Marcellus Drilling News

Pennsylvania | Statewide PA

Kathryn Klaber Stepping Down as CEO of Marcellus Shale Coalition
July 29, 2013July 30, 2013

A surprise announcement last Friday: Kathryn (Katie) Klaber is stepping down as CEO of the Marcellus Shale Coalition (MSC). Klaber has been the driving force behind the MSC since it’s inception in 2009. She helped build the MSC into one of the world’s premier industry organizations representing shale drilling. Her presence will no doubt be missed.

The MSC announcement below does not mention what’s next for Katie, but we have some idle speculation…
Read More “Kathryn Klaber Stepping Down as CEO of Marcellus Shale Coalition”
Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Statewide PA

AP Attempts to Smear Shale Drillers as Arrogant
July 29, 2013July 29, 2013

Another AP story with anti-drilling overtones is making the rounds. This one, written by AP reporter Kevin Begos, attempts (in our opinion) to unfairly shade comments by both John Hofmeister, the former president of Shell, and Terry Engelder, Penn State geologist and the “father of the Marcellus,” as tacitly admitting that drilling has caused chemical contamination in some water supplies. They never said it, and to imply it is an outrage.

Here’s the AP article now making its way around the mainstream media echo chamber with the pretentious title, “Industry Arrogance Fueling Fracking Anger?”…
Read More “AP Attempts to Smear Shale Drillers as Arrogant”
Cameron County | Elk County | Energy Companies | Forest County | Lycoming County | Pennsylvania | Seneca Resources | Statewide PA

Seneca Resources Production Up 67%, Now 1/3 Bcf/d in Marcellus
July 29, 2013July 29, 2013

Seneca Resources, the Marcellus Shale drilling subsidiary of National Fuel Gas Company, released their fiscal third quarter (everyone else’s second quarter) operating results today. And boy of boy, were they good results! Seneca reports their Marcellus Shale production was up 67% from the same quarter last year, due to newly drilled wells in Lycoming County, PA going online. Seneca’s total Marcellus production was 374 million cubic feet per day average–or one-third of a billion cubic feet per day. Cabot Oil & Gas and now EQT have both hit 1 Bcfe/d of production in the Marcellus (see EQT 2Q13: Welcome to the Marcellus “1 Bcf/d Club”). Seems like Seneca is well on its way to the 1 Bcfe/d milestone too.

Here’s the full report, including details for some of the newest wells they’ve drilled in Elk, Cameron and Forest counties, and details about their use of a drilling technique called reduced cluster spacing (“RCS”) design:
Read More “Seneca Resources Production Up 67%, Now 1/3 Bcf/d in Marcellus”
Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | Lycoming County | Pennsylvania

The Real Reason Eco Groups Bash Fracking: Fundraising
July 29, 2013July 29, 2013

In an article published on the Enter Stage Right website, author Paul Driessen provides an eloquent defense of the many benefits–both economic and environmental–of hydraulic fracturing (i.e. fracking). The article uses the miracle of the Marcellus Shale in Williamsport, PA as a prime example (he personally visited and saw it with his own eyes).

Near the end of the article, Driessen both asks and answers and important question. If fracking is largely a good thing, and since science shows it to be safe, why do so-called “environmentalist” organizations like the Sierra Club and a plethora of “riverkeeper” clubs keep bashing it? Answer: Follow the money. It’s great for donations…
Read More “The Real Reason Eco Groups Bash Fracking: Fundraising”
Hydraulic Fracturing | Industrywide Issues | Statewide WV | West Virginia | Wetzel County

Striking a Balance: Preserving the Surface While Drilling in WV
July 29, 2013July 29, 2013

What happens when the mineral rights for oil and gas under a piece of land are owned by someone other than those who own the surface land itself? In West Virginia, that happens a lot–it’s a called a “split estate” and was done years ago for coal mining. Furthermore, what happens if the surface owner is the county or state government, and the land is a nature preserve, used for hunting and outdoor enthusiasts? It is a conundrum. Clearly the mineral owners have the right to access the minerals under the land, but in doing so, there’s going to be inconvenience for hunters and others using the surface land. Both sides have to work together.

The Lewis Wetzel Wildlife Management Area in Wetzel County, WV is a good example where both sides have not found a perfect solution, but it seems they have found a workable one…
Read More “Striking a Balance: Preserving the Surface While Drilling in WV”
About MDN | Calendar

Calendar of Events for Jul 29 – Aug 11, 2013 [Free]
July 29, 2013July 29, 2013

Below are upcoming events for this week and next.
Read More “Calendar of Events for Jul 29 – Aug 11, 2013 [Free]”
Best of the Rest

Marcellus & Utica Shale Story Links: Mon, Jul 29, 2013
July 29, 2013July 29, 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, Jul 29, 2013”
Energy Companies | EQT Corp

EQT 2Q13: Welcome to the Marcellus “1 Bcf/d Club”
July 26, 2013July 26, 2013

EQT has distinguished itself by becoming the second Marcellus Shale driller to join the “1 billion cubic feet per day club” in Marcellus Shale gas production. Cabot Oil & Gas was the first member (see Who’s a Member of the Marcellus “1 Bcf/d” Club?). EQT had a tremendous second quarter, as reported in their 2Q13 update issued yesterday. Marcellus production was up an astonishing 111% from 2Q12.

A few more facts and figures from yesterday’s update: in 2Q13, EQT started to drill (or “spud”) 41 Marcellus wells; they completed three Utica wells with one of them going online for sales of gas; and EQT spud eight Upper Devonian wells (completing four of them), with plans to drill up to 22 UD wells this year…
Read More “EQT 2Q13: Welcome to the Marcellus “1 Bcf/d Club””
Energy Companies | EQT Corp

EQT 4th Driller to Target Upper Devonian Shale Layer
July 26, 2013July 26, 2013

EQT has become the fourth Marcellus/Utica driller (that we’re aware of) to target the Upper Devonian Shale, a shale layer that sits a few hundred feet above the Marcellus Shale layer. The other three drillers are Rex Energy, Range Resources, and CONSOL Energy (see New Shale Layer Above the Marcellus Yields Positive Results). EQT already has eight Upper Devonian wells (four of them completed) with plans to drill up to 22 Upper Devonian wells this year, according to CEO David Porges on an investors call yesterday…
Read More “EQT 4th Driller to Target Upper Devonian Shale Layer”
Hydraulic Fracturing | Industrywide Issues | Litigation | Pennsylvania | Regulation | Statewide PA

PA Supreme Court to PUC: Knock Off the Zoning Reviews (for Now)
July 26, 2013July 26, 2013

Yesterday, the Pennsylvania State Supreme Court issued a ruling quashing (stopping) the state Public Utility Commission from carrying out some of its duties as specified under PA’s 2012 Marcellus Shale Act 13 law–duties tied to Act 13’s zoning provisions. It is a small and perhaps short-lived victory for the towns who had sued the PUC asking for relief from the PUC’s reviews of their zoning laws. It is a short-lived victory for the towns because the Supreme Court is due to decide on Act 13’s zoning provisions soon, so this decision is in effect until that bigger (and final) decision is made.

That’s the news. Now, to bring you up to speed on the background of this case and what yesterday’s decision means…
Read More “PA Supreme Court to PUC: Knock Off the Zoning Reviews (for Now)”
Lease & Royalty Payments | Muskingum County | Ohio | Utica Shale

Risky Business – OH Landowner Group Wants to Lease Sans Lawyer
July 26, 2013July 26, 2013

A Utica Shale landowner group in Muskingum County, OH with 90,000 acres available for lease has embarked on a risky venture. They want to strike a deal on behalf of their members to lease property for $5,000 per acre and 20% royalties. Certainly no problem with that–sounds like a fair deal in a “wet gas” area like Muskingum County, OH. The group is asking the Muskingum County Commissioners to not shop county land below that asking price (something that happened in neighboring Coshocton County) as that would undercut their bargaining power. We also have no problem with that–sounds like a smart strategy.

However, the landowner group wants to cut a deal with a driller without the help of attorneys. Attorneys typically take a small per-acre fee in return for their legal guidance on very complicated oil and gas drilling contract law. You can be sure the driller drawing up a lease agreement has an army of attorneys working on it–so why would you willingly disadvantage yourself by not using one too? It comes down to money…
Read More “Risky Business – OH Landowner Group Wants to Lease Sans Lawyer”
Anti-Drilling/Fossil Fuel | Industrywide Issues | Regulation | Wastewater

New CLEANER Act for Drilling Waste has a Dirty Purpose
July 26, 2013July 26, 2013

Pennsylvania Congressman Matthew Cartwright, Democrat – 17th District, has just introduced a new bill in the House of Representatives: the Closing Loopholes and Ending Arbitrary and Needless Evasion of Regulations (CLEANER) Act. The way Democrats euphomize the titles of their proposed bills is funny–torturing the language to make it sound like something it’s not. We’d like to propose our own legislation: Stop Torturing Us People In Democrat Idiotic Talkative Yammering (STUPIDITY).

This latest travesty–the CLEANER Act–perpetuates the lie that somehow oil and gas drilling have been inappropriately “exempted” from federal laws that apply to other industries. In this case, anti-drillers maintain oil and gas drilling have been inappropriately exempted from the Resource Conservation and Recovery Act (RCRA) of 1976 via legislation passed in 1980. To put oil and gas drilling under RCRA’s purview now would be to reclassify drilling waste as toxic waste (similar to nuclear waste), requiring very strict tracking and disposal regulations that go far beyond the actual hazard posed by oil and gas drilling waste. The CLEANER bill is unnecessary and its purpose is to make drilling uneconomic–i.e. to stop it.
Read More “New CLEANER Act for Drilling Waste has a Dirty Purpose”
Energy Companies | Hilcorp Energy | Mahoning County | Ohio | Utica Shale

Hilcorp Sets Sights on More Utica Drilling in Mahoning County, OH
July 26, 2013July 26, 2013

A quick update on Hilcorp’s Utica Shale drilling program and where they’ll next, courtesy the Youngstown Business Journal:
Read More “Hilcorp Sets Sights on More Utica Drilling in Mahoning County, OH”
Coterra Energy (Cabot O&G) | Energy Companies | Pennsylvania | Susquehanna County

Cabot’s Marcellus Marketing Plan / Slidedeck
July 26, 2013July 26, 2013

As MDN pointed out yesterday, Cabot Oil & Gas continues to shine in Susquehanna County, PA’s Marcellus Shale, with production up 52% from 2012 for the second quarter (see Cabot Continues to Shine in Susquehanna County Marcellus). As part of their reporting this week, Cabot released a slide deck called “Marcellus Marketing Supplementary Materials.” We’ve embedded it below. There’s a very interesting pipeline map and several charts discussing the region’s capacity to move gas to market–well worth a glance if you have an interest in the Marcellus in northeastern PA.

A hat-tip to MDN reader and contributor Chris Acker for alerting us to these slides. Here they are:
Read More “Cabot’s Marcellus Marketing Plan / Slidedeck”
Best of the Rest

Marcellus & Utica Shale Story Links: Fri, Jul 26, 2013
July 26, 2013July 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: Fri, Jul 26, 2013”
Hydraulic Fracturing | Industrywide Issues | Research

USGS: Consider Disposing Nuclear Waste in…Shale?!
July 25, 2013July 25, 2013

This is truly rich. While anti-drillers prattle on about how a few gallons of chemicals a mile down in the earth will magically defy gravity and climb uphill through a mile of solid rock to contaminate water supplies (yeah, it NEVER happens), the scientists at the U.S. Geological Survey have written a research paper that says shale is so secure, we ought to consider using it to dispose of spent nuclear waste–stuff that hangs around for millions of years!

You read the above statement correctly. Scientists at the USGS have just published a paper titled “Can Shale Safely Host U.S. Nuclear Waste?” in EOS, a journal by the American Geophysical Union (full copy embedded below). The conclusion of their investigation into whether or not nuclear waste could be disposed of in shale: “Although shales and similar rocks have not been considered for hosting nuclear waste in the United States, recent research points to them as a very promising option.” Note to emergency rooms throughout the Southern Tier of NY: Prepare to receive large numbers of apoplectic anti-drillers when they read about this…
Read More “USGS: Consider Disposing Nuclear Waste in…Shale?!”