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    Republicans/Dems Make Progress on PA Budget Without Taxaholic Wolf

    Taxaholic“No, really, I don’t have a drinking problem,” says the alcoholic who believes just one more drink won’t hurt. Such is the power of denial. That’s the analogy that went through our heads when we read this headline: “Wolf Says Legislators In Denial.” Wolf, the taxaholoic, is the one who is in denial. He’s not listening–to Republicans or to people in his own Democrat Party. Pennsylvanians don’t want his high tax “fix” of the budget. But Wolf is, choose your adjective: obstinate…obtuse…clueless…desperate. That last one is the most likely–desperate to pay back the teachers’ unions that elected him. He can’t afford to not boost taxes–on everyone and everything (especially the Marcellus Shale)–in order to fork big money over to Big Education. Meanwhile, Republicans and Democrats together are working on a bi-partisan budget that they intend to pass without Wolf–with a veto-proof majority. Wolf is toast. He can’t govern, and he’s proved it. Time to govern around him…
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    Mass. Attorney General Continues Campaign Against NED Pipeline

    Maura Healey
    MA AG Maura Healey

    Does the shrill-sounding Massachusetts Attorney General, Maura Healey, belong to any radical environmental groups like the Sierra Club? Because she sure sounds like she does. Healey is doing everything in her power (and she wields a lot of power) to inject herself into the federal government’s role of approving or not approving Kinder Morgan’s proposed Northeast Energy Direct (NED) pipeline project–a project that would stretch from Pennsylvania into New York, through Massachusetts into New Hampshire and finally back into Massachusetts near Boston. It is a mammoth $5.5 billion project meant to address the economic hardship situation in New England where they pay 4x what other areas of the country pay for electricity and natural gas. Yet the shrill-sounding Healey continues to file letter after letter with the Federal Energy Regulatory Commission (FERC), the agency tasked with reviewing the project, hoping she can convince them to reject the pipeline. Healey is one of the many unreasonable (not able to be reasoned with) anti-fossil fuelers against the project–because it’s a fossil fuel. Here’s her latest tirade, filed with FERC last Friday, the last day for public comments on the NED project…
    Read More “Mass. Attorney General Continues Campaign Against NED Pipeline”

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    Harrisburg Newspaper’s Attack Series on Marcellus Exposed

    media biasOne of the Pennsylvania Democrat in-house publishing operations is the Harrisburg Patriot-News. Owned by Dems, run by Dems, slavishly supportive of Dems. That about sums up the Patriot-News. They don’t even pretend to be unbiased in their “reporting” on issues like the Marcellus Shale. This past Monday the Patriot-News began running a series of lying hit pieces against the Marcellus industry–in a transparent attempt to help their boy Gov. Tom Wolf in his bid to hike taxes on the drilling industry. We’ve read some of the articles. Lie after lie after lie. We haven’t commented on it here in MDN because it’s just more of the same. Why bother? The paper is obviously agenda-driven and cares nothing whatever about reporting real, actual news. However, MDN friend Tom Shepstone has put together a brilliant expose of their lies, so we’re bringing you a copy (from his always-excellent Natural Gas Now website) below. Tom points out this “series” by the Patriot-News is a perfect example of why no one trusts the media any more…
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    Enviro Groups File Lawsuit Against EPA to Force O&G Waste Regs

    Sue and SettleThe legal beagles at energy law firm Babst Calland are raising the alert that another “sue and settle” lawsuit has been filed against the federal Environmental Protection Agency (EPA) by seven radical environmental groups. This is the latest attempt at forcing the EPA to comply with a lawsuit that they intentionally lose. What? Yes, they intentionally lose the lawsuit and then tell Congress that they “have to” comply with a court order “forcing” them to enact certain unlegislated rules and regulations in order to comply with a judge’s order–in effect giving them one more weapon in their arsenal to illegally regulate the oil and gas industry. Regulation of oil and gas is Constitutionally left up to the individual states. The EPA, especially under Obama, has been innovating ways to circumvent the Constitution and Congress and cease regulation authority. So-called “sue and settle” lawsuits are one of the ways they do it. Here comes another one. This time radical environmental groups (which should be sued themselves) have sued the EPA to force them to regular oil and gas drilling wastes under the federal Resource Conservation and Recovery Act (RCRA). Here’s a summary of what’s happening…
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    Virginia Tech/NETL Cabon Dioxide Research Benefits Shale Drillers

    researchIt’s amazing what lengths otherwise rational-thinking adults will go to, to dispose of carbon dioxide–the stuff you breathe out with every breath you take. Global warmists believe an abundance of CO2 in the atmosphere will lead to global warming and toast Mother Earth (even though average global temps haven’t increased in nearly 19 years now, an inconvenient truth for warmists that they avoid addressing). Sometimes this strange behavior of trying to dispose of CO2 is actually beneficial to the shale industry. Researchers from Virginia Tech have teamed with the National Energy Technology Laboratory (NETL) on a multi-part project to investigate the feasibility of injecting captured CO2 into shale and other rock layers. The experiments, which so far are showing great promise, inject CO2 into the rock forcing natural gas out of the rock and to the surface–and locking away the nefarious CO2 underground where it will stay until a couple of hundred years from now when someone figures out how to use CO2 as an energy source and they go after it again…
    Read More “Virginia Tech/NETL Cabon Dioxide Research Benefits Shale Drillers”

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    Take the EIA Energy IQ Quiz!

    quizThe U.S. Energy Information Administration (EIA), our favorite government agency, is celebrating World Statistics Day by publishing a 20-question quiz about energy statistics. Let’s have a little fun! We’ve reproduced the quiz below. Give it a try and test your energy IQ. We didn’t keep score, but have to confess we got about as many wrong as we did right! Can you do better?…
    Read More “Take the EIA Energy IQ Quiz!”

  • Marcellus & Utica Shale Story Links: Wed, Oct 21, 2015

    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: FERC OK’s PA/NY pipeline to go online; uncompleted Marcellus wells the new storage; US Supreme Court looks at Maryland power plant deal; Emera gets DOE approval for CNG exports from Florida; enviro lawyers unhappy with FERC; are MLPs history?; and more!
    Read More “Marcellus & Utica Shale Story Links: Wed, Oct 21, 2015”

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    Hess Quietly Shops the Rest of Their Ohio Utica Acreage

    for sale signIn January 2014 Hess Corporation sold 74,000 of its 95,000 100%-owned Utica Shale acreage leases to Aubrey McClendon’s American Energy Partners for $924 million (see Hess Sells 74,000 OH Utica Shale Dry Gas Acres to Mystery Buyer). After the sale, Hess still owned 21,000 acres of leases plus a 50% share of a joint venture with CONSOL Energy in another 65,000 acres. In January of this year, Hess (like other drillers) cut way back on their budget for Utica drilling (see Hess Cuts Utica Drilling Budget 42% for 2015). It appeared that Hess was still in love with the Utica as recently as August when Hess’ top managers said some flattering things about their Utica acreage (see Hess Says Harrison County, OH “Truly the Sweet Spot” of the Utica). Perhaps that was a buildup to selling their remaining position–because that’s exactly what they’re now doing. According to unnamed sources who have seen an offering document being circulated, Hess is shopping all of their remaining Utica acreage, including the jv with CONSOL…
    Read More “Hess Quietly Shops the Rest of Their Ohio Utica Acreage”

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    Federal Power Grab: Natl Park Service Creates New Drilling Regs

    stop the power grabThere are some 408 parks that are part of the National Park System in the United States. The National Park Service (NPS) is the government agency charged with managing those parks. The NPS has just put everyone on notice that new regulations for oil and gas drilling on and under those parks is coming. In some cases mineral rights are not owned by the government and drilling does happen on or under the parks. Oil and gas drilling currently happens in 12 of the 408 parks, including drilling operations in the Cuyahoga Valley National Park between Akron and Cleveland in Northeast Ohio. Just over half of the drilling operations happening in those 12 National Parks is exempt from NPS regulations. In an annoucement (below), the NPS said (1) we’re about to make drilling regs more strict, and (2) the new regs will apply to all drilling in all National Parks, including the places where it’s currently exempt from NPS rules–even if the mineral rights are not owned by the NPS. It is another power grab by the federal government. The Bureau of Land Management (BLM) tried this tactic with non-park federal lands–a move that landed it in court (see Federal Judge Blocks BLM Rules for Fracking on Federal Lands). Will the same thing happen to the NPS?…
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    Quigley Changes Story, “Reactivating” Enviro Justice Office at DEP

    riffingIn a sit-down in September with the editors of the Washington Observer-Reporter (near Pittsburgh), the PennFuture Secretary of the Pennsylvania Dept. of Environmental Protection, John Quigley, was reported to have said the following: “He [Quigley] is proposing to create an office of environmental justice within the department and hire “the right individual” to advise him on policy” (see PA DEP Sec. Quigley Wants to Create “Environmental Justice” Office). A sharp MDN reader pointed out to us that such an office already exists inside the DEP (see Quigley Faux Pas: DEP Already has Office of Environmental Justice). Oops. Time to engage in some CYA and cover up that embarrassing error. It’s the Pittsburgh Post-Gazette to the rescue! The Post-Gazette, cooperating with Quigley to try and repair his already-fading reputation, is reporting Quigley knew that the Office of Environmental Justice existed and is “reactivating” the office which had become “moribund” under former Gov. Tom Corbett because, well, because Corbett just hates poor people and libs like Quigley just love poor people. That’s the gist of the article…
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    Halliburton 3Q15: $54M Loss, Cut 18,000 Jobs Over Past Year

    red inkIt continues to be tough times at Halliburton. Although the company is in the process of buying smaller competitor Baker Hughes, Halliburton themselves are having a hard time keeping their proverbial nose above water. In the third quarter of 2015 the company lost $54 million and laid off another 2,000 employees. Earlier this year Halliburton laid off 10% of its workforce–some 9,000 people (see 3rd Shoe Drops: Halliburton Lays Off Additional 2,600). In September, an internal company document surfaced saying the company has plans to lay off a total of 20,000 people. They’re almost there. According to an email from a Halliburton spokesperson, the company has now laid off 18,000 people since last year–a number much higher than previously confirmed by the company. In a phone conference yesterday, Halliburton officials said first quarter of next year will likely be the lowest point they hit with respect to a decrease in business/revenue, and after that things will improve. From their lips to God’s ears–we hope they’re right. Below is the earnings update along with select comments by Halliburton’s muckety mucks as reported by Bloomberg…
    Read More “Halliburton 3Q15: $54M Loss, Cut 18,000 Jobs Over Past Year”

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    PA Superior Court Rules on Important Surface/Mineral Rights Case

    Gavel fallingA complicated court case just decided by Pennsylvania Superior Court has implications for all land and mineral rights owners in PA. The case is called Wright v. Misty Mountain Farm LLC. This is how we understand it. In 1950 Fred and Jeanetta Buck sold some property in Bradford County, PA to Robert and Marjorie Wright. However, the Bucks kept the oil/gas/mineral rights for themselves, having already leased the mineral rights for the property. The mineral rights lease eventually expired in 1971. At that time, Robert and Marjorie Wright, the surface owners, figured with the expiration of the lease, the mineral rights reverted to them–so they signed a lease to allow oil and gas drilling. In 1988 the Wrights signed over the property and the lease to David and Patricia Wright (we’re assuming son and daughter-in-law). David and Patricia signed new leases on the property in both 2001 and again in 2005. Eventually Jeanetta Buck died and in 2010 while reviewing her estate and its assets, Shirley Matthews, administratrix of the estate, discovered/claimed the mineral rights still belonged to the Bucks. So Matthews conveyed the subsurface mineral rights to Misty Mountain Farm LLC. Patricia Wright argued that the when the original lease made by the Bucks in 1950 expired, ownership of the mineral rights also expired–in 1971. A lower court and then the Superior Court disagreed and ruled that unless there is specific language saying that when a lease expires so too do the mineral rights, then the mineral rights still belong to the original rights owner. Whew. Get all that? Bottom line: Just because a lease expires it doesn’t mean the party who owns the mineral rights loses their claim on those rights…
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    Global LNG Demand is Going Down – What Does it Mean for the U.S.?

    if you build it will they comeMDN editor Jim Willis still remembers the thunderclap of understanding he experienced while attending the Platts Global Energy Outlook Forum in New York City in December of 2013 (see Energy Industry Leaders Gather at Platts Forum in NYC). As we wrote at the time: “The one thing Jim learned (honest admission) is how much he doesn’t know about the wider energy industry. We who toil away in the shale gas and oil industry are, according to those at the Forum, a bit myopic. I think that’s probably true. Our heads are down and we’re fighting crazies every day and forget to look up and take stock of how our piece of the energy puzzle fits with the rest of the puzzle. The Forum helped provide some of that perspective for Jim.” In many ways that statement remains true–that the oil and gas industry is working hard and treading water and doesn’t stop to consider the global interconnection between not only oil and gas, but all energy sources. We can produce lots of gas in the U.S., but where and how will it get used? With all due respect to the great actor Kevin Costner, if you build it, they don’t necessarily come! As in, if we continue to pump out enormous quantities of natural gas and think that exports will save the day–that other countries will soak up our extra capacity–well, it’s a nice thought, but not necessarily true. Case in point: Platts is out with a sobering assessment of LNG going to Japan and Korea (and even China)–and the picture is not pretty for exporters here in the U.S….
    Read More “Global LNG Demand is Going Down – What Does it Mean for the U.S.?”

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    81 Big Companies Sell Out U.S., Support Obama’s Climate Madness

    climate change insanityIn December President Obama will travel to Paris to sign a climate treaty that forfeits the sovereignty of the United States of America–the country he swore to protect. The Paris climate treaty is another in a long line of attempts (like Kyoto) to convince stupid Americans to give up the right to control their own country and destiny–to sell ourselves out and let non-American, un-elected socialists from other countries determine how we will live in the future. They use the bogeyman myth of global warming to do it. They are all aiming to commit mass energy suicide by outlawing fossil fuels–but it won’t work if we don’t play along. We pray Congress stops this madness, but now we despair. You see, big business is in bed with big government and funds the political ruling class in Washington and in return the politicians pass laws favorable to them. Some 81 of the biggest big businesses (who contribute heavily to Congress and receive preferential treatment in return) have signed on to a pact to support Obama’s climate madness. They actually want him to sign the treaty that gives up our national sovereignty. Without these 81 big businesses (full list below) you literally could not live–from Walmart to Hershey to Nike to Apple to Google to Kellogg’s to American Express…the list goes on. Sadly, even some in our own industry have signed on, including Invenergy. Shame on them. If we were to boycott them (as should happen) we’d have to live like hermits in the wilderness. No one can live without the goods and services provided by this list of 81 mega corporations. And each and every one of them have sold us out. It’s truly a sad and depressing day…
    Read More “81 Big Companies Sell Out U.S., Support Obama’s Climate Madness”

  • Marcellus & Utica Shale Story Links: Tue, Oct 20, 2015

    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: flood agency wants details from PennEast Pipeline; royalties down in Washington County, PA; MSC remains vigilant against severance tax; recent grads still getting jobs in WV shale; ETE/Williams deal; possible coup in Saudi Arabia; and more!
    Read More “Marcellus & Utica Shale Story Links: Tue, Oct 20, 2015”

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    Oh Oh, New “Study” Says Fracking Leads to Low Sperm Count!

    fall down laughingA study titled “Endocrine-Disrupting Activity of Hydraulic Fracturing Chemicals and Adverse Health Outcomes After Prenatal Exposure in Male Mice” was published last week in the journal Endocrinology (abstract below). This one is fall-right-out-of-your-chair-laughing funny! The study attempts to make a link between fracking and low sperm counts in men by exposing mice (yes, mice were harmed in the making of this study!) with chemicals used in fracking. Thing is, they overdosed the mice–using far more chemicals at higher doses than are ever used in fracking fluids. That’s just one of the many problems with this new “study.” There are plenty of other problems too, including the raging conflicts of interest for the anti-driller who was the supervising “researcher” for the study…
    Read More “Oh Oh, New “Study” Says Fracking Leads to Low Sperm Count!”