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Marcellus Drilling News
  • Energy Companies | Industrywide Issues | Pennsylvania | Regulation | Rice Energy | Washington County

    Jeb Bush Visits Rice Energy Today to Unveil New Energy Plan

    September 29, 2015September 29, 2015

    Jeb BushLow energy Republican presidential candidate Jeb Bush (as Donald Trump calls him) has decided to inject some high energy (as in the energy industry) into his campaign. Jeb is today visiting the Pittsburgh headquarters of one of the Marcellus/Utica’s most successful drillers–Rice Energy–to unveil his energy plan that calls for the lifting of the crude oil export ban (something our Dear Leader, President Obama, opposes) and for the approval of the Keystone XL oil pipeline (Obama also opposes). However, the thing that makes Jeb’s visit to Rice Energy salient and meaningful for the Marcellus/Utica is that he will call for (a) lifting restrictions on exporting natural gas–making it easier to export natgas to Japan, China and European countries, and (b) fight Obama’s Clean Power Plan (CPP). There is no doubt Bush will say all of the right words and espouse policies the oil and gas industry can strongly support. The question is, will he actually do any of it if he gets elected?…
    Read More “Jeb Bush Visits Rice Energy Today to Unveil New Energy Plan”

  • Anti-Drilling/Fossil Fuel | Industrywide Issues | Luzerne County | Pennsylvania | Pipelines | Regulation

    NEPA Democrat Congressman Targets FERC in Effort to Stop Pipelines

    September 29, 2015September 29, 2015
    Matt Cartwright
    Congressman Matt Cartwright – Democrat

    An anti-drilling Democrat Congressman from Pennsylvania’s 17th Congressional District (Wilkes-Barre area), U.S. Rep. Matt Cartwright, continues a campaign targeting the Marcellus Shale industry for extinction–an industry that employs many of his constituents and benefits all of his constituents with lower natural gas and electricity prices. Cartwright and other anti-drilling members of Congress have recently changed strategies and are now attacking the Federal Energy Regulatory Commission (FERC) hoping to slow down and stop new pipeline construction. Cartwright sent a letter to the Inspector General for the Dept. of Energy (under which FERC sits) asking the IG to instigate a witch hunt against FERC with the aim of getting FERC to slow down its already molasses-slow permitting process for new pipelines. Cartwright and other members of Congress (from New England) hope they can bully FERC into abandoning its stated charter to dispassionately and without political influence evaluate pipeline projects based solely on their environmental impact to the local communities through which they run…
    Read More “NEPA Democrat Congressman Targets FERC in Effort to Stop Pipelines”

  • Guest Post | Industrywide Issues | Regulation

    What Have We Learned from EPA’s Gold King Mine Disaster?

    September 29, 2015September 29, 2015

    guest postOn January 9, 2014, a Freedom Industries facility next to the Elk River leaked ~10,000 gallons of crude 4-methylcyclohexanemethanol (MCHM) used in coal mining into the river, which is a tributary to the Kanawha River that runs through Charleston, WV. The results of that leak were dramatic. Some 300,000 residents from nine counties in the Charleston metropolitan area were without access to potable water for five days. Several Freedom Industries officials are now in jail and the company went bankrupt because of that single accident. Contrast coverage of that accident with another accident–caused by the federal Environmental Protection Agency (EPA) at the Gold King Mine in Colorado. EPA personnel were fiddling around “testing” at a gold mine wastewater storage impoundment and accidentally unplugged it, dumping 3 million gallons of some of the nastiest wastewater you can imagine–with lead, arsenic and other heavy metals–into the Animas River north of Silverton, CO (see EPA Causes Environmental Disaster in CO; Connection to Marcellus?). The Gold King Mine spill turned the Animas “an opaque orange color reminiscent of boxed mac and cheese.” Question: Should EPA Administrator Gina McCarthy be locked up and the EPA dismantled based on a single accident? Is there a double standard when it comes to environmental reporting?

    Stephen Heins, an energy and regulatory consultant for a Wall Street firm, and former vice president of communication for Orion Energy Systems, is an occasional guest blogger here on MDN. Steve has penned an excellent article (below) that takes a look at EPA’s response to the Gold King Mine disaster. Steve says he’s not second-guessing the accident itself–it was an accident (they do happen). He’s interested in how the EPA responded, what we can learn from it, and whether or not a double standard exists when it comes to environmental reporting about government-caused accidents vs. those caused by private companies…
    Read More “What Have We Learned from EPA’s Gold King Mine Disaster?”

  • Commodity Price | Industrywide Issues | Pipelines

    ANGA Walks into New England Lion’s Den With Hard Truth

    September 29, 2015September 29, 2015

    the hard truthIt takes guts to walk boldly into the liberal lion’s den and tweak the nose of the beast. That’s what Marty Durbin, chief executive of America’s Natural Gas Alliance (ANGA), has done with an editorial appearing in yesterday’s Boston Globe newspaper. Durbin has the audacity to tell readers that their high energy bills and constrained natural gas supplies is “self-imposed.” He also tells them they can believe whatever they want, but they can’t defy the laws of supply and demand and there is no arguing the fact that New Englanders pay high energy prices because they lack necessary natural gas supplies. Just a few hundred miles away natgas prices in the Marcellus are a fraction of what gas sells for in New England. Marty pours it on! He also says a recent study shows without new natgas supplies for New England, by 2020 the average consumer will pay almost $1,000 more per year in energy costs than they do today. Read Marty’s audacious editorial for yourself below, full of cold, hard truth. Let’s hope New Englanders will see the light–which happens to be a blue natural gas flame…
    Read More “ANGA Walks into New England Lion’s Den With Hard Truth”

  • CONSOL Energy | Energy Companies | EQT Corp | Pennsylvania | Range Resources Corp | Rice Energy | Washington County

    New Washington Co PA Training Facility for Well Pad Fires

    September 29, 2015September 29, 2015

    patchThe Washington County (PA) Firemen’s Association recently opened a new $500,000 gas well training center at the fire academy located at 895 Western Ave in Houston, PA. The project, which took more than a year to plan and complete, was completely funded by some of the biggest and best drillers in the Marcellus/Utica, including Range Resources, Rice Energy, CONSOL Energy, EQT, American Well Service and others. It will be used to train first responders not only in Washington County, but also from other parts of Pennsylvania along with West Virginia and Ohio. According to Pennsylvania Fire Commissioner Tim Solobay, “There’s nothing like it outside of Texas”…
    Read More “New Washington Co PA Training Facility for Well Pad Fires”

  • Best of the Rest

    Marcellus & Utica Shale Story Links: Tue, Sep 29, 2015

    September 29, 2015September 29, 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: Upstate NY struggles–lost jobs/poor economy with no fracking; severance tax debated in Harrison County, OH; NFG asks FERC for permission to start up pipeline early; 4Q15 looks bleak for shale companies; 20 scientists ask government to prosecute those who don’t believe in “climate change”; and more!
    Read More “Marcellus & Utica Shale Story Links: Tue, Sep 29, 2015”

  • Accidents | Energy Companies | Industrywide Issues | JKLM Energy | Pennsylvania | Potter County

    JKLM Energy Accident Contaminates 5 PA Water Wells with Soap

    September 28, 2015September 28, 2015

    Dawn dish soapIn February MDN told you about a deal signed by a hospital in Potter County, PA to lease 742.9 acres of hospital-owned land to JKLM Energy to drill Utica Shale wells (see Potter County, PA Hospital Leases Land to JKLM for Utica Drilling). Since that time, drilling under the property (and presumably under surrounding properties) has taken place. And, unfortunately, there was an accident. JKLM discovered that 55 gallons of soap (yes, soap) used to free a broken drill bit around 570 feet down the bore hole on Sept. 18 leaked into the water aquifer and migrated to five local water wells. No one is in danger. The soap is already heavily diluted and will soon disappear. There is no lasting damage. But the way the Harrisburg Patriot-News is covering it, you would think a chemical tanker had overturned irreparably polluting an entire town’s water supply. The way JKLM has responded has been exemplary, testing everything in sight, communicating with landowners and the hospital, issuing press releases with full details on a daily basis…
    Read More “JKLM Energy Accident Contaminates 5 PA Water Wells with Soap”

  • Baker Hughes | Energy Services | Halliburton | Industrywide Issues | Jobs | Weatherford Intl

    Halliburton Laying Off Up to 20,000, More than 25% of Workforce

    September 28, 2015September 28, 2015

    rumor millVery interesting development with Halliburton. As we previously reported, Halliburton is forcing Baker Hughes to the alter in a shotgun wedding/takeover (see Halliburton & Baker Hughes Vote to Approve Shotgun Wedding). Before the two can get hitched, regulators are forcing Halliburton to first sell certain assets (see Halliburton Shotgun Divorce – Forced to Sell Certain Divisions). The prime candidate to buy those assets was Weatherford. However, Weatherford just canceled a plan to raise $1 billion, presumably to be used to buy Halliburton’s cast-offs (see Oilfield Services Weatherford Flip Flops on Stock/Note Offering). Now we know why Weatherford wanted $1B–but the deal to buy Halliburton’s assets is now in doubt. Enter the latest news from Halliburton–that they’re about to lay off a massive 20,000 people–something like 25% of their workforce…
    Read More “Halliburton Laying Off Up to 20,000, More than 25% of Workforce”

  • Appalachian Resins | Energy Services | Ethane | Industrywide Issues | Monroe County | Ohio | Processing Plants

    AR “Baby” Cracker Plant in Monroe County, OH Put on Hold

    September 28, 2015September 28, 2015

    on holdIn February 2013 MDN brought you news about plans from Appalachian Resins (AR) to build a polyethelene (PE) manufacturing plant complete with a “baby” ethane cracker. The original plan was to build it in the Wheeling, WV area. However, a year later the location shifted across the border to Monroe County, OH. As late as April of this year AR was still committed to the project (see Ohio “Baby Cracker” Plant Still a Go – 2018 Startup Date). Turns out commitment is a fickle thing when it comes to cracker plants–either baby or fully grown. AR recently revealed they have put their “baby cracker” plant project on hold. The leaders of AR say with both Shell and the PTT Global projects heating up, they don’t believe there will be enough talent in the region to build their project. Interestingly, the CEO of AR says he firmly believes the PTT Global project (a company based in Thailand) will get built–but not for the reason you might expect (i.e., economics)…
    Read More “AR “Baby” Cracker Plant in Monroe County, OH Put on Hold”

  • Anti-Drilling/Fossil Fuel | Butler County | Energy Companies | Industrywide Issues | Litigation | Pennsylvania | Rex Energy

    Landowners’ Countersuit Against Martians Tossed by Obama Judge

    September 28, 2015September 28, 2015

    miscarriage of justiceNOTE: MDN received a note from a subscriber (and lawyer) who has appeared before Judge Horan several times and believes our characterization is unfair and unwarranted. Indeed, the lawyer says Horan is “certainly not a radical” and has rendered industry-favorable decisions on several occasions. We appreciate it when subscribers take time to point out when our gut reaction, usually spot on, may not be. We want to be fair and not impugn someone’s reputation without cause.

    Once again justice has been corrupted in a corrupt Pennsylvania court. It’s A.O.K. for four local residents (Martians) and two tax-exempt non-profit groups from the opposite side of the state to bring lawsuits to stop legal Marcellus drilling in Butler County, PA, costing Butler County taxpayers in excess of $35,000 in legal fees (see ACLU Asks County Judge to Toss Lawsuit Against Litigious Martians). The Martians have children in the Mars School District located 3/4 of a mile away from the proposed Rex Energy drilling site. Never mind other school districts in the state have allowed drilling ON CAMPUS. A dozen landowners in Middlesex and Adams Townships that want drilling to commence counter-sued the Martians and the Big Green groups for holding up a legal process (see Shoe Now on Other Foot: Landowners Sue Martian Anti-Drillers). Butler County Judge Marilyn J. Horan (Democrat) has tossed the landowners’ counter-suit out of the nearest ivory tower window. That’s “justice” for you in Butler County, PA. You may be interested to know that Judge Horan is a radical/activist judge, recently nominated by President Barack Hussein Obama to become a federal judge for the U.S. District Court for the Western District of Pennsylvania–no doubt because of her radical views…
    Read More “Landowners’ Countersuit Against Martians Tossed by Obama Judge”

  • Butler County | Energy Companies | Industrywide Issues | Lease & Royalty Payments | Litigation | Pennsylvania | XTO

    XTO Files Motion to Dismiss Royalty Lawsuit in Butler County, PA

    September 28, 2015September 28, 2015

    court gavelAn update on a royalty lawsuit we first reported in July. Two Butler County, PA landowners with a combined 245.7 acres of land leased to (and drilled by) XTO Energy have sued XTO claiming the company is breaking the lease agreement by paying royalties below 1/8 of what XTO receives in revenue for the gas (see PA Landowners Sue XTO Energy for Shorting Them on Royalties). The landowners hoped the case would become a class action lawsuit. Last week XTO’s lawyers filed a motion to dismiss the lawsuit, hoping to prevent it from becoming a class action…
    Read More “XTO Files Motion to Dismiss Royalty Lawsuit in Butler County, PA”

  • Industrywide Issues | Research

    Analysts Say Marcellus/Utica 2016 Production Will Exceed 2015

    September 28, 2015September 28, 2015

    crystal ballAnalysts with global investment firm Jeffries are out with a forecast for natural gas production next year, in 2016. Jeffries says while natural gas production in the Marcellus/Utica will slow next year, they are the only two plays in the entire country that Jeffries says will still grow in production year over year. However, overall the U.S. will produce slightly less gas in 2016 than we will have in 2015–with production estimated to decline by 0.8% (less than a single percentage point)…
    Read More “Analysts Say Marcellus/Utica 2016 Production Will Exceed 2015”

  • Commodity Price | Industrywide Issues | Research

    CoBank Report: US Natural Gas Outlook through 2020

    September 28, 2015September 28, 2015

    supply demandCoBank, a national cooperative bank serving vital industries across rural America, has just published a study titled “U.S. Natural Gas Outlook through 2020: Demand Is the New Captain of the Ship” in which they predict the United States will become a net exporter of natural gas in 2017. While we don’t have a copy of the full report, we do have a summary below listing the key points in the report, along with a video…
    Read More “CoBank Report: US Natural Gas Outlook through 2020”

  • Energy Services | Industrywide Issues | Kinder Morgan | Pipelines | Tennessee Gas Pipeline

    Adults Response: NH Town Negotiates NED Pipeline Route Change

    September 28, 2015September 28, 2015

    behave like an adultOne New England town shows how to “do it right” when it comes to dealing with a big pipeline company like Kinder Morgan. As we’ve covered (endlessly), Kinder’s Northeast Energy Direct (NED) project will expand the mighty Tennessee Gas Pipeline to run across parts of Massachusetts and New Hampshire before terminating near Boston. Anti-fossil fuel nutters demand the project be canceled–sentencing New Englanders to obscenely high gas and electric rates forever. One town–Amherst, NH–had concerns about the route and worked with Kinder Morgan to get the pipeline shifted to a route that works for them. This is how adults behave…
    Read More “Adults Response: NH Town Negotiates NED Pipeline Route Change”

  • Air Quality | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

    PA DEP Supports Fed EPA Effort to Control “Fugitive” Methane

    September 28, 2015September 28, 2015

    fugitiveThe Obama Environmental Protection Agency (EPA) will be in Pittsburgh tomorrow to conduct a hearing into how they can illegally regulate oil and gas drilling through the back door of so-called “fugitive” methane emissions, which they claim are insanely high in shale plays like the Marcellus/Utica (announcement of EPA hearing). The PA Dept. of Environmental Protection (DEP), headed by the PennFuture Secretary of the DEP, John Quigley, will be on hand to support the EPA’s illegal effort. The DEP is planning their own draconian regulations for controlling so-called “fugitive” methane emissions–even though it’s in the best interests of the industry to trap every last molecule of methane they can (it’s what they sell!) and even though year after year the industry gets better at doing it–virtually eliminating fugitive methane. Makes no difference–the heavy hammer of government is preparing to come down to make extracting natural gas more expensive and less profitable with senseless new regulations by Big Brother…
    Read More “PA DEP Supports Fed EPA Effort to Control “Fugitive” Methane”

  • Lackawanna County | Pennsylvania | Statewide PA

    Scranton Newspaper Wants State to Enshrine Pope’s Enviro Policies

    September 28, 2015September 28, 2015

    church and stateThe Christ-less editorial board of the Scranton Times-Tribune has all of a sudden gotten the Catholic religion. The anti-drilling Dems who run the Times-Tribune are normally religion-free–but since Pope Francis visited Philly and mouthed words that he believes in the myth of man-made global warming, Pope Francis (regardless of his stance on issues like abortion) is the new patron saint of the Times-Tribune. They go so far in their latest editorial as to link Pope Francis and another Democrat saint–John Quigley, the PennFuture Secretary of the PA Dept. of Environmental Protection…
    Read More “Scranton Newspaper Wants State to Enshrine Pope’s Enviro Policies”

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