Marcellus Drilling News

Industrywide Issues | Litigation | Pennsylvania | Sand/Proppant | Wyoming County (PA)

NEPA Town Residents Resist Frack Sand Transfer Station
October 22, 2014December 4, 2014

Hi-Crush Partners, one of three major frack sand companies in the U.S., purchased PA-based D&I Silica for $125 million in May 2013. D&I is planning to build a frack sand transfer station in Tunkhannock (Wyoming County), PA. Except some (many?) residents who live in the area, along with the Wyoming County Planning Commission, don’t want it. All permits are in hand except one–from the Planning Commission. Hi-Crush has sued and the matter sits in court. However, there was a colorful appearance by one local anti-driller who dressed up in a canary outfit to attend the Wyoming County Commissioners meeting last night discussing the proposed transfer station…
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Air Quality | Carroll County | Industrywide Issues | Ohio | Research | Utica Shale

UC Hints Air Problems Near Drill Sites in Carroll County Research
October 22, 2014October 22, 2014

In December MDN told you about a new air quality study in Carroll County, OH, being researched by the University of Cincinnati and Oregon State University. The study will measure air quality for pollution potentially caused by local Utica Shale drilling. A good concept and worthy of everyone’s support. The only problem we had/have is that some of the volunteers helping with the project are from a local anti-drilling group (see Carroll County Anti-Drillers Eager to Help with Air Quality Study). The full results are not yet in, but preliminary results (UC won’t release any specifics), according to the AP, say that air pollution near some well sites is “higher than those in downtown Chicago”…
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New York | New York County

Small Texas Driller Opens Branch Office in Midtown NYC
October 22, 2014October 22, 2014

Texas Coastal Energy Company (TCEC) is a small but growing exploration and production company. TCEC was founded in 2011 by Jeff Gordon, an experienced (and third generation) Texas oil man. The company has drilled perhaps a dozen wells so far (maybe more, it’s hard to tell from their website). Why are they on our radar? TCEC is opening a new office in Manhattan, New York City. And why would they do that? Primarily because that’s where the big money is and they want to get some of that big money–but also because they’re considering drilling in the Marcellus Shale…
Read More “Small Texas Driller Opens Branch Office in Midtown NYC”
Chevron | Education | Energy Companies | Industrywide Issues | Ohio | Pennsylvania | Statewide OH | Statewide PA | Statewide WV | West Virginia

Chevron Launches Appalachia Partnership Initiative with $20M
October 22, 2014October 22, 2014

Kudos to Chevron. Yesterday the company announced $20 million in grants for education and workforce development in 27 counties across Pennsylvania, West Virginia and Ohio. Called the Appalachia Partnership Initiative, Chevron aims to fund education (for students) and training (for workers) in STEM–Science, Technology, Engineering and Math. A variety of programs and organizations will be the recipients of Chevron’s largess…
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Best of the Rest

Marcellus & Utica Shale Story Links: Wed, Oct 22, 2014
October 22, 2014October 22, 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, Oct 22, 2014”
Industrywide Issues | Pennsylvania | Regulation | Statewide PA

2 Bills on PA Gov’s Desk: Monthly Production #s, Lease Termination
October 21, 2014October 21, 2014

A pair of bills recently passed both the Pennsylvania House and Senate now sit on Gov. Tom Corbett’s desk that are sure to delight landowners and (likely) frustrate drillers. The prime sponsor and author of both bills is PA Rep. Tina Pickett (Republican, Bradford/Sullivan/Susquehanna). House Bill (HB) 2278 will require drillers to file monthly production numbers with the Dept. of Environmental Protection. They currently file every six months. The second bill, HB 402, requires a driller to present a “recordable surrender document” to a landowner within 30 days of a lease cancellation/termination. With such a document, landowners know for sure, they have proof, that they can re-lease with someone else if they so choose…
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Hydraulic Fracturing | Industrywide Issues | Research | Wastewater

NSF/Park Found. Research Claims Frack Fluid Tracking with Tracers
October 21, 2014October 21, 2014

Last year MDN endorsed a proposal put forth largely by anti-drillers–a proposal that tracers be used in fracking fluids to put to rest, once and for all, the silly notion that frack fluids are rising from the depths to “contaminate” water aquifers (see Using Tracers in Fracking Fluid – Ready for Prime Time?). Using tracers, or unique “fingerprints” that positively identify fluid as coming from shale drilling, can be used to check nearby streams and rivers to ensure such fluids have not somehow been released into the environment after they’ve come back to the surface for disposal by recycling or injection well. Our only concern was/is that the science is solid. Yesterday, the National Science Foundation announced researchers (using NSF and Park Foundation grant money) have field tested and pronounced they now have a solid solution…
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Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Northampton County | PennEast Pipeline | Pennsylvania | Pipelines

Dela. Riverkeeper, Sierra Club Hold Stop PennEast Pipeline Mtg
October 21, 2014October 21, 2014

THE Delaware Riverkeeper herself, Maya van Rossum, has apparently been called back from outside the orbit of the Delaware River Basin (see Martian Chronicles: Delaware River Basin Shifts to Western PA?). What urgent matters would draw Ms. van Rossum from trying to stop evil shale well drilling in western PA all the way back to the Delaware River Basin in eastern PA? Why, a pipeline, of course. She, along with a contingent of Sierra Clubbers, held a “stop the PennEast Pipeline Project” meeting at Northampton Community College last night. There were lots of words like “dangerous” and “devastation” bandied about, in an attempt to fire up ~125 of the faithful who attended…
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Crestwood Midstream | Energy Services | Industrywide Issues | Luzerne County | Pennsylvania | Pipelines

Crestwood Announces Successful Open Season for MARC II PA Pipeline
October 21, 2014October 21, 2014

Speaking of the PennEast Pipeline, yesterday Crestwood Midstream announced a successful non-binding open season (a yeah, we’ll use your pipeline when you build it) for their MARC II Pipeline in the Marcellus Shale. The MARC II is a new 30-mile pipeline extending the Central New York Oil & Gas Company (owned by Crestwood) to connect with the proposed new PennEast Pipeline along with a connection to the Transco Pipeline and the proposed new Atlantic Sunrise Pipeline–all three connections happening in Luzerne County, PA…
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Cardinal Gas Services | Energy Companies | Energy Services | EV Energy Partners | Industrywide Issues | Pipelines | Total

Done Deal: S Koreans Buy 34% of Cardinal Gas Services for $612M
October 21, 2014October 21, 2014

As MDN told you a month ago, South Korea wants in on the Marcellus/Utica action and two South Korean companies had committed to buying up to a 34% stake in Cardinal Gas Services (see Total, EVEP Sell Interest in Cardinal Midstream to S Koreans for $612M). The deal is now done. Yesterday Samchully, the lead South Korean company, announced they have completed the purchase of the full 34% stake in Cardinal for $612 million…
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Aqua America | Energy Services | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Statewide PA | Supply Chain

Water Pipelines for Drillers Great Idea, But Few & Far Between
October 21, 2014October 21, 2014

An excellent article appears in today’s Pittsburgh Post-Gazette, written by one of the few (perhaps only) reporters they have who is objective when it comes to writing about the natural gas industry: Anya Litvak. Anya used to write for the Pittsburgh Business Times before the Post-Gazette poached her. Anya’s article addresses the issue of using water pipelines to feed the growing demand for water used by shale drillers. It’s a win/win because it tends to be cheaper and it reduces truck traffic. However, the up-front cost to build a pipeline (on the part of a water company) is not cheap and many drillers aren’t willing to commit to the 3-15 year term that water utilities want to have before they are willing to build such a pipeline. As part of the article we get this interesting update on PA water company Aqua America…
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Economic Impact | Hydraulic Fracturing | Industrialization | Industrywide Issues | Research

Cleveland Fed Bank Report Addresses Boom & Bust in Shale Drilling
October 21, 2014October 21, 2014

An analyst with the Federal Reserve Bank of Cleveland authored and released an article addressing the concerns over shale gas and oil development. The article, titled “Deep Wells, Deep Pockets, and Deep Impact” (full copy embedded below) purports to address the issue of what can communities do about the boom and bust cycle attached to any natural resource extraction process? We were excited to read what the Fed’s learned analyst would say about an important issue like this one. We were disappointed that he did a lot of problem identification, but offered little in the way of problem resolution…
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Hydraulic Fracturing | Industrywide Issues | Supply Chain

Fortis Energy Adds New Workover Rig in Marcellus/Utica
October 21, 2014October 21, 2014

Oilfield services companies span the range from the Halliburtons and Schlumbergers to the mom and pop companies with a single drilling rig. Fortis Energy Services, a privately held company headquartered in Michigan (but with operations in the Marcellus/Utica) is not nearly as big as Halliburton, but it’s way bigger than a mom and pop. Fortis operates in the Midwest and northeast with a number of rigs. They’ve just added two more “workover” rigs to their fleet–one of them dedicated to the Marcellus/Utica. What’s a workover rig?…
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Electrical Generation | Industrywide Issues | Research

The Big Change from Coal to Natgas in Electric Generating Plants
October 21, 2014October 21, 2014

We take no pleasure, as some do, in the demise of the coal industry. Yes coal pollutes more than other fossil fuels, but there are newer technologies that can be used to ease emissions from coal. But it seems it is an uphill battle and a battle that is (unfortunately) already lost. Once “environmentalists” have put the last nail in the coffin of the coal industry, they’ll be sharpening their axes to come after natural gas. It’s already starting to happen. However, the fact remains that many coal-fired electric generating plants in the U.S. are in the process, or soon will be, of converting to use natural gas. It’s good news for natgas, but the good news comes at the expense of coal. SNL Energy has just published a report tracking the conversion of these plants–plant by plant–from coal to (mostly) natgas…
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About MDN | Air Quality | Industrywide Issues | Regulation

MDN Quote on Obama EPA/BLM Featured in National Publication
October 21, 2014October 21, 2014

A hat tip and big thank you to national conservative news/blog site The Daily Caller–a major source of news both inside and outside the Washington, DC beltway. MDN was reading a story on a topic of interest to us in The DC–about President Obama’s EPA and Bureau of Land Management waiting until after the election until they unveil more onerous new regulations on the oil and gas industry–when early in the story we spotted this quote from/reference to MDN…
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Best of the Rest

Marcellus & Utica Shale Story Links: Tue, Oct 21, 2014
October 21, 2014October 21, 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: Tue, Oct 21, 2014”