• | | | | | | |

    2 New Earthquakes Near Youngstown, OH – Fracking Connection?

    A few years ago a now-shuttered injection well near Youngstown, OH was linked to a series of earthquakes in the area (see ODNR Finds Youngstown Injection Well Caused Earthquakes). The injection well was found to be located over an active fault–and when you inject a lot of liquid into a fault area, you get earthquakes.

    When earthquakes happen in areas like Youngstown–an area that doesn’t usually see such activity–it’s cause for concern. Yesterday morning there were two more earthquakes big enough to be felt in the Mahoning Valley area. The first quake was a 3.0 on the Richter scale, and the second a 2.6. So, out of “an abundance of caution,” the Ohio Dept. of Natural Resources (ODNR) has asked the single drilling operation in the area–Hilcorp Energy–to suspend their drilling activity for now. There are no active injection wells in the area–only Hilcorp’s Utica Shale drilling operation of 7 wells on 2 well pads…
    Read More “2 New Earthquakes Near Youngstown, OH – Fracking Connection?”

  • | | | | | | |

    Fascinating Look Behind the Curtain of the Phila. Gas Works Deal

    Last week MDN told you about the potential sale of the country’s largest municipal-owned natural gas utility–the Philadelphia Gas Works (PGW)–to Connecticut utility company UIL (see Phila. Gas Works Deal for $1.86B – Marcellus/Utica One of Keys). The law firm that structured and brokered the deal says that while the legal aspects were complicated, the legal aspects were the “easy” part. The hard part? The coming political buzz saw from selling the city-owned asset (an asset that’s been losing money for forever under city ownership). Labor unions are actively opposing the sale, afraid it will mean layoffs.

    Why buy a money loser? According to the lawyer in charge of the deal, Gregory L. Seltzer, UIL wanted to buy PGW for three reasons…
    Read More “Fascinating Look Behind the Curtain of the Phila. Gas Works Deal”

  • | | | | |

    Aubrey McClendon: Utica Shale ‘Man in Motion’

    If you (foolishly) believed the stories about Aubrey McClendon and his oversight of the company he co-founded, Chesapeake Energy, you would believe that after he was bounced out of the company no one would ever again give him a dime. Under McClendon, supposedly Chessy spiraled out of control with debt and mismanagement. McClendon was cast as a maverick–a wildcatter who threw money around on $300 champagne lunches and managed to grow the company beyond his ability to run it. The problem with that view is the truth of what’s happened to Chesapeake since McClendon’s departure. Corporate raider Carl Icahn is the one controlling Chessy these days–for his own personal benefit. Icahn and his lieutenant CEO Doug Lawler have sold off key assets right and left and fired thousands–actions that don’t have squat to do with improving the financial health of the company. It only improves Icahn’s per share value.

    McClendon, less than a year from being unceremoniously dumped by Icahn, has a new company with $3 billion of OPM (other people’s money) in his hip pocket to spend on drilling “at least” 1,600 Utica Shale wells in Ohio. McClendon’s new venture, called American Energy Partners, has already amassed 260,000 acres of leases in less than a year, on which to drill those 1,600+ Utica wells. McClendon right now has drilling rigs on the job in Ohio. The man does not let any grass grow under his feet (or on his drill pads). Here’s an update on Aubrey McClendon, a Utica Shale man in motion…
    Read More “Aubrey McClendon: Utica Shale ‘Man in Motion’”

  • | | | |

    MD Depts Working on Shale Drilling Slap Down Meddling State Pols

    In 2011, Maryland Gov. Martin O’Malley (Democrat) issued an executive order instructing the Maryland Department of the Environment and the Maryland Department of Natural Resources to work together on figuring out how shale drilling can be done in the state without undue environmental risks. It’s been three long years and the departments, working together, are nearing the end of the process. So what do Maryland’s Democrat politicians do? They jump right in and start offering bills that would hamstring and nullify the good work being done to figure out shale drilling and get it moving.

    The secretaries of both Maryland departments–Robert Summers and Joseph Gill–have penned a joint commentary running in the *Baltimore Sun* that essentially provides a verbal slap across those meddling politicians’ faces and tells them to leave well enough alone until their departments complete their work later this year. Good for them…
    Read More “MD Depts Working on Shale Drilling Slap Down Meddling State Pols”

  • | | | |

    WV Legislature Fumbles the Ball on Landfill Bill, Does Nothing

    Last week MDN asked the question, “Will WV Lawmakers Have Guts to Tackle Cuttings in Landfills Bill?” in the closing days of the WV legislative session. We now know that the answer is a resounding “no.” The proposed bill before lawmakers would have shored up, in law, the right of landfills to accept certain amounts of drilling cuttings from Marcellus and Utica Shale drilling (leftover rock and dirt). Landfills currently accept drill cuttings that exceed limits set elsewhere in law, based on a temporary directive by the Secretary of the WV DEP.

    The problem with not passing a bill is that the Secretary’s authority to issue the directive (essentially a stand-in regulation until a law is passed) will, sooner or later, be challenged in court by anti-drillers with big bucks. And then a judge will decide what is properly a policy issue that should be decided legislatively. That is, lawmakers shirked their responsibility and it spells uncertainty ahead for both WV landfills and drillers…
    Read More “WV Legislature Fumbles the Ball on Landfill Bill, Does Nothing”

  • | | | | | | | |

    Stupid Idea of the Year: Create Uniform Severance Tax in PA-OH-WV

    Socialists and hardened anti-drillers are trying a new approach. Adopt non-partisan sounding names, like the “Pennsylvania Budget and Policy Center,” “Policy Matters Ohio,” and “West Virginia Center on Budget and Public Policy,” and use those names to try and pass a high severance tax across all three states–effectively killing drilling. Those groups are some of the most partisan in existence. If Socialist politicians like OH State Rep. Robert Hagan (Democrat anti-driller) of Youngstown, OH can’t stop drilling, they want to profit from it by “spreading the wealth around” in classic socialist fashion. Tax drilling at high rates, then redistribute the money to people who will continuously vote said politicians back into office over and over. That’s how it works. Enslave people on public welfare handouts and buy their votes. It’s sick, anti-American, and corrupt.

    Various politicians like Hagan, flying under the banner of the groups named above, are now preening about advocating a “common sense” and “uniform” severance tax of 5% (minimum) across PA, OH and WV. Such a stupid idea would immediately tank the economic miracle happening in PA. You WANT states competing against each other for shale drilling–lowering and even eliminating taxes. Everyone wins when states compete–it keeps natural gas prices low for consumers, benefits landowners in that state, generates thousands of jobs and millions of dollars in local and state tax revenues. A high severance tax is not needed. So when you read about this so-called “fair” proposal, you know what it really is: a naked political power grab meant to empower corrupt politicians to retain their hold on power…
    Read More “Stupid Idea of the Year: Create Uniform Severance Tax in PA-OH-WV”

  • |

    TV Worth Watching: Scranton Station Interviews 3 Marcellus Advocates

    Time to watch a little TV (something we rarely, if ever, do). We actually have some TV worth watching! Three Marcellus drilling advocates appeared on Scranton TV station WBRE this past weekend. MDN editor Jim Willis has met two of the three and counts one of them, John Augustine of the Marcellus Shale Coalition, as a friend. Appearing on the half hour talk show with John were Mark Volk, President of Lackawanna College (whom we have also met) and Brian Oram, a Geologist and principle with B and F Environmental Consultants (whom we have not met but have corresponded with on a number of occasions). All three are terrific representatives for the benefits of Marcellus Shale drilling and the prosperity it’s brought to Pennsylvania.

    Hosted by WBRE Senior Producer Jayne Ann Bugda and PA Live Host Dave Kuharchik, the pair asked our three Marcellus reps a variety of questions about drilling and its safety, benefits and potential drawbacks. Give the program a watch (in two sections, click each in turn)…
    Read More “TV Worth Watching: Scranton Station Interviews 3 Marcellus Advocates”

  • | | |

    Central Environmental Oilfield Services Co Gets New “Owner”

    Central Environmental Services, an oilfield services company servicing Marcellus and Utica Shale drillers with its headquarters in Washington, WV, announced yesterday they have a new owner–or perhaps a better way of putting it, a new majority investor. Harbert Private Equity Fund III, LP (“HPEF III”) announced yesterday they have purchased a majority interest in Central for an undisclosed sum. We don’t expect anything will change re management of the company. It just means Central has a new pile of money with which to expand their operations–along with someone watching over their shoulder.

    The press release announcing the new majority investor/owner in Central Environmental Services:
    Read More “Central Environmental Oilfield Services Co Gets New “Owner””

  • |

    PA Marcellus Attorney Awarded National VIP Woman of the Year

    The National Association of Professional Women (NAPW) is a 600,000-member strong organization for professional women to network and grow their careers and reputations. Each year they select a small number of their members to recognize as a VIP Woman of the Year. For 2013/2014, NAPW has recognized southwest Pennsylvania attorney Cara Davis as a VIP Woman of the Year. Cara is the principal in her own law firm, The Law Offices of Cara Davis, which employs 11 attorneys and a variety of other law professionals.

    Oh, it just so happens that Cara is a pro-driller and her firm represents both landowners and oil and gas companies. She’s decided to specialize in the oil and gas field, and the Marcellus, being on her doorstep in Fayette County, is her focus. Cara’s firm is also a finalist in the Northeast Oil and Gas Awards. Congratulations to Cara on distinguishing herself and her firm and by excelling in the exciting Marcellus Shale industry! The official announcement…
    Read More “PA Marcellus Attorney Awarded National VIP Woman of the Year”

  • | | | |

    OOGA’s DeBrosse Report: Utica Drilling Ramps Up in 2013

    reportEach year the 3,200-member Ohio Oil and Gas Association (OOGA) issue the DeBrosse Memorial Report. The report is a high level look at where (and how much) drilling there has been in the state–and what they’re finding (methane, oil, NGLs). OOGA’s Peter MacKenzie presented the findings of the latest DeBrosse Report at last week’s OOGA Annual Winter Meeting in Columbus. According to MacKenzie, the data in this year’s report, “should get people’s attention,” saying it sure got his.

    OOGA supplied us with a copy of the report to share with MDN subscribers (full copy embedded below). It’s chock full of great maps and charts and statistics about oil and gas drilling in Ohio. The numbers (and maps) show the dramatic impact Utica Shale drilling has had. First up are some of the highlights as shared by the Akron Beacon Journal, followed by the full report…
    Read More “OOGA’s DeBrosse Report: Utica Drilling Ramps Up in 2013”

  • | | | | | | |

    MDN Interviews David Holt, President of Consumer Energy Alliance

    MDN editor Jim Willis recently had the pleasure of speaking by phone with David Holt, president of the Consumer Energy Alliance based in Houston, TX. David was a speaker at the recent Clean Frac’ing Conference in Houston. Jim spoke to David about the mission of CEA, who belongs to it and why, David’s views on natural gas and alternative forms of energy, and about his involvement with the recent Clean Frac’ing conference (what he heard and saw at the conference). The podcast interview below runs just over 20 minutes, please give it a listen!

    Below the podcast interview are notes taken by Brittany Thomas of Cabot Oil & Gas who attended and participated on a panel discussion at the Clean Frac’ing Conference. Thanks for the notes Brittany! We bring this interview with David Holt and Brittany’s notes to you as a public service to keep you informed with how the drilling industry continues to be on the cutting edge of innovation and environmental protection…
    Read More “MDN Interviews David Holt, President of Consumer Energy Alliance”

  • | | | | | |

    Fate of 3 WV Laws that Impact Marcellus/Utica Drilling

    Each year the West Virginia legislature meets for 60 days to consider new legislation. Some bills make it to a floor vote, most do not. There are three bills of major concern to Marcellus and Utica Shale drillers before WV legislators during this session, which just wrapped up last week: chemical tank regulation; WV Future Fund; and forced pooling. One of the three passed and will almost certainly be signed into law by WV Gov. Earl Ray Tomblin. Another passed with major modifications, rendering it unrecognizable from the original. The third, to our knowledge, never made it to the floor for a vote and died in committee.

    Which was which?…
    Read More “Fate of 3 WV Laws that Impact Marcellus/Utica Drilling”

  • | | |

    Rice Energy’s Washington, PA Town Meeting – 700 Turn Out

    Rice Energy and its CEO Toby Rice held a town meeting at the Bentworth High School gymnasium last Thursday evening. About 700 Washington County, PA residents showed up for the meeting which was, by all accounts, “well-mannered” and cordial–with no anti-drilling hecklers present (a minor miracle). Rice said the company will hold such meetings every six months to stay in touch with area residents and the landowners with whom they do business. Rice Energy recently went public, garnering even more money than they had hoped (see Rice Energy IPO Soars, Brings in $84M More Than Expected). The company is headquartered near Pittsburgh and is mostly focused on the Marcellus Shale. According to Toby Rice, drillers (like Rice) may turn to drilling Utica wells in the area, but only after exhausting their Marcellus options first.

    Here’ more of what Toby said last week at the Bentworth High School…
    Read More “Rice Energy’s Washington, PA Town Meeting – 700 Turn Out”

  • | | | | | |

    Trickle Down Shale Economics Benefit Belmont County, OH

    A few weeks ago MDN highlighted the results of a recent survey by Ohio University of local elected officials across 17 counties experiencing the majority of shale activity and development in Ohio (see Survey Says! OU Survey of Local OH Officials on Utica’s Impacts). Two county officials in Belmont County, OH did not participate in the survey, but agree with it’s findings. That is, Utica Shale drilling is having a major impact on their county.

    Here’s a closer look at how drilling in Belmont County is affecting those who live there, including beneficial “trickle down” economics that go along with an infusion of large amounts of money…
    Read More “Trickle Down Shale Economics Benefit Belmont County, OH”

  • | | | | | | | | |

    Utica Shale Drilling Ripple Effect in Northern Part of Play

    Just because you don’t see a drilling rig and holes being drilled in the ground, it doesn’t mean Utica Shale drilling isn’t having enormous, positive economic benefits in a community. So says Youngstown-Warren Regional Chamber officials. They point to the hundreds of permanent new jobs at area manufacturers–jobs created and sustained directly by the drilling industry.

    More on the Utica supply chain and how it’s benefiting areas that haven’t (yet) seen their own Utica wells drilled…
    Read More “Utica Shale Drilling Ripple Effect in Northern Part of Play”

  • | | | |

    PA Batman, Protected Species & Marcellus Drilling

    The anti-drilling media in Pennsylvania continually tries to oppress and stir up sentiment against drilling any way they can. One of their favorites is to christen a species as “protected” and then accuse the drilling industry of wanting to drill right where that protected species lives–heartless jerks. So when common-sense Republican lawmakers decide to modify the rules just a bit to make it easier to drill, or build, or farm where a “protected” bat is located, the howls of protest go up. No, the proposed change is not about drilling willy nilly and causing the extinction of a truly endangered species. These species are not on the federal endangered species list–they’re simply on the PA “protected” list.

    This is about libs who want to use “protection” for wildlife as an excuse to control legitimate commercial activity–whether farming or drilling or building, or whatever. Right on cue, we have a story of precious, helpless little bats. A disease (miraculously not related to drilling) is wiping out certain species of bats in PA–and has been for years, long before shale drilling arrived in the state. Some want to use the bat protection issue as an excuse to restrict drilling and other activities…
    Read More “PA Batman, Protected Species & Marcellus Drilling”