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Marcellus Drilling News
  • Anti-Drilling/Fossil Fuel | Industrywide Issues | Regulation

    Republican Blocks Mass. Democrat Plan to Forcibly Remove NatGas

    June 21, 2024June 21, 2024

    Something incredible is happening in Massachusetts. The entire legislature, minus one brave Republican (maybe the only patriot left in New England), wants to pass a law that empowers state regulators to “terminate [natural gas] service to consumers so long as they have access to ‘safe, reliable, and affordable alternatives.'” It is a breathtaking seizure of freedom from the residents of the state. Government weenies can decide whether or not to rip pipelines out of the ground that feeds your home with natural gas. Except Sen. Ryan Fattman, a Sutton Republican, who used a procedural tactic to push off debate by another day. It’s a desperate move to buy time to sound the alarm like Paul Revere. Fattman is a modern-day Paul Revere. Wake up, Massachusetts residents! Stop this insanity while you can!
    Read More “Republican Blocks Mass. Democrat Plan to Forcibly Remove NatGas”

  • Industrywide Issues | Research

    Rate of U.S. Natural Gas Vented or Flared Dropped in 2023

    June 21, 2024June 21, 2024
    well flaring

    Venting is the release of natural gas directly into the atmosphere during oil and natural gas production and operations. Venting releases methane, which is a so-called greenhouse gas. Flaring is burning natural gas, which releases carbon dioxide (another so-called greenhouse gas) and some unburned methane into the atmosphere. Oil and natural gas producers and operators of facilities vent or flare natural gas in response to emergencies, safety tests, maintenance and repairs, or infrastructure constraints. Even though we are hitting all-time highs in oil and natural gas production, the good news is that the rate of venting and flaring is decreasing.
    Read More “Rate of U.S. Natural Gas Vented or Flared Dropped in 2023”

  • Industrywide Issues | Pipelines

    Bidenistas Open the Spigot with $200M for Pipeline Replacements

    June 21, 2024June 21, 2024

    The Dems are all about handing out other people’s money. It keeps them in power (tantamount to bribes). Incidentally, Alexander Fraser Tytler said in the late 1700s: “A democracy will continue to exist up until the time that voters discover that they can vote themselves generous gifts from the public treasury.” The U.S. Pipeline and Hazardous Materials Safety Administration (PHMSA) recently began soliciting applications to hand out nearly $200 million in grants from the $1.2 trillion Infrastructure law to upgrade natural gas pipelines. Spreading around $200 million from the total of $1.2 trillion a rounding error — below two-tenths of a single percent.
    Read More “Bidenistas Open the Spigot with $200M for Pipeline Replacements”

  • Best of the Rest

    Other Stories of Interest: Fri, Jun 21, 2024

    June 21, 2024June 21, 2024

    OTHER U.S. REGIONS: Hawaii agrees to ‘groundbreaking’ settlement of youth climate change case; NATIONAL: Vaclav Smil on the two cultures and our “fully post-factual world”; INTERNATIONAL: Oil drilling suffers blow in climate ruling at top UK court; Oil rises as US stockpile drop continues; China’s LNG import boom threatened by Russian pipeline gas.
    Read More “Other Stories of Interest: Fri, Jun 21, 2024”

  • Apex Energy | Energy Companies | Lease & Royalty Payments | Pennsylvania | Westmoreland County

    Apex Energy Offers $1,500/Ac + 16% Royalty in Westmoreland Co.

    June 20, 2024June 20, 2024

    We’re always interested in lease signing bonuses and royalty rates. We don’t see as many references today as we did five and ten years ago. Typically, we learn about lease rates when municipal-owned land is leased, as is the case for a small parcel in North Huntingdon, PA (Westmoreland County). Apex Energy is offering North Huntingdon $1,500 per acre in a signing bonus to lease 4.5 acres of town land for a grand total of $6,760. It ain’t much, but it’s better than a sharp stick in the eye, right?
    Read More “Apex Energy Offers $1,500/Ac + 16% Royalty in Westmoreland Co.”

  • Chesapeake Energy | Energy Companies

    Chesapeake COO Predicts 20% Increase NatGas Production Next 5 Yrs

    June 20, 2024June 20, 2024

    Chesapeake Energy has gone through some major changes over the past four years. In June of 2020, Chessy declared bankruptcy (see Chesapeake Files for Bankruptcy – Debtors to Take Ownership). After Chessy exited bankruptcy, the new owners booted CEO Doug Lawler in April of 2021 (see Doug Lawler Out as CEO of Chesapeake Energy). Lawler tried to chart a new direction for the company by drilling for oil. That strategy was a disaster. The new board selected long-time Chesapeake CFO Dominic “Nick” Dell’Osso as the new CEO in October 2021 (see Chesapeake Makes it Official – CFO Dom Dell’Osso New CEO). Dell’Osso and the board selected a new direction for the company, changing its ill-fated quest to drill for oil to drilling for natural gas, its first and original mission. So, when Chesapeake’s current COO (Chief Operating Officer and top driller) predicts a 20% increase in natural gas demand (and consequently production) compared to today, we sit up and listen.
    Read More “Chesapeake COO Predicts 20% Increase NatGas Production Next 5 Yrs”

  • Industrywide Issues | Pennsylvania | Statewide PA | Taxation

    PA PUC Distributes 2023 Impact Fee – Revenue Dropped $99M YOY

    June 20, 2024June 20, 2024

    There’s no way to sugarcoat bad news. The Pennsylvania Public Utility Commission (PUC) predicted in January that money raised by the shale impact fee (PA’s version of a severance tax) would plummet this year (see PA PUC Publishes Fee Schedule for Marcellus Impact Fee/Tax 2023). And indeed, plummet it did — not quite as much as the original prediction, but bad enough. The state raised and is in the process of distributing $179.6 million based on 2023 activity. That’s down just over $99 million from a record-high $278.9 million raised and distributed last year from 2022.
    Read More “PA PUC Distributes 2023 Impact Fee – Revenue Dropped $99M YOY”

  • Bradford County | Industrywide Issues | Pennsylvania | Statewide PA | Taxation | Tioga County (PA) | Union County | Washington County | Westmoreland County

    “Every Little Bit Helps” – How Some PA Towns Use Impact Fee Money

    June 20, 2024June 20, 2024

    As we report in a companion post today, Pennsylvania is currently dishing out close to $180 million in impact fees raised from 2023 shale activity — PA’s version of a severance tax (see PA PUC Distributes 2023 Impact Fee – Revenue Dropped $99M YOY). As the name implies, some 60% of the money raised goes to the counties and municipalities where drilling happens, those “impacted” by shale drilling. The other 40% goes to the black hole of Harrisburg for redistribution to various state agencies and the other counties with no shale drilling. Let’s look at how some counties and towns will spend the money coming their way.
    Read More ““Every Little Bit Helps” – How Some PA Towns Use Impact Fee Money”

  • Anti-Drilling/Fossil Fuel | Energy Companies | Industrywide Issues | Lycoming County | Pennsylvania | Pennsylvania General Energy | Pipelines

    Lycoming County Gathering Pipe in the Crosshairs of Anti Groups

    June 20, 2024June 20, 2024

    Radicalized environmental groups, including Trout Unlimited and the Mid State Trail Association, have devolved into trying to block gathering and water pipelines in Pennsylvania. Driller Pennsylvania General Energy (PGE) wants to install 3.7 miles of a gathering pipeline to connect several wells to the Transco pipeline system, along with two 8-inch water pipelines of about the same length, in Lycoming County. Nearly all of the pipeline projects are located on state-owned land.
    Read More “Lycoming County Gathering Pipe in the Crosshairs of Anti Groups”

  • Anti-Drilling/Fossil Fuel | Electrical Generation | Industrywide Issues | Litigation | New York | Orange County | Regulation

    Danskammer Energy Gives Up Trying to Expand Gas-Fired Peaker in NY

    June 20, 2024June 20, 2024

    Danskammer Energy, which operates a gas-fired peaker power plant along the Hudson River in Newburgh, NY, has been working on a project to upgrade the plant since 2018 — seven years. On Monday, Danskammer Energy withdrew its permit application with the fossil fuel-hostile state, formally ending attempts to expand after years of trying. It’s time to throw in the towel in NY State and let the idiots who keep the Dems in power sit in the dark.
    Read More “Danskammer Energy Gives Up Trying to Expand Gas-Fired Peaker in NY”

  • CNG/LNG | Exporting | Industrywide Issues | Regulation

    Europe Now Imports More Natural Gas from Russia Than From the U.S.

    June 20, 2024June 20, 2024

    For those (like the dunce who heads up the Dept. of Energy, Jennifer Granholm) who say Uncle Joe’s “pause” on authorizing new LNG export requests isn’t having an impact, how do you respond to this?… Russia has overtaken the United States as the top exporter of natural gas to Europe. Why? Because the Europeans are scared to death they will run out of natgas promised by the U.S. Biden’s pause on new export authorizations has Europe scrambling to ensure their citizens don’t freeze to death next winter.
    Read More “Europe Now Imports More Natural Gas from Russia Than From the U.S.”

  • Best of the Rest

    Other Stories of Interest: Thu, Jun 20, 2024

    June 20, 2024June 20, 2024

    MARCELLUS/UTICA REGION: Dominion Energy donates more than $4.2 million to non-profits; Shell explains nighttime fire alarm at Beaver County cracker plant; NATIONAL: US shale oil output to grow for years before peaking; Natural gas continues to look volatile; Texas leads 19-states challenging green energy transition mandate; API shares campaign expectations as Biden, Trump face off; One owner of Colonial Pipeline seeking sale of stake; Biden prepared to use oil reserves again to lower gas prices; 3 reasons why natural gas prices will go up, 3 reasons it won’t; Acquisition premiums return to the oil patch; How U.S. oil production is setting records despite flat growth; INTERNATIONAL: Could European oil majors relocate to the USA?
    Read More “Other Stories of Interest: Thu, Jun 20, 2024”

  • About MDN

    MDN Off Today – Juneteenth 2024

    June 19, 2024

    Today, June 19th, is a stock exchange and bank holiday. Juneteenth is a federal holiday in the U.S. commemorating the emancipation of enslaved African Americans. Juneteenth marks the anniversary of the announcement of General Order No. 3 by Union Army General Gordon Granger on June 19, 1865, proclaiming freedom for enslaved people in Texas. Originating in Galveston, the holiday has since been celebrated annually on June 19 in various parts of the United States, often broadly celebrating African-American culture. The day was first recognized as a federal holiday in June 2021, when President Joe Biden signed the Juneteenth National Independence Day Act into law. As with other bank holidays, MDN will not publish today.

  • Carroll County | Columbiana County | Guernsey County | Hydraulic Fracturing | Industrywide Issues | Lease & Royalty Payments | Ohio | Statewide OH

    Ohio About to Net $60+ Million for Drilling Under State Parks

    June 18, 2024June 18, 2024
    check is in the mail

    A request by the Ohio Office of Budget and Management (OBM) to set up two new bank accounts to accept payments from drillers is the tipoff that drilling is about to begin under some of Ohio’s state land, including state parks. The state will receive nearly $60 million in lease signing bonus payments to drill under Salt Fork State Park (in Guernsey County), Valley Run Wildlife Area (in Carroll County), and the Zepernick Wildlife Area (in Columbiana County). The vast majority of that is for drilling under Salt Fork.
    Read More “Ohio About to Net $60+ Million for Drilling Under State Parks”

  • Energy Services | Equitrans/EQT Midstream | Industrywide Issues | Pipelines

    Analysts Expect Only 38% of MVP’s 2 Bcf/d to be Used for Now

    June 18, 2024June 18, 2024

    Everyone in the Marcellus/Utica industry is elated that the 303-mile Mountain Valley Pipeline (MVP) is finally up and running (see Confirmed: M-U Gas Now Flowing Through Mountain Valley Pipeline). MVP can flow 2 billion cubic feet per day (Bcf/d) of homegrown M-U molecules from Wetzel County, WV, to Pittsylvania County, VA, in the southcentral part of the state. But where does the gas go from Pittsylvania County? Where MVP terminates, it connects to the mighty Transco pipeline that theoretically has the capacity to flow most of those molecules onward, all the way to the Gulf Coast in some cases. Except Transco is currently full…
    Read More “Analysts Expect Only 38% of MVP’s 2 Bcf/d to be Used for Now”

  • Electrical Generation | Industrywide Issues

    NatGas Replacing Coal in PJM – Coal Use Dropped 68% in 10 Years

    June 18, 2024June 18, 2024

    We often mention gas-fired power generation here on MDN for a reason — it’s a HUGE customer for the natural gas locally extracted. The more power plants we build in the Marcellus/Utica region, the more our gas stays right here at home (a win/win for everyone). The power grid that covers the M-U region is called PJM. New data from the U.S. Energy Information Administration (EIA) shows coal-fired generation in PJM accounted for 14% of the market’s total generation in 2023, down from 44% of total generation in 2013. That’s a whopping 68% fall in the use of coal in just ten years. The reason? Coal generation was largely replaced by natural gas-fired generation.
    Read More “NatGas Replacing Coal in PJM – Coal Use Dropped 68% in 10 Years”

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