Marcellus Drilling News

Air Quality | Hydraulic Fracturing | Industrywide Issues | Regulation | Research | Statewide WV | West Virginia

Did WVDEP Ignore It’s Own Research on Shale Well Air Pollution?
August 26, 2013August 26, 2013

The West Virginia Natural Gas Horizontal Well Control Act, passed and signed into law in December 2011, directed the WV Dept. of Environment Protection (WVDEP) to conduct three studies. The third and final study on air quality was released in June (see WVDEP Releases Study on Air Quality Impacts of Shale Drilling). The WVDEP said based on the data they received, no new regulations are required to control air pollution near drilling operations. However, a West Virginia University professor that oversaw the raw report given to the WVDEP disagrees with their assessment.

Dr. Michael McCawley, chairman of the Department of Occupational & Environmental Health Sciences in the School of Public Health at WVU, said he thinks a 625-foot “setback” is not far enough (in some cases) and that air emissions from Marcellus and Utica shale drilling need more regulation…
Read More “Did WVDEP Ignore It’s Own Research on Shale Well Air Pollution?”
Dominion Energy | Energy Services | Exporting | Industrywide Issues | Maryland | Statewide MD

When Will DOE Approve Cove Point, MD LNG Export Facility?
August 26, 2013August 26, 2013

In early August the U.S. Dept. of Energy (DOE) approved a project to export liquefied natural gas (LNG) via a facility along the Gulf Coast–in Lake Charles, LA (see Third Houston company gets LNG export approval). No doubt the DOE’s newly minted secretary, Ernest “Hair” Moniz, had a great deal to do with it (we affectionately call him Hair, if you’ve seen his picture, you know why). So far, Lake Charles is the third LNG export facility to receive a green light from the Obama administration over the past two years–all of them along the Gulf Coast.

What about a little LNG action along the East Coast–so we can export some of this abundant (and cheap!) Marcellus Shale gas? Dominion is still waiting for a green light from the DOE for their Cove Point, MD LNG project–a project heavily protested by the likes of the Sierra Club and other anti-fossil fuel groups. Japan and India–two good allies of the U.S.–are lined up and waiting, ready to buy the entire output of the Cove Point facility when/if it starts to ship…
Read More “When Will DOE Approve Cove Point, MD LNG Export Facility?”
Chevron | Energy Companies

Chevron’s Marcellus/Utica Unit Gets New President
August 26, 2013August 26, 2013

Breaking news from the Pittsburgh Business Times: Chevron’s Applachian (Marcellus/Utica) division has a new leader–Nigel Hearne…
Read More “Chevron’s Marcellus/Utica Unit Gets New President”
Best of the Rest

Marcellus & Utica Shale Story Links: Mon, Aug 26, 2013
August 26, 2013August 26, 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, Aug 26, 2013”
Crime | Energy Companies | Industrywide Issues | Lease & Royalty Payments | Pennsylvania | Range Resources Corp | Washington County

When Landmen Go Bad: Butler, PA Landman Arrested for Fraud
August 23, 2013August 23, 2013

A landman for Penn-Star Energy of Butler, PA, working to secure leases for Range Resources, is accused of a huge scam.

Apparently he used fake companies and forged signatures to steal away mineral rights from some landowners in Washington County, PA–worth more than $1 million…
Read More “When Landmen Go Bad: Butler, PA Landman Arrested for Fraud”
Blue Racer Midstream | Caiman Energy | Dominion Energy | Energy Services | Industrywide Issues | Ohio | Pipelines | Processing Plants | Statewide OH | Utica Shale

Blue Racer Gets $1B Line of Credit for More Utica Projects
August 23, 2013August 23, 2013

Blue Racer Midstream, a 50/50 midstream joint venture between Dominion and Caiman Energy II, was formed last December (see Dominion, Caiman in $1.5B Utica JV: Blue Racer Midstream). One of the assets that belongs to the Blue Racer jv is the newly online Natrium, WV NGL plant (see Dominion Sells $500M Natrium NGL Plant to… Itself).

In order to expand and fulfill their vision of becoming the leading midstream company in the Utica Shale, Blue Racer needs money to build things. They now have it. Blue Racer announced yesterday they’ve secured an $800 million line of credit with a group of banks–a line of credit which can be (under certain conditions) expanded to a whopping $1 billion. That kind of money will easily build you another couple of Natrium NGL plants…
Read More “Blue Racer Gets $1B Line of Credit for More Utica Projects”
Anti-Drilling/Fossil Fuel | Broome County | Hydraulic Fracturing | Industrywide Issues | New York

Dueling Full Page Frack Ads Greet President Obama in Binghamton
August 23, 2013August 23, 2013

Well looky here, what do we have? In the first section of today’s Binghamton Press & Sun-Bulletin we find a full page anti-fracking advertisement addressed to President Obama on page A8 (see it below) to try and grab his attention while he’s in town delivering an address today at Binghamton University. The ad is paid for by the odious Food & Water Watch, on behalf of a local batch of loonies called New Yorkers Against Fracking. The ad insults President Obama and claims his administration is covering up “the truth” about fracking. It says that fracking can never be done safely. We’re sure the President appreciates their kind help in enlightening him on the error of his ways.

But don’t despair! On the previous page, A7, is also a full page ad addressed to President Obama. This one is from pro-drillers congratulating him and telling him they agree with his previous statements that shale drilling for natural gas is good for the country (see the ad below). The pro-drilling ad is paid for by ANGA–America’s Natural Gas Association. Once again we see a stark contrast between negative, backward-looking fearmongers who oppose fracking (simply because natural gas is a hated fossil fuel), and positive, forward-looking supporters. It is the difference between unreasonable and reasonable…
Read More “Dueling Full Page Frack Ads Greet President Obama in Binghamton”
Hydraulic Fracturing | Industrywide Issues | Ohio | Pennsylvania | Regulation | Statewide OH | Statewide PA | Statewide WV | West Virginia

CSSD Says First Marcellus Certifications Coming Later this Year
August 23, 2013August 23, 2013

MDN previously told you about a new, independent group–a cooperative between the drilling industry and environmentalists–called the Center for Sustainable Shale Development, or CSSD (see Important: Drillers & Enviros Form New Group, Launch Cert Program). Members of the group on both sides have taken heat for working together to create very strict standards for Marcellus and Utica Shale drillers (see Eco Groups Shun EDF over Membership in Sustainable Shale Center).

The CSSD created a list of 15 standards they want drillers to conform to–some of the standards very costly, especially to small drillers. The group is moving forward with their plans and intends to begin certifying drillers “later this year”…
Read More “CSSD Says First Marcellus Certifications Coming Later this Year”
Anti-Drilling/Fossil Fuel | Athens County | Hydraulic Fracturing | Industrywide Issues | Ohio | Regulation

Athens Election Board Votes Against Anti-Frack Ballot Measure
August 23, 2013August 23, 2013

Members of the Athens County, OH Board of Elections voted last Thursday to not put a proposed anti-fracking measure on the ballot in the November election that would not only ban fracking in City of Athens, but also up to 20 miles outside of the city–a breathtaking, egregious power grab that the election board’s attorney advised them against supporting. One member of the Election Board who is anti-fracking, having signed an anti-fracking petition before assuming her office, properly recused herself from the vote citing ethics requirements. The rest of the board members unanimously voted against running the wrong-headed proposal on the ballot this fall.

Anti-drillers from the misnamed “Athens Bill of Rights Committee” are considering their next move, likely legal…
Read More “Athens Election Board Votes Against Anti-Frack Ballot Measure”
Bradford County | Electrical Generation | Industrywide Issues | Pennsylvania

Moxie Liberty Sells PA Electric Plant Project to Panda Power
August 23, 2013August 23, 2013

Last October, Moxie Liberty LLC (i.e., Moxie Energy) of Vienna, VA applied for and received permission from the Pennsylvania Dept. of Environmental Protection (DEP) to build Pennsylvania’s first new electric generation plant to use Marcellus Shale gas to power it (see PA DEP Approves 1st New Electric Plant to Use Marcellus Gas). The plant will be built in Bradford County, PA–the state’s most heavily drilled Marcellus county. However, Moxie will no longer build it. Word came yesterday that Moxie sold the project to Panda Power Funds of Dallas, TX. Henceforth the project will be called Panda Liberty.

Yesterday’s announcement from Panda Power Funds:
Read More “Moxie Liberty Sells PA Electric Plant Project to Panda Power”
Exporting | Industrywide Issues | Pennsylvania | Statewide PA

Consultant: Retooling PGW LNG Terminal for Exports Problematic
August 23, 2013August 23, 2013

MDN previously told you that the 176 year-old Philadelphia Gas Works (PGW) natural gas utility company went on the auction block in July with the aim of privatizing it (see Phila. Gas Works Goes on Auction Block – Marcellus Key in Sale?). At the time, it seemed like one of the keys to a sale would be converting an existing liquefied natural gas (LNG) facility owned and operated by PGW into an export facility for exporting Marcellus Shale gas.

However, according to a confidential report issued earlier this year by a PGW consultant, such a scenario would not be all that attractive for a potential buyer. The cost to convert the facility would be far more than the existing value of the entire company, plus there are real estate issues to contend with…
Read More “Consultant: Retooling PGW LNG Terminal for Exports Problematic”
Best of the Rest

Marcellus & Utica Shale Story Links: Fri, Aug 23, 2013
August 23, 2013August 23, 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: Fri, Aug 23, 2013”
Coterra Energy (Cabot O&G) | Education | Energy Companies | Industrywide Issues | Lackawanna County | Pennsylvania

Lackawanna College NatGas Program to Get Boost from Obama Visit
August 22, 2013August 22, 2013

MDN attended and reported on the grand opening of a new CNG fueling station in Susquehanna County, PA last week (see Cabot Launches CNG Fueling Station in NE PA). One of the presenters at that event was Mark Volk, president of Lackawanna College. Dr. Volk was there to sing the praises of Cabot Oil & Gas and their key support for Lackawanna’s new-but-rapidly-growing Petroleum & Natural Gas Technology program. Cabot has not only contributed money but also equipment and expertise to the program, one of only four or five programs like it in the country.

Lackawanna College–a 1,600-student, private 2-year school near Scranton, PA–is about to emerge on the national stage in a big way, and by extension, Cabot as well. President Obama will visit the school tomorrow (Friday, August 23) and deliver a speech “to the nation and world” from Lackawanna, no doubt touting the role of Lackawanna in preparing students through programs like the Petroleum & Natural Gas Technology program. In honor of President Obama’s visit and to celebrate Obama’s recognition of the importance of an educated workforce for the northeast and particularly for the vitally important oil and gas industry, Cabot’s own George Stark has penned the following exclusive “guest post” for MDN readers…
Read More “Lackawanna College NatGas Program to Get Boost from Obama Visit”
Energy Companies | Energy Services | Ethane | Industrywide Issues | MarkWest Energy | Ohio | Processing Plants | Shell | Statewide OH

OH Still in the Running for an Ethane Cracker? Maybe
August 22, 2013August 22, 2013

Ohio’s dream to be the future host of an ethane cracker plant is still very much alive, according to U.S. Sen. Rob Portman from Ohio. Portman, along with Greg Sullivan, area manager for MarkWest Energy, spoke at the Ohio Mid-Eastern Governments Association meeting yesterday. According to Sullivan, a source to ship the ethane produced by their plant to when it separates the ethane from the natural gas liquid stream is “our big challenge.” MarkWest’s only current option is to ship it to Canada via the Mariner West Sunoco pipeline (see Big News: Marcellus Ethane Now Exporting to Canada Cracker Plant). Starting next year and the year after, two more pipelines will come online to ship it to the Gulf Coast (the ATEX Express and the Bluegrass).

According to MarkWest, there is a “desperate need for a local ethane cracker.” Sen. Portman is hoping Ohio can supply that need, especially since Shell continues to “evaluate” its project to build a cracker plant in PA with no firm commitment or timeline to build it…
Read More “OH Still in the Running for an Ethane Cracker? Maybe”
Carroll County | Energy Companies | Lease & Royalty Payments | Ohio | Sierra Buckeye | Utica Shale

Carroll County, OH Says Sierra Buckeye in Default on Utica Lease
August 22, 2013August 28, 2013

In May 2012 Houston-based driller Sierra Buckeye signed a deal with the Muskingum Watershed Conservancy District (in Ohio) to lease 185 acres of District-controlled land for $4,500 per acre plus 20% royalties on all gas produced–really good terms. In October 2012 Sierra Buckeye signed a deal with Carroll County, OH to lease 481 acres of county-owned land for the same terms, receiving a check for over $2 million as the signing bonus. However, built into the Carroll County lease deal are penalties if Sierra Buckeye does not begin drilling by certain deadlines.

The initial deadline came and went and the county extended it. The second deadline is now past and Sierra Buckeye is asking for a third deadline (November). The county has had enough and has told Sierra Buckeye the lease contract is now in default…
Read More “Carroll County, OH Says Sierra Buckeye in Default on Utica Lease”
Broome County | Hydraulic Fracturing | Industrywide Issues | New York | Regulation

JLCNY Update on Friday’s Pro-Gas Rally for Obama/Cuomo
August 22, 2013August 22, 2013

Yesterday MDN told you about the “Pro-Gas President Rally” family picnic/fun day planned by the Joint Landowners Coalition of New York (JLCNY) for Friday in Otsiningo Park–the day President Obama visits Binghamton, NY (see JLCNY Picnic Celebration for Obama’s Visit to Binghamton).

MDN received the following important update about that event:
Read More “JLCNY Update on Friday’s Pro-Gas Rally for Obama/Cuomo”