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Marcellus Drilling News
  • Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Lease & Royalty Payments | NEXUS Pipeline | Ohio | Pipelines | Regulation | Wood County (OH)

    Bowling Green, OH Votes to Deny NEXUS Pipe Easement for City Land

    December 6, 2016December 6, 2016

    unwiseAll seven members of the Bowling Green City Council (Wood County) unwisely voted to reject an offer from Spectra Energy’s NEXUS Pipeline to lease 4 acres of city-owned land for the pipeline. Why unwise? Because the project is close to receiving its final federal approval, which will give it the right to use eminent domain to use the land anyway (see FERC Approves NEXUS Pipeline, Project on Track for 2017). Spectra offered $151,000 for the easement and was willing to follow an existing easement already in place for power lines. When (not if) NEXUS gets built, Bowling Green can expect to receive far less in the way of a lease payment. Even though the fix was in before the vote was taken, one lawless resident–Joe DeMare, a Green Party candidate for U.S. Senate in the most recent election (loser)–wouldn’t shut his yap and had to be escorted out by security. Apparently he thought there should be more public comment (i.e. camera and microphone time for himself) before the vote was taken. Whatever. Big Green antis celebrated the vote. We predict it will be a short-lived celebration…
    Read More “Bowling Green, OH Votes to Deny NEXUS Pipe Easement for City Land”

  • Electrical Generation | Energy Services | Industrywide Issues | Montour County | Pennsylvania | Talen Energy

    Talen Puts Coal-to-Gas Powergen Conversion on Hold in Mountour, PA

    December 6, 2016December 6, 2016

    on holdIn June Talen Energy announced that one of its coal-burning electric generating plants, located in Montour County, PA, will get an upgrade to burn natural gas in addition to burning coal (see Talen Energy Converting Moutour, PA Plant to Burn Coal AND NatGas). The Montour Power Plant went online in 1972/73 and generates 1,504 megawatts of electricity. The $70 million upgrade planned by Talen (requiring a 15-mile pipeline) will continue to produce the same amount of electricity, but will give the plant the option to power it with either natgas or coal, depending on which is cheaper. However, those plans are now on hold. Talen has just announced it will not, for now, move forward with the upgrade. Why? Talen says it wants to evaluate the results of a similar project already completed in York County, PA before moving forward with the project in Montour County…
    Read More “Talen Puts Coal-to-Gas Powergen Conversion on Hold in Mountour, PA”

  • Forced Pooling | Industrywide Issues | Statewide WV | West Virginia

    New Head of WVONGA Pushes for Forced Pooling Law

    December 6, 2016December 6, 2016
    annec
    Anne Blankenship

    In November the West Virginia Oil & Natural Gas Association (WVONGA) hired Anne C. Blankenship, an attorney with Babst Calland, to serve as executive director (see WVONGA Hires Babst Calland Attorney as Executive Director). As we noted at the time, she has some big shoes to fill following the sudden death of WVONGA’s former director Corky DeMarco (see WVONGA Executive Director Corky DeMarco Dead at 68). Anne becomes the standard-bearer for shale drilling in the Mountain State. She’s not wasting any time. The Charleston Gazette-Mail published an editorial by Anne today, a column in which she introduces herself and lays out her priorities for the coming year. One of those priorities is to push for a forced pooling law. She’s also pushing hard for new pipelines to get built…
    Read More “New Head of WVONGA Pushes for Forced Pooling Law”

  • Energy Companies | Guernsey County | Ohio | PDC Energy

    PDC Releases 2017 Plans – Drilling Just 2 Utica Wells in 2H17

    December 6, 2016December 6, 2016

    PDC Energy logoPDC Energy, a driller in the Wattenberg Field in Colorado and the Utica in Ohio, paused their Utica drilling program in 2015 (see PDC Energy Pushes Pause Button on OH Utica Drilling for 2015). Last December the company announced they would restart Utica drilling in 2016 with plans to drill five wells (see PDC Energy to Restart OH Drilling in 2016, Drilling 5 Utica Wells). Indeed they did reactivate their program, in a much-scaled-back fashion, this past year. One of the Utica wells PDC drilled, the “Neff” well, came online earlier than expected and began producing in 2Q16 (see PDC Energy 2Q16: Utica Program Active Again, Neff Well Online). However, another shale play has turned the head of PDC–the Delaware Basin in Texas. PDC released their plans for 2017 yesterday. There is a brief mention about the Utica–they plan to drill two more wells in the second half of 2017 and spend just $18 million to do it. Both wells will be drilled in Guernsey County, OH. Here’s a preview of what’s ahead for PDC in 2017…
    Read More “PDC Releases 2017 Plans – Drilling Just 2 Utica Wells in 2H17”

  • Electrical Generation | Industrywide Issues

    Lack of NatGas Pipelines Casts Doubt on NE Winter Electric Rates

    December 6, 2016December 6, 2016

    iso-new-englandContrary to the assurances of charlatans like Massachusetts Attorney General Maura Healey who tells us new natural gas pipelines are not needed, New England is once again looking down the throat of potential electricity shortages this winter–if we have another winter like that of 2013/2014. ISO New England Inc. (ISONE), the electrical grid operator in the region, issued a statement last week to say they are implementing a 2016-17 Winter Reliability Program to guard against potential electricity shortages because there’s not enough natural gas in the region to power electric plants if much of that gas is also heating homes and businesses on cold days. According to ISONE, “Electricity supplies should [not a reassuring word] be sufficient to meet consumer demand for electricity in New England this winter.” They then go on to say, “but constraints on the region’s natural gas pipelines could pose a challenge to reliable operations.” In other words, if it gets really cold and snowy, we’re screwed. So, to fend off that screwing, ISONE has devised a program to load up on oil, of all things, and LNG, to help produce electricity if natgas runs short. Don’t say we haven’t repeatedly warned New England that without new pipelines they will not only continue to pay 4x what everyone else pays for electricity, at some point there just won’t be enough fuel sources to produce electricity and sooner or later New England will have brownouts and/or rolling blackouts–because THEY’RE FOOLS and continue to reject safe, reliable natural gas pipelines…
    Read More “Lack of NatGas Pipelines Casts Doubt on NE Winter Electric Rates”

  • Anti-Drilling/Fossil Fuel | Industrywide Issues | Pennsylvania | Pipelines | Statewide PA

    Liberal PA News Media Wants ND Pipeline Protesters to Come Here

    December 6, 2016December 6, 2016

    mob-ruleAnd so it begins. So-called “reporters” who are either too stupid or too lazy to examine important issues closely, like the issue of paid, out-of-state protesters who descended on Standing Rock, ND and have engaged in multiple lawless acts, are now beginning to hold up Standing Rock as the model for how to defeat important oil and gas infrastructure projects in the Marcellus/Utica region. The editorial writer(s) at the Delaware County Daily Times has deigned to compare Standing Rock and the temporary block on completing it by the politicized Obama Administration to the Mariner East 2 NGL pipeline slated to be built across Pennsylvania. The writer(s) express their hope to see the lawless criminals from Standing Rock to “pop up here if and when construction on Mariner East 2 begins.” You see why the newspaper industry in this country is crashing and burning? Because of such blatant bias and misstatements of fact (i.e. lies)…
    Read More “Liberal PA News Media Wants ND Pipeline Protesters to Come Here”

  • Energy Services | FMC Technologies | Industrywide Issues | M&A

    Technip, FMC Shareholders Approve Merger; Fat Lady Sings in Jan?

    December 6, 2016December 6, 2016

    fat-lady-singsIn May, U.S.-based oilfield services company FMC Technologies announced they will merge with their much larger quasi-competitor, France-based Technip, in an all-stock deal that will create a new company called TechnipFMC worth $13 billion (see FMC Technologies & Technip to Merge, Create $13B Oilfield Giant). FMC had/has some operations in the Marcellus/Utica, hence the merger has implications for our region. The Obama Dept. of Justice approved the deal in June (see FMC Technologies/Technip Merger Approved by Obama DOJ/FTC). Apparently it’s A.O.K. for a French company to buy an American company, but when one American company (Halliburton) wanted to buy another (Baker Hughes), that wasn’t OK with the Obamadroids (see Obama DOJ Kills Halliburton/Baker Hughes Merger, Deal “Terminated”). But we digress. The European Union, like the Obama DOJ, also gave its blessing on the deal. The shareholders for the two companies voted yesterday to consummate the marriage. The only thing left now is for the fat lady to sing, which appears will happen early in 2017 (likely January). The date of the official merger will be known on Dec. 21…
    Read More “Technip, FMC Shareholders Approve Merger; Fat Lady Sings in Jan?”

  • CNG/LNG | Exporting | Industrywide Issues

    Cheniere Repeats $1.5B “Note” Strategy with Second LNG Subsidiary

    December 6, 2016December 6, 2016
    cheniere-corpus-christi-lng
    Click for larger version

    Cheniere Energy operates the only liquefied natural gas (LNG) export facility in the United States (currently), in Sabine Pass, Louisiana. There are others planned, like the Cove Point, Maryland facility currently under construction. We keep tabs on Cheniere, even though it’s located in Louisiana, because some of the pipelines that serve it have Marcellus/Utica natural gas flowing through them. It’s potentially a very important market for our natural gas. It’s not cheap to build and operate these massive petrochemical plants. In September Cheniere floated IOUs (i.e. bonds) to raise $1.5 billion for the Sabine Pass operation (see Cheniere Energy Upsizes IOU Offering from $1B to $1.5B). What you may not know is that Cheniere is also in the midst of building a second LNG export facility–in Corpus Christi, TX. Although we don’t know for sure, we expect that facility will, one day, also use at least some Marcellus/Utica gas to chill and export abroad. Cheniere must have had good success with raising $1.5 billion for Sabine Pass because they’ve turned around and are now doing it all over again–raising $1.5 billion by floating new notes–for the Corpus Christi project…
    Read More “Cheniere Repeats $1.5B “Note” Strategy with Second LNG Subsidiary”

  • Hydraulic Fracturing | Industrywide Issues | Research

    Feds Dole Out $4.8M to National Labs for Fracking Research

    December 6, 2016December 6, 2016
    shale-research-topics
    Click for larger version

    The feds are falling in love with fracking. Who knew?! The National Energy Technology Laboratory (NETL) has just awarded six research projects to U.S. Department of Energy (DOE) national laboratories to advance fundamental shale research. The two-year projects, totaling $4.8 million, “will investigate the processes associated with hydrocarbon extraction from unconventional shale reservoirs and lead to a better understanding of factors affecting prudent resource development.” Lawrence Berkeley National Laboratory has three of the projects. The other three go to Los Alamos National Laboratory, Sandia National Laboratories and the Stanford Linear Accelerator Center (SLAC) National Accelerator Laboratory. The projects aim to fill in “knowledge gaps” and will ultimately, hopefully, lead to fracking done more safely and in an “environmentally responsible” way. Here’s a description of the studies the grants will fund…
    Read More “Feds Dole Out $4.8M to National Labs for Fracking Research”

  • Best of the Rest

    Marcellus & Utica Shale Story Links: Tue, Dec 6, 2016

    December 6, 2016December 6, 2016

    best of the restThe “best of the rest” – stories that caught MDN’s eye that you may be interested in reading. In today’s lineup: Pipeline projects in PA deserve support; Mass. AG tries to change story re Exxon in federal court; Trump offers opportunity to correct country’s energy policy; shale companies hedging is turning oil market “upside down”; natgas prices hit near 2-year high; EPA close to releasing final fracking report; OPEC should be very afraid of US shale companies; 3 Sec State candidates have o&g connection; India moving to natgas economy; and more!
    Read More “Marcellus & Utica Shale Story Links: Tue, Dec 6, 2016”

  • Energy Services | Weatherford Intl

    Weatherford Shutting Down US Fracking Operations in 2017

    December 5, 2016December 5, 2016

    weatherfordRecently MDN brought you an article from the Seeking Alpha investors website, written by an analyst/investor pointing out the financial troubles at the world’s fourth largest oilfield services company, Weatherford (see Oilfield Srvs Co Weatherford in Financial Trouble). The investor writing the piece is “short” on Weatherford, meaning he’s invested money betting Weatherford’s stock price will go down–so there is a built-in conflict of interest in the article. But a few days after that article was published came the news that Weatherford’s CEO is suddenly gone (see Weatherford Fires CEO/Chairman, CFO Interim CEO), which seems to lend credibility to the Seeking Alpha writer’s thesis that the company is in trouble. Now comes word that Weatherford has suspended their U.S. “pressure pumping” (i.e. fracking) activities beginning next year. Oilfield services companies do more work than just fracking, but fracking is a a big part of what they do. According to the Upstream news service, a Weatherford official is saying the decision is a “temporary pull back”…
    Read More “Weatherford Shutting Down US Fracking Operations in 2017”

  • Anti-Drilling/Fossil Fuel | Energy Services | Energy Transfer Partners | Industrywide Issues | Pipelines | Regulation | Sunoco Logistics

    Obama Blocks Dakota Pipeline Outright, “Abandoned Rule of Law”

    December 5, 2016December 5, 2016

    anarchyIn one final, breathtaking rejection of the rule of law and poke in the eye of those who support fossil fuels, the U.S. Army Corps of Engineers, doing Lord Obama’s bidding, has rejected granting Energy Transfer (ET) an easement to complete the final leg of the Dakota Access Pipeline that crosses federal land. The out-of-state/paid protesters who have assembled at Standing Rock, ND were orgasmic with delight. Their euphoria, however, will be short-lived as ET expects the incoming Trump Administration to quickly reverse the policy and grant permission to complete the pipeline along its original route. Although this conflict is happening far outside the Marcellus/Utica, it is important for us nonetheless as this group of paid, out-of-state protesters, backed by Big Green money (using money from California billionaire and nut Tom Steyer, among others), has promised to leverage a win against the Keystone XL Pipeline and now the Dakota Access Pipeline by coming to the Marcellus/Utica in an attempt to defeat important pipeline projects in our region. Here’s the latest in the dust-up over the Dakota Access Pipeline…
    Read More “Obama Blocks Dakota Pipeline Outright, “Abandoned Rule of Law””

  • Belmont County | Energy Services | Ethane | Industrywide Issues | Ohio | Processing Plants | PTT Global

    OH Cracker Final Decision Coming Soon, Site Now Cleared & Ready

    December 5, 2016December 10, 2016

    PTT Global logoThe future site of a $5 billion petrochemical complex, including an ethane cracker, in Belmont County, OH is now cleared and essentially ready to begin building on. It has taken nearly a year, but the old R.E. Burger power plant that used to sit along the Ohio River is now just a memory. Belmont County officials say they expect PTT Global Chemical, the company that will build and operate the cracker, will make a final (positive) investment decision by the end of March–in just a few months’ time. Although the project began after Shell’s cracker project in Beaver County, PA, the PTT Global project in Belmont County has almost caught up with the Shell cracker project with respect to site readiness and building the actual buildings that will house the mighty cracker…
    Read More “OH Cracker Final Decision Coming Soon, Site Now Cleared & Ready”

  • Greene County (PA) | Industrywide Issues | Pennsylvania | Research | Washington County | Wastewater

    PA DEP Says Ten Mile Creek Radiation-Free; Antis Still Peddle Lies

    December 5, 2016December 5, 2016

    no-radiationIn 2014 Pennsylvania anti-drillers from a local chapter of the Izaak Walton League, a so-called conservation organization, attempted a smear job on the Marcellus Shale industry. They alleged that shale drillers were illegally dumping frack wastewater in an abandoned coal mine, the Clyde Mine, which sits near the Ten Mile Creek where the creek joins the Monongahela River. According to the smearmeisters, the illegally dumped wastewater was leaking out of the mine and into Ten Mile Creek (see Is Shale Wastewater Causing Radiation Spike in Ten Mile Creek?). They claimed testing they had done showed high levels of radioactivity that could not come from just acid mine drainage, that it is radioactivity typically seen in shale wastewater. Of course the allegations got a lot of media attention. The Pennsylvania Dept. of Environmental Protection (DEP) investigated and echoed their concerns with initial tests also showing high radioactivity. Except the testing done by the DEP, and the testing done by the Izaak Walton League, WAS THE WRONG TYPE OF TEST. They blew it. Researchers from West Virginia University came in and tested using the appropriate type of test and found no elevated radioactivity (see PA DEP Screws Up Water Test at Ten Mile Creek – Egg on Face). After the humiliation of being outed as using the wrong test, the DEP re-ran tests for six months in 2015–the right kind of tests–and found NO elevated radioactivity in Ten Mile Creek nor anywhere else in the area (see PA DEP Admits No Radiation in Ten Mile Creek, Closes Investigation). The DEP has continued to run tests since that time and issued a final report in November (full copy below) finding, once again, NO elevated levels of radiation in Ten Mile Creek. The response by anti-drilling radicals with an agenda to smear the Marcellus industry? Unbelievably, they once again repeated their allegation of illegal wastewater dumping…
    Read More “PA DEP Says Ten Mile Creek Radiation-Free; Antis Still Peddle Lies”

  • Anti-Drilling/Fossil Fuel | Dominion Energy | Energy Companies | Energy Services | EQT Corp | Industrywide Issues | Pipelines

    Radicals Continue to Oppose Mountain Valley, Atlantic Coast Pipes

    December 5, 2016December 5, 2016

    unreasonablePipelines are the safest form of transportation on the planet–bar none. Everyone knows it. But anti-fossil fuel radicals attempt to lie about the safety of pipelines in an attempt to get projects canceled–a tactic in their war on fossil fuels. They know as well as anyone that pipelines are perfectly safe, so they lie about safety to try and stop projects. Like the $3.5 billion Mountain Valley Pipeline and the $5 billion Atlantic Coast Pipeline–both critically important projects in the Marcellus/Utica. Note their language in opposing such projects. The aim is not to re-route the projects, but to kill them altogether. There is no reasoning with un-reasonable people like those who are members of the Allegheny-Blue Ridge Alliance, a small group of anti-fossil fuel radicals…
    Read More “Radicals Continue to Oppose Mountain Valley, Atlantic Coast Pipes”

  • Indiana County | Pennsylvania

    MSC Says Marcellus in Indiana County, PA Will Rise Again

    December 5, 2016December 5, 2016

    indiana-county-paDave Spigelmyer, president of the Marcellus Shale Coalition, was the keynote speaker last week at the Indiana County Chamber of Commerce annual luncheon. Spigelmyer told the 400+ people who attended that although the natural gas industry in the county is dormant, there is hope. Spigelmyer said he believes the gas industry in the county will thrive again, for a number of reasons, including: (1) Donald Trump and coming policies favorable to the gas industry, (2) new pipelines getting built in the area, (3) the Shell ethane cracker and the manufacturing plants that will locate near it. Here’s what Dave had to say…
    Read More “MSC Says Marcellus in Indiana County, PA Will Rise Again”

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