Marcellus & Utica Shale Story Links: Fri, Dec 11, 2014
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, Dec 11, 2014”
-
-
Latest ODNR Maps Showing Where Utica/Marcellus Wells are Located
A couple of nifty maps to share with you, courtesy of the Ohio Dept. of Natural Resources. The ODNR recently updated their maps showing both Utica Shale activity (permitted, drilled, producing, etc.), and showing the same for Marcellus wells in Ohio. Yes! There are a few Marcellus wells in Ohio…
Read More “Latest ODNR Maps Showing Where Utica/Marcellus Wells are Located” -
NY Anti-Drillers Launch Yet Another PR Effort: Not One Well
Well-scripted and organized “environmental” groups, including the National Resources Defense Council (NRDC), the odious Food & Water Watch, THE Delaware Riverkeeper, Sierra Clubbers and other assorted nutjobs have banded together and, using the deep pockets of the Park Foundation and other financiers of tyranny, have launched the “Not One Well” advertising campaign. The new campaign is designed to browbeat, cajole and otherwise threaten one person, NY Gov. Andrew Cuomo, into not allowing a single shale well to be drilled in NY state. Using the same old scare tactics and completely debunked junk science, they’re turning up the heat as the deadline draws near (Dec. 31st) by which Cuomo hinted that he would make a decision on fracking in the Empire State. Of course he won’t make a decision by then, so we’re not sure why they have their knickers in a twist. But hey, let them blow another million or two on wasted advertising. Who cares?…
Read More “NY Anti-Drillers Launch Yet Another PR Effort: Not One Well” -
Eclipse Resources Brings 6 Utica Wells Online, 5 More by Dec 31
Last week Eclipse Resources provided an operational update to say they’ve now brought six new Utica Shale wells online over the past two months. The company’s statement doesn’t say where those wells are located, but we have some theories on that. The update also says they plan to bring another five Utica wells online by the end of this year…
Read More “Eclipse Resources Brings 6 Utica Wells Online, 5 More by Dec 31” -
CEO of Warren Resources Quits, Replaced by Citrus Energy CEO
Warren Resources is an independent exploration and production company headquartered in New York City. Warren has ongoing drilling programs in California, Wyoming, and in the Pennsylvania Marcellus Shale. Or rather, they own leases on 6,982 acres in the Marcellus. We don’t believe they’ve drilled a single well in the Marcellus to date–but perhaps that’s about to change? Last Friday the company announced the sudden departure of its CEO and Chairman of the Board, Philip Epstein. In his place as interim CEO will be board member Lance Peterson, and as interim Chairman of the Board, Dominick D’Alleva. Lance Peterson is the founder and current CEO of Citrus Energy–so it appears that he’ll balance running two companies at the same time. Citrus *is* an active driller in the PA Marcellus…
Read More “CEO of Warren Resources Quits, Replaced by Citrus Energy CEO” -
PA Gov-Elect Wolf Appoints John Hanger Secretary of High Taxes
Pennsylvania Gov.-elect Tom Wolf continues to get the Ed Rendell band back together again–the same bunch that ran PA into the financial ditch under Rendell. First he appointed Katie McGinty, former Secretary of the Dept. of Environmental Protection (DEP) under Rendell, as his chief of staff. Now Wolf has appointed another Rendell Sec. of DEP, John Hanger, as his Secretary of Planning and Policy. Must be Wolf has a thing for DEP Secretaries. You may recall Hanger ran against Wolf (and against McGinty) in the Democrat primary for governor this year, but dropped out in March (see Pass One Last Joint for John Hanger). Hanger can’t wait to cook up high severance taxes on drillers. Why is it Democrats always salivate when they think about taking other people’s money?…
Read More “PA Gov-Elect Wolf Appoints John Hanger Secretary of High Taxes” -
OH House Bill 490 in Trouble – Frack Chemical Data for 1st Responders
This is the ongoing saga of Ohio House Bill 490, a Hail Mary comprehensive omnibus bill that would tackle a number of issues, including fixing reporting rules that restore access to a database of chemicals used at various drilling sites to first responders (their access was taken away by anti-drillers last year, see OH Antis Force Change in Chemical Reporting, Everyone Less Safe). The ODNR wants new language in HB 490 to fix the problem, but the language passed, once passed through politicians’ hands, turned from gold into lead (see OH Senate Asked to Fix Language in Frack Chemical Reporting Bill). Although the Senate is trying to plug all of the holes in 490, it looks like the good ship 490 is about to sink…
Read More “OH House Bill 490 in Trouble – Frack Chemical Data for 1st Responders” -
SRBC Hums Along – Approves 17 New Water Withdrawal Projects
You just have to admire the Susquehanna River Basin Commission. They meet, they get things done. Decisions are made, regulations updated, projects approved (or not). And a great many of the things they deal with are related to Marcellus Shale drilling in Pennsylvania. Contrast that to the Delaware River Basin Commission where there is no Marcellus Shale drilling–where the DRBC has an ongoing dysfunction when it comes to shale drilling. At any rate, last week the SRBC met again and a whole list of items got completed, including 17 applications for water withdrawals…
Read More “SRBC Hums Along – Approves 17 New Water Withdrawal Projects” -
ND Regulators Pass Rule Making Bakken Crude by Rail Safer
For some time MDN has written and highlighted articles about Bakken Shale crude oil that gets to market largely on railroads. The short version of the story is this: Bakken crude contains a lot of NGLs (natural gas liquids), like ethane, butane, propane. The NGLs make the crude more ignitable and flammable if there’s an accident. And there’s always an accident–at some point in some place. A number of Bakken crude trains run through New York State and of course NY’s anti-drillers object (what don’t they object too?). We’ve heard lovely metaphors and analogies like “bombs on rails” and “death trains.” On Tuesday, the North Dakota Industrial Commission (NDIC) met and passed a controversial measure to fix the problem. Starting April 1st, oil companies will have to strip out most of the NGLs before the oil is loaded onto railcars. Of course that won’t appease anti-drillers, but it will make communities through which the trains pass safer than they are now…
Read More “ND Regulators Pass Rule Making Bakken Crude by Rail Safer” -
Clock Ticking for Comment on EPA Rule on Greenhouse Gas Reporting
Two weeks ago MDN gave E&P and midstream companies a heads-up that another onerous new “rule” (i.e. law) is coming from the out-of-control Obama Environmental Protection Agency (EPA) that requires energy companies to file greenhouse gas emissions reports for just about everything–wellpads, pipelines, compressor stations (see EPA Issues New Rules for O&G Industry on GHG Emissions Reporting). A whole new level of reporting is coming at you. On Tuesday the EPA published their proposed rule change in the Federal Register (copy below)…
Read More “Clock Ticking for Comment on EPA Rule on Greenhouse Gas Reporting” -
Benesch Shale Report 3Q14: Upstream, Midstream & Downstream
Each quarter the Ohio law firm of Benesch Friedlander Coplan & Aronoff LLP produces an Ohio shale update. MDN often shares their updates–well worth your time to read. The latest edition, covering Utica Shale activity in the third quarter of 2014, is embedded below. This issue highlights infrastructure announcements, financial results for some of the Utica’s largest drillers, supply chain news and regulatory news. Take time to read this well-crafted summary (will only take you a few minutes)…
Read More “Benesch Shale Report 3Q14: Upstream, Midstream & Downstream” -
PDC Energy Pushes Pause Button on OH Utica Drilling for 2015
PDC Energy, with 67,000 acres of leases in Ohio’s Utica Shale, is not among the largest Utica drillers. But they’re by no means insignificant either. The company released their 2015 capital expenditure (capex) budget and production guidance yesterday. PDC says they will idle their single drilling rig in the Ohio Utica in 2015 and spend just $38 million in the Utica next year (compared to $190 million in 2014) to finish up several wells already begun. PDC says the price of natgas is just too darned low right now and that they will be back when the price goes up. (Our thought: PDC will have a long wait!) PDC is instead spending their money in the Niobrara Shale in Colorado–although the company plans to spend 14% less next year than they did this year…
Read More “PDC Energy Pushes Pause Button on OH Utica Drilling for 2015” -
Energy Companies | Energy Services | Industrywide Issues | M&A | New York | Pennsylvania | Pipelines | Regency Energy Partners | Statewide NY | Statewide PA | Talisman Energy
Talisman Considers Sale of Marcellus Midstream Assets to Regency
Three weeks ago Talisman was rumored to be near a deal to sell its New York/Pennsylvania pipeline system to Regency Energy Partners. Talisman owns some 435 miles of gathering and transmission pipelines in NY/PA. However, the deal, which was supposedly imminent and rumored to be worth $1 billion, still hasn’t happened. Why? Could it be the revived talks by Repsol to buy Talisman (see Rumor Mill: Repsol Once Again Interested in Buying Talisman)? We don’t know. One thing we do know is that corporate raider Carl Icahn, who has his claws deeply into Talisman (as he does with Chesapeake Energy), is the puppet master pulling the strings and forcing the company to sell assets. Here’s the sitrep (situation report) as of a few weeks ago, according to sources talking to Bloomberg News…
Read More “Talisman Considers Sale of Marcellus Midstream Assets to Regency” -
Energy Services | Industrywide Issues | MarkWest Energy | Pennsylvania | Pipelines | Regulation | Washington County
MarkWest Builds/Operates Compressor Station w/o Building Permit
Hmmm. Here’s a story we don’t like to report, and fear there’s more to the story than we now know, but report it we must. MarkWest Energy, arguably the largest and most important midstream (pipelines & processing plants) company in the Marcellus and Utica Shale, was denied a building permit to construct a building to house several natural gas compressors in West Alexander (Donegal Township, Washington County), PA–but they went ahead and built it anyway, without the permit. The rogue compressor station is now up and running but has to use generators to supply power because the town won’t let them hook up electric since they’re still in violation of the building permit…
Read More “MarkWest Builds/Operates Compressor Station w/o Building Permit” -
EQT Changing Name (but Not Ownership) of Midstream Subsidiary
Two years ago EQT spun off its midstream operations into a subsidiary and sold stock in it. That is, they floated an initial public offering (IPO) and raised over $260 million for the new subsidiary company (see EQT Midstream IPO Rakes in the Cash). On Monday of this week, the company said it will file paperwork with the Securities and Exchange Commission to create a new company, called HoldCo, as a master limited partnership (MLP). HoldCo is being formed to take ownership of EQT Midstream and the IPO will float 21.3 million units. That is, EQT is getting a second bite of the IPO apple by creating an umbrella company to take ownership the midstream company, although EQT plans to purchase “more than 80%” of HoldCo’s stock themselves…
Read More “EQT Changing Name (but Not Ownership) of Midstream Subsidiary” -
Anadarko | Chesapeake Energy | Citrus | Energy Companies | Industrywide Issues | Jobs | Pennsylvania | Regulation | Statewide PA | Statewide WV | West Virginia
DOL Action: Several Marcellus Drillers Pay $4.5M in Back Wages
In a multi-year so-called “investigation” that cost more money that was “recovered,” the U.S. Dept. of Labor (DOL) announced yesterday they’ve forced Chesapeake Energy, Citrus Energy and Anadarko Petroleum (and perhaps others) to pay $4.5 million in back wages to some 5,300 oil and gas workers in Pennsylvania and West Virginia. The apparent “violation” is that these workers, working for subcontractors (not directly for the energy companies themselves), in some cases worked more than 40 hours in a given week but didn’t get time-and-a-half wages. We’re certainly not against playing by the rules, but it sure seems like utter folly to hype this as some sort of victory by Obama’s Labor Department–to work for more than two years and come up with a thimble-full of violations and carp and complain about how fractured the energy industry is–the same industry that, because of all those many subcontractors, has generated several hundred thousands new jobs in PA & WV that wouldn’t have been there otherwise. Here’s the press release by the DOL…
Read More “DOL Action: Several Marcellus Drillers Pay $4.5M in Back Wages”
A couple of nifty maps to share with you, courtesy of the Ohio Dept. of Natural Resources. The ODNR recently updated their maps showing both Utica Shale activity (permitted, drilled, producing, etc.), and showing the same for Marcellus wells in Ohio. Yes! There are a few Marcellus wells in Ohio…
PDC Energy, with 67,000 acres of leases in Ohio’s Utica Shale, is not among the largest Utica drillers. But they’re by no means insignificant either. The company released their 2015 capital expenditure (capex) budget and production guidance yesterday. PDC says they will idle their single drilling rig in the Ohio Utica in 2015 and spend just $38 million in the Utica next year (compared to $190 million in 2014) to finish up several wells already begun. PDC says the price of natgas is just too darned low right now and that they will be back when the price goes up. (Our thought: PDC will have a long wait!) PDC is instead spending their money in the Niobrara Shale in Colorado–although the company plans to spend 14% less next year than they did this year…