Marcellus Drilling News

Industrywide Issues | NGLs | Research

EIA Coins New Term, Issues Report on Hydrocarbon Gas Liquids (HGLs)
December 1, 2014December 1, 2014

It’s vocabulary day at MDN. The U.S. Energy Information Administration, our favorite government agency, has just released a new report on, and has coined a new term, called: Hydrocarbon Gas Liquids (HGL). In a nutshell, EIA uses the term HGL to refer to the combination of NGLs (natural gas liquids like ethane, propane and butane) and olefins (things like ethylene, propylene, butylene, and isobutylene). If you’re new to this whole shale gas thing and to the oil and gas industry, you need to know that the hydrocarbons coming out of the ground (oil and gas) are tightly connected to–in fact the source of–things like plastic and antifreeze. That is, oil and gas is part of the petrochemical industry. The EIA recognizes the importance and connection between petrochemicals and shale, and so have authored a new report, titled “Hydrocarbon Gas Liquids (HGL): Recent Market Trends and Issues” (full copy embedded below). Since there’s a lot of “wet gas” in the Marcellus and Utica Shale, the petrochemical industry is tightly connected to shale drilling in the northeast. This report connects the dots…
Read More “EIA Coins New Term, Issues Report on Hydrocarbon Gas Liquids (HGLs)”
About MDN | Calendar

Calendar of Events for Dec 1-14, 2014 [Free]
December 1, 2014December 1, 2014

Below are upcoming events for this week and next. To see the full list of future events, visit this page: //marcellusdrilling.com/calendar/.

NOTE: To have an item included, please email it to: calendar@marcellusdrilling.com.
Read More “Calendar of Events for Dec 1-14, 2014 [Free]”
Best of the Rest

Marcellus & Utica Shale Story Links: Mon, Dec 1, 2014
December 1, 2014December 1, 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: Mon, Dec 1, 2014”
Hydraulic Fracturing | Industrywide Issues | Maryland | Regulation | Statewide MD

Fracking in Maryland (!) in 2015? Quite Possibly
November 26, 2014November 26, 2014

Looks like we owe an apology to Maryland. For years we’ve laughed and poked fun at Maryland and said it is the only state more dysfunctional than New York when it comes to allowing fracking. Yesterday, the special Maryland commission, set up 3 1/2 years ago by the outgoing, leadership-deficient Democrat Gov. Martin O’Malley, released it’s final report with recommendations for how fracking can go forward in the state (full copy below). Incoming Republican Gov. Larry Hogan has promised swift action on the fracking issue. Meanwhile, NY sits on its hands and does nothing. Mind you, the proposed Maryland regulations are so off-the-charts restrictive that even the nutty, far-left Chesapeake Climate Action Network is singing its praises (a big red flag). But hey, the ability to drill half a dozen wells in Maryland is better that what NY has! Let’s start with a summary of the new regulations put forward by the commission…
Read More “Fracking in Maryland (!) in 2015? Quite Possibly”
Energy Companies | Energy Services | EnerVest | EV Energy Partners | GASFRAC | Hydraulic Fracturing | Industrywide Issues | Ohio | Tuscarawas County | Utica Shale

Details on GASFRAC’s Waterless Frack Test in OH Utica
November 26, 2014November 26, 2014

Two weeks ago MDN was (we believe) the first to call attention to a very short reference in the quarterly update from Canadian oilfield services company GASFRAC–a line that says GASFRAC had finally begun fracking a Utica Shale well using their waterless technology (see GASFRAC Begins Waterless Fracking Job in OH Utica). At the time we had no details about where the well is located, and who the exploration company is that GASFRAC is doing the work for. We now know those bits, thanks to some ace reporting by Tom Knox at Columbus Business First…
Read More “Details on GASFRAC’s Waterless Frack Test in OH Utica”
Anti-Drilling/Fossil Fuel | Dominion Energy | Energy Services | Industrywide Issues | Pipelines | Statewide WV | West Virginia

So-Called ‘Pipeline Air Force’ to Track Dominion Pipeline in WV
November 26, 2014November 26, 2014

Just when you think you’ve heard it all, along comes another bizarre twist from those who oppose shale drilling. As we’ve reported in a number of stories, Dominion is planning to build a 550-mile, $5 billion natural gas pipeline from West Virginia through Virginia and into North Carolina. It’s called the Atlantic Coast Pipeline project and the Federal Energy Regulatory Commission is now evaluating it (see Dominion Asks FERC to Start Environmental Review of SE Pipeline). Apparently a group of people who oppose the pipeline plan to keep an eye on it as it’s built (they must figure it’s a foregone conclusion that it will get built). They’ve somehow gotten ahold of three airplanes that they will use to spy from the sky as the pipeline gets built through the mountains of West Virginia…
Read More “So-Called ‘Pipeline Air Force’ to Track Dominion Pipeline in WV”
Energy Companies | Pennsylvania | Range Resources Corp | Washington County

South Strabane Twp Approves Range Plan for 10 Wells in W PA
November 26, 2014November 26, 2014

Last night the South Strabane Township (Washington County, PA) board of supervisors voted to allow Range Resources the right to drill up to 10 wells on an 80-acre site. They did, however, impose some 46 conditions on the drilling–conditions Range said it “could live with.” The drill site is near Kopper Kettle Road and Range likely will not begin active drilling until October 2015. Three supervisors voted in favor, one against and one abstained. The interesting thing, to MDN, is that earlier this month anti-drillers were out in force to oppose drilling under (not even on top of) Mingo Creek County Park, about 12 miles from the Kopper Kettle Road site, spouting silly things like drilling will create a “ring of fire” (see Washington County Votes to Establish “Ring of Fire” at Mingo Park). However, at least night’s meeting, most of the residents who attended support Range’s request…
Read More “South Strabane Twp Approves Range Plan for 10 Wells in W PA”
Energy Services | Industrywide Issues | PennEast Pipeline | Pipelines

New Jersey Resources Update: NJ Loves Natgas & PennEast
November 26, 2014November 26, 2014

A casual news consumer may think that the State of New Jersey is somewhat anti-drilling and takes a dim view of natural gas. After all, the NJ legislature has twice passed a bill that would ban any frack waste from entering the state (see NJ Gov. Christie Vetoes Frack Waste Ban 2nd Time). And opposition to the PennEast Pipeline that runs from PA to NJ has been loud and shrill on the NJ end. What you may not know, however, is that two NJ utilities are partners in the PennEast Pipeline project (see NJ’s Largest Utility Becomes 5th Partner in PennEast Pipeline). New Jersey Resources, one of the two PennEast partners, yesterday issued an update on 2014 with guidance for 2015. The thing that caught our eye? NJR continues to add new natgas customers at a rapid clip–and they’re jazzed on the prospects for the PennEast Pipeline and new sources of cheap, abundant Marcellus Shale gas that will flow to NJ…
Read More “New Jersey Resources Update: NJ Loves Natgas & PennEast”
Commodity Price | Industrywide Issues

Fitch Says Natgas Prices to Remain Low for Next Several Years
November 26, 2014November 26, 2014

What will the price of natural gas do over the next few years? According to analysts at one of the country’s largest credit rating agencies, Fitch Ratings, the price of natgas will “remain subdued over the next several years.” The minds at Fitch offer us their reasoning on where and why gas prices will head, along with the potential impact from low oil prices (yes, there is a connection). Here’s the latest thinking from Fitch, including an interesting discussion of “associated gas” supplies and how/why companies are still making money even with low gas prices…
Read More “Fitch Says Natgas Prices to Remain Low for Next Several Years”
About MDN | MDN Resources

The Top 10 Things MDN is Thankful for in 2014
November 26, 2014December 1, 2014

A very Happy Thanksgiving to you and yours! Marcellus Drilling News will be on holiday both Thursday, Nov. 27 and Friday, Nov. 28. We’ll be back with all of the latest Marcellus and Utica News next Monday, which will be Dec. 1. Can you believe how quickly December snuck up on us?! Meanwhile, for your Thanksgiving enjoyment, below is a list of the top 10 Marcellus/Utica things MDN is thankful for this holiday season…
Read More “The Top 10 Things MDN is Thankful for in 2014”
Best of the Rest

Marcellus & Utica Shale Story Links: Wed, Nov 26, 2014
November 26, 2014November 26, 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: Wed, Nov 26, 2014”
Antero Resources | Energy Companies | Lease & Royalty Payments | Noble Energy | Tyler County | West Virginia

Record High Bid to Drill Under Bambi’s Home in Tyler County, WV
November 25, 2014November 25, 2014

Looks like drilling and fracking adjacent to, and underneath, the Ohio River isn’t the only state-owned asset West Virginia has in mind to raise revenue (see Gastar Wins Lease to Drill Under Ohio River in WV). Last Friday, WV opened bids that will allow drilling under the 518-acre Conaway Run Wildlife Management Area in Tyler County, WV. Yes, those heartless monsters want to allow drilling and fracking under Bambi’s home–can you believe it?! The bids received will make your eyes pop out–some of the highest (perhaps THE highest) amounts offered in a signing bonus to date…
Read More “Record High Bid to Drill Under Bambi’s Home in Tyler County, WV”
Energy Services | Industrywide Issues | Kinder Morgan | Pipelines | Regulation | Tennessee Gas Pipeline

Kinder Morgan Changes Route for Pipeline from MA to NH
November 25, 2014November 25, 2014

Kinder Morgan has, for some time, been locked in a battle with far-left anti-fossil fuelers in Massachusetts who oppose KM’s plan to extend the Tennessee Gas Pipeline across the width of the state in an attempt to deliver cheap, abundant, clean-burning Marcellus Shale natural gas to New England. Those same anti-fossil fuelers use fossil fuels throughout the day every day of their lives, but fail to see the hypocrisy in their twisted position. Pressure against the pipeline, called Northeast Energy Direct (or NED) is mounting as both MA U.S. Senators–both are Democrat–oppose it (see Both Mass. Senators Oppose TGP Northeast Energy Direct Pipeline). Two weeks ago KM proposed an alternate route (see map below). The alternate route, now said to be the preferred route, will shave off something like half of the distance the pipeline stretches across MA and instead chart a course northward–through southern New Hampshire–following the route of an existing power line. The cool thing? NH wants it…
Read More “Kinder Morgan Changes Route for Pipeline from MA to NH”
Energy Services | Industrywide Issues | Kinder Morgan | Pipelines | Tennessee Gas Pipeline

KM Takes on Minority Partner in Northeast Energy Direct Pipeline
November 25, 2014November 25, 2014

More Tennessee Gas Pipeline – Northeast Energy Direct (NED) news today. Aside from today’s companion story today that Kinder Morgan (KM) is seriously considering a route change for the pipeline–away from Massachusetts and into New Hampshire–a second bit of important news. KM has cut a deal with Canadian-based utility company Algonquin Power & Utilities Corp. to invest in the NED project. KM is selling off up to a 10% ownership in the NED project to Algonquin in return for an investment of up to $400 million…
Read More “KM Takes on Minority Partner in Northeast Energy Direct Pipeline”
Columbia Pipeline Group | Columbiana County | Energy Companies | Energy Services | Hilcorp Energy | NiSource | Ohio | Utica Shale

Hilcorp Begins Drilling the Brinker Field in Columbiana County, OH
November 25, 2014November 25, 2014

Funny how old stories become new again. Back in September 2012 MDN first told you about the Brinker Storage Field, a 35,000-acre area in Columbiana County, OH used by Columbia Gas to store natural gas supplies in the Berea Sandstone formation. They’ve been storing gas in it for more than 50 years. The problem that we highlighted back in 2012 is that landowners, who signed leases to allow that storage, were going to get shafted out of royalties for leases Columbia had signed with Hilcorp to drill Utica Shale wells under the Brinker area (see Columbia Gas & Hilcorp Meet with Landowners in Brinker Field). A few months after a meeting with Columbia and Hilcorp reps, many landowners signed revised leases that cut them in on the action–with a 15% royalty (see Some Brinker Field (OH) Leases Revised, Others in Lawsuit). However, some landowners sued. It appears they lost since Hilcorp has filed for permits to begin active drilling in the Brinker. The Ohio Dept. of Natural Resources (ODNR) has already approved 6 of 25 permit applications from Hilcorp, and we expect the others will also be approved…
Read More “Hilcorp Begins Drilling the Brinker Field in Columbiana County, OH”
Hydraulic Fracturing | Industrywide Issues | Pipelines | Processing Plants | Regulation

EPA Issues New Rules for O&G Industry on GHG Emissions Reporting
November 25, 2014November 25, 2014

The Federal Environmental Protection continues to regulate things it has not business regulating–not that it makes a hill of beans worth of difference that we point it out. Nobody will challenge them on their out-of-control behavior, so we all just pretend it’s OK and go along. The latest aggressive action taken by the EPA is to publish a rule change that will go into effect in 60 days. This new rule change is in how so-called greenhouse gas emissions are reported by the oil and gas industry. Both midstreamers and upstreamers are affected, so pay attention or prepare to be fined by the EPA…
Read More “EPA Issues New Rules for O&G Industry on GHG Emissions Reporting”