Marcellus Drilling News

Middlefield, NY Fracking Ban Stands in Court Decision

February 28, 2012February 28, 2012

court gavel A second court case decision in New York, this one in Middlefield (near Cooperstown) has ruled that local municipalities have the right to ban shale gas drilling within their borders. On Friday, Feb. 24 Acting Supreme Court Justice Donald F. Cerio, Jr. ruled that a previously passed drilling ban in the Town of Middlefield in Otsego County, NY is legal. A copy of the judge’s decision is embedded below. (Note: Thank you to an MDN reader for providing this exclusive copy of the decision that comes direct from the judge’s chambers.)

Hydraulic Fracturing | Industrywide Issues | Montgomery County | New York | Regulation

St. Johnsville, NY Town Board Votes to Ban Fracking

February 28, 2012February 28, 2012

Another Upstate New York municipality has jumped on the “ban fracking” bandwagon. The latest is St. Johnsville (Montgomery County), NY. In a unanimous vote last week, the town board passed a one-year moratorium on fracking, ostensibly to buy time to study it more.

Industrywide Issues | Jobs | Mahoning County | Ohio

Youngstown, OH Scores Another 100 Jobs from Gas Drilling

February 28, 2012February 28, 2012

More jobs coming courtesy of shale gas drilling—this time in Youngstown, Ohio. Exterran Energy Solutions has just announced plans to build a new $13 million facility that when done, will provide 100+ new jobs earning an average $23 per hour.

Chevron Pipe Leak in SW PA Bigger Than First Thought

February 28, 2012February 28, 2012

On Dec. 20, Chevron discovered a pipe leak at a well pad in Robinson (Washington County), PA. At the time it was thought perhaps a few barrels of wet gas condensate had leaked into the ground. It now appears it may be closer to 80 barrels, or 4,000 gallons.

Industrywide Issues | Jobs | Statewide WV | West Virginia

WV Residents to Get Free Pipefitter Training for Gas Jobs

February 28, 2012February 28, 2012

Yet more drilling-related jobs on the way, this time in northern West Virginia. The West Virginia Northern Community College is teaming up with Dominion Natrium to train up to 100 local residents to be pipefitters to work at the Natrium processing plant.

Congressional Hearing: Shale Energy a “Game Changer” for Small Biz

February 28, 2012February 28, 2012

Dennis Heller is a small business owner—president and CEO of Stephenson Equipment in Harrisburg, PA. Stephenson Equipment employs 120 people selling and renting construction equipment and crane services, parts, and operator training at seven locations in Pennsylvania and New York. Heller recently testified at a U.S. House of Representatives Natural Resources Committee Energy & Mineral Resources Subcommittee field hearing in Steubenville, Ohio, on the impact of shale energy development and what it means for small businesses (a copy of his testimony is embedded below).

Best of the Rest

Marcellus & Utica Shale Story Links: Tue, Feb 28, 2012

February 28, 2012February 28, 2012

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

Pennsylvania’s Top 10 Marcellus Drillers in 2011

February 27, 2012February 28, 2012

NOTE: The facts and figures below were cited from a Pittsburgh Tribune-Review article. MDN has been contacted by several of the drilling companies in the list to let us know the numbers in some cases are not at all accurate. MDN is attempting to verify now (Feb 28) and will correct these numbers as soon as the raw data can be further analyzed.

top 10 In 2011, Marcellus drilling expanded exponentially in Pennsylvania. According to the PA Department of Environmental Protection (DEP), companies drilled 2,755 Marcellus shale gas wells in Pennsylvania in 2011, up from 1,386 in 2010. That’s nearly a 200 percent increase (or doubling) in one year alone.

Below are the top 10 Marcellus drillers in Pennsylvania ranked by amount of gas produced. Included are some other bits of information (PA figures only) to give you an idea of the size and scope of that company’s operation in the PA Marcellus. (mcf = thousand cubit feet)

Another Look at the Dryden Fracking Ban Court Decision

February 27, 2012February 27, 2012

Last week, New York State Supreme Court Judge Phillip Rumsey ruled that the Town of Dryden has the right to ban gas drilling within its municipal borders (see this MDN story). As MDN pointed out, this is “round one” in the fight for landowner property rights. The Supreme Court in New York is only one step above county court. The Court of Appeals is the highest court in New York State.

Others have weighed in on the Dryden decision, including the Dryden Safe Energy Coalition (DSEC), a pro- but very much safe-drilling group headquartered in Dryden. From the DSEC press release following the decision:

ATEX Express Ethane Pipeline Hits Potential Snag in Ohio

February 27, 2012February 27, 2012

Enterprise Products Partners recently announced a 1,230 mile ethane pipeline from Pennsylvania to the Gulf Coast (see this MDN story). Dubbed the ATEX Express (Appalachia to Texas), the proposed pipeline includes building 353 miles of new pipeline through Ohio. But the Ohio stretch of construction has hit a potential snag.

Ohio Power Siting Board (OPSB) officials say Enterprise must get their approval before building it, but Enterprise disputes the OPSB has the authority to oversee construction the ATEX Express in the state. The dispute hinges on whether the natural gas liquid ethane that will flow through the pipeline is a liquid or a gas. Ethane under pressure is a liquid, but when it hits the air, it turns into a gas.

Industrywide Issues | Jobs | Pennsylvania | Statewide PA

Shale Gas on the Western PA Hot Jobs List, Solar Not Hot

February 27, 2012February 27, 2012

Which jobs are hot and which are not? That’s the question raised in a recent Pittsburgh Tribune-Review article. At number three on the “hot” list is the natural gas industry.

Crime | Industrywide Issues | Pennsylvania | Statewide PA

Penn State Study Finds No Crime Rate Increase in Drilling Counties

February 27, 2012February 27, 2012

Those who oppose drilling try to make the case that crime rates soar when drilling comes to a community. They say those “out of towners” have a lot of time on their hands in the off hours, and they use it to drink hard and play hard, and that leads to all sorts of criminal mischief. But a new Penn State study finds no evidence that when shale gas drilling comes to town crime rates increase. The preliminary findings of the study, performed by the Justice Center for Research at Penn State, were released in January but only announced just last week (a copy of the preliminary report is embedded below).

Antero Resources | Energy Companies

Antero Allocates 79% of 2012 Drilling Budget to Marcellus

February 27, 2012February 27, 2012

Antero Resources announced its 2012 capital budget today. Among the plans: 79 percent of the drilling budget is allocated to Marcellus Shale. Antero currently operates six drilling rigs in the Marcellus. They also announced today they are selling a portion of their Marcellus gathering pipeline system to Crestwood Holdings for $375 million in cash.

Best of the Rest

Marcellus & Utica Shale Story Links: Mon, Feb 27, 2012

February 27, 2012February 27, 2012

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

Chesapeake Energy | Energy Companies

Chesapeake Lowers Production 1 BCF/D & Dry Gas Drilling 70%

February 23, 2012February 22, 2012

trending down Chesapeake Energy released fourth quarter 2011, and full year 2011 numbers on Tuesday. About one month ago Chesapeake announced they were curtailing 0.5 billion cubic feet (bcf) of gas production per day because of low commodity gas prices. At the time they threatened to up that number to 1.0 bcf. According to Tuesday’s announcement, they have made that adjustment. Chesapeake wants to save its gas to sell it when the prices go back up, and likely hopes that by taking a good amount of gas out of circulation, it will help drive up the historically low prices sooner rather than later.

In addition to curtailing current production, Chesapeake also announced they will spend 70 percent less on drilling in dry gas areas this year from last year.

From the relevant portions of the Chesapeake press release:

Energy Companies | Hess | Jefferson County (OH) | Lease & Royalty Payments | Ohio

Hess to Lease OH City Landfill for Drilling – $5,400/Acre

February 23, 2012February 22, 2012

Steubenville, Ohio is about to close a lease deal on a former city landfill. Hess has agreed to pay $5,400 per acre for a signing bonus on the 110 acre site, and 19 percent royalties.