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Marcellus Drilling News
  • Hydraulic Fracturing | Industrywide Issues | New York | Regulation | Statewide NY

    Cornell Prof Asks Gov. Cuomo to Lift Drilling Ban, Uses Real Science

    August 14, 2014August 14, 2014

    Not all of the professors who work at Cornell University (Ithaca, NY) are out there ranging like Robert Howarth and Tony Ingraffea, who have made a cottage industry for themselves (and collected big bucks from the Park Foundation) bashing away at shale drilling. Their most infamous anti-drilling work claims burning coal is better for the environment than burning natural gas (see New Cornell University Study Says Shale Gas Extraction Worse for Global Warming Than Coal). And yet they still have jobs at Cornell. Gotta love tenure. Fortunately there’s a counterbalance at Cornell. A group of Cornell professors, including Dr. Larry Cathles, previously pointed out the gaping holes in Howarth & Ingraffea’s “research” (see New Cornell Study Says Coal is Not Cleaner than Natural Gas). Dr. Cathles recently sent an outstanding letter to NY Gov. Andrew Cuomo urging him to lift the shale drilling moratorium, giving Cuomo a Cliff Notes version of the real science that proves natural gas benefits the environment, rather than the reverse…
    Read More “Cornell Prof Asks Gov. Cuomo to Lift Drilling Ban, Uses Real Science”

  • Energy Companies | Hydraulic Fracturing | Industrywide Issues | McKean County | Pennsylvania | Seneca Resources

    Seneca No Longer Interested in Buying Sewer Water for Fracking

    August 14, 2014August 14, 2014

    MDN told you 4 1/2 (!) years ago about a plan by the Kane Borough Sewer Authority in McKean County, PA to sell sewer effluent to Seneca Resources for drilling gas wells. Seneca is the oil and gas drilling division of National Fuel Gas Company (see Kane Borough Sewer Authority Making Money from Selling Effluent to Marcellus Shale Driller). Effluent is the treated water discharged from sewage treatment plants. In an update to that story, it seems Seneca and other drillers are no longer interested in Kane’s sewer water…
    Read More “Seneca No Longer Interested in Buying Sewer Water for Fracking”

  • Electrical Generation | Industrywide Issues | Lycoming County | Pennsylvania

    Panda Breaks Ground for 2nd PA Marcellus-Fueled Electric Plant

    August 14, 2014August 14, 2014

    Last December MDN told you that Panda Power Funds, a private equity firm located in Dallas, TX, had purchased the rights from Moxie Energy to build a second electric generating plant that will run on Marcellus Shale gas (see Panda Power Buys Rights for 2nd Marcellus-Fueled Electric Plant). The first plant (Panda “Liberty”), in Bradford County, PA, is currently under construction. The second plant (Panda “Patriot”), in Lycoming County, PA (Williamsport area) officially broke ground earlier this week. PA’s Gov. Tom Corbett was on hand on Tuesday to help them celebrate…
    Read More “Panda Breaks Ground for 2nd PA Marcellus-Fueled Electric Plant”

  • Energy Companies | Gastar Exploration

    Gastar Gets a Bump Up in Bank Line of Credit

    August 14, 2014August 14, 2014

    Gastar Exploration, an important driller in the Marcellus and Utica Shale, reported very favorable numbers for their Marcellus and Utica Shale programs, as we told you earlier this week (see Gastar 2Q14: Liquids 48% of Production, 72% of Revenue). On the heels of Gastar’s good 2Q14 news, they announced yesterday that the bank has increased their line of credit by $25 million to $145 million, which, according to Gastar’s CFO, will help fund their “recently expanded 2014 capital expenditures budget” in the Marcellus/Utica…
    Read More “Gastar Gets a Bump Up in Bank Line of Credit”

  • Industrywide Issues | Research

    Bentek: U.S. Hits Record High for Natgas Production in July

    August 14, 2014August 14, 2014

    Energy analytics firm Bentek Energy, a division of Platts, has just published their estimates of U.S. Lower 48 natural gas production for July. The official word on production will come from the U.S. Energy Information Administration–but they won’t publish their numbers for July until sometime in September. Bentek always beats them by a month or more. And what do the sharp researchers at Bentek say? Natgas production for July rose 1/2 a billion cubic feet in July over June–a new all-time record high for the U.S–averaging 68.5 billion cubic feet per day. Almost one-quarter of that production came from a single shale play. Can you guess which one?…
    Read More “Bentek: U.S. Hits Record High for Natgas Production in July”

  • Eclipse Resources | Energy Companies

    Eclipse Resources Focus on Utica in 2Q14: Revenue & Production Up

    August 14, 2014August 14, 2014

    Eclipse Resources, a driller based in State College, PA and focused solely on the Marcellus and Utica Shale plays in the northeast, released their second quarter financial and operational update yesterday. Among the highlights: Eclipse drilled (or began drilling) 24 Utica Shale wells in 2Q14. From start to finish, they now average just 23 days to drill a well. The company now has nearly 100,000 acres under least–most of it with Utica potential, about a quarter of it with Marcellus potential. Revenue was up, production is up–things are looking up for Eclipse…
    Read More “Eclipse Resources Focus on Utica in 2Q14: Revenue & Production Up”

  • Carrizo Oil & Gas | Energy Companies

    Carrizo Gets a New CFO – Change in Direction?

    August 14, 2014August 14, 2014

    We don’t often talk about personnel changes at Marcellus and Utica Shale companies–unless they’re in the “C” suite: Chief Executive Officer, Chief Marketing Officer, Chief Financial Officer. It is that last one that has just had a changeover at Marcellus/Utica driller Carrizo Oil & Gas. CFO Paul Boling, who was Vice President, Chief Financial Officer, Secretary, and Treasurer retired on Monday. He’s been replaced by David L. Pitts, Carrizo’s current Vice President and Chief Accounting Officer…
    Read More “Carrizo Gets a New CFO – Change in Direction?”

  • Industrywide Issues | M&A | Research

    Deloitte Mid-Year Report on M&A: Shale Continues to Dominate

    August 14, 2014August 14, 2014

    The sharp minds at consulting firm Deloitte have once again turned in a mid-year analysis of oil & gas company mergers and acquisitions for the first half of 2014. Titled “Oil & Gas Mergers and Acquisitions Report – Midyear 2014: The deal market may be poised for a rebound” (full copy below), the report is a high level view, analyzing 299 transactions across the spectrum from upstream (drilling) to midstream (pipelines & processing plants) to downstream (refining and marketing). While Deloitte doesn’t share a list of those 299 deals (disappointingly), they do roll it all up and take the bird’s eye view to let us know what the trends have been and will likely be for the balance of 2014. It’s no surprise that shale continues to dominate the energy picture for M&A activity. Here’s the highlights…
    Read More “Deloitte Mid-Year Report on M&A: Shale Continues to Dominate”

  • Best of the Rest

    Marcellus & Utica Shale Story Links: Thu, Aug 14, 2014

    August 14, 2014August 14, 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: Thu, Aug 14, 2014”

  • Ohio | Statewide OH | Utica Shale

    Ohio Utica Sails by 1K Wells Drilled, 495 Producing

    August 13, 2014August 13, 2014

    milestoneThe Ohio Utica Shale is having a big week. First, the shale play that Aubrey McClendon once famously said is “the biggest thing to hit Ohio since the plow” was added to the constellation of shale plays tracked by the U.S. Energy Information Administration in their monthly Drilling Productivity Report (see Utica Shale Impressive Debut in EIA Drilling Productivity Report). Now we learn that the Utica has now passed the important milestone of 1,000 wells drilled. Below we take a deep dive into the numbers…
    Read More “Ohio Utica Sails by 1K Wells Drilled, 495 Producing”

  • Bucks County | Carbon County | Energy Services | Industrywide Issues | Luzerne County | Northampton County | PennEast Pipeline | Pennsylvania | Pipelines | UGI Energy Services

    3rd New NEPA Marcellus Pipeline Proposed, Connects to Trenton, NJ

    August 13, 2014September 5, 2014

    A third new pipeline has been proposed–seriously proposed and already in the planning stages–to carry Marcellus Shale gas from northeastern Pennsylvania all the way to New Jersey. Yesterday a consortium of four companies, including energy utility giant UGI, along with AGL Resources, NJR Pipeline Company (subsidiary of New Jersey Resources) and South Jersey Industries announced the PennEast Pipeline, a 105-mile long, 30” diameter interstate natural gas pipeline. The new pipeline will cost $1 billion to build (providing 2,000+ jobs for seven months) and when finished, carry 1 billion cubic feet of natural gas per day. Here’s the full details for the new project…
    Read More “3rd New NEPA Marcellus Pipeline Proposed, Connects to Trenton, NJ”

  • Columbia Pipeline Group | Energy Services | Industrywide Issues | NiSource | Ohio | Pipelines | Statewide OH | Statewide WV | West Virginia

    Columbia Gas: $1.75B for 2 Projects to Send Marcellus Gas to Gulf

    August 13, 2014August 13, 2014

    Columbia Pipeline Group, a division of NiSource, announced yesterday they have decided to move forward with investing $1.75 billion dollars for two new projects. The first is a pipeline project that will begin in Marshall County, West Virginia, cross Ohio and end up in Leach, Kentucky. Hence, the new project is called the Leach Xpress. Yes, the marketers at Columbia could of/should of come up with a better name than “leach” for a pipeline, but we’ll just have to live with it (as we sigh and shake our heads). The 160-mile pipeline will pump abundant, cheap Marcellus and Utica Shale gas to various sales points along the pipeline (interconnecting with other pipelines). But perhaps most importantly, it will pump gas to Leach, and that’s the second major project. There is an existing pipeline from Leach all the way to the Louisiana Gulf Coast. That pipeline is called the Rayne, for Rayne, LA. The Rayne Xpress project will beef up the pipeline with new compressor stations to add an additional 1 billion cubic feet per day of capacity–Marcellus and Utica Shale gas capacity that will flow to the Gulf Coast…
    Read More “Columbia Gas: $1.75B for 2 Projects to Send Marcellus Gas to Gulf”

  • Energy Companies | Pennsylvania | Range Resources Corp | Washington County

    Range Sets Record Straight on Cecil 23 Impoundment & Chlorides

    August 13, 2014August 13, 2014

    Last week MDN outlined the latest kerfuffle in Cecil Township (Washington County), PA between Range Resources and the town over allegations that the Cecil 23 wastewater impoundment may have, at some point, leaked (see More Problems for Range Resources with SWPA Impoundments). The “evidence” of such a leak is a single monitoring well that showed slightly high levels of chlorides, or salts. Rather than wait for the state Dept. of Environmental Protection to alert neighbors that they would be visiting to do some testing, Cecil officials took matters in their own hands and distributed letters to some 50 nearby residents–scaring them. Range responded by distributing their own letter–something necessary to set the record straight. We have a copy of that letter to share with you…
    Read More “Range Sets Record Straight on Cecil 23 Impoundment & Chlorides”

  • Energy Companies | Energy Services | Industrywide Issues | Landfills | Pennsylvania | Range Resources Corp | Washington County | Wastewater

    PA Marcellus Sludge with Low Radiation Heading to Michigan

    August 13, 2014August 13, 2014

    In May MDN told you about a tank at a Range Resources’ Carter wastewater impoundment in Mt. Pleasant Township (Washington County), PA that was found to have low levels of radiation. Although the level of radiation in the tank is barley above “background levels,” it’s high enough that it must be properly disposed of (see Low Levels of Radiation Found in Range PA Wastewater Impoundment). Apparently the tank, used to separate wastewater from sludge, is a really big tank. So big (heavy) it can’t be easily or safely moved along highways. So Range transferred the material in the big tank into two smaller tanks. Those tanks will soon be on their way for permanent disposal in…Michigan?
    Read More “PA Marcellus Sludge with Low Radiation Heading to Michigan”

  • Columbia County | Energy Services | Industrywide Issues | Luzerne County | Lycoming County | Monroe County | Pennsylvania | Pipelines | Regulation | Statewide PA | Transco | Williams

    FERC Says “No Significant Impact” from Leidy Southeast Pipeline

    August 13, 2014August 13, 2014

    Williams is one very important step closer to beginning construction–this fall–on their Transco Leidy Southeast Expansion project. Last fall Williams filed an official application with the Federal Energy Regulatory Commission (FERC) for permission to proceed with the project, a $610 million project designed to increase the Transco pipeline’s capacity by 525,000 decatherms per day–enough natural gas to serve 2 million homes (see Williams Takes Next Step with Transco Leidy Pipeline Expansion). The expansion will pipe cheap, abundant NEPA Marcellus Shale gas to points from New York City to the southeastern U.S. The project includes construction of approximately 30 miles of additional pipe segments, called loops, in PA and NJ, in addition to modifying some existing compressor stations and valve sites. Earlier this week FERC reported the proposed changes would have “no significant impact” on the environment. What does that mean?…
    Read More “FERC Says “No Significant Impact” from Leidy Southeast Pipeline”

  • Energy Companies | Lease & Royalty Payments | Ohio | Protege Energy | Utica Shale | Washington County (OH)

    Marietta Tries 2nd Time to Lease City Land for Utica Drilling

    August 13, 2014August 13, 2014

    The City of Marietta, OH has several parcels of land they’re interested in leasing for Utica gas drilling: (1) Gunlock Park, behind the Walmart complex off Pike Streeet, (2) city-owned land along Goose Run Road in Marietta Township, (3) city garage property off Alderman Street, and (4) Buckeye Park off Acme and Greene Streets, and (5) the Kroger swap (i.e. “wetlands”) off Acme Street. All five locations total 95 acres. MDN reported that because city council snoozed, they lost out on an earlier opportunity to lease the Gunlock Park and Goose Run properties (35 acres) back in May (see Delay in Leasing City-Owned Land Costs Marietta, OH Big $). The city will run a second advertisement (legal requirement) to lease all parcels, and once again, they may have some interest. If they don’t botch it this time…
    Read More “Marietta Tries 2nd Time to Lease City Land for Utica Drilling”

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