Marcellus Drilling News

Economic Impact | Industrywide Issues | Jobs | Pennsylvania | Statewide PA

PA Leads NE in Corporate Facilities Expansion – TY Shale!
March 6, 2013March 6, 2013

What does Pennsylvania have that New York doesn’t? For one thing, fewer welfare deadbeats sucking off the public teat. For another, PA has shale gas drilling and NY does not. Shale gas drilling has propelled PA, for the second year in a row, to third place in the entire country for the number of new and expanded corporate facilities built. PA is #1 for new corporate facilities in the Northeast—thanks to Marcellus drilling. Too bad NY is missing out—the very real cost of not drilling is loss of infrastructure projects like these.

PA had 430 new or expanded corporate facilities built in 2012 with a minimum investment of at least $1 million and with each facility adding at least 50 new jobs. Translation: On the low end, PA had $430 million in new investment and 21,500 new jobs—most of which came from the shale industry. The actual number for new investment/jobs was more like double…

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Economic Impact | Energy Services | Harrison County | Industrywide Issues | MarkWest Energy | Ohio | Pipelines | Processing Plants | Statewide OH | Utica Shale

MarkWest’s Multi-Billion Dollar Investment in Utica/Marcellus
March 6, 2013March 6, 2013

As we’ve been hearing for some time now, midstream (pipelines and processing plants) will be the dominant theme and focus of the Marcellus and Utica Shale for 2013 and likely beyond. A lot of wells have been and continue to be drilled in the Utica and Marcellus. Those wells now require pipelines to carry the gas and gas liquids to market, and processing plants to get the gas and gas liquids ready for market. MarkWest Energy is one of the midstream companies answering the call.

MarkWest plans to invest $1.8 billion in new infrastructure this year in the Utica Shale region, after investing nearly $2 billion last year:

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Industrywide Issues | Pennsylvania | Statewide PA | Taxation

Self-Serving Sierra Club Wants PA to Raise Taxes on Shale Drillers
March 6, 2013March 6, 2013

People like the Sierra Club have an interesting concept of what “fair” means. When it comes to other people’s money (OPM), the Sierra Club is only too ready to spend it—especially if they didn’t earn it. But that’s the way it is with socialists who like (their words) “spreading it around.”

The Pennsylvania Chapter of the extremist environmental group Sierra Club isn’t happy with “only” $200 million in impact fees/taxes. Oh no…they think a severance tax could easily more than double that amount—so it can be “spread around” among the enviro faithful—most particularly for themselves:

Read More “Self-Serving Sierra Club Wants PA to Raise Taxes on Shale Drillers”
Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | New York | Regulation | Statewide NY

The Andy & Junior Show: Part Deux
March 5, 2013March 5, 2013

If the situation with fracking in New York weren’t so tragic, it would be funny. Shakespearian, even. MDN told you yesterday about the Andy and Junior show—how Gov. Andrew Cuomo’s ex-brother-in-law Robert F. Kennedy, Jr. spilled the beans that Cuomo was ready to allow fracking last month and then it was (trumpet fanfare ta da da da) Junior to the rescue! RFK aka Junior says he talked Andy clean out of it (see The Andy & Junior Show: Why NY Fracking is Delayed Yet Again).

But what’s this? Being stung by having the truth aired to the press by what he thought was his confidant, his amigo (never trust a narcissist like Junior), Gov. Andy told the press yesterday Junior’s talk was not why fracking is still on hold…

Read More “The Andy & Junior Show: Part Deux”
Brooke County | Chesapeake Energy | Energy Companies | Lease & Royalty Payments | Ohio County | West Virginia

Chesapeake Energy Tardy with Royalty Payments in WV
March 5, 2013March 5, 2013

According to two at least two West Virginia landowners, Chesapeake Energy has been in no hurry to pay them the royalties they are owed. In each case, the landowner has had to contact Chesapeake. Even after calling Chesapeake, the landowners are still waiting for their first royalty checks to arrive.

Here’s the story of two landowners, one in Ohio County, the other in Brooke County:

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Energy Services | Industrywide Issues | Kinder Morgan | Ohio | Processing Plants | Tuscarawas County | Utica Shale

Kinder Morgan to Build Processing & Fractionation Plants in OH?
March 5, 2013March 5, 2013

The Akron Beacon Journal reports that Kinder Morgan, the country’s largest pipeline company, is seriously considering Tuscarawas County, Ohio as the location to build both a new natural gas processing plant and a new fractionation (separating) plant. If true, it could mean up to $1 billion in new investment for Tuscarawas County.

Here’s what the Beacon Journal is reporting:

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Energy Services | Hydraulic Fracturing | Industrywide Issues | Winner Water Services

New Venture Converts Acid Mine Drainage to Shale Drilling Water
March 5, 2013March 5, 2013

Battelle, the world’s largest nonprofit research and development organization (based in Columbus, OH), and Winner Global LLC, a privately-held energy and environmental technology company (based in Sharon, PA), formed a joint venture in January called Winner Water Services that will purify acid mine drainage from abandoned coal mines into water that can be used for drilling and fracking operations in the Marcellus and Utica Shale.

Winner has not finalized the site of its first plant, but expects to soon. The first of seven plants should be operational by this fall…

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Crime | Industrywide Issues | Mahoning County | Ohio | Wastewater

Youngstown Wastewater Dumper Says He’ll Plead Not Guilty
March 5, 2013March 5, 2013

Ben Lupo, owner of both Hardrock Excavating and D&L Energy in Youngstown, OH, will plead “not guilty” when he appears in U.S. District Court on March 15, according to his lawyer. Lupo has been charged with instructing one of his employees to illegally dump untreated shale drilling wastewater down a sewer drain—after hours and in the dark of night (see Youngstown Shale Wastewater Dumper Faces Jail and Big Fines). The water ended up in the Mahoning River.

Lupo’s lawyer is appealing the decision of the Ohio Dept. of Natural Resources to rescind all operating permits for D&L and effectively shut it down. The attorney says the “alleged” actions were done by D&L’s sister company, Hardrock, and D&L should not be penalized for it—even though D&L and Hardrock share the same owner and some of the same facilities. The attorney claims no D&L employees have been charged in the case. Here’s the latest:

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Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues

Josh Fox Makes First Public Response to FrackNation
March 5, 2013March 5, 2013

The Washington Examiner picked up on Josh Fox’s first known public response to Phelim McAleer’s documentary FrackNation, the devastating critique of Fox’s documentary Gasland. Fox didn’t say much, but what he did say is illuminating:

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Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | Maryland | Regulation | Statewide MD

Food & Water Watch Pushes for Fracking Ban in Maryland
March 5, 2013March 5, 2013

The anti-drilling group Food & Water Watch believes they have a sympathetic ear with legislators in the State of Maryland—so they’re making an all-out push to get the miracle of fracking banned in the state. Yesterday they released a faux “report” enumerating what they believe are the negatives of fracking. According to FWW, some of the ills fracking will visit upon the pristine state of Maryland include: “air pollution, water pollution, noise pollution, light pollution, marred landscapes and caravans of trucks full of toxic waste.” You mean, just like it hasn’t in PA, OH and WV?

The propaganda (i.e. press release) issued by FWW yesterday:

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Cumberland County | Industrywide Issues | Pennsylvania | Statewide PA | Taxation

The Folly of PA’s Impact Fee/Tax
March 5, 2013March 5, 2013

A number of stories coming from PA for the past several months revolve around how towns and counties will spend a windfall they’ve received from the state since instituting the first-ever shale well impact “fee” last year (for background on the fee-which-is-really-just-a-tax, see: List of PA Impact Fee Disbursements by County/Town). We’ve spared you the boring details. However, we bring you one of those stories to illustrate a point.

Cumberland County, PA has no active shale drilling, yet they will receive $200,000 in “walking around” money from the hard work of energy companies and landowners who are drilling. And what do the wise leaders of Cumberland County intend to do with this new-found pile of cash? Buy a new fire truck or two? Refurbish school classrooms? Refit snowplows with new equipment? Maybe convert some county vehicles to run on natural gas? Nope. They plan to put $149,000 of it into a program to give away (blow) on “green projects.” The squabbling over how to distribute it has already begun…

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Best of the Rest

Marcellus & Utica Shale Story Links: Tue, Mar 5, 2013
March 5, 2013March 5, 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, Mar 5, 2013”
Anti-Drilling/Fossil Fuel | Health Impacts | Hydraulic Fracturing | Industrywide Issues | New York | Regulation | Statewide NY

The Andy & Junior Show: Why NY Fracking is Delayed Yet Again
March 4, 2013March 4, 2013

The truth came out over the weekend from, of all places, the Associated Press (see below). New York Gov. Andrew (“Andy”) Cuomo’s former brother-in-law, Robert F. Kennedy, Jr. (we’ll call him “Junior”), couldn’t resist his “the whole world revolves around me” narcissistic tendencies to let the media know that he, Junior, is the real reason fracking in New York is now dead.

Andy was all set to approve up to 40 test wells for fracking just last month, then Andy (a 1-percenter) talked with Junior (another 1-percenter) and that sealed the fate of 77,000 New York landowners (99-percenters) who want to lease their land for drilling.

Read More “The Andy & Junior Show: Why NY Fracking is Delayed Yet Again”
Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | New York | Regulation | Statewide NY

Anti-Fracking Andy – The Giant (Jobs) Slayer
March 4, 2013March 4, 2013

The ongoing moratorium against the miracle of fracking in New York State for horizontal wells has had a devastating effect on the state’s conventional (vertical) natural gas drilling. The moratorium is, in effect, killing all drilling in the state, according to the Independent Oil & Gas Association of New York (IOGA of NY). It’s also killing thousands of jobs supported by the conventional drilling industry.

Commenting on the “rumor” (blabbed by ex-brother-in-law RFK “Jr”) that Gov. Cuomo will delay a fracking decision until a health study just begun in PA is completed, IOGA of NY said the following:

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Alternative Energy | Hydraulic Fracturing | Industrywide Issues | Regulation

Obama to Nominate Moniz for Energy, McCarthy for EPA
March 4, 2013March 4, 2013

It’s official: President Obama will nominate MIT physicist Ernest “Hair” Moniz to be the next Secretary of Energy, and Gina McCarthy to head the Environmental Protection Agency. We call Dr. Moniz “Hair” because of his “wavy mop” of gray hair—you’ll know what we mean when you see his picture.

Details on Dr. Moniz:

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Energy Companies | EnerVest | EV Energy Partners | Ohio | Stark County | Statewide OH | Tuscarawas County | Utica Shale

EnerVest Strategy: Sell Utica, Drill Vertical, Expand Midstream
March 4, 2013March 4, 2013

In September of last year, EV Energy Partners/EnerVest put 539,000 Ohio Utica Shale acres on the auction block, thinking they would get around $6 billion for it (see EnerVest Puts 539,000 Utica Shale Acres on Auction Block). In November, the company said they should complete the sale of the Utica acreage by the end of 2012 (see EV Energy Selling 539K Utica Shale Acres by Dec 31). That turned out to be a tad optimistic. EnerVest still does not have a deal for their Utica acreage.

An update on the company’s strategy from EV Energy Partners Chairman John Walker and EnerVest President Mark Houser, from Friday’s analyst call:

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