Marcellus Drilling News

Pennsylvania | Statewide PA | Statewide WV | West Virginia

Marcellus Reshuffle? EIA Says WV/SWPA Luring Rigs Away from NEPA
August 27, 2013August 27, 2013

According to the brains at the U.S. Energy Information Administration (EIA)–and we say “brains” in a very complimentary way–the northern panhandle of West Virginia and southwestern Pennsylvania together have formed an integrated “wet gas” drilling region that is luring drilling rigs away from the highly productive dry gas area of northeastern PA. Here is their analysis and reasoning, along with some nifty charts:
Read More “Marcellus Reshuffle? EIA Says WV/SWPA Luring Rigs Away from NEPA”
Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | Maryland | Regulation | Statewide MD

MD Anti-Drilling Group Issues Challenges “Best Practices” Report
August 27, 2013August 27, 2013

In June, the Maryland Department of the Environment (MDE) and the Department of Natural Resources (DNR) released a draft report (dated August 2013) of “best practices for drilling and production that should be required” (see Maryland Releases Draft “Best Practices” in Shale Drilling Report for a full copy). A Maryland group calling itself Citizen Shale has just filed extensive comments–in essence a challenge–on that report. The group attempts to apply the veneer of impartiality by stating they are neither pro- nor anti-drilling and only interested in what’s best for the environment.

Nothing could be further from the truth. Citizen Shale is clearly, strongly anti-drilling and hope their comments and challenges to the recent best practices report will stall and stretch out the approval process for fracking in Maryland…
Read More “MD Anti-Drilling Group Issues Challenges “Best Practices” Report”
Hydraulic Fracturing | Industrywide Issues | Regulation

API to BLM: Proposed Fracking Rule Just Isn’t Needed
August 27, 2013August 27, 2013

The Dept. of Interior’s Bureau of Land Management (BLM) released a second version of a proposed federal rule for fracking on federal lands in May (see BLM Releases Revised Rules for Fracking – Why it Matters). There’s some, but not much, federal land in the northeastern U.S.–most federal land is located in the western U.S. In fact, according to an Energy Information Administration official, there’s not a lot of overlap between federal lands and shale plays (see EIA Deputy Says Most Federal Lands, Shale Plays Don’t Intersect). So what’s the big deal with the new rules?

The American Petroleum Institute thinks there’s enough of an overlap between federal land and shale plays that the BLM’s new fracking rule will cost drillers a boatload of money without achieving a whole lot in the way of safety or positive impact on the environment. The API is, in fact, recommending the BLM either revise their fracking rule for a third time to get it right, or better yet, just forget about the new rule altogether because it’s really unnecessary…
Read More “API to BLM: Proposed Fracking Rule Just Isn’t Needed”
Allegheny County | Pennsylvania

Babst Calland Ranked Top Energy Law Firm in Pittsburgh Area
August 27, 2013August 27, 2013

MDN congratulates the Babst Calland law firm for being ranked the number one energy law firm in the greater Pittsburgh region as measured by number of practicing energy attorneys (they have 70 in Pittsburgh). Babst Calland writes one of our favorite law blogs–ShaleEnergyLawBlog.com.

Well done, and well deserved! We’ve included the top 10 below…
Read More “Babst Calland Ranked Top Energy Law Firm in Pittsburgh Area”
Chevron | Energy Companies | Fayette County | Industrywide Issues | Litigation | Pennsylvania | Statewide PA

Chevron Wins Right to Build Freshwater Pond for Fracking in PA
August 27, 2013August 27, 2013

Last week the Pennsylvania Superior Court upheld a lower court ruling in favor of Marcellus Shale driller Chevron, declaring that Chevron has the right to construct a pond (“impoundment”) to hold fresh water used for fracking. The landowners in question (Mr. & Mrs. Humberston) did not want the pond constructed on 11 acres of their land but since the lease they signed did not specifically limit it, and since having lots of fresh water to frack with is a requirement for drilling (a reasonable expectation), the court ruled Chevron was within its rights to construct the pond…
Read More “Chevron Wins Right to Build Freshwater Pond for Fracking in PA”
Best of the Rest

Marcellus & Utica Shale Story Links: Tue, Aug 27, 2013
August 27, 2013August 27, 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, Aug 27, 2013”
Broome County | Hydraulic Fracturing | Industrywide Issues | New York | Regulation | Statewide NY

Pro-Drilling Rally Welcomes Pres. Obama in Binghamton Aug 23
August 26, 2013August 26, 2013

Friday was a picture perfect, late summer/early fall day in Binghamton with temperatures around 75 degrees and blue skies. MDN editor Jim Willis had the pleasure of hanging out for a few hours with pro-drilling “salt of the earth” types of folks at Otsiningo Park in Binghamton, NY. About 250 pro-drillers were on hand with signs lined up along a fence bordering Interstate 81 to welcome President Barack Obama as his motorcade/bus whistled past the park on their way to Binghamton University where the President held a town hall meeting to discuss his education plans (i.e., have everyone else pay for your child’s college education via high taxes).

Drilling supporters were there to not only affirm and encourage Obama in his “support” of fracking, but to shame our spineless and indecisive governor, Andy Cuomo, for his lack of leadership on the issue of fracking and shale drilling. Drilling supporters want it known their patience has run out and they see Cuomo for what he is: kowtowing to the extreme left of his own party. It’s repugnant and it’s economically hurting landowners in the Southern Tier of New York State…
Read More “Pro-Drilling Rally Welcomes Pres. Obama in Binghamton Aug 23”
Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | Lackawanna County | Pennsylvania | Regulation

Anti-Driller Shouts Fracking Question to Obama in PA Appearance
August 26, 2013August 26, 2013

Well, you knew it would happen. A shrill and rude anti-driller tried to shout down President Obama as he spoke at Lackawanna College last Friday. Maya van Rossum, head of the rabidly anti-drilling Delaware Riverkeeper Network, tried to get Obama to respond to a shouted question about fracking. He briefly looked up from his TelePrompter, and then went on without responding to her rude outburst. In fact, Obama (much to our dismay) did not say a word about shale drilling nor about the top notch Petroleum & Natural Gas Technology program run by Lackawanna College, even though it was a golden opportunity for him to do so…
Read More “Anti-Driller Shouts Fracking Question to Obama in PA Appearance”
Lease & Royalty Payments | West Virginia | Wirt County

Wirt County Landowner Group Close to Deal for Huge 241K Acres
August 26, 2013August 26, 2013

The largest Marcellus/Utica landowner group MDN is aware of is the Wirt County Oil and Gas Group, in WV (see WV Group Largest Landowner Coalition in Marcellus/Utica). The Parkersburg News and Sentinel reports the group is close to a deal to lease their considerable holdings of 241,000 acres. The group has closed its membership–no new landowners are currently allowed to join. They’ve narrowed down lease offers to two companies, although they’re not releasing the names (yet) of which companies they’re negotiating with.

A decision is due by an October 5 membership-wide meeting…
Read More “Wirt County Landowner Group Close to Deal for Huge 241K Acres”
Health Impacts | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Pipelines | Processing Plants | Washington County

Health “Study” of Whopping 27 People Blames Drilling for Symptoms
August 26, 2013August 26, 2013

A very small, statistically invalid and anecdotal set of 27 people in Washington County, PA who claim the ill health symptoms they have are caused by activities related to shale gas drilling is reason enough for the AP to trumpet a story that shale drilling causes negative health impacts. The symptoms include skin rashes, eye irritation, breathing problems and headaches–i.e., just an average day at the local walk-in clinic. But because there are shale wells, a gas processing plant and compressor stations nearby, the drilling industry is blamed for the symptoms.

Hmm, there’s roads nearby. Are the roads to blame? There’s railroads nearby–are they to blame? There’s a Girl Scout troupe nearby….you get the picture. Nope. Drilling is squarely to blame for this “array of symptoms” because these people claim they didn’t have the symptoms prior to drilling but they do now. We wonder, are any of them members of the Sierra Club?…
Read More “Health “Study” of Whopping 27 People Blames Drilling for Symptoms”
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”