Marcellus & Utica Shale Story Links: Fri, Mar 22, 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, Mar 22, 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, Mar 22, 2013”
Two years ago, an informal group of high level leaders from both the Marcellus drilling industry (companies like Shell, CONSOL, Chevron and EQT) sat down with high level people from organizations trying to stop shale drilling (organizations like the Heniz Endowment, PennFuture, GASP and the Clean Air Taskforce), to see if both sides could agree on standards that would tell the world, “this activity is safe to do.” There were times, early on, when both sides thought the effort would be fruitless. But somewhere along the way, they “came together” and formed what was officially announced yesterday: The Center for Sustainable Shale Development (CSSD).
The CSSD proposes 15 new “performance standards” for those in the industry to follow—for drillers, midstream companies and in some cases the supply chain companies that work for them. Depending on your viewpoint, the CSSD and their standards are either a brilliant compromise that will make drilling safer and polish up the image of the industry, or a new group of mafia-like bullies out to force companies to pony up $30,000 to get certified “or else.” The group clearly wants (demands?) to be the certification body for Marcellus drillers, and if you don’t seek certification, they clearly intend to make you a pariah.
This MDN article will necessarily be much longer than most. We sat in on yesterday’s press conference by the CSSD (via phone), and will have our opinion as to the group, what they said, and what it means. We list our own summary of the 15 proposed new standards below (very important for those in industry to review this list). We also link to a number of other news accounts, so you can get other opinions.
The new CSSD has the power and potential to affect every single stakeholder in the shale drilling debate: from landowners to regulators to drillers and supply chain companies. Yes, it’s that important…
Read More “Important: Drillers & Enviros Form New Group, Launch Cert Program”
Yesterday saw the launch of The Center for Sustainable Shale Development (CSSD), a new organization that aims to be the source that certifies drillers and other industry participants in the Marcellus Shale (see our companion story from today—very important to read it). Early in the press conference announcing the CSSD, the master of ceremonies and CSSD board member Robert “Bobby” Vagt (president of the Heniz Endowments) made a curious statement. He said the CSSD is “not simply about best practices” or “the how,” but is instead about “performance standards.” That statement immediately struck MDN as a swipe at the Marcellus Shale Coalition.
Has the gauntlet been thrown down?…
A very (very!) short “issue” of MDN today. We cover the formation of a new self-appointed group that intends to regulate the entire drilling industry. We felt it was important enough to ignore the rest of the news and focus solely on this. Regular news will be back tomorrow. Please take time to read today’s two stories about the CSSD.
So far, we’ve had precious little in the way of well production numbers from the Ohio Utica Shale. The numbers we have had are encouraging. On Monday, Rex Energy released well production numbers for their “Warrior South Prospect” wells in the Ohio Utica, and the numbers look very good indeed. From two wells in Guernsey County and one in Noble County, Rex is reporting an average daily production of around 8 million cubic feet of natural gas, 500 barrels of condensate (natural gasoline), and 1,200 barrels of natural gas liquids (mostly ethane), per day for each well.
Below are the details from Rex, along with an embedded copy of their company presentation just updated (March 2013) which shows many more details, including maps and a very interesting table (on page 18) that compares Rex’s three Ohio wells with other drillers’ wells, including Ohio’s largest producing wells drilled by Gulfport. When converted to BTUs produced—which takes into account not only methane, but also gas liquids, condensate and oil—the Rex wells are among the best producing wells in the state…
Read More “Rex Energy OH Utica Wells go Toe-to-Toe with Gulfport Wells”
On Monday, Antero Resources issued their 2012 financial and operational results (full copy embedded below). Among the highlights: The company now holds 305,000 net acres in the Marcellus Shale and 88,000 acres in the Utica Shale. They operate 13 Marcellus rigs (all of them drilling in WV) and will add a 14th rig in 2013. Antero’s average daily production for all of 2012 in the Marcellus rocketed up 93% to 239 million cubic feet per day (Mmcf/d). Antero’s Marcellus production represents 72% of all of their production for 2012. As of March 2013, Antero’s average daily production for the Marcellus has risen to 390 Mmcf/d. The company is on a rocket!
Read More “Antero Resources Rides the Marcellus Rocket in 2012”
Tomorrow, the Appellate Division (court) in Albany, NY will hear arguments in the twin cases of Dryden and Middlefield—two New York towns that illegally seized the property rights of all their citizens by completely banning fracking (see Important Developments in NY Fracking Ban Court Cases for background).
A third town, Livingston, has just won a court case that allows them to also illegally ban fracking. Lenape Resources had sued Livingston after the town passed a ban in 2012, claiming the ban affects their conventional/vertical drilling in the town, which has been going on for decades (see Lenape Sues Avon, NY & DEC over Fracking Ban – Seeks $50M). An “acting” judge didn’t agree, and cited Dryden and Middlefield to support his opinion…
Read More “Third NY Town Wins Court Approval to Ban Fracking”
Anti-drillers who have been illegally blocking construction of the Tennessee Gas Pipeline’s Northeast Upgrade in northeastern PA were told to knock it off by a Pike County judge. He also told them it’s going to cost them (a lot of) money if they try it again.
In a hearing held Monday, Judge Joseph Kameen granted TGP an injunction against protesters who have blocked access roads and perched themselves, literally, up trees in order to stop progress on the new pipeline. Why? They don’t like fracking and believe the pipeline, which will transport Marcellus Shale gas, will encourage more of it. Basically, they’re malcontents…
Read More “PA Judge Grants Injunction Against Protesters of TGP NE Pipeline”
Need proof that many (most?) of Pennsylvania’s elected Democrats are anti-drilling dunderheads who have gorged themselves at the man-causes-global-warming-we-must-quickly-end-the-use-of-all-fossil-fuels buffet? How about this opinion piece, written by State Rep. Greg Vitali (Delaware County), the ranking Democrat on the PA House Environmental Resources and Energy Committee:
Read More “PA’s Ranking Dem on House Enviro Committee Big-Time Anti-Driller”
The Ohio Utica Shale numbers just keep going up. The latest, including tallies for where permits were issued last week:
Read More “OH Utica Numbers Keep Going Up: 575 Permits, 272 Wells Drilled”
More lessons for small businesses that want to plug in to the booming Marcellus and Utica Shale supply chain, this time from a new transloading facility in Columbiana, OH, started by a property management company. What’s a transloading facility? It’s a place where (in this case) railroad cars full of sand are parked and unloaded with special equipment onto waiting trucks that then haul the sand to nearby drilling sites for use in hydraulic fracturing.
The Buckeye Transfer Realty transloading facility accepted their first sand shipment via rail on Jan. 4. In the past three weeks they’ve hired 22 new people, with plans to hire more. Here’s their story, along with some of the things they’ve learned:
Read More “OH Property Management Firm Plugs into the Shale Supply Chain”
Fayette County, PA towns are not happy with the way county commissioners have decided to distribute the impact “fee” (which is really part fee/part tax) of $1.4 million. The towns believe more of the fee should go to them for roadway repair to counter damage done from trucks used in the drilling process. However, county commissioners have “shorted” the towns. Instead of paying each town $10,000 from the impact fee till as the towns requested, payments will be more like half that amount…
Read More “Fayette County, PA Towns Get Shorted on Impact Fee Distribution”
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: Wed, Mar 20, 2013”
Congratulations to the Marcellus. Stand up and take a bow! A new report just released by research company IHS says the Marcellus Shale has now surpassed the Haynesville Shale to be the largest natural gas producing play in the U.S.
Here’s the IHS press release announcing “game-changer” Marcellus report, which includes some interesting highlights:
Read More “IHS Report: Marcellus Dethrones Haynesville as Top Producing Play”
Last week MDN told you about the lawsuit filed by Range Resources against Robinson Township (Washington County), PA for rejecting their request to build two drill pads in the township (see Range Takes Robinson Twp, PA to Court over Permit Rejections). Range has asked the judge in the case, John F. DiSalle, to recuse himself from the case because his wife, Diane DiSalle, is a big-time anti-driller. Unfortunately for Range, the judge has said “no”…
Read More “Judge Refuses to Recuse Himself from Range v Robinson Twp Case”
Twelve protesters, no doubt suffering from FDS (Fracking Derangement Syndrome), illegally blocked the entrance to a depleted salt cavern near Watkins Glen, NY yesterday. They were arrested by local police. Inergy plans to turn the salt cavern into storage for liquefied natural gas (i.e., propane). The protesters believe storing natural gas in the facility will encourage fracking in New York, so they locked arms to stop trucks from entering or leaving the facility. Among the protesters was anti-drilling author and Ithaca College “distinguished scholar in residence” Sandra Steingraber.
The Inergy storage facility is the only planned new storage for natural gas in the entire northeast—something desperately needed. Rather than limit fracking, the protesters’ actions (if successful in stopping the facility) would cause the price of natural gas to go up for everyone throughout the northeast. The protesters don’t seem to care (and frankly don’t have a clue)…
Read More “NY Protesters Arrested for Blocking NatGas Storage Facility”