Marcellus Drilling News

Belmont County | Industrywide Issues | Ohio | Wastewater

Company Asks to Build 2 New Injection Wells in Belmont County, OH
March 2, 2020March 2, 2020

Kirkwood Twp, Belmont County, OH

Tri-State Environmental has filed for permits to build two new brine (i.e. shale wastewater) injection wells in Kirkwood Township, Belmont County, Ohio. Meanwhile, another new injection well planned for Belmont (Omni Energy), which we told you about last summer (see Belmont County Injection Well Plan Stirs Opposition from Coal Co.), continues to make progress.
Read More “Company Asks to Build 2 New Injection Wells in Belmont County, OH”
Energy Companies | Range Resources Corp

Range Resources Puts Louisiana, Some PA Assets Up for Sale
March 2, 2020March 2, 2020

Range Resources turned in its fourth-quarter and full-year 2019 update on Friday. The company lost $1.72 billion last year, after losing $1.74 billion the year before. Ouch. The company is actively shopping its northern Louisiana shale assets hoping a sale will help reduce debt. You may recall Range bought out Memorial Resource Development Corp. (MRD) in a stock swap/debt assumption deal worth $4.4 billion back in 2016 (see Range Resources Buys Louisiana Driller in Deal Worth $4.4B).
Read More “Range Resources Puts Louisiana, Some PA Assets Up for Sale”
Energy Companies | Southwestern Energy

Southwestern’s 2020 Game Plan: Spend Less, Produce More & Hedge
March 2, 2020March 2, 2020

Southwestern Energy issued its 2019 update on Friday, with talk about what’s ahead for 2020. Southwestern is something of a unicorn. They made $891 million in profit for 2019! Even in a low price environment. Well done. Like every other Marcellus/Utica driller, Southwestern plans to spend less on drilling in 2020, yet they also say they will produce more gas, and sell it at favorable prices. What’s Southwestern’s magic?
Read More “Southwestern’s 2020 Game Plan: Spend Less, Produce More & Hedge”
Belmont County | Energy Services | Ethane | Industrywide Issues | Ohio | Processing Plants | PTT Global

PTT Says Work at Future Cracker Site to Temporarily Slow/Stop
March 2, 2020March 2, 2020

Last week MDN told you that PTT Global Chemical’s CEO signalled that a final investment decision (FID) on whether (or not) to build a multi-billion dollar ethane cracker in Belmont County, OH is coming by “mid-year 2020” (see PTT CEO Sends Loud & Clear Signal of Positive FID on OH Cracker). Here we are a few days later and the company has issued a statement to say activity at the site to push dirt around will soon slow down, perhaps even stop. But don’t worry, that’s NOT a sign (says the company) that they’ve lost interest in the project.
Read More “PTT Says Work at Future Cracker Site to Temporarily Slow/Stop”
Industrywide Issues | Pennsylvania | Public Opinion | Statewide PA

New Poll: Slim Majority of Pennsylvania Voters Against Frack Ban
March 2, 2020March 2, 2020

In January MDN told you about a Franklin & Marshall College poll that showed 48% of Pennsylvania voters support a ban on fracking, while 39% oppose a ban (see Latest F&M Poll Shows 48% of PA Residents Favor Frack Ban). When you dig into the actual questions asked, it appears the poll may have been less than objective. Another poll of PA voters was released last week–this one by Muhlenberg College with questions more objective about fracking. The results show 42% of PA voters are against a frack ban while 38% would support a ban.
Read More “New Poll: Slim Majority of Pennsylvania Voters Against Frack Ban”
BP | Electrical Generation | Energy Companies | Industrywide Issues | Pennsylvania | Statewide PA | Taxation

BP’s U.S. Boss Goes Political, Supports Wolf Carbon Tax in PA
March 2, 2020March 2, 2020

Susan Dio, BP America boss

Remember the term “affluenza“? The term describes people ashamed of their wealth, their privilege, of who they are. It describes people ashamed that daddy or mommy made the money and they don’t *really* deserve it. So what is it called when a fossil fuel company like British Petroleum (BP) is ashamed of what they do (produce carbon)? Maybe C-O-2-enza? Carbenza? Whatever it’s called, BP has a serious case of it. What a shame that the company that produces and sells/resells (via natural gas trading) more CO2 energy than any other company on planet earth, believes they must atone for their carbon “sins” by lobbying in favor of a tax on the very thing they produce. It’s asinine, and it’s happening in Pennsylvania.
Read More “BP’s U.S. Boss Goes Political, Supports Wolf Carbon Tax in PA”
Best of the Rest

Shale Energy Stories of Interest: Mon, Mar 2, 2020
March 2, 2020March 2, 2020

MARCELLUS/UTICA REGION: Utica Shale Academy students head south; NATIONAL: Coronavirus fears combine with warmer weather forecasts to send natgas below $1.70; Oil, gas operators forecast to slash E&P, project spending on coronavirus impacts; COVID-19, declining energy commodity prices and what might lie ahead; Businesses fret over potential Bernie Sanders presidency; One reason Russia might like to see Bernie Sanders elected; Was Tom Steyer’s campaign the worst in presidential history?; ‘Anointed with Oil’ review: The crude versus the refined.
Read More “Shale Energy Stories of Interest: Mon, Mar 2, 2020”
Energy Companies | EQT Corp

EQT Loses $1.2B in 2019; Looks to Trim Debt by $1.5B in 2020
February 28, 2020February 28, 2020

Yesterday the largest natural gas producing company in the United States, EQT, issued its fourth-quarter and full-year 2019 update. As is typical with these updates, EQT’s top brass (CEO Toby Rice) also spoke about the company’s strategy for the coming year. Of particular note is that EQT has struck a new deal with EQM Midstream (Equitrans) to get lower fees for gathering and piping the company’s natgas–a $535 million break in fees (see today’s companion story). Also of note was Toby’s comments about trimming the company’s debt load of $5.3 billion by about 30%, or $1.5 billion, this year. How does he plan to do that?
Read More “EQT Loses $1.2B in 2019; Looks to Trim Debt by $1.5B in 2020”
Energy Companies | Energy Services | EQT Corp | Equitrans/EQT Midstream

Equitrans Merging in EQM Midstream, Lowers Fees for EQT $535M
February 28, 2020February 28, 2020

Both EQT (the driller) and Equitrans (the midstream company) issued their quarterly/full-year 2019 updates yesterday. Equitrans, formerly EQT Midstream, separated from EQT in November 2018. Equitrans, via its EQM Midstream affiliate, gathers, processes, and flows most of EQT’s natural gas production, getting it to market. Last fall EQT began intense negotiations with Equitrans to lower its midstream costs (see EQT Hammers Equitrans to Lower Gathering Price – Deal Close?). The culmination of that effort was announced yesterday. In a complicated deal, EQT got Equitrans/EQM to lower gathering costs $535 million over three years, and chip in $52 million, in return for EQT giving up half of its ownership of EQM, signing a long-term contract, and signing a new $60 million water pipeline deal.
Read More “Equitrans Merging in EQM Midstream, Lowers Fees for EQT $535M”
Ethane | Industrywide Issues | Jefferson County (OH) | Ohio

2 New Gas-to-Liquids Plants Coming to Jefferson County, OH
February 28, 2020February 28, 2020

Future site of Orin petchem complex (click for larger version)

A “locally organized industrial development company”–called Orin Holdings–says it will build two state-of-the-art gas-to-liquids plants on a 500-acre parcel in Saline Township in Jefferson County, OH. Orin says (in so many words) this isn’t your father’s old refining complex. This is something brand new and better. “It will operate more cleanly and efficiently than any plant of its kind, utilizing state-of-the-art instrumentation and controls technology to fully comply with today’s stringent environmental and safety requirements.” The plants will be fed by Marcellus and Utica ethane.
Read More “2 New Gas-to-Liquids Plants Coming to Jefferson County, OH”
Empire Pipeline | Energy Services | Industrywide Issues | Litigation | New York | Pipelines | Statewide NY

Judge Rules Against NY DEC to Allow Northern Access Pipe
February 28, 2020February 28, 2020

While the Andrew Cuomo-corrupted New York Dept. of Environmental Conservation (DEC) can claim a victory in stopping the much-needed Constitution Pipeline (see Sad Day: Williams Declares Constitution Pipeline Project Dead), an equally important pipeline project aimed at flowing PA’s fracked gas into New York State, being built by National Fuel Gas Company (NFG), just won an important court victory over the DEC’s disgusting efforts to block it too. An NY Supreme Court judge has ruled NFG’s Northern Access Pipeline is regulated (given permission to build) by the federal government, NOT by the DEC–and can now go forward.
Read More “Judge Rules Against NY DEC to Allow Northern Access Pipe”
Accidents | Berks County | Energy Services | Energy Transfer Partners | Industrywide Issues | Pennsylvania | Pipelines | Regulation | Sunoco Logistics

PA PUC Fines Mariner East 1 $200K, Orders “Remaining Life” Study
February 28, 2020February 28, 2020

In April 2017 (almost three years ago) the Mariner East 1 pipeline sprung a small leak and spilled 20 barrels (~840 gallons) of ethane and propane in Berks County, near Philadelphia. Sunoco Logistics Partners, builder and maintainer of the pipeline, shut it down and fixed it over the next several days. Yesterday the Pennsylvania Public Utility Commission announced a “settlement” with Sunoco, to fine the company $200,000. Sunoco, as part of the settlement, must also conduct a “remaining life” study of the pipeline. After all, it is almost 90 years old.
Read More “PA PUC Fines Mariner East 1 $200K, Orders “Remaining Life” Study”
Best of the Rest

Shale Energy Stories of Interest: Fri, Feb 28, 2020
February 28, 2020February 28, 2020

OTHER U.S. REGIONS: Williams seeks to raise $5 billion by selling stake in pipelines – sources; NATIONAL: Top Republican rejects climate denialism, urges expansion of nuclear power and natural gas; ‘Stop the money’ anti-energy project will strap the poor for cash; Michael Bloomberg’s climate money may have gotten his presidential campaign into IRS hot water; Plastic bags help the environment; INTERNATIONAL: RIL’s shale gas dream hangs in balance as gas price falls; Heathrow third runway rejected over incompatibility with Paris climate agreement.
Read More “Shale Energy Stories of Interest: Fri, Feb 28, 2020”
Chesapeake Energy | Energy Companies

Chesapeake Survival Mode: Sell $500M Assets, Reverse Stock Split
February 27, 2020February 27, 2020

click for larger version

The future for Chesapeake Energy is, according to some, in serious doubt. Yesterday CEO Doug Lawler unveiled his strategy for keeping the company afloat. His strategy is to sell up to $500 million worth of “non-core” shale assets (in a down market, flooded with shale assets), and do a reverse stock split. Lawler’s plan and the company’s 2019 annual update spooked investors and Chessy’s share price collapsed down to $0.31/share (down even more this morning)–the lowest it has EVER been since the company went public in 1993. With some $9 billion in debt hanging around its neck, the company faces a big challenge in staying out of bankruptcy court.
Read More “Chesapeake Survival Mode: Sell $500M Assets, Reverse Stock Split”
Industrywide Issues | Pennsylvania | Research | Statewide PA

Top 11 Shale Drillers in Pennsylvania by # of Wells Drilled
February 27, 2020February 27, 2020

One of our favorite publications to read is the Pittsburgh Business Times. The PBT recently researched and published a list of the “Largest Shale Gas Drillers in Pennsylvania.” It’s a really great list and resource–listing 40 shale drillers with details including how many wells they’ve drilled total (all time) in the state, how many wells drilled in 2019, company HQ info and a few other details. We’ve extracted the names and a few details for the top 11 drillers.
Read More “Top 11 Shale Drillers in Pennsylvania by # of Wells Drilled”
Accidents | Allegheny County | Beaver County | Crime | Energy Services | Energy Transfer Partners | Industrywide Issues | Pennsylvania | Pipelines | Washington County

PA, Feds on Witch Hunt to Make Revolution Pipe Accident a Crime
February 27, 2020February 27, 2020

Pennsylvania Attorney General Josh Shapiro, a leftist Democrat who wants to succeed Tom Wolf as governor, likes to investigate accidents related to the shale industry to see if he can turn them into crimes (see our lengthy list of stories here). Add one more to the list: Since last year Shapiro has been investigating the Revolution Pipeline blast in western PA for potential crimes. He now has company.
Read More “PA, Feds on Witch Hunt to Make Revolution Pipe Accident a Crime”