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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!”

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    Oct 27 Deadline: Will NY Oil & Gas Industry Challenge Frack Ban?

    deadlineA deadline is fast approaching in New York State. Next Tuesday, Oct. 27, the natural gas industry must file an “Article 78” lawsuit or lose its opportunity to do so. Last December NY Gov. Andrew Cuomo made a non-science, political decision to ban fracking in the state (see After 6+ Years, Andrew Cuomo Bans Fracking in New York). It took six months, but Cuomo’s useful idiot, then-Dept. of Environmental Conservation Commissioner (DEC) Joe Martens released a so-called “findings statement” on June 29 that outlines the DEC’s reasoning for the frack ban (for a copy of the findings statement, see It’s Official: Cuomo Bans Economic Opportunity & Prosperity in NY). Next Tuesday is the last chance for the industry to challenge the findings statement in court. Will they?…
    Read More “Oct 27 Deadline: Will NY Oil & Gas Industry Challenge Frack Ban?”

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    Fed Judge Overturns Grant Twp, PA Ban on Injection Wells

    court gavelThe radical leftist PA-based group Community Environmental Legal Defense Fund (CELDF) does its best to trick townships into passing illegal bans. In 2013 the CELDF fooled Highland Township in Elk County, PA into passing a ban on wastewater injection wells. They also tricked Grant Township in Indiana County, PA to do the same thing. Both towns are in court defending their illegal actions. One of the idiotic legal tactics used by the CELDF in both cases is to claim that an ecosystem is a “person” under the law–a person who can file to join the town’s lawsuit in an effort to protect itself (see It Speaks! An “Ecosystem” has Filed to Join a Lawsuit in PA). It’s an asinine notion. Will the tree in my front yard sue me for cutting a branch off it? Will my gravel driveway sue me if I decide to pave it? Get real. A federal judge has just ruled in the Grant Twp case and found (a) the town’s ban on injection wells is illegal, and (b) the ecosystem’s “interests” have been well-represented by the town in the case with no need for the ecosystem to join the lawsuit. The judge, in sidestepping whether or not an ecosystem is actually a person, kind of laughed at the notion–if you read between the lines…
    Read More “Fed Judge Overturns Grant Twp, PA Ban on Injection Wells”

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    NY Paper Plant Opts for “Virtual” NatGas Pipeline Over Real One

    virtual pipelineLast year International Paper’s Ticonderoga mill in northern New York, near the Vermont border, received $1.75 million in grant money from Andrew Cuomo and New York State (that is to say, from we the taxpayers) to help with an $11 million project to convert the plant from using oil to using natural gas (see the Albany Times Union story: $100M in upgrades at International Paper mill in Ticonderoga follows state deal for aid, cheap power). Kind of ironic that Andy was willing to give big money to an evil corporation to use more natural gas because he banned the extraction of fracked natural gas in NY later that same year. However, the plant was threatening to close. It’s the biggest employer in the area representing 600 jobs. Because of Cuomo’s $1.75M grant, the plant stayed open and converted to natgas, but that means it needs a lot of natgas on a regular basis. International Paper had planned to build a pipeline from Vermont to feed the plant as a permanent solution. In the meantime, it was using a “virtual pipeline” of a constant stream of trucks delivering compressed natural gas (CNG) from NG Advantage (subsidiary of Clean Energy Fuels Corp.), trucking CNG to the plant 24/7. International liked the CNG operation so much, and disliked the regulatory hassles of building the pipeline so much, they’ve decided to keep the virtual pipeline over a real one as a permanent solution…
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    Marco Rubio Visits OH’s Utica Shale to Unveil Energy Plan

    Marco RubioFloridian Jeb Bush is running for President as a Republican–necessary to state the obvious because many are likely not aware of Jeb’s candidacy since his poll numbers are in the single digits. Jeb was a guest at Rice Energy near Pittsburgh in September to unveil his energy policy plan (see Jeb Bush Visits Rice Energy in PA, Ticks Off Sierra Clubbers). Fellow Floridian U.S. Senator Marco “the kid” Rubio is also running for President as a Republican–necessary to state because his poll numbers are also in the basement. Rubio, like his mentor Jeb, decided to visit Marcellus/Utica country to unveil his proposed energy policy plan. Rubio chose BOC Water Hydraulics in Salem (Columbiana County), OH to talk energy. Hey, don’t get us wrong. We love it! Rubio, like Bush before him, said some fantastic things. If even half of the ideas and plans uttered by Rubio (or Bush) became reality? Wow! But that’s the problem. Establishment candidates say all the right things–and never do them after they get elected…
    Read More “Marco Rubio Visits OH’s Utica Shale to Unveil Energy Plan”

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    The Big (Green) Money Behind NY’s Anti-Fracking Movement

    Big Green MoneyWhat many rank and file members of the New York anti-fracking movement may not realize, or perhaps chooses to ignore, is that the people at their rallies and meetings standing behind the microphones are being paid to do so. The organizers of groups like New Yorkers Against Fracking and Frack Action are funded by the odious Park Foundation to pedal their smears and lies against fossil energy. The Park Foundation gave New Yorkers Against Fracking $125,000 earlier this year, in part to pay for organizers to travel across the country spreading the word (i.e. lie) that a little rag-tag bunch of protesters convinced the mighty Andrew Cuomo of the righteousness of their cause–and you can do it in your state too. In other words, the anti-fracking movement has become a cottage industry where people get paid to mouth off at rallies, before reporters–before anyone who will listen. They are paid by the Park Foundation and other Big Green groups to do so…
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    Obama Gives $2M Grant to OH to Retrain Coal Miners for Shale Jobs

    money band aidThe Obama war on coal continues. So far Obama has put around a half million people working for coal companies in the unemployment line. His solution? If you live and/or have worked in coal mines in Ohio and are now out of work, Obama is giving the state a $2 million Band-Aid grant (of taxpayer’s money) for “retraining” so the out-of-work coal miners can go to work in the Marcellus/Utica shale gas fields. One small problem: the gas companies are laying people off too. In record numbers. Government at its finest: retrain someone out of work in one industry for jobs that don’t exist in another industry. Here’s the details on the retraining program coming to the Buckeye State for out-of-work coal miners…
    Read More “Obama Gives $2M Grant to OH to Retrain Coal Miners for Shale Jobs”

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    6 NatGas-Powered Electric Plants On the Way in OH/WV

    coming soonWith President Obama’s war on coal in full swing, so-called renewable energy sources like wind and solar can’t possibly pick up the slack from coal-powered electric generating plants shutting down. Coal-fired electric plants are shutting down at an alarming rate–we’ve lost 11 million megawatts of coal-fired electric capacity in the past year alone. That situation spells opportunity for natural gas. One reason that natgas is making inroads in the electric generating space is because it’s a whole lot cheaper today than it was just a few short years ago to use clean-burning natural gas to power electric plants. In 2008 the price of natural gas sold for an average of $13 per thousand cubic feet (Mcf). Today? The price of gas has been bumping along at around $2.75/Mcf. In places like southwest Pennsylvania and eastern Ohio Marcellus and Utica gas sells for around $1.50-$1.75/Mcf. So it’s no wonder electric plants powered by natural gas are springing up all over the place. Below is a quick look at six such plants in eastern Ohio and West Virginia…
    Read More “6 NatGas-Powered Electric Plants On the Way in OH/WV”

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    Short Selling of Magnum Hunter’s Stock Continues Big Decrease

    positive signTwo weeks ago MDN told you about a positive trend for Magnum Hunter Resources’ (MHR) stock–traders were doing less “short selling” of the stock (see Positive Sign: Short Selling of Magnum Hunter’s Stock Decreases). At the time we noted 26.4% of MHR’s stock was being sold short (national average for all stocks is around 5-6% and the average for oil and gas companies lately has been around 12%). We have an update: short selling of MHR’s stock as of Sept. 30 was down again, dramatically, and stood at 19%. Which means traders believe prospects for the company’s financial health are improving. That doesn’t mean the company doesn’t face challenges. As we told you last Monday, MHR appears to be getting ready to either sell itself or file for bankruptcy (see Magnum Hunter: Preparing to Sell, or Filing for Bankruptcy?). Still, short selling is an important signal of what the financial markets think about a particular company–and having your stock go from 26% to 19% in short sales is a big deal–in the right direction…
    Read More “Short Selling of Magnum Hunter’s Stock Continues Big Decrease”

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    Scranton Newspaper: PA/OH/WV Should Cooperate on High NatGas Tax

    it's not fairWe wonder, do the liberal editors of the Democrat propaganda machine known as the Scranton Times-Tribune consider it “fair” to close down legitimate businesses that provide jobs and tax revenue to the state by targeting them with even higher taxes, forcing them out of business because they no longer turn a profit? Is “profit” a bad word around the news room of the Times-Tribune? Is the word “capitalism” banned from so-called reporters’ lips at the Times-Tribune? Those are the kinds of thoughts that roll around our brain box when we read yet another sycophantic “we need to tax the Marcellus industry more than we do already” editorial from the brainiacs at the Times-Tribune…
    Read More “Scranton Newspaper: PA/OH/WV Should Cooperate on High NatGas Tax”

  • Marcellus & Utica Shale Story Links: Mon, Oct 19, 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: northeast natgas changes the whole picture; Transco loop in PA gets FERC green light; PA severance tax “for” education actually takes money away from education; WV natgas customers see bills go down 24%; MA nuke plant closing makes NED pipeline more likely; Schlumberger CEO says o&g industry in the toilet until 2017; fractivism is modern-day Marxism; and more!
    Read More “Marcellus & Utica Shale Story Links: Mon, Oct 19, 2015”