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Marcellus Drilling News
  • Earthquakes | Industrywide Issues | Ohio | Regulation | Research | Statewide OH | Wastewater

    OH & Other States Release Report on Injection Wells & Earthquakes

    October 1, 2015October 1, 2015

    StatesFirst Seismicity PrimerCountless times MDN has told you that in rare cases, injecting fracking wastewater into a deep, underground Class II injection well (for disposal) can cause earthquakes–if the injection well is located over a fault. When you inject fluids under high pressure into rock formations with a fault it can act like a lubricant, allowing the rocks to slip and slide–causing a low-level earthquake. It’s happened in Ohio. It’s happened (a lot) in Oklahoma. It’s happened in Texas. And in other states too. Thirteen oil and gas states joined together with the Interstate Oil and Gas Compact Commission (IOGCC) and Ground Water Protection Council (GWPC) to form the StatesFirst Initiative, a working group to pool their knowledge and try and figure out how, and under what conditions, injection wells cause earthquakes. Co-heading the initiative is Ohio’s Chief for the Division of Oil & Gas Resources Management (Ohio Dept. of Natural Resources), Rick Simmers. Rick and the working group have just released a 150-page Primer (copy below) to help regulatory agencies evaluate and develop good policies to mitigate and prevent earthquakes from injection wells…
    Read More “OH & Other States Release Report on Injection Wells & Earthquakes”

  • Energy Services | Industrywide Issues | PennEast Pipeline | Pennsylvania | Pipelines | Statewide PA | UGI Energy Services

    PennEast Pipeline’s Main Sponsor Recognized as Enviro Champion

    October 1, 2015October 1, 2015

    we are the championsPerhaps we now know the real reason why a group of anti-fossil fuel protesters decided to abandon their protest at the headquarters of PennEast Pipeline’s main sponsor, UGI. MDN told you yesterday how mainstream media in the New Jersey market covered a “massive” protest (of 35 people) who showed up at the Statehouse in Trenton during the day–with obviously nothing better to do–to protest against the PennEast Pipeline (see Tiny Protest in Trenton, NJ Against PennEast Pipeline is “News”?). The protesters had planned to also show up at UGI headquarters on Tuesday for a similar “massive” protest–but those plans got canceled. We assumed it was because it was food stamp distribution day and the paid-for protesters had better things to do–but maybe we were wrong. Could it be that protest organizers were tipped off that UGI, the lead sponsor of the PennEast Pipeline, was about to be named to a national list of utility companies that are “Environmental Champions”? It wouldn’t look good for THE Delaware Riverkeeper and her acolytes to show up and protest a company that is recognized nationwide as one of the leading environmentally sensitive companies, would it?…
    Read More “PennEast Pipeline’s Main Sponsor Recognized as Enviro Champion”

  • Industrywide Issues | Pennsylvania | Statewide PA | Taxation

    Wolf Asks “Good Republican Legislators” to Support Severance Tax

    October 1, 2015October 1, 2015

    Make Him an Offer He Can't RefusePA Gov. Tom Wolf has dropped all pretense of being a nice guy and has turned into a mafioso bully because he can’t get his own way. We understand. He made a back-room deal with teachers’ unions and they delivered him an election victory. He owes them and the only way he can pay them off is by taxing the Marcellus Shale industry into oblivion. Wolf’s latest tactic is to call the Republicans who won’t go along with his Marcellus-killing severance tax “the bad guys” and appeal to RINOs in the House and Senate–those like Rep. Gene DiGirolamo (from the Philly area)–those he calls “good Republican legislators”. Wolf plans to make the RINOs an offer they can’t refuse in order to support a severance tax. Will they bow to pressure from the don?…
    Read More “Wolf Asks “Good Republican Legislators” to Support Severance Tax”

  • Energy Companies | New York | Statewide NY | Warren Resources

    Warren Resources Says Bye-Bye to NYC Headquarters, Hello Denver

    October 1, 2015October 1, 2015

    Goodbye New YorkWarren Resources, a small, independent exploration and production company has been headquartered in New York City–until now. Warren has ongoing drilling programs in California, Wyoming, and in the Pennsylvania Marcellus Shale. Warren’s Marcellus program is very small–they previously announced they would drill and complete two Marcellus wells in 2015. In July the company began a search for a new CEO, a process that continues (see Help Wanted: Warren Resources Launches Search for New CEO). Warren announced yesterday that effectively immediately their formerly branch office in Denver, Colorado will become the company’s new headquarters–and that they will close down the New York City and Roswell, New Mexico offices in the coming months. Apparently it will save quite a bit of money on rent…
    Read More “Warren Resources Says Bye-Bye to NYC Headquarters, Hello Denver”

  • Energy Services | Energy Transfer Partners | Industrywide Issues | Ohio | Pipelines | Wayne County (OH)

    Rural OH County Opposes ET Rover Pipeline in Letter to FERC

    October 1, 2015October 1, 2015

    Wayne County OHIn an unusual move, the Wayne County (OH) Board of Commissioners has written to the Federal Energy Regulatory Commission (FERC) to oppose having Energy Transfer’s ET Rover pipeline come through the southern portion of their county, as currently planned. ET Rover is a 711-mile Marcellus/Utica natural gas pipeline that will serve mostly U.S. customers that will cost $3.7 billion to build and run from PA, WV and eastern OH through OH into Michigan and eventually into Canada. The bulk of the pipeline would run through Ohio, including southern Wayne County. The Board of Commissioners’ objection is unusual because Wayne is a mostly rural county with farms. Farmers, while not always welcoming of pipelines running through prized hay fields and crops, can sure use the money that would come from such a project. Farmers typically do support pipelines–and drilling. The commissioners cite safety concerns and damage to farmland in their letter to FERC…
    Read More “Rural OH County Opposes ET Rover Pipeline in Letter to FERC”

  • Dominion Energy | Energy Services | Industrywide Issues | Iroquois Gas Transmission | Pipelines

    Dominion Closes on Deal to Buy 26% of Iroquois Pipeline

    October 1, 2015October 1, 2015
    iroquois
    Click for larger version of map

    In August MDN told you that Dominion had cut a deal to purchase 26% of Iroquois Gas Transmission System, which is a 416-mile, FERC-regulated natural gas pipeline running from the Canada-U.S. border near Waddington, NY, through New York and Connecticut to South Commack, NY on Long Island, and to Hunts Point, NY in the Bronx (see Dominion Buys 26% of Iroquois Gas Transmission Pipeline). The $286.5 million deal gives Dominion a bigger seat at the Marcellus/Utica table. Dominion announced that as of Tuesday, the deal closed…
    Read More “Dominion Closes on Deal to Buy 26% of Iroquois Pipeline”

  • Crestwood Midstream | Energy Services

    Crestwood Equity/Crestwood Midstream Complete Merger

    October 1, 2015October 1, 2015

    mergerExactly one month ago MDN told you that Crestwood Equity Partners LP and Crestwood Midstream Partners (with operations in the northeast)–two different companies on paper–would merge (see Crestwood Equity/Midstream Announce Date to Merge Two Companies). Crestwood Equity Partners is a master limited partnership (MLP) that operates an NGL supply and logistics business and previously owned, on paper, 4% of Crestwood Midstream Partners, a pipeline business operating in multiple U.S. shale plays. Crestwood Midstream also had an NGL business. The two said they would complete a merger of the separate companies by yesterday, Sept. 30–and by golly, they did…
    Read More “Crestwood Equity/Crestwood Midstream Complete Merger”

  • Best of the Rest

    Marcellus & Utica Shale Story Links: Thu, Oct 1, 2015

    October 1, 2015October 1, 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: OH frack tax on time after all; EQT’s Andrew Place confirmed to join PA Public Utility Commission; listen to some of Jeb’s high-energy energy speech; WVU gets $100K to study pipeline safety; NH residents opposed to NED pipeline; gas in New England is in short supply; how shale has changed the world; China lowers shale drilling costs 23%; shale drilling on both sides of the pond; and more!
    Read More “Marcellus & Utica Shale Story Links: Thu, Oct 1, 2015”

  • Chesapeake Energy | Energy Companies | Industrywide Issues | Jobs

    The Great Chesapeake Massacre II: Lawler Fires Another 740 People

    September 30, 2015September 30, 2015

    Jason Friday the 13thJust when you thought it was safe, Chesapeake Energy CEO Doug “the ax” Lawler has done it again. Two years ago Lawler swung the ax and fired 800 employees in a single day (see The Great Chesapeake Massacre: Lawler Fires 800 People in One Day). He’s done it again. Citing low commodity prices for gas and oil, Lawler fired another 740 Chessy employees yesterday. Most of the employees fired worked at Chesapeake’s Oklahoma City headquarters–562 of them. However, the firings reach across the country. We’re aware of at least two Chesapeake employees let go at the company’s St. Clairsville, OH office in the Utica Shale. The firings (or layoffs, if you prefer) represent 15% of the entire Chesapeake workforce, which as of today now stands at around 4,000 people. No doubt the firings make Lawler’s boss Carl Ichan happy…
    Read More “The Great Chesapeake Massacre II: Lawler Fires Another 740 People”

  • Coterra Energy (Cabot O&G) | Energy Companies | Putnam County | Rogersville Shale | West Virginia

    How Deep Did Cabot O&G Drill Their Rogersville Test Well in WV?

    September 30, 2015September 30, 2015

    Journey to the Center of the EarthThe Rogersville Shale once again popped up on the radar. Yesterday at the West Virginia Oil and Natural Gas Association (WVONGA) Conference in Wheeling, WV, a research geologist with the Kentucky Geological Survey talked about the Rogersville Shale, outlining its geography in both WV and KY. Corky Demarco, executive director of WVONGA chimed in with a reminder that Cabot Oil & Gas has drilled a test well in the WV Rogersville in Putnam County (see Cabot Drills Test Well in WV Rogersville Shale, More on the Way?). The new news coming from Demarco’s comments yesterday is how deep Cabot’s test well was drilled…
    Read More “How Deep Did Cabot O&G Drill Their Rogersville Test Well in WV?”

  • Education | Industrywide Issues | Pennsylvania | Statewide PA | Taxation

    PA Gov Wolf Declares Severance Tax War on Shale in Budget Veto

    September 30, 2015September 30, 2015

    vetoThe ideologically rigid, most-liberal governor in America (according to InsideGov), Pennsylvania Gov. Tom Wolf, yesterday vetoed a stopgap spending budget passed by the Republican-controlled House and Senate, further damaging the people he pretends to want to help–little children in schools. Falling back on the same old lies and political pandering rhetoric, Wolf said he was vetoing the bill because it “sells out the people of Pennsylvania to oil and gas companies and Harrisburg special interests.” It’s now open war on the Marcellus industry by the Wolf administration. In his veto letter, Wolf doesn’t mention that his own special interests–primarily teachers’ unions–are the real reason he’s holding out for an obscenely high severance tax on Marcellus Shale production. Sometimes politicians like Wolf have conveniently leaky memories. Wolf is perfectly happy with driving the state right over an economic cliff if he doesn’t get his way on a severance tax, no matter who (i.e., children) get hurt…
    Read More “PA Gov Wolf Declares Severance Tax War on Shale in Budget Veto”

  • Energy Companies | Industrywide Issues | Pennsylvania | Regulation | Rice Energy | Washington County

    Jeb Bush Visits Rice Energy in PA, Ticks Off Sierra Clubbers

    September 30, 2015September 30, 2015

    Jeb BushLooking like he’d had his morning Ensure drink, Republican presidential candidate Jeb Bush had plenty of energy as he talked about energy policy in a speech he delivered yesterday at the headquarters of Rice Energy in Washington County, PA. As predicted, Bush said things the oil and gas industry can stand up and cheer for: lift the ban on exporting crude oil, make it easier to export natural gas, and repeal some of the onerous regulations now on the books. He would also roll back Barack Obama’s Clean Power Plan regulations that target coal (and natural gas) with a regulatory death sentence. Below is how it was reported, followed by Bush’s policy paper on how he would handle energy policy if he were to get out of single digits in the polls and get the nomination (something not very likely)…
    Read More “Jeb Bush Visits Rice Energy in PA, Ticks Off Sierra Clubbers”

  • Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | PennEast Pipeline | Pipelines | UGI Energy Services

    Tiny Protest in Trenton, NJ Against PennEast Pipeline is “News”?

    September 30, 2015September 30, 2015

    newsSome 35 anti-fossil fuel wackos, apparently with no jobs, show up during a slow news day at the Statehouse in Trenton, NJ to protest the PennEast Pipeline and news outlets report it as a major story, implying there’s a huge movement against the pipeline. What about the 366,500+ residents who also live in Mercer County and who aren’t opposed to the PennEast and who didn’t turn out to protest it? Is that worth a story? Apparently not. Of course this tiny protest wasn’t spontaneous–it was organized, planned, hyped and paid for by nutty Sierra Clubbers and THE Delaware Riverkeeper (Maya van Rossum)…
    Read More “Tiny Protest in Trenton, NJ Against PennEast Pipeline is “News”?”

  • Air Quality | Allegheny County | Anti-Drilling/Fossil Fuel | Industrywide Issues | Pennsylvania | Regulation

    EPA Visits Pittsburgh for Final Hearing on Methane Emissions Law

    September 30, 2015September 30, 2015

    what you believeYour beliefs matter. For example, if you believe in the fairy tale of man-made global warming (see Inconvenient Global Warming Fact: Avg Temp Hasn’t Risen in 18 Yrs), then you will attempt to force the greatest country on earth–the United States–to abandon the extraction and burning of fossil fuels. It is that erroneous belief that animates the Kool Aid drinkers in the so-called environmental movement. If you’re a real creep, you try to prey on the unthinking public’s fears that the planet will bake and your health is at risk by continued extraction of fossil fuels. The federal EPA is preying on those fears with their latest power grab to illegally regulate the oil and gas industry through the back door by creating new, unlegislated laws to reduce so-called methane emissions from oil and gas drilling. Regulation of oil and gas drilling is Constitutionally left to the individual states. The EPA wants to corrupt that and was in Pittsburgh yesterday for a final public hearing on their draconian new unlegislated laws on methane emissions. The EPA got an earful–from both anti-drilling wackos and from the oil and gas industry…
    Read More “EPA Visits Pittsburgh for Final Hearing on Methane Emissions Law”

  • Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | North Carolina | Regulation

    Sad: NC County Passes 3-Year Moratorium on Fracking

    September 30, 2015September 30, 2015

    heartbreakerIt’s heartbreaking, but not surprising, to see residents in a North Carolina make the same mistakes made by residents in New York State. Monday night the Stokes County (NC) Board of Commissioners voted to enact a three-year moratorium on potential shale drilling in the county. Well-meaning but completely ignorant residents agitated and cajoled the commissioners into voting for no drilling. Stokes, located in northern NC, is part of the Dan River sub-basin, which in turn is part of the larger Triassic Basin. Earlier this year the state cleared the way for fracking to begin (see Triassic Park: North Carolina Becomes 34th State to Frack Shale). The ignorant agitators are happy with the moratorium as a first step, but ultimately (like New York) hope they can ban fracking altogether…
    Read More “Sad: NC County Passes 3-Year Moratorium on Fracking”

  • Industrywide Issues | NGLs | Statewide WV | Taxation | West Virginia

    WV Newspaper Says State Should Avoid NGL Severance Tax Hike

    September 30, 2015September 30, 2015

    hopeJust last week MDN told you about the bone-headed proposal from a partisan group in West Virginia calling for a doubling or tripling of the severance tax on natural gas liquids–unless those NGLs stay in the state (see Partisan Group Wants to Double or Triple WV’s NGL Severance Tax). There’s at least one group of editors at a mainstream newspaper in the state who disagree. The editors at The Intelligencer/Wheeling News-Register point out the danger that such a tax will reduce drilling in the Mountain State, and rather than contribute more tax revenue to WV’s coffers, it will end up contributing less. Finally! Somebody who writes news who can grasp economics 101! Perhaps there is hope after all…
    Read More “WV Newspaper Says State Should Avoid NGL Severance Tax Hike”

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