Marcellus Drilling News

Boardwalk Pipeline Partners | Energy Services | Industrywide Issues | NGLs | Pipelines | Williams

Open Season for Bluegrass NGL Pipeline Extended Extra 30 Days
December 10, 2013December 10, 2013

In October MDN told you the proposed Bluegrass Pipeline, a natural gas liquids (NGL) pipeline that will be built from the Marcellus/Utica to the Gulf Coast, was far enough along that joint venture partners in building the Bluegrass Williams and Boardwalk Pipeline launched an open season to lock in drillers who want to ship their NGLs out of the northeast (see Bluegrass Pipeline Launches Open Season, on Track for 2015 Launch). The open season was due to end next week, Dec. 16.

Late yesterday Williams/Boardwalk extended the open season another month, to Jan. 17, 2014. They say the extension is at the request of shippers who need more time to decide. Is that just blowing smoke? For real? How would you read the tea leaves? Here’s the announcement:
Read More “Open Season for Bluegrass NGL Pipeline Extended Extra 30 Days”
Energy Services | Industrywide Issues | Pennsylvania | Philadelphia Energy Solutions | Processing Plants | Statewide PA

Owner of Former Sunoco Refinery Speaks on Marcellus, Future
December 10, 2013December 10, 2013

The new owner of the former Sunoco refinery in South Philadelphia says purchasing the refinery did not start out as a rescue operation (saving 850 jobs), but it did end up being one. Philip Rinaldi, CEO of Philadelphia Energy Solutions, was the guest of honor at a United Steelworkers Local 10-1 banquet last Saturday. His comments reveal him to be plain spoken and not without a surprise or two. Rinaldi fancies himself an old-style industrialist–he likes businesses that make things, saying you can’t have a society that only flips hamburgers.

Rinaldi also said the Marcellus will play a key part in his future plans. Here’s the interesting Q&A with Philip Rinaldi, his comments about why he chose the Philly refinery and about what the future may hold:
Read More “Owner of Former Sunoco Refinery Speaks on Marcellus, Future”
Best of the Rest

Marcellus & Utica Shale Story Links: Tue, Dec 10, 2013
December 10, 2013December 10, 2013

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, Dec 10, 2013”
Anti-Drilling/Fossil Fuel | Crestwood Midstream | Energy Services | Industrywide Issues | Inergy | New York | Schuyler County

Inergy: Boycott NY Businesses that Support ‘Gas Free Seneca’
December 9, 2013December 9, 2013

It’s interesting to MDN that when anti-fracking protesters call for boycotts of businesses that either support or (gasp) are part of the shale drilling industry, such a boycott is considered brave and courageous and a-OK. But when someone on the pro-drilling side suggests those who support fracking and the natural gas industry may want to boycott the businesses donating money and time to fight the natural gas industry, that’s “bullying” and mean and evil. Anyone else smell a hypocritical rat? We’re referring to a recent brouhaha over Inergy Midstream’s (now part of Crestwood Midstream) plan to develop a liquid propane storage facility using depleted salt caverns along the edge of Seneca Lake near Watkins Glen, NY. MDN has long covered the fight by Inergy to bring the only new storage facility proposed in the northeast (badly needed), and the people who want to stop it (see NY Protesters Arrested for Blocking NatGas Storage Facility).

In June, a VP for Inergy sent an email to 25 people suggesting they may want to boycott the businesses using their time and money to actively oppose the Inergy facility. Those businesses are part of the “Business Coalition” of the organization called Gas Free Seneca (GFS). The email sent by the Inergy VP–now six months old but but just coming to light–has GFS in a tizzy. GFS has responded with their own email that they are “extremely disturbed” by this “bullying” from Inergy. That is, GFS doesn’t like the shoe being on the other foot for a change (poor babies). We have the story of the email, and the list of the (current) 181 NY businesses that Inergy (and you) may want to consider boycotting…
Read More “Inergy: Boycott NY Businesses that Support ‘Gas Free Seneca’”
Anti-Drilling/Fossil Fuel | Industrywide Issues | Pennsylvania | Statewide PA

PA Media Continues to Henpeck Corbett Admin on Warming Mythology
December 9, 2013December 9, 2013

The reliably anti-drilling StateImpact Pennsylvania (left-leaning NPR affiliate) continues to henpeck PA Gov. Tom Corbett’s administration over the fantasy of “global warming.” They’re trying to fabricate an issue out of the fact that some on the Corbett team don’t believe in global warming as strongly as they do. Some in the Corbett administration have the temerity (we’d say the guts) to challenge the notion that Planet Earth is about to fry to a crisp because of the carbon-producing activities of humans. The whole notion is so silly it’s beyond belief, but saying so out loud will earn you the badge of being a quack–a badge that MDN proudly wears.

StateImpact PA tried to tar & feather Acting Secretary of the Dept. of Environmental Protection Chris Abruzzo last week (see PA DEP Sec. Abruzzo Grilled by PA Senate on Global Warming). StateImpact PA thought they might as well do a 2-for-1 drive-by reporting special, so they also went after Corbett energy adviser Patrick Henderson. Here’s how that went…
Read More “PA Media Continues to Henpeck Corbett Admin on Warming Mythology”
Economic Impact | Ethane | Industrywide Issues | Jobs | Ohio | Processing Plants | Statewide OH | Statewide WV | West Virginia | Wood County

More Details Leak About Proposed WV Ethane Cracker Plant
December 9, 2013December 9, 2013

A few weeks ago WV and Brazilian-based Odebrecht announced plans to build an ethane cracker plant near Parkersburg, WV (see WV Announces Brazilian Company to Build Ethane Cracker Complex). Wayne Dunn, the president of the commission that governs Wood County, WV where the cracker would be built, recently said some very interesting things about the cracker. One comment: he’s known about the Odebrecht cracker for more two years! Congratulations to a politician that can keep a secret that long.

Dunn also said he pegs the chances that the Odebrecht cracker will be built at somewhere between 60-80%. He says it’s far from a done deal, but the odds are better that it will be built than not. Here’s a few more interesting “insider” insights into the proposed cracker plant coming to Parkersburg, WV:
Read More “More Details Leak About Proposed WV Ethane Cracker Plant”
Accidents | Delaware County | Energy Services | Industrywide Issues | Millennium Pipeline | New York | Pipelines

Minor Incident in with Millennium Pipeline NY Compressor Station
December 9, 2013December 9, 2013

The Millennium Pipeline was supposed to have completed a new compressor station near Hancock (Delaware County), NY in November. They’re getting close to being done, but not quite there yet. The new 15,900 horsepower compressor facility will add an additional 107.5 million cubic feet per day of capacity to the Millennium Pipeline, allowing them to pump more Marcellus Shale gas to the Algonquin Gas Transmission interconnect at Ramapo, NY.

Whether it was part of normal work to get the facility ready or there was a “problem” with bringing the compressor online, last Thursday Millennium personnel knocked on the door of the only residence living close to the facility and requested the family either stay inside for the next several hours, or immediately evacuate for a few hours while Millennium vented natural gas from the facility. The family (wisely) decided to evacuate for several hours…
Read More “Minor Incident in with Millennium Pipeline NY Compressor Station”
Energy Services | Industrywide Issues | Ion GX Technology | Pennsylvania | Seismic Testing | Westmoreland County

Thumper Trucks Coming to Murrysville – Make a (Very) Few Bucks?
December 9, 2013December 9, 2013

It’s certainly not a lot of money, but landowners in the Murrysville (Westmoreland County), PA area may have the opportunity to pick up some pocket change. One method used in seismic testing–finding out what’s down there–is to use “thumper trucks” that pound the ground, sending sound waves into the earth that are recorded with special equipment which allows geologists to draw maps of underground rock structures.

ION Geophysical Corporation of Houston, TX is sending thumper trucks to the Murrysville area in February, and landowners who are selected and agree to allow the trucks access on their land can get a one-time payment of $5 per acre. Depending on how much land you own, it will at least buy a few cups of coffee at Starbucks…
Read More “Thumper Trucks Coming to Murrysville – Make a (Very) Few Bucks?”
Allegheny County | Energy Companies | Pennsylvania | Range Resources Corp | Washington County

Washington County Seeks Proposals to Drill Under Mingo Creek Park
December 9, 2013December 9, 2013

A few weeks ago the Allegheny County legislature voted down a proposed ban on drilling under county parks 9-2 (see Allegheny County (PA) Council Votes Down Drill Ban for Parks). In the end, even though the Allegheny County legislature is heavily Democrat, they abandoned their fellow Democrats. The money from leasing is so good, and the risk is so low, even the left-leaning Allegheny County legislature can’t ignore it.

It seems that neighboring Washington County, PA also thinks drilling under county parks is a good idea. Washington County commissioners are looking for proposals to drill under Mingo Creek Park. The same driller that’s interested in drilling under Deer Lakes Park in Allegheny County is also interested in drilling under Mingo Creek Park in Washington County: Range Resources…
Read More “Washington County Seeks Proposals to Drill Under Mingo Creek Park”
Anti-Drilling/Fossil Fuel | Erie County (NY) | Hydraulic Fracturing | Industrywide Issues | New York | Regulation | Wastewater

Erie County (Buffalo) NY to Vote on “Near-Ban” of Fracking
December 9, 2013December 9, 2013

The odious Food & Water Watch (FWW), a partisan anti-drilling organization headquartered in Washington, D.C., is behind a scare effort to get the Erie County (Buffalo), NY legislature to ban fracking on county-owned land, ban the treatment of frack wastewater, and ban the use of processed brine (sometimes erroneously called frack wastewater) as a deicer and dust suppressant throughout the county. Using processed brine–water from drilled gas wells with heavy minerals and anything harmful removed–as a deicer and dust suppressant has been happening safely across the country for years. Hey, if Erie residents want to double the price they pay for road salt (and they use a LOT of road salt for Buffalo winters), who are we to stop them?

The full Erie County legislature will vote on the ill-advised proposed ban this week at its December 12th meeting:
Read More “Erie County (Buffalo) NY to Vote on “Near-Ban” of Fracking”
Industrywide Issues | Jobs | Statewide WV | West Virginia

One of WV Gov. Tomblin’s Biggest Fears: Untrained Workers
December 9, 2013December 9, 2013

Gov. Earl Ray Tomblin went to Europe to find him an ethane cracker plant, and by golly he did (see WV Announces Brazilian Company to Build Ethane Cracker Complex). Tomblin knows that an ethane cracker plant is an economic bonanza like none seen in the northeastern U.S. in generations–maybe centuries. Yes, it’s that big a deal–and he knows it. Kudos to Gov. Tomblin for persevering and finding a cracker plant for WV.

Now that it looks as if a cracker will come to WV, something else is keeping Gov. Tomblin up at night. Last week at a breakfast meeting Tombin said that one of his biggest fears is not having a trained workforce in WV to build and operate the cracker. So Gov. Tomblin is now on a new mission: get WV residents trained and ready…
Read More “One of WV Gov. Tomblin’s Biggest Fears: Untrained Workers”
Anti-Drilling/Fossil Fuel | Industrywide Issues | Regulation | Wastewater

Enviro America Sends 29K Form Letters Opposing Barged Frack Water
December 9, 2013December 9, 2013

Lookie here. A couple thousand members of Environment America (or maybe it’s just a couple hundred since they hide their enrollment numbers) have mass produced 29,000 form letters opposing the U.S. Coast Guard’s plan to allow safe shipping of frack wastewater on American rivers (see Coast Guard Green Lights Barge Transport of Frack Wastewater). Never hear of Environment America (EA)? Not many have. The organization was spawned from the “PIRG” (Public Interest Research Groups) in 2007. What you need to know is that EA is strongly anti-drilling.

We’re sure the Coast Guard appreciates the considerateness of EA in providing form letters so once they’ve read one of the letters, they’re read all of them. Saves time that way–very thoughtful of EA–although a lot of trees were slaughtered (very un-green!) to produce all that paper. So really, the headline should say that EA has sent one letter from their members, not 29,000, because that about sums up this non-story. Here’s the press announcement from EA, laced with toxic terminology and filled with bogus claims:
Read More “Enviro America Sends 29K Form Letters Opposing Barged Frack Water”
Crestwood Midstream | Energy Services

Crestwood Midstream’s Plans for 2014 (Hint: Marcellus)
December 9, 2013December 9, 2013

Last week Crestwood Midstream Partners issued an update for their 2014 plans. You may recall that in 3Q13 Crestwood merged with Inergy Midstream (see Crestwood/Inergy Complete Their Merger Today, Worth $8B). At the time, Crestwood said their focus for the remainder of this year would largely be the Marcellus Shale (see Crestwood Midstream 3Q13: Merger Done, Pedal to Marcellus Metal).

According last week’s update, the Marcellus will continue to be one of the primary focuses of the company. Crestwood plans to spend $400 to $425 million on new capital projects in 2014–much of it in the Marcellus, although they also have major projects cooking in the North Dakota Bakken Shale region and the Niobrara Shale of Colorado & Wyoming. The “forward looking” update from Crestwood:
Read More “Crestwood Midstream’s Plans for 2014 (Hint: Marcellus)”
Statewide WV | West Virginia

Paper Co MeadWestvaco Sells Forest Acreage, Keeps Marcellus Rights
December 9, 2013December 9, 2013

In our trawl of the daily news, MDN noticed last week that paper and manufacturing giant MeadWestvaco (MWV) Corporation (the makers of At-a-Glance planners and calendars) has sold ALL of its forestland in the U.S.–501,000 acres in all–to Plum Creek Timber Company for $1.1 billion.

Why is that interesting to MDN? Because according to the MWV the one thing not part of the deal are the oil and natural gas rights on 191,000 Marcellus Shale acres in West Virginia. MWV knows a good thing when they have it…
Read More “Paper Co MeadWestvaco Sells Forest Acreage, Keeps Marcellus Rights”
Best of the Rest

Marcellus & Utica Shale Story Links: Mon, Dec 9, 2013
December 9, 2013December 9, 2013

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 9, 2013”
Beaver County | Energy Companies | Ethane | Industrywide Issues | Pennsylvania | Processing Plants | Shell

Odds in Favor of a PA Ethane Cracker Just Went WAY Up
December 6, 2013December 6, 2013

At the end of October, MDN told you about comments from Shell’s retiring CEO Peter Voser that stoked fears that the previously announced Pennsylvania ethane cracker plant they may build was in doubt (see Rumor Mill: PA Ethane Cracker Plant on Shell Chopping Block?). Voser said that Shell’s wishlist included three major projects: the ethane cracker in PA, a gas-to-liquids plant in Louisiana, and an LNG plant in Canada. At the time Voser said Shell cannot build all three projects and would need to make “hard choices.”

It looks like the choice has been made and it’s very good news for PA! Yesterday Shell announced they are nixing the gas-to-liquids project in Louisiana, which (MDN’s view) makes it much more likely the PA ethane cracker plant will go forward. Here’s Shell’s statement from yesterday:
Read More “Odds in Favor of a PA Ethane Cracker Just Went WAY Up”