daily Caller says “a wave of new fracking is about to hit Appalachia.” We agree! Recent trends all point to an increase in drilling–which is good for landowners, jobs, taxes and the environment (more gas lowers CO2 emissions, if you believe in man-made global warming). Here’s a startling statistic: Fracking is estimated to have generated 4.6 million new jobs and $3.5 trillion in new wealth–in just three years (see today’s companion story). Surf’s up! Here’s the evidence that a new “wave” of fracking is on the way in our neighborhood…
Stone Energy, an independent oil and natural gas exploration and production company (E&P) headquartered in Lafayette, Louisiana drills mainly in the Gulf of Mexico but also has (or rather had) a presence in the Marcellus/Utica Shale with 90,000 acres of leases. In October Stone announced (a) it is selling its Marcellus/Utica assets to Tug Hill for $350 million, and (b) the company is preparing to file for bankruptcy (see 
Environmentalists are accusing Shell of using a loophole to discharge wastewater at their future ethane cracker that will exceed state limits for TDS (total dissolved solids). The issue may sound familiar. In 2011 Pennsylvania “requested” that municipal sewage treatment plants without specially outfitted equipment stop accepting and processing Marcellus wastewater (see 
The Pennsylvania Dept. of Environmental Protection (DEP) will go on a “listening tour” early next year, to focus on so-called environmental justice–whatever that is. Apparently environmental justice means asking poor people if they’ve been abused by the oil and gas industry in any way–and if they have a beef, the DEP will “do” something about it. That’s our take. This isn’t the first “listening tour” conducted by the DEP. You may recall in 2013 the agency conducted a listening tour for new drilling regulations (see 
New research from the National Bureau of Economic Research (NBER) reveals a couple of astonishing facts: From 2012-2014, hydraulic fracturing was responsible for creating $3.5 trillion worth of new wealth. We can’t even get our brains around that number! Another fact: From 2012-2014, fracking create 4.6 million new jobs. Although we’ve experienced a big downturn since 2014, can you imagine how the fracking industry will come back under President Trump? Happy day are here again! More from the latest research report by NBER, titled “Fracking, Drilling, and Asset Pricing: Estimating the Economic Benefits of the Shale Revolution”…
A little good news to share about the PennEast Pipeline project–a $1 billion, 118-mile, primarily 36-inch pipeline that will get built from Dallas (Luzerne County), PA to Transco’s pipeline interconnection near Pennington (Mercer County), NJ. Last month PennEast got some bad news–a further delay from the Federal Energy Regulatory Commission (FERC) in delivering a final environmental review. The review was supposed to be done last August, but got pushed to this December. Then in November, FERC announced it would be next February before the final review is delivered (see 
Rover Pipeline is turning up the heat on the Federal Energy Regulatory Commission (FERC). Rover is a $3.7 billion, 711-mile Marcellus/Utica natural gas pipeline that will run from PA, WV and eastern OH through OH into Michigan and eventually into Canada. It is a critical piece of sorely needed infrastructure for the Marcellus/Utica industry. In July, FERC issued a favorable final Environmental Impact Statement (EIS) for the project (see 
In September MDN wrote about a new natural gas-fired electric plant being planned for Chesapeake, Virginia (see 