Marcellus Drilling News

WV Legislator Offers Forced Pooling for Higher Severance Tax

January 6, 2012January 6, 2012

In December of 2011, West Virginia passed new Marcellus Shale drilling laws raising certain fees and putting new requirements in place (see this MDN story). The drilling industry, while saying it was not a perfect law, in the end supported it. But there was on thing the new law did not address that the industry wants to see: forced pooling. That issue is once again being discussed for possible action in the legislature this year.

Southern NJ Refinery May Reopen Thanks to Shale Fracking

January 6, 2012January 6, 2012

A closed refinery in West Deptford Township (Gloucester County), NJ may soon reopen thanks to hydraulic fracturing. The refinery, owned by Sunoco, is looking at two possibilities: Refine oil from the Bakken Shale region of North Dakota; or convert the refinery into a processing plant to move and store ethane from the Marcellus Shale region.

Best of the Rest

Marcellus & Utica Shale Story Links: Fri, Jan 6, 2012

January 6, 2012

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

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

NY Gov. Cuomo Dumps Reference to Fracking in Big Speech

January 5, 2012January 5, 2012

tightrope walker Yesterday, all eyes were on New York Gov. Andrew Cuomo and his second “State of the State” address, delivered in Albany. The popular governor has walked a tightrope on the issue of hydraulic fracturing, but after yesterday’s speech, MDN wonders if he’s fallen off that tightrope.

Since his inauguration in 2011, Gov. Cuomo has seemed to be on the side of allowing gas drilling, but then, good politicians “seem” to be on everyone’s side at one point or another. Gov. Cuomo was due to address the issue of fracking in yesterday’s speech. In fact, there’s a short 125 words dedicated to it under the subtitle of “Hydraulic Fracturing in the Southern Tier.” The interesting thing is, he left that section out when he delivered the speech—he never uttered the words. Here’s what he was going to say:

Alternative Energy | Economic Impact | Industrywide Issues

Solar Panels Can’t Compete with Cheap Shale Gas

January 5, 2012January 5, 2012

An article published today by NPR (no less) exposes the simple truth about solar energy: It just can’t compete with shale gas economically.

The article recounts the experience of a Pennsylvania family who installed 21 solar panels with government subsidies (that is, the government sliding their sticky fingers into your pockets to help pay for it). The end result? Even with taxpayer subsidies, the payback period for solar energy is 17 years—the lifetime of the system. At best it’s break-even, but in reality, it actually costs you more money than other forms of energy.

Coterra Energy (Cabot O&G) | Energy Companies | Pennsylvania | Susquehanna County

Cabot is S&P 500’s Top Performer for 2011, Production Up 154%

January 5, 2012January 5, 2012

Cabot Oil & Gas finished 2011 as the S&P 500 top performer. The energy company’s stock value increased by a whopping 101% in 2011, despite falling natural gas prices. Cabot increased their dividend to shareholders by 33 percent and the company has declared a two-for-one stock split to be distributed later this month.

Cabot more than doubled natural gas production in the Marcellus Shale last year, largely due to their exceptionally productive wells in northeastern Pennsylvania, including Dimock, PA in Susquehanna County. Yesterday, Cabot released new numbers for just how productive their wells have become, passing the 600 million cubic feet (Mmcf) per day mark in combined output:

Talisman Fined for Drilling Accident from January 2011

January 5, 2012January 5, 2012

Nearly a year after an accident which happened during hydraulic fracturing of a gas well in Tioga County, PA, the State Department of Environmental Protection (DEP) has fined Talisman Energy $51,478. From a DEP press release issued yesterday:

Philly Frack Sand Company Expands, Buys WI Company

January 5, 2012January 5, 2012

Preferred Sands, a privately-held company headquartered in the Philadelphia suburb of Radnor, PA, has just bought out another sand company—Winn Bay Sand, located in Blair, Wisconsin—for $200 million. Preferred Sands is a frack sand and proppant company launched in 2007. It’s the largest frack sand producer in Canada, and one of the top three in the U.S.

Best of the Rest

Marcellus & Utica Shale Story Links: Thu, Jan 5, 2012

January 5, 2012

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

Industrywide Issues | Pipelines