Marcellus Drilling News

Energy Companies | Warren Resources

After Almost a Year, Warren Resources Gets New CEO
November 17, 2015December 15, 2015

Warren Resources, a small, independent exploration and production company with an ongoing drilling programs in California, Wyoming, and in the northeast Pennsylvania Marcellus Shale, recently moved their headquarters from New York City to Denver, Colorado (see Warren Resources Says Bye-Bye to NYC Headquarters, Hello Denver). Warren’s Marcellus program is small–very small. They spent just $3.8 million in 3Q15 to complete two “upper” Marcellus wells (see Warren Res. 3Q15: $190M Paper Loss, Completes 2 Upper Marcellus Wells). However, they remain active in the Marcellus and may one day expand their activity here, so we keep tabs on them. The company is facing some serious challenges. Last December Warren’s CEO and Chairman of the Board, Philip Epstein, suddenly quit (see CEO of Warren Resources Quits, Replaced by Citrus Energy CEO). Since Epstein’s departure, Citrus Energy CEO Lance Peterson (a Warren board member) had taken the reigns as interim CEO. The search is now over and Warren has just announced the appointment of a new CEO…
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Anti-Drilling/Fossil Fuel | Health Impacts | Industrywide Issues | Pennsylvania | Research | Statewide PA

Another Devastating Critique of Fracking/Premature Birth “Study”
November 17, 2015November 17, 2015

In early October MDN brought you the story that a new so-called research study had been published claiming to show a connection between how close mommies live to a fracking site and an increase in premature births (see New Junk Science Claims PA Fracking Leads to Premature Births). We quickly debunked that study by showing the huge flaws in how it was “researched” (see EID’s Devastating Critique of PA Premature Birth “Study”). We have a further update. Dr. Gilbert Ross, senior director of medicine and public health at the American Council on Science and Health has weighed in with his own critique of the science behind the study. Dr. Ross says, “Realistically, there is no way hydraulic fracturing could have had an impact on pregnancy outcomes.” Here’s what else he says about this very flawed study…
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Industrywide Issues | Regulation | Research

The Right Road to Clean Power: Free Market & NatGas
November 17, 2015November 17, 2015

Whenever government gets involved with choosing the form of energy you should use–they screw it up. The utopian Obama Admnistration believes the lie that government knows best–that they are the smartest people in the room and therefore should tell you that coal is evil, solar and wind are good, and they want to force you to change how you get your energy. One of their arguments is too much carbon in the atmosphere comes from burning coal–and natural gas. The Obama Administration is attending the U.N. Climate Change Conference in Paris hellbent on forcing Americans to give up national sovereignty in the name of mythical global warming. Thing is, the free market (capitalism) always produces a better result than the cockamamie theories of egg-headed liberals like Obama and his ilk. Carbon emissions in the United States, unlike other countries of the world, has gone DOWN, not up. And it’s gone down bigtime. America’s shrinking carbon footprint is thanks to a change to natural gas–not in so-called renewables. Want proof? We have it…
Read More “The Right Road to Clean Power: Free Market & NatGas”
Industrywide Issues | Research

Change Coming This Week in How EIA Reports NatGas Storage Data
November 17, 2015November 17, 2015

It may sound dry as unbuttered toast, but the issue of natural gas storage is a serious business. So serious that the U.S. Energy Information Administration (EIA) tracks natural gas storage each week (see Weekly Natural Gas Storage Report). Natural gas traders, buyers and sellers all watch the numbers closely. As we’ve told you over the years, natural gas is about as pure of a commodity as you can get. It is a classic supply and demand kind of business. The more supply you have (as indicated by how much gas is in storage), without corresponding demand–the lower the price goes. We are, as of right now, hitting record storage levels at this point in the year. That means the price of gas isn’t going higher any time soon. There is an important change coming in the way the EIA reports storage data. Beginning this Thursday, Nov. 19, the EIA will move from reporting storage data in three regions in the U.S. to reporting it in five regions…
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Best of the Rest

Marcellus & Utica Shale Story Links: Tue, Nov 17, 2015
November 17, 2015November 17, 2015

The “best of the rest” – stories that caught MDN’s eye that you may be interested in reading. In today’s lineup: Is Magnum Hunter resource play model still valid; Greenlight Capital’s “best idea” is CONSOL Energy investment; OH Supreme Court hears Dorman Minerals case today; OH lawsuits seek class action against Chesapeake; gas distributors oppose TGP 300 looping project; PGW explores LNG business; antis fight pipeline in Danbury, CT; shale puts a ceiling on oil prices; and more!
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Energy Services | Ethane | Industrywide Issues | Odebrecht | Processing Plants | West Virginia | Wood County

Odebrecht’s WV Ethane Cracker Plant May Not be Dead After All
November 16, 2015November 16, 2015

Wait a minute! We thought the proposed Odebrecht ethane cracker plant near Parkersburg in Wood County, WV was all but dead. Lifeless. In April the company said it was “re-evaluating plans” to build it (see Odebrecht Pushes the Pause Button on WV Ethane Cracker). In June, Odebrecht’s Brazilian CEO was arrested, casting further doubt on the project (see Odebrecht CEO Arrested; What Does it Mean for WV Cracker Plant?). Since that time we’ve seen a bit of cheerleading and some empty platitudes from WV Gov. Earl Ray Tomblin who hasn’t given up on the project (see WV Gov Tomblin Continues to Cheerlead for Wood Co. Cracker Plant). But we didn’t detect a pulse. Both the Shell cracker (in PA) and PTT Global cracker (in OH) have had robust developments that indicate those plants are making serious progress. But nothing for the Odebrecht project all year long–that is, until now…
Read More “Odebrecht’s WV Ethane Cracker Plant May Not be Dead After All”
Industrywide Issues | Jobs | Sand/Proppant

Some Shale Drillers Shutting Down from Thanksgiving to New Year
November 16, 2015November 16, 2015

It looks like there’s a slowdown coming for many drillers in the Utica/Marcellus. Strike that–more like a stoppage, we’ve already seen a slowdown. The stoppage for some (not all) drillers will happen between Thanksgiving and New Year’s Day when some drillers, according to two different proppant companies, will stop drilling, giving their workers a forced “holiday” at the worst time of the year–the holidays. Both Fairmont Santrol, a frac sand provider headquartered in Chesterland, OH, and Carbo Ceramics, which manufactures and sells ceramic beads as an alternative to frac sand (headquartered in Houston, TX) recently indicated drillers will put on the breaks in the fourth quarter. They should know–they’re the ones who get the orders months in advance. Here’s what they said…
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Anti-Drilling/Fossil Fuel | Energy Companies | Indiana County | Industrywide Issues | Litigation | Pennsylvania | Pennsylvania General Energy | Regulation | Wastewater

Anti Group CELDF Won’t Help Grant Twp Pay $1M Judgement
November 16, 2015November 16, 2015

Question: How will Grant Township (Indiana County, PA), a town with 741 people in it, pay a lawsuit it may lose awarding Pennsylvania General Energy (PGE) $1 million? Going by the law of averages, less than half of the 741 people actually pay taxes (the other half are welfare slugs). So the question is, how can something like 200 families come up with enough money to pay such a large lawsuit? Answer: they can’t. The town goes bankrupt. That is the very real situation facing the residents of Grant Township. You may recall we’ve written about this before. Grant tried to block PGE from building a wastewater injection well in the township by passing an illegal law stirred up and proposed by the odious Community Environmental Legal Defense Fund, or CELDF (see Fed Judge Overturns Grant Twp, PA Ban on Injection Wells). The town has now tried to reorganize in order to avoid the judge’s ruling (see Grant Twp, PA Reorganizes to Avoid a Court-Ordered Injection Well). PGE has sued the town claiming (truthfully) they’ve suffered at least $1 million in damages. That case goes to trial in March. If the town loses, the town pays. The cowardly CELDF has admitted they won’t contribute a penny toward the $1 million fine if the case goes against the town. Nice friends the people of Grant have made in the CELDF, wouldn’t you say?…
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Industrywide Issues | Pennsylvania | Statewide PA | Taxation

PA LibDems Turn On/Attack Wolf Over No Severance Tax Budget
November 16, 2015November 16, 2015

Must be Pennsylvania’s liberal Democrats, like those in the Harrisburg Patriot-News news room, thought Tom Wolf was the Second Coming of Barack Hussein Obama. They actually thought that Wolf could jam huge tax increases, including a Marcellus Shale severance tax, down the throats of PA Republicans in the state legislature. Somehow (thank the Good Lord) Republicans grew a spine and resisted the withering pressure and harassment of Dems and their media organs, including the Patriot-News. So we thought is noteworthy (and funny) when the editorial board at the Patriot-News essentially turned on one of their own, Tom Wolf, and threw him and his budget deal with Republicans under the bus…
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Industrywide Issues | Lease & Royalty Payments | Litigation | Pennsylvania | Statewide PA

PA Superior Court Rules on 2nd Important Surface/Mineral Rights Case
November 16, 2015November 16, 2015

We have a second important Pennsylvania Superior Court case decision to bring you in less than a month. Last month we told you about Wright v. Misty Mountain Farm LLC, a case with implications for all land and mineral rights owners in PA (see PA Superior Court Rules on Important Surface/Mineral Rights Case). Another case decided Nov. 6, Northern Forests II, Inc. v. Keta Realty Company, also has big implications for rights owners. In the Northern Forests case (full copy below), the surface rights owner (Northern Forests) claimed they should also own the subsurface rights due to a legal principal called adverse possession. In reviewing the case, a PA trial court found the original case from 1989 awarding Northern Forests the mineral rights, was in error–the rights revert back to the original rights owners. PA Superior Court agreed and upheld the decision. Here’s the low down from legal beagles at McGuireWoods, the attorneys for Keta Realty, the winner in the case…
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Energy Companies | Hess

Hess COO Sells $540K of Company Stock
November 16, 2015November 16, 2015

From time to time we tell you about so-called “insider selling” or “insider buying”–by which we mean someone in top management or on the board of directors is buying or selling stock in the company for which they work. We’ve just had another instance. In September, first a Hess board member John H. Mullin III purchased $381,430 worth of company stock (see Hess Board Member Buys 7K Shares, Now Owns $3.2M in Hess Stock), then Hess CEO John Hess bought a whopping $7.5 million worth of company stock (see Hess CEO John Hess Buys 144K Shares of Co. Stock for $7.5M). Now we get word that Hess COO Greg Hill has just sold $540,180 worth of stock…
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Anti-Drilling/Fossil Fuel | Industrywide Issues | New York | Pipelines | Westchester County

Radical Bishop Finds Religion in Protesting Algonquin Pipeline
November 16, 2015November 16, 2015

It grieves us when we see someone misuse religion as an excuse to promote–or oppose–a purely political ideology. Such is the case with a retired Episcopal bishop from Westchester County, NY who claims a higher power blesses his opposition to expanding a natural gas pipeline that will bring carbon-lowering, clean burning natural gas to millions of people in the northeast. The bishop is really nothing more than just another 60s hippie radical trading on the good name of the church. Bishop George Packard, previously arrested for being an Occupy Wall Street anti-capitalist protester, was recently arrested for illegally blocking access to a construction site where Spectra Energy workers are working on the Algonquin Incremental Market (AIM) project to expand capacity of the Algonquin Gas Transmission natural gas pipeline to flow more Marcellus/Utica gas to northeast markets. Apparently Bishop Packard feels that God would have him block cheap, clean burning gas, lowering the bills for millions of people and making their lives here on earth a little better. What explains this apparent defection from loving God to loving political ideology instead?…
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Anti-Drilling/Fossil Fuel | CNG/LNG | Industrywide Issues | New York | Regulation | Statewide NY

The Incredibly (Stupid) Hulk Praises Cuomo for Port Ambrose Veto
November 16, 2015November 16, 2015

Last Friday MDN told you that New York Gov. Andrew Cuomo had once again bowed to political pressure from his lunatic left and vetoed a proposed off-shore LNG import facility called Port Ambrose (see NY Gov. Cuomo Vetoes Port Ambrose LNG Import Terminal). Not having much to do between Avengers movies, Mark Ruffalo (who plays Bruce Banner/Incredible Hulk) occupies his time by making the rounds at small anti-fracking protest rallies where adoring fans as vapid as he is engage in sickening hero worship–believing a professional liar (i.e. actor) actually knows something about fracking and should be believed. Hearing of Cuomo’s veto of the Port Ambrose project–a project that would have imported non-fracked gas from Trinidad, potentially displacing fracked Marcellus gas–Ruffalo issued the following statement from his Americans Against Fracking organization praising Cuomo…
Read More “The Incredibly (Stupid) Hulk Praises Cuomo for Port Ambrose Veto”
Anti-Drilling/Fossil Fuel | Industrywide Issues | Ohio | Statewide OH

Here Comes Another “National Day of Action” Against Fracking
November 16, 2015November 16, 2015

Get ready. Here it comes! Throngs of anti-drillers rising up to show their opposition to clean-burning natural gas. Break out the tie dye psychedelic shirts and hippie beads. It’s time to protest, maaan. Dig it! It’s like, whoa, tomorrow is “Freedom From Toxic Fracking Waste and Earthquakes: A National Day of Action.” Here’s our prediction: There will be two or three protest locations with about dozen people each–most of them hippie has-beens. Nobody outside of Democrat media will even notice the so-called protests. Below is the call to protest, naming the nutter groups behind it (the usual suspects)…
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Alternative Energy | Anti-Drilling/Fossil Fuel | Industrywide Issues

Hydropower Not “Green Enough” for Wacko Environmentalists
November 16, 2015November 16, 2015

Apparently wacko environmentalists don’t oppose just fossil fuels (including natural gas) because fossil fuels will “suppress” the growth of so-called renewables. Sometimes wacko environmentalists oppose their own precious renewable sources of energy. Self-loathing? Perhaps. Get this: Some enviros in New England are opposing hydropower that comes from Canada into New England because it comes via high-power transmission lines that don’t look pretty, and because (yes) it may mean other “favored” forms of so-called renewables, like ugly wind farms and unreliable solar, won’t develop as quickly. Hydro will stunt their growth. It’s silly and it’s sad–kind of like parents who favor one child over another. We bring you the story below for two reasons: (1) To point out the irrational, unreasoning and childish behavior of these so-called green supporters, and (2) to illustrate the folly of choosing which forms of energy people should/should not have the right to use. These wacko environmentalists think they’re smarter than you and know which forms of energy you should allow in your life…
Read More “Hydropower Not “Green Enough” for Wacko Environmentalists”
Best of the Rest

Marcellus & Utica Shale Story Links: Mon, Nov 16, 2015
November 16, 2015November 16, 2015

The “best of the rest” – stories that caught MDN’s eye that you may be interested in reading. In today’s lineup: Magnum Hunter considers bankruptcy; NRDC gang & fight against Exxon; Wolf’s “half a loaf” budget; Williamsport housing shortage from gas boom; Chesapeake drills a Rogersville test well; natgas bends carbon emissions curve; worst winter natgas prices since 2012; and more!
Read More “Marcellus & Utica Shale Story Links: Mon, Nov 16, 2015”