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Marcellus Drilling News
  • Industrywide Issues | Research

    EPA Draft Report Says Fracking Doesn’t Pollute Groundwater Supplies

    June 5, 2015June 5, 2015

    researchYesterday the federal Environmental Protection Agency, at the request of Congress, released a draft assessment (executive summary below) on the potential impacts of hydraulic fracturing activities on drinking water resources in the United States. The EPA studied other studies, leaving no stone unturned (950 “sources” in all). What did they find? “Hydraulic fracturing activities in the U.S. are carried out in a way that have not led to widespread, systemic impacts on drinking water resources.” That is, fracking doesn’t pollute water supplies. They did point out certain “vulnerabilities” that can arise from fracking: drawing down water supplies in areas where water is in short supply; fracking in a formation that has a water supply in it (which we’ve never heard of happening before); poorly cased and cemented wells (yes, we know about it and have improved it over the years); discharging “inadequately treated” wastewater into public drinking water supplies; and spills on top of the ground. In other words, the study doesn’t tell us a darned thing we don’t already know–and concludes fracking doesn’t pollute water supplies. How much more plain and clear can it get?…
    Read More “EPA Draft Report Says Fracking Doesn’t Pollute Groundwater Supplies”

  • Lease & Royalty Payments | Pennsylvania | Statewide PA

    PA DCNR May Go After Drillers for River/Creek Royalties Prev Paid

    June 5, 2015June 5, 2015

    Once again we ask the question: Is the state of Pennsylvania robbing landowners of royalties by claiming to “own” certain streams and rivers in the state? We’ve raised this issue a few times, the most recent in May (see PA DCNR Publishes Lease Agreements for Deals Under Rivers/Creeks). The state of PA says they own any creek or river and consequently the mineral rights beneath it if the creek or river is, or ever has been, used for commercial trade or travel. So if a river or big creek ever had a barge floating along it 150 years ago (yesteryear’s version of interstate highways) PA claims it now as theirs–and denies landowners who own the land on either side of it royalties and lease payments for the land under it. Now the PA Department of Conservation and Natural Resources (DCNR), headed up by the PennFuture Secretary of the DCNR Cindy Dunn, aims to collect. And just like the IRS, DCNR is “exploring” ways they can collect for gas already extracted and paid for. Will that come from the landowner’s pocket? Will the driller have to pay twice for the same gas? You see how things work in the PennFuture-controlled Wolf administration…
    Read More “PA DCNR May Go After Drillers for River/Creek Royalties Prev Paid”

  • Energy Services | Industrywide Issues | NGLs | Pennsylvania | Pipelines | Statewide PA | Sunoco Logistics

    Mariner East 2 Giving Birth to Twin Pipelines

    June 5, 2015June 5, 2015

    twin babiesIn November 2014 Sunoco Logistics committed to building the $2.5 billion Mariner East 2 pipeline to increase capacity in moving natural gas liquids like ethane, propane and butane from western Pennsylvania to the Marcus Hook refinery in Philadelphia (see Sunoco Logistics Will Build $2.5B Mariner East 2 Pipeline). Yesterday Sunoco said instead of building one Mariner East 2 pipeline, they’re going to build two of them–at the same time, side by side. Sunoco says the plan to add two more Mariner 2s is still tentative–they need to conduct an open season to be sure they can sell contracts for the pipeline before they will fully commit. But as of right now, they’re planning to give birth to “twin” pipelines…
    Read More “Mariner East 2 Giving Birth to Twin Pipelines”

  • Hydraulic Fracturing | Industrywide Issues | New York | Regulation | Statewide NY

    NY Biz Group, Congressman Ask Cuomo to Lift NY Frack Ban

    June 5, 2015June 5, 2015

    In light of the federal EPA study released yesterday stating fracking doesn’t pollute groundwater supplies (see our lead story today), the Business Council of New York State and NY Congressman Chris Collins have publicly asked New York Gov. Andrew Cuomo to lift the fracking ban he has put in place in the Empire State. Since Cuomo’s decision had nothing whatsoever to do with actual science, don’t look for him to suddenly change his mind…
    Read More “NY Biz Group, Congressman Ask Cuomo to Lift NY Frack Ban”

  • Anti-Drilling/Fossil Fuel | Health Impacts | Industrywide Issues | Pennsylvania | Research | Statewide PA

    MSC Devastating Critique of “Low Birth Weight Near Fracking” Study

    June 5, 2015November 4, 2015

    Yesterday MDN told you about a new anti-drilling-backed so-called “study” by students at the University of Pittsburgh making wild claims about babies born near Marcellus Shale fracking sites having lower birth weights than those not born near frack sites (see Study Tries to Link Marcellus Fracking to Low Birth Weight Babies). We outlined the link between bought-and-paid for “science” that gets amplified by mainstream media. The Marcellus Shale Coalition also published their own criticism, saying, “A new non-peer reviewed paper – funded by the Heinz Endowments and posted on a pay-for-play website – fails by virtually every measure to demonstrate basic and sound research principles. Below are several of the many factors that skew the advocacy paper’s so-called findings.” The MSC goes on to critique the “research” and completely shredding and exposing it for the fraud it is…
    Read More “MSC Devastating Critique of “Low Birth Weight Near Fracking” Study”

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

    Penn East Pipeline to File Formal Application with FERC in Next 2 Mos

    June 5, 2015June 5, 2015

    Where do things stand with the much-needed Penn East Pipeline from the Scanton, PA area to the Trenton, NJ area? According to a Penn East spokesman who met with a Wilkes-Barre newspaper’s editorial board yesterday, the company will likely file a formal application with the Federal Energy Regulatory Commission (FERC) in the next two months, and if all goes well, construction will begin in late 2017. Along the way look for the Delaware River(keeper) Basin Commission to try and screw it up. The DRBC is increasingly controlled (and emasculated) by the whims and fancies of THE Delaware Riverkeeper, a virulently anti-drilling group. Penn East faced down one objection head-on in yesterday’s meeting: this gas will not be exported–it will all be used domestically (most of it in PA and NJ)…
    Read More “Penn East Pipeline to File Formal Application with FERC in Next 2 Mos”

  • Industrywide Issues | Litigation | Research

    Babst Calland Releases Report on Legal Challenges in Marcellus/Utica

    June 5, 2015June 5, 2015

    Ace energy law firm Babst Calland announced yesterday they have released their fifth annual energy industry report. Called “The 2015 Babst Calland Report – Appalachian Basin Oil and Gas Industry: Rising to the Challenge; Legal and Regulatory Perspective for Producers and Midstream Operators,” the annual review of energy and natural resources development activity acknowledges the continuing evolution of the drilling industry in the face of economic, regulatory, legal and local government challenges. Here’s an overview of the report…
    Read More “Babst Calland Releases Report on Legal Challenges in Marcellus/Utica”

  • CNG/LNG | Exporting | Industrywide Issues | Research

    IEA 2015 Global 5-Year Gas Market Report, U.S. LNG in Trouble?

    June 5, 2015June 5, 2015

    Yesterday the International Energy Agency (IEA) released its “Medium-Term Gas Market Report” covering the next five years. The somewhat troubling forecast is that the overall demand for natural gas will grow at a slower pace–just 2% per year–rather than their previous prediction from last year–2.3% per year–for the next five years. Normally with low low gas prices demand would pick up. But the IEA says Asia’s demand for natural gas over the next five years will *decrease* instead of increase, which more than offsets low prices stimulating demand. The IEA says this has big implications for the flurry of LNG export facilities being planned in the U.S. According to the IEA, several U.S. LNG export facilities will “likely to be delayed or even cancelled”…
    Read More “IEA 2015 Global 5-Year Gas Market Report, U.S. LNG in Trouble?”

  • Industrywide Issues | Research

    US Natgas Production Slides Backward in May; 1st Time Since Jan

    June 5, 2015June 5, 2015

    The U.S. Energy Information Administration (EIA) won’t publish official domestic production estimates for natural gas until June 30th, but Bentek Energy, the analytics and forecasting unit at Platts, is already predicting what the numbers will show. Bentek says May natgas production in the lower 48 averaged 72.6 billion cubic feet per day (Bcf/d) in May, which is down 0.35 Bcf/d (less than 1%) from the April average. That will be the first time since January that overall production numbers has slide backward. One of the big factors in the numbers is production in the Marcellus/Utica…
    Read More “US Natgas Production Slides Backward in May; 1st Time Since Jan”

  • Economic Impact | Industrywide Issues | Research

    Cleveland Fed Says Banks Not Concerned About Bad Loans to O&G Industry

    June 5, 2015June 5, 2015

    The Federal Reserve Bank did a survey of banks in April asking them about loans made to companies in the oil and gas industry. The results of that survey are interesting. In broad terms, most banks say they aren’t over-exposed to loans to oil and gas companies; that they know some of those loans will go south; and that they aren’t all that phased by the current tough times for the O&G industry. In the words of the Fed, banks aren’t “sounding the alarm” about loans to drillers and midstreamers…
    Read More “Cleveland Fed Says Banks Not Concerned About Bad Loans to O&G Industry”

  • Best of the Rest

    Marcellus & Utica Shale Story Links: Fri, Jun 5, 2015

    June 5, 2015June 5, 2015

    The “best of the rest” – stories that caught MDN’s eye that you may be interested in reading:
    Read More “Marcellus & Utica Shale Story Links: Fri, Jun 5, 2015”

  • Anti-Drilling/Fossil Fuel | Industrywide Issues | Pennsylvania | Research | Statewide PA

    Study Tries to Link Marcellus Fracking to Low Birth Weight Babies

    June 4, 2015June 4, 2015

    Junk ScienceHere’s how it works in anti-drilling land. Students who want to make a name for themselves and earn some cashola accept “funding” (i.e. a bribe) from an anti-drilling organization. The “funder” (i.e. briber) determines the topic and result they want the “research” to report. The students, from a prestigious school, then doctor up the research with enough surface credibility to fool stupid mainstream media types. The students then publish that “research” in an online journal with very low standards. What do you get? Researchers at the University of Pittsburgh Graduate School of Public Health accepting money from the Heinz Endowments to publish a study claiming mommies who live close to Marcellus Shale wells have babies with low birth weights (copy of the study below), published in the online journal PLOS ONE, now being picked up by the likes of CBS and other news outlets who are reporting what the authors themselves say is research that doesn’t prove anything. News headlines are then generated linking fracking to a negative health condition. The low-information, headline-only reading crowd reads the headline and never bothers to question whether or not it’s true (which it isn’t), and voila–we have another case of public brainwashing, assisted by students prostituting themselves for money and fame, and damaging the reputation of the University of Pittsburgh. All bought and paid for by a big money donor to the school, Teresa Heinz-Kerry, using her dead first husband’s money…
    Read More “Study Tries to Link Marcellus Fracking to Low Birth Weight Babies”

  • Carrizo Oil & Gas | Energy Companies

    4 Top Carrizo O&G Officers, Incl CEO, Sell 50K Shares of Company Stock

    June 4, 2015June 4, 2015

    It’s always a bit dangerous to shoot off your mouth when you don’t have the proper context and background to understand something–and we have to confess we don’t know much about this case. We spotted something that tickled our fancy and we wanted to pass it on. Four top officers in Carrizo Oil & Gas, a producer that previously did some drilling in the Marcellus but lately is drilling in the Ohio Utica, recently (on Monday, June 1st) sold some of their shares in the company. Cumulatively it was 49,689 shares valued at $2,476,038. The people doing the selling were the Chief Financial Officer, the Chief Accounting Officer, the Chief Operating Officer and the Chief Executive Officer. Is this no big deal and just a few employees selling when the stock is on the upswing? Probably. Still, it just struck us as a bit odd that all four sold their stock on the same day…
    Read More “4 Top Carrizo O&G Officers, Incl CEO, Sell 50K Shares of Company Stock”

  • Beaver County | Economic Impact | Energy Companies | Ethane | Industrialization | Industrywide Issues | Pennsylvania | Processing Plants | Shell

    Shell Sets Expectations for What Happens if PA Cracker is Built

    June 4, 2015June 4, 2015

    In yet another signal that Shell is very serious about building a $3 billion ethane cracker plant northwest of Pittsburgh, the company recently held public meetings in Beaver County, PA, where the plant would be built, to tell members of the local community what they can expect to hear, see, and smell during and after construction–if the plant gets built. Shell wants to be right up front about what happens when an industrial plant like the one they’re building comes into existence. We find that a “good neighbor” kind of thing to do. Look, there will be some inconveniences for a time when this thing gets built. Construction activity at the site will happen 24/7 for a number of years (yes, years) until it is completed. Let’s talk about it right up front so no one is surprised. Although Shell stresses at these meetings that a “final decision has not yet been made,” increasingly it looks (to us) like it has…
    Read More “Shell Sets Expectations for What Happens if PA Cracker is Built”

  • Columbiana County | Industrywide Issues | Litigation | MDN Sponsor | Ohio | Pipelines

    NEXUS Pipeline Sues Columbiana County Landowners for Survey Access

    June 4, 2015June 4, 2015

    The NEXUS Gas Transmission pipeline, you may recall, is a $1.5 billion natural gas pipeline that will carry Utica and Marcellus Shale gas spanning 11 counties in Ohio, 3 counties in Michigan, and eventually connect to the Dawn Energy Hub in Canada (see NEXUS Gas Pipeline Pre-Files with FERC, New Details Come to Light). A number of landowners in Ohio have been less than cooperative when it comes to surveying their property. One old codger in Medina County, OH threatened he would meet anyone trying to survey his property with a gun (see Medina, OH Landowner Says He’ll Meet NEXUS Surveyors Packing Heat). Two couples in Columbiana County aren’t threatening guns, but they have denied access to NEXUS, repeatedly, and NEXUS has had enough. NEXUS sued the two couples in Columbiana County Common Pleas Court to force them to allow their surveyors on their property…
    Read More “NEXUS Pipeline Sues Columbiana County Landowners for Survey Access”

  • Doddridge County | Energy Services | Harrison County | Industrywide Issues | M3 Midstream | Momentum | Pipelines | West Virginia

    Construction on WV Stonewall Gather Pipeline Begins, Runs Thru Dec

    June 4, 2015June 4, 2015

    In early April MDN told you that a section of M3 Midstream’s Appalachia Gathering System (AGS) had been spun off into its own company called Stonewall Gathering System (see M3’s New Stonewall Gathering System Extends Existing AGS in WV). At the time plans were under way to build out gathering pipelines in West Virginia’s Harrison and Doddridge counties, running through Lewis and into Braxton County where the pipeline will connect with Columbia Transmission’s interstate pipeline. The plans have come to fruition and the Stonewall Gathering System is now being built. Incidentally, they’re looking for welders and laborers–but only through local unions…
    Read More “Construction on WV Stonewall Gather Pipeline Begins, Runs Thru Dec”

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