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Texas Judge OKs Chesapeake Royalty Lawsuit Deal w/PA Landowners
U.S. District Judge Lee H. Rosenthal, Chief Judge for the Southern District of Texas, oversees three cases from Pennsylvania landowners originally filed in U.S. District Court for the Middle District of Pennsylvania. Those cases ended up in a Texas court because Chessy’s bankruptcy filing was in a Texas bankruptcy court. On Monday, Judge Rosenthal granted final certification for the class action lawsuits brought by PA landowners against Chesapeake for shorting their royalty checks. How much do landowners get? We have the details…
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In an effort to flow more Marcellus natural gas to a gas-starved New York City, Kinder Morgan cut a deal with utility company Consolidated Edison in 2019 to beef up capacity along its Tennessee Gas Pipeline (TGP) that feeds NYC, allowing Con Ed to avoid cutting customers off from natgas hookups (see 
Last October the Sisters of the Corn (our name for a group of leftist nuns in Lancaster County, PA) filed yet another frivolous lawsuit against Williams over a pipeline that crosses their land–a pipeline (Atlantic Sunrise) that has been up and running for years (see 
Earlier this month MDN brought you information on the kinds of efforts and initiatives oil and gas companies are adopting to prove to those who hate us that we’re green and good for Mom Earth (see 
OTHER U.S. REGIONS: Texas upstream employment increases; California’s energy and climate regulations are “Green Jim Crow”; NATIONAL: EIA expects increased U.S. propane consumption this winter; Critics say Biden ‘slow walks’ compliance with court order to resume federal oil, natural gas lease sales; In midst of Afghanistan disaster, Biden turns to Nord Stream 2; INTERNATIONAL: China announces major shale oil discovery; BP to use renewable natural gas processed from poultry litter; Gas shortage boosts Russia’s sway over Europe’s energy markets.
The federal Pipeline and Hazardous Materials Safety Administration (PHMSA) recently issued a “warning letter” to Shell concerning the company’s ethane pipeline, called the Falcon Pipeline. PHMSA claims the pipeline committed two “probable violations” by failing to place pipeline sections at a construction site in Beaver County on protective padding. PHMSA told Shell to fix it, or else.
Yesterday the Pennsylvania Independent Fiscal Office (IFO) released their latest quarterly Natural Gas Production Report for April through June 2021 (full copy below). It’s sort of a mixed bag with some good and some not-so-good. In 2Q21 the number of wells spud (begun to be drilled) was 120 new shale wells, up from the 113 spud in 2Q20, which was the point when the pandemic began to take hold in a big way. Sadly, gas production slipped in 2Q over the previous quarter, but not by much. It was still the second-highest quarterly production in the state for all time.
Something unthinkable is now being thought. Since the beginning of the shale revolution, Texas has been the country’s number one producer of not only crude oil, but also natural gas. Why? Because when you drill for oil you also get natural gas. Because of “associated gas” production, Texas has held the #1 natgas slot for years. However, Pennsylvania may actually have a shot at taking the #1 slot for natgas production.
Have you ever noticed how politicians like to “study” things? Why is that? We suppose the results of all those studies gives them political cover to make unpopular votes on key issues. The U.S. Department of Energy’s Office of Fossil Energy and Carbon Management is in the process of conducting a study on the prospects for a petrochemical industry in the Marcellus/Utica. As part of that study, DOE held an online/virtual hearing yesterday to elicit comments on the environmental, health and community impacts of the petrochemical industry from ethane crackers and pipelines. In what appears to be a put-up job, a dog and pony show, the hearing was packed with radical anti-fossil fuel nuts who bashed away at the shale industry.
When the executive branch of the federal government operates outside the law and nobody holds them to account, we have a lawless country. Under federal, established law, states have a maximum of one year to review applications for pipeline permits under Section 401 of the Clean Water Act. Yet now the Biden administration and its rogue EPA is telling states they can take all the time they want to review these permits, instructing “co-regulators” like the Federal Energy Regulatory Commission (FERC) it’s OK if states go beyond one year. What a disaster. This is yet one more way Biden gets around the law in his mission to destroy the fossil fuel sector.
Last week both Pennsylvania and West Virginia issued permits to drill new shale wells. Ohio remained skunked for a fifth week in a row. PA issued 18 new shale permits, mainly in the western part of the state (a few in the northeast). WV issued 7 new shale permits, all of them for the same pad being drilled by EQT in Wetzel County. This is the second week in a row EQT scored all of WV’s new permits, and the second week in a row they were all in Wetzel County.
You can’t miss the breathless headlines, many of which are misleading, that big oil and gas companies are beginning to force employees to get vaccinated for COVID-19. What’s missing from the headlines, especially those touting Chevron’s new vaccine mandate, is the all-important word “some,” as in “some” employees who work in tight quarters for long periods (like offshore platforms) are being required to get vaccinated.
Henri, the huuuuge, “first hurricane to hit New England in 30 years” storm, turned out to be a relative nothingburger. Some 100,000 electric and gas customers lost service for a day or so. We don’t minimize the pain and trauma they experienced, but frankly, Henri was minimal compared to most hurricanes that strike land in the U.S. Already the spot price for natural gas in places like Boston and New York City (and elsewhere across the M-U) is soaring once again. It’s hot and humid in the northeast, and natural gas is needed to power air conditioners and electric power plants, driving up demand. That’s good for drillers and landowners.
A far-left “environmental” group calling itself POWER pretends to be religious in nature. Perhaps it is religious–the religion of worshipping the creation instead of worshipping the Creator. The Pennsylvania-based group claims fossil fuels are racist, that fossil fuel companies intentionally target communities of color to install pipelines, compressor stations, and oil/gas wells. Yes, these people are wack in their views. But they have the ear of PA’s failed governor, Tom Wolf, and they intend to try and pack the state’s Public Utility Commission (PUC) with people who are as equally wack as they are.