Marcellus Drilling News

Industrywide Issues | Pipelines | Public Opinion

Some Vermonters Actually Want New Natural Gas Pipeline!
August 4, 2014August 4, 2014

In the “wonders never cease” department, just when you’ve written New England states like Massachusetts and Vermont as being overflowing with wacko lefties who hate fossil fuels, along comes a story like this one. Vermont Business Magazine conducted a survey of its readers. Some 500 of them responded–certainly not a scientifically rigorous survey–but indicative all the same. The magazine asked whether or not respondents support the Addison Rutland Natural Gas Project–a project that would lay new natgas pipelines to homes and businesses in Addison and Rutland counties. The top level survey shows that 80% of those surveyed are in favor…
Read More “Some Vermonters Actually Want New Natural Gas Pipeline!”
Best of the Rest

Marcellus & Utica Shale Story Links: Mon, Aug 4, 2014
August 4, 2014August 4, 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, Aug 4, 2014”
Hydraulic Fracturing | Industrywide Issues | New York | Public Opinion | Statewide NY

Siena Poll of Upstate NYers on Fracking Fatally Flawed
August 1, 2014August 1, 2014

Sure looks to MDN like the so-called unbiased, independent pollsters at Siena College have pulled a fast one. They’ve either unintentionally, or perhaps intentionally, cherry-picked polling results in order to report in their latest poll that “51 percent of voters int the Southern Tier and Finger Lakes oppose hydrofracking, compared to 39 percent in support.” Here’s why the poll, and therefore it’s results, are fatally flawed and meaningless…
Read More “Siena Poll of Upstate NYers on Fracking Fatally Flawed”
Belmont County | Energy Companies | Gulfport Energy | Industrywide Issues | Monroe County | Ohio | Pipelines | Rice Energy | Utica Shale

Gulfport Cuts Deal with Competitor Rice Energy to Build Pipeline
August 1, 2014August 1, 2014

An interesting announcement from Gulfport Energy earlier this week. The company issued a “midstream update” and a production numbers for 2Q14 going back one year. What’s interesting is that Gulfport has cut midstream (i.e. pipeline) deals to get its production out of the Utica Shale basin in eastern Ohio. One deal is with Rice Energy, a competitor who also drills in the Utica. Rice will construct and operate gathering pipelines for Gulfport in several townships in Belmont County, OH. (Interesting that Rice is becoming a midstream company as well as a driller.) The second deal is with midstreamer MarkWest Energy to construct pipelines to Gulfport wells in other parts of Belmont County, and in parts of Monroe County, OH…
Read More “Gulfport Cuts Deal with Competitor Rice Energy to Build Pipeline”
Electrical Generation | Industrywide Issues | Pennsylvania | Statewide PA

New Electric Line Thru PA Anticipates Marcellus-Fired Plants
August 1, 2014August 1, 2014

PPL Electric Utilities Corporation announced yesterday that they plan to build a major new electric power line that will run 725 miles from western and north/central Pennsylvania to New York, New Jersey and Maryland. The exact route for the new 500-kilovolt line has not yet been determined, but if approved, PPL would begin construction in 2017 and complete construction by 2025. PPL says it will create a boatload of new jobs and cost between $4 and $6 billion to complete. Wait. What does this have to do with Marcellus drilling? Glad you asked…
Read More “New Electric Line Thru PA Anticipates Marcellus-Fired Plants”
Doddridge County | Energy Services | Industrywide Issues | MarkWest Energy | Processing Plants | West Virginia

FirstEnergy Builds Electric Substation for MarkWest WV Plant
August 1, 2014August 1, 2014

Seems to be “electric day” on MDN. We’re noticing several stories about the electric industry’s tie-in with the Marcellus drilling industry. FirstEnergy Corp. announced Wednesday they are building a new $36 million electric substation in Doddridge County, WV to support the Marcellus Shale industry–specifically the nearby electric needs of the MarkWest Sherwood natural gas processing facility. However, an additional 6,000 residents will also benefit from the substation and power line being built…
Read More “FirstEnergy Builds Electric Substation for MarkWest WV Plant”
Access Midstream Partners | Energy Services | Industrywide Issues | Pipelines | Processing Plants | Williams

Williams 2Q14 Update: Selected Comments, Slides & Databook
August 1, 2014August 1, 2014

Williams, a major midstream company in the U.S. and one of two major midstream companies in the Marcellus/Utica region (MarkWest Energy being the other) released their second quarter 2014 update on Wednesday. Much of the update deals with the monster deal Williams is in the middle of with acquiring all of Access Midstream, the old Chesapeake Midstream (see Big News: Williams Partners Buying Access Midstream for $6B). We’ll link to the update below if you want to wade through it. However, we found the obligatory analyst call much more informative when it comes to Williams news about the Marcellus and Utica. We’ve scoured the transcript and pulled out those sections where Williams talks about their northeast operations. We’ve also embedded the slide presentation they used and a copy of their latest “databook” (now where did they get that name?!)…
Read More “Williams 2Q14 Update: Selected Comments, Slides & Databook”
Energy Services | Industrywide Issues | Kinder Morgan | Pipelines | Tennessee Gas Pipeline

Kinder Signs up New Customers for MA Pipeline, 63% of Capacity
August 1, 2014August 1, 2014

Early this year Kinder Morgan, the country’s largest midstream (pipeline and processing plant) company, announced they will expand their Tennessee Gas Pipeline across the state of Massachusetts to bring abundant, cheap Marcellus Shale gas to New England where the gas is desperately needed (see Reaction to TGP’s Planned Pipeline Across Massachusetts). The project, originally called the Northeast Expansion Project, was recently renamed to be the Northeast Energy Direct Project. Survey work has already begun (see Survey Work Already Begun on Kinder Morgan TGP Expansion Thru MA). Also already begun is the hunt for customers. Kinder Morgan held an open season and now has more than half of the initial capacity of the new pipeline spoken for…
Read More “Kinder Signs up New Customers for MA Pipeline, 63% of Capacity”
Anadarko | Energy Companies | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Southwestern Energy | Statewide PA

Loyalsock Drilling Update: Public Will Have 15 Days to Comment
August 1, 2014August 1, 2014

Last Friday MDN told you about the latest spin job being run by the reliably anti-drilling PBS StateImpact Pennsylvania against the PA Dept. of Conservation and Natural Resources (DCNR) over their constitutional requirement to allow drilling in the Loyalsock State Forest (see Save the Loyalsock Coalition Attempts a New Spin Job Against DCNR). PA does not own the mineral rights for 25,000 acres of the forest. Anadarko Petroleum and Southwestern Energy are the owners of those mineral rights and have, for years, been attempting to work out a plan to drill there. DCNR is working with both companies to get a plan in place, which has anti-drillers in a dither. Today we bring you the news that DCNR has issued an announcement about where they stand in the process–to let the public know that when a plan to drill has been worked out, the public (meaning anti-drillers) will have 15 days to gripe and moan before the microphones and via email and letters…
Read More “Loyalsock Drilling Update: Public Will Have 15 Days to Comment”
Best of the Rest

Marcellus & Utica Shale Story Links: Fri, Aug 1, 2014
August 1, 2014August 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: Fri, Aug 1, 2014”
Energy Services | Industrywide Issues | Litigation | Pennsylvania | Pipelines | Processing Plants | Regulation | Statewide PA | Sunoco Logistics

Setback for Mariner East NGL Pipe – Judges Say Not Public Utility
July 31, 2014July 31, 2014

Two “independent” administrative law judges for the Pennsylvania Public Utility Commission have dealt what could be a major blow to Sunoco Logistics’ request to have the Mariner East NGL (natural gas liquids) pipeline declared a public utility. The two judges–David Salapa and Elizabeth Barnes–handed down a decision yesterday that denies Sunoco’s request to have 18 pump and 17 value stations (in 31 locations) that would need to be built along the 300+ mile pipeline exempt from local zoning ordinances. If the pipeline is considered a public utility it would be exempt from local ordinances. Without that exemption, Sunoco Logistics faces a nearly impossible task of trying to gain permission to build the necessary new stations. Below is a copy of the decision, and MDN’s background on this important pipeline project, along with a “where do we go from here” analysis…
Read More “Setback for Mariner East NGL Pipe – Judges Say Not Public Utility”
Industrywide Issues | Research | Utica Shale

EIA Adds Utica to Drilling Prod. Report – Looks Like Eagle Ford!
July 31, 2014July 31, 2014

We’re not sure how we missed this spot of important news, but last Friday our favorite government agency–the U.S. Energy Information Administration (EIA)–announced they are adding another shale play to our favorite report–the Drilling Productivity Report (DPR). The new shale play being added as of the August DPR? The Utica! The brains at EIA (and we mean that respectfully, they really are brainiacs) announced on their website last week that the Utica looks an awful lot like the Eagle Ford in its early development. That’s high praise indeed. EIA points out in adding Utica to the other existing six shale plays they cover in the DPR, that the Utica’s production per rig is currently outpacing all of the other shale plays they track…
Read More “EIA Adds Utica to Drilling Prod. Report – Looks Like Eagle Ford!”
Beaver County | Cardinal Gas Services | Energy Services | Industrywide Issues | Pennsylvania | Pipelines | Regulation

Beaver County Organic Farm vs Cardinal Midstream Compressor Plant
July 31, 2014July 31, 2014

A drama playing out in Beaver County, PA that first came to public attention last week pits a midstream company against an organic farmer. Don and Becky Kretschmann operate one of (perhaps the) largest Community Supported Agriculture (CSA) organic farms in western Pennsylvania. The vegetables, fruits and herbs they produce on the farm are sold to some 1,000 customers throughout the area. Cardinal Midstream plans to build a pipeline compressor station with first four compressors, and eventually eight compressors, at a location about 1/3 of a mile (2,000 feet) from the Kretschmann’s organic farm. The Kretschmanns say the compressor station threatens the existence of their farm and organic certification…
Read More “Beaver County Organic Farm vs Cardinal Midstream Compressor Plant”
Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | Litigation | New York | Regulation | Statewide NY

Towns that Ban Fracking Could be Bankrupted by Takings Lawsuits
July 31, 2014July 31, 2014

New York townships that recently won the right to outright ban shale drilling with a 3-2 majority vote by a town board may want to rethink their ill-advised votes. Due to a tip from a sharp MDN reader, we bring you a press release from the National Association of Royalty Owners (NARO) about recent court decisions in Colorado. Similar to the New York case, some municipalities in CO have attempted outright bans of fracking–and those cases, contrary to what happened in NY–are being lost. (Certainly not the first time NY has been out of step on important issues.) One study mentioned in the NARO announcement says that bans and moratoria in Boulder County, CO could result in more than one billion dollars of “takings” lawsuits by landowners. In other words, the lawsuits will bankrupt the towns and villages stupid enough to enact a ban. Are you listening Dryden and Middlefield? You won round one in NY–but the battle is far from over and taxpayers in your towns may one day rue your decision to act foolishly to ban fracking…
Read More “Towns that Ban Fracking Could be Bankrupted by Takings Lawsuits”
Guernsey County | Industrywide Issues | Ohio | Supply Chain | Utica Shale

Engineering Services Firm “Quietly” Opens Utica Office in SE Ohio
July 31, 2014July 31, 2014

Fenstermaker, an environmental engineering and consulting firm with 300 employees companywide in the U.S., says they “quietly” opened their latest branch office in Cambridge, OH in March in order to better serve their customers in the Utica Shale. They’re no-so-quietly trumpeting their presence now. Although the company’s announcement doesn’t say how many are employed at the new location, it does say Jarrod Hughes, a Project Manager experienced in both field and office supervision, has stepped into the role of Northeast Operations Leader. According to his LinkedIn profile, Mr. Hughes most recently has worked for Fenstermaker as a senior environmental specialist in the Montrose (Susquehanna County), PA area–i.e. the Marcellus Shale…
Read More “Engineering Services Firm “Quietly” Opens Utica Office in SE Ohio”
Industrywide Issues | Jobs | Research

Fact: Unemployment Lower in States with Fracking
July 31, 2014July 31, 2014

Bernard Weinstein is a researcher and the associate director of the Maguire Energy Institute at Southern Methodist University’s Cox School of Business (in Texas). According to new research being touted by Weinstein, it’s a proven fact that states with active shale drilling–like Texas and Pennsylvania–saw faster economic turnarounds after the recession in 2008 when compared to those who have no drilling activity, like New York. In fact, the unemployment rate in Texas is the lowest of any large state–5.1%–while New York’s unemployment statewide remains stubbornly high–at 6.7%. The unemployment rate is even higher in Upstate New York, where Marcellus Shale is abundant and would be an economic miracle if allowed to proceed…
Read More “Fact: Unemployment Lower in States with Fracking”