Marcellus Drilling News

Hydraulic Fracturing | Industrywide Issues | New York | Regulation | Statewide NY

Retired NY DEC Director Pans Cuomo Fracking Plan
July 20, 2012July 20, 2012

In a letter to the editor of the Albany Times Union, the retired director of Natural Resources Planning for the New York State Department of Environmental Conservation (DEC), Charles Morrison, comes down squarely on the side of anti-drillers. His letter says the rumored plan by Gov. Cuomo to allow test drilling in five Southern Tier counties is a “checkerboard plan” that’s “like something out of a Cracker Jack box.” Sounds to MDN like perhaps retirement is driving Mr. Morrison a little bit crackers himself.

Here’s his letter:

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Hydraulic Fracturing | Industrywide Issues | New York | Statewide NY

Alec Baldwin’s Rank Hypocrisy on NY Fracking
July 20, 2012July 20, 2012

Not long ago, Alec Baldwin went to visit his mom in Syracuse (as he often does, like a good boy), and while he was there, he lent his star power to promoting Josh Fox and his anti-fracking propaganda film Gasland at a local screening (see this MDN story).

Alec likes telling everyone else what they can do with their own private property. But what’s this? He doesn’t want to be told what to do with his private property? Hmmm.

It seems Alec wants to build a great big windmill at his home in the Hamptons on Long Island. Problem is, he needs a development permit to build the $100,000 windmill that may save him $2,000 in electric bills (this is how the mind of the liberal works folks). But he’s hit a snag with getting permission to build it. Anyone see the rank hypocrisy here? What’s good for thee is not what’s good for me, when it comes to anger-challenged Alec.

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Bradford County | Housing | Industrywide Issues | Pennsylvania

PA Bed & Breakfast Expands to Meet Demand from Marcellus
July 20, 2012July 20, 2012

One of the oft-heard refrains is that when drilling shows up in a region, housing gets tight—really tight. Rents for apartments soar, and hotels are booked solid. That’s certainly the case in Bradford County, PA where there has been a tremendous amount of drilling, and economic growth, over the past few years.

The beauty of capitalism is that although there may be short-term pain from time to time, there’s long-term gain. The free market will appropriately respond to meet demand (opposite of what the Occupy Wall Street types say). And that’s just what’s happening in Dushore, PA, a small community in Bradford County. This is a story of a small bed and breakfast more than doubling in size to meet the demand for rooms—because of Marcellus Shale gas drilling.

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Hydraulic Fracturing | Industrywide Issues

Food & Water Watch Uses Fracking Fear for Fundraising
July 20, 2012July 20, 2012

Rabid anti-drilling group Food & Water Watch (F&WW), based in Washington, D.C., needs money. How do we know? Because they’re circulating a petition to the rich, liberal residents of Johnston and Cranston, Rhode Island, telling them they need to support a statewide ban on fracking. Wait, Rhode Island? Yeah, Rhode Island—where there is no shale to frack! So why circulate a petition there? You’ve got it—it’s a sleazy tactic to get names and addresses for F&WW fundraising campaigns.

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Crawford County | Energy Companies | Pennsylvania | Range Resources Corp

Crawford County, PA First Shale Well Drilled in Utica
July 20, 2012July 20, 2012

Range Resources has begun drilling a Utica Shale well in Crawford County, PA (northwest corner of the state), which is the very first shale well—Utica or Marcellus—to be drilled in Crawford County. But it’s not the only well they plan to drill.

An update on what’s known about Range’s plans for Crawford:

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Hydraulic Fracturing | Industrywide Issues | Ohio | Pennsylvania | Statewide OH | Statewide PA

US Chamber Launches PR Initiative to Support Shale Drilling
July 20, 2012July 20, 2012

The U.S. Chamber of Commerce this week launched a major new initiative—a public relations campaign—to support shale gas drilling, particularly in the Utica and Marcellus Shale. The Chamber rolled out their “Shale Works for US” campaign on Tuesday in Ohio, and yesterday (Thursday) in Pennsylvania. According to the press release (see below), the campaign’s purpose is to “build support for the vast economic and energy security benefits of natural gas and oil produced from shale.” The chief driver of the new PR effort is the Chamber’s Institute for 21st Century Energy—the energy policy “arm” of the Chamber.

The Chamber is touting the massive number of jobs being created by the shale energy industry—rightfully so. The real shame? That such an effort is even needed. It should be obvious shale jobs are good jobs and the shale drilling industry a good industry. It’s sad but true that organizations like the Chamber have to spend massive amounts of money to counter the constant drumbeat of mainstream media against clean and safe natural gas. Go figure.

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Ohio | Richland County | Utica Shale

OPC Says Utica Shale Drilling Coming to Richland County, OH
July 20, 2012July 20, 2012

The director of the Ohio Petroleum Council, Terry Flemming, says shale drilling will come to Richland County, OH sometime in the next several years.

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Best of the Rest

Marcellus & Utica Shale Story Links: Fri, Jul 20, 2012
July 20, 2012July 20, 2012

The “best of the rest” – stories that caught MDN’s eye that you may be interested in reading:

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Economic Impact | Energy Services | GE Oil & Gas | Industrywide Issues | Jobs | Ohio | Stark County

How Many GE Employees will Come to Canton, OH?
July 19, 2012July 19, 2012

Although Chesapeake is leaving town, moving the majority of its 200 employees who work in offices in Canton to a new facility they’re building 7 miles away in Louisville (see this MDN story), it’s not all bad news for Canton.

GE will build a new facility in Canton where some 30 new jobs will be created to manage GE’s area Marcellus and Utica Shale operations. But it’s going to cost Canton up to $84,000 per year for five years to seal the deal.

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Chesapeake Energy | Energy Companies | Industrywide Issues | Jobs | Ohio | Stark County

How Many Chesapeake Employees will Stay in Canton, OH?
July 19, 2012July 19, 2012

Earlier this week, MDN highlighted the announcement that Chesapeake Energy has chosen Louisville, Ohio to build a new field office (think regional headquarters) on a 291-acre site in the Beck Industrial Commerce Center (see this MDN story).

Chesapeake currently has employees working out of several offices in the City of Canton (which is about 7 miles from Louisville). They also have employees in other offices in the surrounding region—approximately 400 workers total. About half of them (~200) work in offices in Canton. Canton city officials worked hard to get Chesapeake to build their regional HQ there, but in the end, Canton didn’t have a spot large enough for the consolidated operation.

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Energy Companies | Hess | Jefferson County (OH) | Ohio | Utica Shale

Hess’ Utica Plans: Operate 3 Rigs, Complete 10 Wells in 2012
July 19, 2012July 19, 2012

Hess will open its Steubenville, Ohio field office next week, a million dollar investment. The grand opening will be a low-key affair with a few area politicians and invited guests. Hess likes to avoid publicity.

Hess Operations Manager Joaquin Martinez, speaking at Tuesday’s Partners in Progress meeting in Steubenville about the grand opening, said that Hess has already spent $1.2 billion on the Utica Shale—$770 million to acquire Marquette Exploration, and $500 million on a joint venture with Consol Energy. He also had this to say about their short-term Utica Shale drilling plans:

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Columbiana County | Hydraulic Fracturing | Industrywide Issues | Ohio

Columbiana Port Authority Sells Water for Fracking
July 19, 2012July 19, 2012

The Columbiana Port Authority (Columbiana County, OH) has voted to sell water to Aqua Terra Asset Management who will in turn sell it to Marcellus and Utica Shale drillers for use in hydraulic fracturing. The deal calls for Aqua Terra to withdraw the water from two fire hydrants in East Liverpool, to be charged $9 per 1,000 gallons.

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Energy Services | Hydraulic Fracturing | Industrywide Issues | OriginOil | Wastewater

OriginOil Uses Algae to Clean Frack Wastewater
July 19, 2012July 19, 2012

OriginOil, Inc., based in Los Angeles, is a biomass company that produces and markets a patent-pending commercial system using algae to produce crude oil. Think of it as a renewable fossil fuel! Their system is also used to clean water, using algae as a pollution absorber.

A new application for OriginOil is using their algae system to process flow back water—wastewater from hydraulic fracturing of shale oil and gas wells. OriginOil announced today they have created a new oil and gas division and appointed the former President of Exxon Arabian Gulf as an advisor to the business.

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Energy Services | GES | Pennsylvania | Statewide PA

Tom Ridge Forms Alliance with GES to Promote Marcellus
July 19, 2012July 19, 2012

Former PA Gov. Tom Ridge heads his own consulting service called Ridge Policy Group, specializing in “government relations” and “issue management.” Ridge was heavily involved in the past with the Marcellus Shale Coalition—he was their public spokesperson for a year, a contract which ended in 2011.

Ridge has found a new Marcellus client, forming a “strategic alliance” with Groundwater & Environmental Services (GES), a company involved with drilling-related issues. MDN gathers from the press release gobbledygook (below) that Ridge will use his extensive rolodex to make business connections in the industry (and in government) for GES, and help out with public relations, raising the visibility of GES. Which is why you hire a famous ex-governor. 🙂

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Best of the Rest

Marcellus & Utica Shale Story Links: Thu, Jul 19, 2012
July 19, 2012July 19, 2012

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: Thu, Jul 19, 2012”
Commodity Price | Economic Impact | Hydraulic Fracturing | Industrywide Issues

Harvard Study: Shale Drilling Means Oil Prices Heading Lower
July 18, 2012July 18, 2012

A Harvard University study published in June takes a look at oil and makes the bold prediction that world oil prices will go down, substantially, by 2020. Why? You guessed it—the miracle of hydraulic fracturing of shale, particularly in the U.S.

The study, titled “Oil: The Next Revolution – The Unprecedented Upsurge of Oil Production Capacity and What it Means for the World,” (see below), says the Bakken/Three Forks play in North Dakota and Montana “could become a big Persian Gulf producing country within the United States.” And that’s just one play, out of 20!

Although this Harvard study is focused on oil, and MDN is largely focused on natural gas, the study highlights the critical role played by shale formations, and drilling in shale, sometimes the same well bore, delivers not only natural gas but natural gas liquids and oil. So this study and it’s conclusions are well worth your time to review. Notice the chart on page 13 of the PDF file (page 3 of the report): It shows the U.S. pulling very close to Saudi Arabia in oil production by 2020. Astonishing!

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