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  • MDN Weekly Update

    MDN Weekly Update – May 22, 2011

    May 22, 2011May 22, 2011

    poll resultsThank you to those who voted in last week’s online poll. Here are the results:

    Should the federal EPA regulate hydraulic fracturing?

    No (52%, 131 Votes)
    Yes (44%, 111 Votes)
    I don’t know (4%, 10 Votes)

    Total Voters: 252

    This Week’s Poll

    Eminent domain is one of the strongest powers granted to government, and in some cases delegated by government to private companies. It is the right to seize a piece of property and use it for the common good. The owner of the private property seized or used in this way is given “fair and just” compensation by the government or organization. The power of eminent domain is used to secure land for roads and highways, run electrical lines above (and below) ground, for railroads, water and sewer lines and for other purposes. It’s also used for natural gas pipelines installed by public utilities like your local electric and gas company to deliver gas to your house (if you live in an urban area). In order for a company to use the power of eminent domain, it first must be designated as a public utility. That is, it’s a private company, but serving the general public. There are commissions set up in individual states to regulate and control these private companies that serve the public—public utility commissions.

    The Pennsylvania Public Utility Commission (PUG) this past week rendered a decision that will, in all likelihood, lead to designating a private company (Laser Northeast Gathering) as a public utility. Laser is building pipelines for gathering gas from Marcellus Shale wells in Northeastern PA. If Laser is designated as a public utility, it will have the power of eminent domain, meaning they can run their gas pipelines wherever they want (within reason). By all accounts Laser is an excellent and responsible company.

    The question at hand is, should gathering pipelines from gas wells be granted the status of public utility? Some would say running a pipeline from a well is different than running, say, an interstate pipeline. Those who oppose gas drilling would likely oppose a pipeline running under their property. Should they be forced to allow it? On the other hand, should a pipeline company have to go miles out of the way to lay a pipeline if there’s only one or two property owners who won’t allow it under their land? Isn’t there a greater public good? It’s a tough issue. MDN has already commented which side we come down on (read the story here). How about you?

    Should Marcellus Shale pipeline companies be granted public utility status (i.e. eminent domain)? Go to any page on the website and click to vote on the right-hand side of the page in this week’s poll. I’ll report the results next week.

    Below you’ll find the “top 5” lists and this week’s calendar listings.

    Happy reading,
    Jim Willis, Editor

    Read More “MDN Weekly Update – May 22, 2011”

  • Accidents | Bradford County | Chesapeake Energy | Energy Companies | Industrywide Issues | Pennsylvania | Washington County

    Chesapeake Energy Fined $1.1 Million for Methane Migration and Tank Fire in PA

    May 20, 2011May 20, 2011

    Chesapeake Energy has been slapped with the largest fine given to date by the Pennsylvania Department of Environmental Protection (DEP) for methane migration and for a fire at a well.

    Read More “Chesapeake Energy Fined $1.1 Million for Methane Migration and Tank Fire in PA”

  • Energy Services | Industrywide Issues | Laser Northeast Gathering | Pennsylvania | Pipelines | Statewide PA

    PA Public Utility Commission Grants Utility Status to Pipeline Company Giving it Eminent Domain Powers

    May 20, 2011May 20, 2011

    The Pennsylvania Public Utility Commission (PUC) has voted to grant Laser Northeast Gathering, a natural gas pipeline company, status as a public utility. The decision will grant Laser the power to condemn private property by eminent domain. That is, Laser will have the power to run pipelines under people’s property even if they don’t want it.

    Read More “PA Public Utility Commission Grants Utility Status to Pipeline Company Giving it Eminent Domain Powers”

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

    Memo to Actor Mark Ruffalo: Fracking Chemicals are in Your Cosmetics

    May 20, 2011May 20, 2011

    An opinion piece published in today’s New York Post succinctly (and with attitude) makes the case that hydraulic fracturing is safe and Marcellus Shale drilling should go forward in New York State. A brief extract for your reading pleasure:

    Read More “Memo to Actor Mark Ruffalo: Fracking Chemicals are in Your Cosmetics”

  • Hydraulic Fracturing | Industrywide Issues | Soil | Statewide WV | West Virginia

    West Virginia Officials Say Radioactivity from Gas Drilling a Non-Issue

    May 20, 2011May 20, 2011

    One of the issues raised in Marcellus Shale drilling is a concern that pumping water into, and then extracting it out of the ground will bring with it radioactivity from naturally occurring sources deep underground. In particular, the “cuttings” or leftover rock and dirt that come out of the bore hole might contain higher than normal levels of radioactivity. Officials in West Virginia say there’s no reason for concern in their state:

    Read More “West Virginia Officials Say Radioactivity from Gas Drilling a Non-Issue”

  • Hydraulic Fracturing | Industrywide Issues | New York | Public Opinion | Statewide NY

    The Real News About the Marist Opinion Poll on Marcellus Shale Drilling in New York State

    May 19, 2011

    Marist College (Poughkeepsie, NY) just completed a statewide poll in New York State to find out if residents generally support or generally oppose hydraulic fracturing. MDN has embedded the poll results below so you can read it for yourself. The standard coverage of this poll in the media, the “big news” if you will, is that New Yorkers are about evenly split: 41 percent generally oppose hydraulic fracturing, and 38 percent support it—a statistical dead heat with the margin of error +/- 5 percent. Marist says a “notable” 21 percent are unsure. But MDN believes the “real news” in this poll is confirmation that the shale gas drilling debate in New York—and nationwide—is (sadly) more about politics than science and common sense. The proof is in the numbers.

    The first question asked those who were surveyed was:

    Read More “The Real News About the Marist Opinion Poll on Marcellus Shale Drilling in New York State”

  • Industrywide Issues | Pennsylvania | Regulation | Statewide PA

    Will There be New Marcellus Drilling Regulations Passed by the PA Legislature This Year?

    May 16, 2011May 16, 2011

    Groups that oppose drilling in Pennsylvania, under the guise of “let’s be reasonable here,” have been proposing wish lists of new regulations for several years now. Some of their proposals make sense and should be carefully considered. But in considering their proposals, you must realize those organizations have ulterior motives—to completely ban gas drilling. It’s interesting to note their pronouncements lately have gone up an octave on the shrillness scale.

    These groups could not get new legislation and regulations passed under Gov. Ed Rendell, a Democrat, with both houses of the PA legislature controlled by Democrats. So now that a Republican (Tom Corbett) is governor, someone they consider “in the pocket” of the drilling industry, and with both houses of the legislature controlled by Republicans, these groups say now is the time to reform the PA Oil and Gas Act. Something does not add up with this picture.

    Read More “Will There be New Marcellus Drilling Regulations Passed by the PA Legislature This Year?”

  • Economic Impact | Energy Companies | Industrywide Issues | Range Resources Corp

    The Economics of Converting Vehicles to Natural Gas

    May 16, 2011May 16, 2011

    At a small meeting last week at Washington & Jefferson College (in Washington, PA, near Pittsburgh), representatives from Columbia Gas of Pennsylvania, Range Resources and Pittsburgh Regional Clean Cities presented to several area fleet operators. They were making the case for the economics of switching their cars and trucks to compressed natural gas, or CNG. Widespread use of natural gas to power vehicles will likely start with “fleets” of vehicles—taxis, trucks, buses—and the early adopters will likely be schools, government and larger companies.

    We get the following figures on conversion costs from Dan Cotherman, business development manager for driller Range Resources:

    Read More “The Economics of Converting Vehicles to Natural Gas”

  • Accidents | Industrywide Issues | Pennsylvania | Statewide PA

    Columbia Gas Working to Train Firefighters to Handle Natural Gas Fires

    May 16, 2011May 16, 2011

    Columbia Gas, a major supplier of natural gas in Pennsylvania and a company that owns and uses a lot of gas pipelines, is training firefighters in how to handle natural gas fires:

    Read More “Columbia Gas Working to Train Firefighters to Handle Natural Gas Fires”

  • MDN Weekly Update

    MDN Weekly Update – May 15, 2011

    May 15, 2011May 15, 2011

    Thank you to all of you who voted in last week’s (and MDN’s first-ever) online poll. Here are the results from 403 MDN readers:

    imageAre You in Favor of Shale Gas Drilling?
    Yes – with safeguards in place (69%, 278 Votes)
    No – can’t be done safely (26%, 103 Votes)
    Not sure – still forming an opinion (5%, 22 Votes)

    Total Voters: 403

    This Week’s Poll

    I’ve made no bones about the fact that I believe the federal Environmental Protection Agency (EPA) is “out of bounds” in trying to regulate hydraulic fracturing. It is my opinion that regulation of gas drilling is best left to the individual states. Others will argue that water crosses boundaries in the form of rivers and streams and aquifers, and therefore a federal role is important to protect water supplies. I’m interested in knowing what you think. So this week’s question, as plainly and succinctly as I can ask it (no hidden agendas, no attempt to manipulate the outcome for those who like to needle me) is: Should the federal EPA regulate hydraulic fracturing? Go to any page on the website and click to vote on the right-hand side of the page. I’ll report the results next week.

    Below you’ll find the “top 5” lists and this week’s calendar listings.

    Happy reading,
    Jim Willis, Editor

    Read More “MDN Weekly Update – May 15, 2011”

  • Industrywide Issues | Pennsylvania | Regulation | Statewide PA | Wastewater

    Federal EPA Continues to Bully Pennsylvania Using the Safe Water Drinking Act

    May 13, 2011May 13, 2011

    bullyThe federal Environmental Protection Agency (EPA) continues to assert itself into states’ business by claiming authority of the federal Safe Water Drinking Act. The latest example was yesterday. The EPA requested (ie demanded) details from six drillers who operate in Pennsylvania on where they will dispose of fracking fluid wastewater now that the PA Department of Environmental Protection (DEP) has told drillers that certain municipal sewage treatment plants not specially equipped will no longer be able to accept fracking wastewater. The EPA wants to know where that wastewater will now go.

    But the PA DEP itself has not escaped the heavy hand of the federal EPA either. The EPA has “requested” (ie demanded) PA DEP provide a list of facilities that accept fracking wastewater. And the EPA has other “requests” for the DEP on how to do things better (see the EPA press release below).

    Read More “Federal EPA Continues to Bully Pennsylvania Using the Safe Water Drinking Act”

  • Carrizo Oil & Gas | Energy Companies | Pennsylvania | Statewide PA | Sullivan County | Susquehanna County | Wyoming County (PA)

    Carrizo to Drill 30 Marcellus Shale Wells in Wyoming County, PA – Laser Pipeline will Handle all of Carrizo’s Gas in the Region

    May 13, 2011May 13, 2011

    Richard Smith, vice president of land for Carrizo Oil & Gas, spoke to the Wyoming County Chamber of Commerce at a luncheon yesterday outlining Carrizo’s plans for drilling in the Pennsylvania Marcellus Shale. He said that Carrizo will have five well pads “fully developed” in Wyoming County by September 2012. He also said Carrizo would begin drilling in Sullivan County by the end of this year.

    Smith offered these facts and figures about Carrizo’s Marcellus drilling operations:

    Read More “Carrizo to Drill 30 Marcellus Shale Wells in Wyoming County, PA – Laser Pipeline will Handle all of Carrizo’s Gas in the Region”

  • Columbiana County | DPS Penn | Energy Companies | Lease & Royalty Payments | Ohio

    Ohio School Signs Marcellus Drilling Lease for School Property – $2K per Acre, 15 Percent Royalties

    May 13, 2011May 13, 2011

    United Local Schools in Hanoverton (Columbiana County), Ohio approved a Marcellus Shale gas drilling lease with DPS Penn yesterday:

    Read More “Ohio School Signs Marcellus Drilling Lease for School Property – $2K per Acre, 15 Percent Royalties”

  • Industrywide Issues | New York | Regulation | Statewide NY

    Pro-Drilling Supporters Meet with Legislative Officials in Albany, NY – Gov. Cuomo Stresses Patience

    May 12, 2011May 12, 2011

    The standard operating procedure for groups opposed to Marcellus Shale drilling in New York State is to organize protests. The protests in Albany and other locations have been small in numbers, but those opposed have been “loud” in their opposition. Supporters of drilling, on the other hand, are taking a different approach. Instead of protest rallies, they arrange private meetings and go for small group discussions. That strategy was on display Wednesday in Albany:

    Read More “Pro-Drilling Supporters Meet with Legislative Officials in Albany, NY – Gov. Cuomo Stresses Patience”

  • Brooke County | Chesapeake Energy | Energy Companies | Industrywide Issues | Regulation | West Virginia

    WV City Votes to Ban Marcellus Shale Gas Drilling, Court Challenge Coming from Chesapeake Energy

    May 12, 2011May 12, 2011

    City council members from Wellsburg, West Virginia, located in the panhandle area of the state (in Brooke County), on Tuesday voted to ban natural gas drilling and hydraulic fracturing both inside the city limits and outside city limits within a mile.

    Read More “WV City Votes to Ban Marcellus Shale Gas Drilling, Court Challenge Coming from Chesapeake Energy”

  • Energy Companies | Pennsylvania | Statewide PA | Tioga County (PA) | Ultra Petroleum

    Ultra Petroleum Continues Rapid Growth in Marcellus Shale Gas Drilling – Tioga PA Well Output 2x Initial Estimates

    May 12, 2011May 12, 2011

    Ultra Petroleum’s growth continues to be double-digit, largely because of it’s Marcellus Shale gas drilling operations. From Ultra’s recent press release on first quarter activity we get the following Marcellus operational update:

    Read More “Ultra Petroleum Continues Rapid Growth in Marcellus Shale Gas Drilling – Tioga PA Well Output 2x Initial Estimates”

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