Mariner East Pipeline Passes Test in Lebanon, PA
Sunoco Logistics’ Mariner East 1 pipeline that runs from southwest Pennsylvania all the way to a refinery near Philadelphia continues to make progress on beginning to flow both propane and ethane. We’ve written numerous stories on the project (see the list here). Almost all of the pipeline is already in the ground–has been for decades–and will be repurposed from transporting oil to transporting natural gas liquids. The current situation is this: Sunoco Logistics is still fighting a legal battle to build 18 pump and 17 valve stations in 31 municipalities along the route. We don’t have any update on the legal battle, but we do have an update on testing of the pipeline. In October we told you that a section of the pipeline near Lebanon, PA was being tested (see Mariner East NGL Pipeline Begins Tests in Lebanon, PA). Good news, the test is complete and the pipeline, in that area, passed with flying colors…
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Between Christmas and New Year, Middlesex Township (Butler County), PA held the second of what may be up to five hearings on the already-granted permits for Rex Energy to drill five wells on a single well pad in the township. You may recall that two agitating “environmental” groups–headquartered on the other side of the state, in the Philadelphia area–along with four parents from the Mars School District, filed an appeal of the legal and legitimate permits granted by the state Dept. of Environmental Protection to Rex in September (see 
Southwestern Energy is on a tear in the Marcellus/Utica region. In 2014, the company picked up 413,000 acres and some 1,500 wells from Chesapeake Energy for $4.975 billion and paid another $394 million to Statoil as part of that same deal (to get more ownership of the jointly-owned acreage); Southwestern purchased all of WPX’s acreage–46,700 acres and 63 Marcellus Shale wells–in northeast Pennsylvania for $300 million; and Southwestern cut a deal with DTE Energy to significantly expand their pipeline gathering system in northeast PA. They’ve also been busy in several other shale plays. On Monday, Southwestern issued a company update and guidance for 2015. The very notable thing about that update: Southwestern, contrary to almost every other major and minor shale player, is increasing spending on shale drilling in 2015, by $200 million…