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Marcellus Drilling News
  • Energy Services | Industrywide Issues | PennEast Pipeline | Pennsylvania | Pipelines | Regulation | Statewide PA

    DRBC Makes a Play to Slow/Block the Penn East Pipeline

    May 7, 2015May 7, 2015

    The Delaware River Basin Commission (DRBC), currently under investigation by pro-drilling groups for its collusion (possibly illegal) with groups like THE Delaware Riverkeeper, appears to be making a play to block the Penn East Pipeline. The Penn East Pipeline will be 114 miles of 36-inch diameter natural gas pipeline that will run from Luzerne County, PA to Mercer County, NJ–running through the DRBC’s “territory.” The DRBC has contacted the Federal Energy Regulatory Commission (FERC)–the only agency empowered to approve or not approve the project–declaring DRBC’s interest in being part of the process to approve it. How convenient that the DRBC is in bed with the virulent anti-drilling Delaware Riverkeeper–and the main focus of Riverkeeper right now is to stop the Penn East…
    Read More “DRBC Makes a Play to Slow/Block the Penn East Pipeline”

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

    Penn State Uses Anti-Drilling Trout Unlimited for Marcellus Monitoring

    May 7, 2015May 7, 2015

    More than a year ago MDN pointed out that a group begun with good intentions but later co-opted by anti-drillers, Trout Unlimited, has been outted as a radical so-called green group (see Trout Unlimited, Other Groups Outted as Radical Green Groups). So it was surprising to read that Penn State researchers, apparently desperate for volunteers for a stream monitoring project, are turning to the anti-drilling “volunteers” of Trout Unlimited to help them collect “scientific” samples from streams located near Marcellus Shale drilling. Anyone else here see a big red flag and potential conflict of interest?…
    Read More “Penn State Uses Anti-Drilling Trout Unlimited for Marcellus Monitoring”

  • Eclipse Resources | Energy Companies | Ohio | Statewide OH

    Eclipse Resources 1Q15: Impressive Bump Up in Production & Revenue

    May 7, 2015May 7, 2015

    Eclipse Resources, a relatively new driller formed by a group of former Rex Energy people, is headquartered in State College, PA but does most of its drilling in the Ohio Utica. Just a few weeks ago Eclipse announced they are cutting their 2015 drilling budget by 57% (see Eclipse Resources Nixes Joint Venture Idea, Cuts Capex 57% in 2015). Even with the cuts, Eclipse had by anyone’s measure, an impressive first quarter in 2015. Yesterday Eclipse issued their 1Q15 update showing net production is up 316% from 1Q14. During the first quarter they brought 20 new wells online and began drilling 10 more. Revenue was up a huge 77% in 1Q15, but because of interest payments, taxes and other expenses, the company, overall, experienced a loss of $34.1 million during 1Q15. Here’s the update…
    Read More “Eclipse Resources 1Q15: Impressive Bump Up in Production & Revenue”

  • Energy Services | MarkWest Energy

    MarkWest 1Q15: Life is Good in the Marcellus/Utica Midstream

    May 7, 2015May 7, 2015

    MarkWest Energy is perhaps the biggest midstream player in the Marcellus/Utica region. Of course they have operations in other parts of the country too–but the northeast remains their primary focus. MarkWest issued their first quarter 2015 update yesterday. Below we’ve selected out a brief portion focusing on the northeast. Life is generally pretty good in the midstream, as evidenced by the new processing plants MarkWest has recently brought online in the northeast. However, if you look at MarkWest’s financials, you’ll notice that revenue for 1Q15 was down a bit from the same period in 2014 ($467 million in 1Q15 vs $512 million in 1Q14). That can almost certainly be chalked up to driller curtailing some of their production, waiting for prices to go higher once again. Below we have excerpts of the update, a portion of the analyst phone call with lots of talk about the Marcellus and Utica, and a copy of MarkWest’s latest PowerPoint presentation…
    Read More “MarkWest 1Q15: Life is Good in the Marcellus/Utica Midstream”

  • Energy Services | Industrywide Issues | Pipelines | Summit Midstream

    Summit Midstream – Update on Mountaineer, Floats Another 6.5M Units

    May 7, 2015May 7, 2015

    A couple of pieces of news today about Summit Midstream. Compared to midstream giants like MarkWest Energy, Williams and Access Midstream (now part of Williams, formerly Chesapeake Midstream), Summit has a pretty modest presence in the northeast. Their Mountaineer Midstream gathering system is 49 miles long, operating in Doddridge and Harrison counties in WV (see the map below). Last December Summit announced they’ve been hired by XTO Energy to build a new 115-mile pipeline gathering system in the Utica Shale in Belmont and Monroe counties in OH (see XTO Gets Serious in OH Utica, Hires Summit for Gathering System). The news today? Summit issued their first quarter 2015 update which includes a brief update on the Mountaineer Midstream system. They’ve also just floated another 6.5 million “units” (think shares of stock) looking to raise more cash–perhaps to help build the XTO project?…
    Read More “Summit Midstream – Update on Mountaineer, Floats Another 6.5M Units”

  • Crestwood Midstream | Energy Services

    Crestwood Midstream – NGL Volumes Up Thanks to Marcellus/Utica

    May 7, 2015May 7, 2015

    Crestwood Midstream is a pipeline company with operations in several shale plays, including the Marcellus and Utica. They are, like Summit Midstream, another smaller but meaningful player in the northeast. Crestwood has 65 miles of natural gas gathering pipelines in Harrison and Doddridge counties in WV–along with eight compressor stations (see the map below). Another major initiative by the company is to convert a depleted salt cavern along the shore of Seneca Lake in New York into an underground storage facility for liquefied propane (see Crestwood Execs on Radio to Promote Propane Storage @ Seneca Lake). Like fracking in New York, so far that facility has been blocked by the efforts of anti-drillers (really fossil fuel haters). The state Dept. of Environmental Conservation recently held a hearing about the facility–but from what we can tell, the process to issue a permit remains stalled. At any rate, Crestwood issued their first quarter update yesterday and they report, among other good news, that natural gas liquids (NGL) volumes are higher in 1Q15 vs a year ago mainly due to an increase of NGLs flowing in the Marcellus/Utica…
    Read More “Crestwood Midstream – NGL Volumes Up Thanks to Marcellus/Utica”

  • Anti-Drilling/Fossil Fuel | Coterra Energy (Cabot O&G) | Energy Companies | Industrywide Issues | Litigation | Pennsylvania | Susquehanna County

    PA Fracktivist Permanently Banned from Cabot Property

    May 7, 2015May 7, 2015

    A little-known (outside of northeast Pennsylvania) anti-driller, Vera Scroggins, has been permanently banned from trespassing on Cabot Oil & Gas well sites according to a recent court order. Vera had previously agreed to the restrictions that don’t allow her to get near Cabot’s many sites in Susquehanna County, PA. Then she got the trespassing itch again and re-offended, according to court records, in January 2015 (see PA Anti-Driller Fined $1K for Trespassing on Cabot O&G Site, Jail?). Until now it had been a temporary injunction. Now it’s a permanent injunction, something Vera says she’s going to continue fighting…
    Read More “PA Fracktivist Permanently Banned from Cabot Property”

  • Anti-Drilling/Fossil Fuel | Industrywide Issues | Ohio | Pennsylvania | Research | Statewide OH | Statewide PA | Statewide WV | West Virginia

    Study: If You’s Po’ and Lives in Rural PA, You’s Gettin’ Fracked

    May 7, 2015May 7, 2015

    If you’s po’ and lives in Penns’vania, ‘hio or West Gini, you’s gettin’ polluted by that evil, nasty frackin’. And chances are, you’s too stupid to knows it.” That’s the essential conclusion of a highly discriminatory and inaccurate “study” called “Spatial distribution of unconventional gas wells and human populations in the Marcellus Shale in the United States: Vulnerability analysis,” recently published in the so-called journal Applied Geography by so-called researchers from Clark University. The “researchers” don’t bother with fundamental research, like reviewing health records of people who live near active Marcellus Shale drilling areas. That would take waaaay too much work. Instead, they just assume that if you live near drilling, you’re getting polluted. The focus of the “research” is on the cockamamie theory of environmental justice. The “researchers” found that people living out in the country–where this activity typically takes place–by and large are poorer than those living in towns and cities (and on elite college campi). Wow–such a brilliant insight! “Because they po’, they don’t read all that much…they can’t figure out theys gettin’ polluted.” Yes, its disgustingly prejudiced–but that’s what passes for scholarship these days…
    Read More “Study: If You’s Po’ and Lives in Rural PA, You’s Gettin’ Fracked”

  • Best of the Rest

    Marcellus & Utica Shale Story Links: Thu, May 7, 2015

    May 7, 2015May 7, 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: Thu, May 7, 2015”

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

    Media Continues to Demagogue PA “Water Contamination” Research

    May 6, 2015May 6, 2015

    acid tripYesterday MDN alerted you to the coming buzz saw of media lies about a new study that reportedly shows three Pennsylvania water wells that may have been contaminated by nearby fracking operations (see Penn State Finds Chemical Migration in 3 PA Water Wells from 2010). As we pointed out yesterday, this is an isolated case from five years ago where a wastewater impoundment was found to be leaking–hardly a smoking gun that “fracking contaminates surface water supplies” (the lie that psychotics like Daily Kos readers chant to themselves every day). Anti-drilling reporters in mainstream media are committing malpractice in their reporting of this study. The reporting has reached a fevered pitch–almost like the reporters are experiencing an ecstatic LSD acid trip. The story has gone worldwide and the headlines (and lies) continue to pour in. We spotted a great analysis of the research and what the research says–and doesn’t say–by the always-excellent Energy in Depth. We think it’s worth repeating here for the MDN audience…
    Read More “Media Continues to Demagogue PA “Water Contamination” Research”

  • Energy Companies | Noble Energy

    Noble Energy: Lots of Marcellus Drilling in 1Q15, Scaling Back 2H15

    May 6, 2015May 6, 2015

    Noble Energy is a big company with drilling both onshore and offshore. One of their focus areas is the Marcellus Shale where they are spending $900 million on drilling this year (see Noble Energy 2014 in Review, Spending $900M on Marcellus in 2015). Noble released their first quarter 2015 results yesterday. Although the company experienced a $22 million net loss financially, other signs were positive, including their activity in the Marcellus. Noble drilled 15 new wells and brought 3 wells online in 1Q15 in the Marcellus. Noble is also in a joint venture with CONSOL Energy. The JV drilled 25 new wells and brought online 29 wells in the Marcellus in 1Q15. However, Noble warns they are reducing their rig count and scaling back in the Marcellus for the second half of this year…
    Read More “Noble Energy: Lots of Marcellus Drilling in 1Q15, Scaling Back 2H15”

  • Carrizo Oil & Gas | Energy Companies | Guernsey County | Ohio | Utica Shale

    Carrizo 1Q15: Drilled 2 Test Wells in OH Utica, Good Results

    May 6, 2015May 6, 2015

    A bit of a surprise for MDN with the release of Carrizo Oil & Gas’s first quarter 2015 update today. In January Carrizo said they would not be drilling any new wells in the Utica/Marcellus in 2015 (see Carrizo Cuts Budget 35%, No Drilling Planned in Utica/Marcellus in 2015). While the company held true to its word on the Marcellus and did not drill any new wells, they did drill two new Utica wells in 1Q15. The two wells were drilled in northeast Guernsey County, OH and are being used as tests to determine the production capability in that area. Early results, according to Carrizo, are quite good (an average 200 barrels per day of oil/condensate). They do say, however, that because of low prices, they have no plans to drill any more Utica wells for the balance of this year beyond these two test wells in Guernsey…
    Read More “Carrizo 1Q15: Drilled 2 Test Wells in OH Utica, Good Results”

  • CNG/LNG | Energy Companies | Industrywide Issues | Rex Energy

    Rex Energy 1Q15: Production Up 61%, Revenue Down 33%, Gulf Coast Deal

    May 6, 2015May 6, 2015

    Rex Energy, focused on both the Marcellus/Utica and Illinois basins, released their first quarter 2015 update yesterday. Among the positive highlights: Rex’s first quarter production in 2015 grew 61% over the first quarter of 2014; the company is on track to grow production 25% in full year 2015 vs full year 2014; they recently signed two agreements to ship a total of 130 million cubic feet of gas to the Gulf Coast for the Freeport LNG plant; and they’ve increased production by using a lot more sand. On the negative side, revenue was down 33% (due to the lower price of natural gas), and after expenses the company lost $17.8 million for the quarter, vs 2014 when they gained $8.8 million. Here’s the details from Rex…
    Read More “Rex Energy 1Q15: Production Up 61%, Revenue Down 33%, Gulf Coast Deal”

  • Energy Companies | Gulfport Energy | Utica Shale

    Gulfport Energy 1Q15: Production Up 161%, Net Income Down 69%

    May 6, 2015May 6, 2015

    Gulfport Energy reported their first quarter 2015 results yesterday. Net production for Gulfport averaged 424.4 million cubic feet equivalent per day in 1Q15, which is a huge 161% increase from 1Q14. The company remains active in the Utica Shale, spudding (beginning to drill) 16 wells in 1Q15 and bringing online 8 wells. As MDN told you a few weeks ago, Gulfport has picked up another 24,000 acres in Belmont and Jefferson counties (OH) from Paloma Partners (see Gulfport Energy Pays $12,500 per Acre for 24K OH Utica Acres). With that new acreage, Gulfport reports they now own 212,000 acres in the Utica. On the financial side, revenue was up a big 49%, but net income (after expenses) was down 69% in 1Q15 vs 1Q14. The details…
    Read More “Gulfport Energy 1Q15: Production Up 161%, Net Income Down 69%”

  • Energy Services | Seventy Seven Energy

    Seventy Seven Energy 1Q15: Red Ink Continues to Flow Heavy

    May 6, 2015May 6, 2015

    red inkSeventy Seven Energy, an oilfield services company with major operations in the northeast, is the old Chesapeake Oilfield Operating division of Chesapeake–spun off into its own company on July 1, 2014 (see Long Labor & Delivery: Seventy Seven Energy Born Yesterday). Yesterday the company released their first quarter 2015 results and said, in essence, “We told you it would be a bloodbath this year, and it is.” The red ink is flowing like the Mississippi at Seventy Seven. Revenues are down a slight 6% in 1Q15 from 1Q14, but down a larger 13% from 4Q14 (just last quarter). Looking at revenue and expenses, in 1Q14 Seventy Seven had a net loss of $18.6 million. In 1Q15 the net loss doubled to $37.6 million. Ouch. They plan to use a $100 million accordion line of credit to keep going. Was there any good news?…
    Read More “Seventy Seven Energy 1Q15: Red Ink Continues to Flow Heavy”

  • Anti-Drilling/Fossil Fuel | CNG/LNG | Dominion Energy | Energy Services | Exporting | Industrywide Issues | Litigation | Maryland | Regulation | Statewide MD

    FERC Says “No” to Anti’s Request for Cove Point LNG Re-hearing

    May 6, 2015May 6, 2015

    In December MDN told you about the latest strategy from the anti-fossil fuel nutters at Allegheny Defense Project and Wild Virginia–an attempt to get another hearing on Dominion’s Cove Point LNG export facility (see Anti Groups Ask FERC to Stop Construction on Cove Point LNG Plant). Before the two can file yet another frivolous lawsuit with the aim of tying up progress on the plant in legal knots, they must first apply for a “rehearing.” They did so and requested the Federal Energy Regulatory Commission (FERC) have Dominion stop work on the plant in the meantime. FERC said “no” to stopping construction, and “we’ll get back to you in our own good time” on the rehearing. Five plus months later (yesterday) FERC responded, and as we predicted, they handed Allegheny Defense Project and Wild Virginia a big, fat “no” to the rehearing request. You can bet the frivolous lawsuit will get filed within the next few days…
    Read More “FERC Says “No” to Anti’s Request for Cove Point LNG Re-hearing”

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