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    FERC Grants Favorable EIS to Jacksonville, FL LNG Export Facility

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    Is there a connection between a new LNG export facility on the East Coast, all the way down in Jacksonville, Florida, and the Marcellus/Utica? Indeed there is! In January 2017, Eagle LNG filed an application with the Federal Energy Regulatory Commission (FERC) to build a new LNG export facility at a site on the St. Johns River in Jacksonville. The LNG produced at the facility will be transported to markets in the Caribbean and Latin America for power generation, and also delivered to local and regional markets, including marine bunkering and high horsepower applications–LNG used right here at home. Last Friday FERC issued a favorable draft environmental impact statement (DEIS) for the project, which means FERC plans to grant final approval. Below we connect the dots for how Marcellus/Utica gas will be some of the gas feeding this new plant.
    Read More “FERC Grants Favorable EIS to Jacksonville, FL LNG Export Facility”

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    Trump Plans to Nominate Andrew Wheeler as EPA Administrator

    Andrew Wheeler

    We admit that we are conflicted about Andrew Wheeler, the acting Administrator of the Environmental Protection Agency (EPA). On one hand he appears to be following President Trump’s lead and is working hard to roll back, defang, and otherwise file down some of the very sharp regulatory teeth added to the agency during the disastrous Obama years. Wheeler says he’s in the job to help President Trump and further Trump’s agenda at the agency. We believe him. On the other hand, Wheeler has worked in Washington pretty much his whole professional life, in and out of government, and is attempting to make peace with leftist Democrats who populate the rank and file workers at the EPA. That is, he’s attempting to placate swamp dwellers–instead of draining the stagnant swamp (i.e. firing them). That’s a mistake. A big mistake. Because those swamp dwellers will continue to undercut Wheeler at every turn. But Trump likes Wheeler and the job he’s done since the unceremonious exit of Scott Pruitt, hounded out by political enemies (like the Washington Post and Athens News). On Friday, Trump said he plans to nominate Wheeler to permanently take the position. Yes, we’re conflicted.
    Read More “Trump Plans to Nominate Andrew Wheeler as EPA Administrator”

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    Virginia Gov. Northam Replaces Regulators Before Compressor Vote

    There is a fascinating bit of politics playing out in Virginia. The state’s previous governor, Terry McAuliffe, favored pipeline projects like EQT’s Mountain Valley Pipeline (MVP) and Dominion’s Atlantic Coast Pipeline (ACP). What’s strange about McAuliffe’s support is that he’s a far-left Democrat. Yet he resisted calls from his nutroots base to shut both pipeline projects down. McAuliffe was replaced in January 2018 by Ralph Northam, another liberal Democrat (lib Dems get elected in Virginia because of a high population of libs who live around the D.C. area). Once again the nutters came out in force to pressure the new governor to oppose MVP and ACP. And once again, the new governor is not caving to the pressure. In fact, Gov. Northam has just canned two board members who voted to delay a vote on an ACP compressor station!
    Read More “Virginia Gov. Northam Replaces Regulators Before Compressor Vote”

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    Ohio EPA Considers Converting Class II Injection Wells to Class I

    Buckeye Brine, a relatively young Ohio-based company, owns and operates three shale wastewater injection wells in Coshocton County. Buckeye has operated their three Class II (as they are known) injection wells “flawlessly” for the past five years. No earthquakes. No spills. No leaks back to the surface. Nothing. Buckeye now wants to re-designate two of the three wells as Class I wells, which would allow them to accept non-shale wastewater–from industrial equipment operators, soap manufacturers, food processors, power plants, and municipal wastewater treatment plants. But antis are kicking up a fuss, claiming the change will pollute everything and everyone from here to Timbuktu. Fortunately state regulators are not swayed by such histrionics. The Ohio EPA is accepting public comments on the conversion until Nov. 26. There’s still time to write in and support the project!
    Read More “Ohio EPA Considers Converting Class II Injection Wells to Class I”

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    Massachusetts Antis Demand Gov Baker Block New NatGas Projects

    You know that new housing development that just sprung up in a Massachusetts city suburb? Don’t buy a house in it, because chances are they won’t be getting new natural gas pipes run to them any time soon. That is, if a group of local boards of health have anything to say about it. A group of 77 local boards recently sent a letter to Mass. Gov. Charlie Baker asking him to stop cold any new natural gas projects until after a full blown study is done on the “safety” of natural gas infrastructure. They’re attempting to use the Columbia Gas of Massachusetts tragedy north of Boston in mid-September to block new gas infrastructure (see Local NatGas Pipes Explode Near Boston Killing 1, Injuring 25). It’s a naked attempt to shut down new natgas pipelines–anywhere, for any reason. And that includes small delivery lines to local homes and businesses. Fascism raises its ugly head once again in the People’s Republic of Massachusetts.
    Read More “Massachusetts Antis Demand Gov Baker Block New NatGas Projects”

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    Cuomo Driving the Final Nail in the Coffin of NY’s Oil & Gas Industry

    Does the oil and gas industry in New York State even matter anymore? Well, yes, it does! It employs a number of people and produces oil and gas to feed our economy. Although Andrew Cuomo has single-handedly sentenced upstate residents to generational poverty by denying them the opportunity to allow shale drilling, there is a rich history of conventional drilling for oil and gas in the state. But now, even the conventional industry is under assault and attack by Cuomo and his lackeys at the Dept. of Environmental Conservation (DEC). How? The DEC has unveiled what IOGA of NY calls “devastating proposed air regulations”–regulations that will shut down many o&g operators in the Empire State. IOGA calls it a “regulatory assault.” We call New York State the Empire Crumbling State.

    [UPDATE: MDN, in an attempt to draw attention to this issue, a very important issue, may have left the wrong impression with our headline. The conventional oil and gas industry in NY is far from dead, and IS worth fighting for! Which is the purpose of this post: To encourage those who care to fight. To make your voice heard in letting the DEC know their latest rules will harm an important industry/sector of NY, without actually improving the environment.]
    Read More “Cuomo Driving the Final Nail in the Coffin of NY’s Oil & Gas Industry”

  • Calendar of Marcellus/Utica Events for Nov 19, 2018 – Feb 18, 2019

    Events related (or of interest) to the Marcellus and Utica Shale, primarily pro-drilling events. To have your event included (or if you are aware of a worthy event you believe should be on this page), please send the details and/or a link to have it included to the calendar@marcellusdrilling.com email address.
    Read More “Calendar of Marcellus/Utica Events for Nov 19, 2018 – Feb 18, 2019”

  • Energy Stories of Interest: Mon, Nov 19, 2018

    The “best of the rest”–stories that caught MDN’s eye that you may be interested in reading: Sunoco responds to questions about safety for Mariner East 2; PA Game Commission accepting comments on proposal to list 3 bat species as endangered; ND oil, gas industry breaks ‘virtually every record’ in latest report; U.S. Sen. Elizabeth “Pocahontas” Warren to host hearing to roast Columbia Gas re tragedy; NYMEX December natural gas contract bounces back 23.4 cents to settle at $4.272/MMBtu; Natural gas: Another alternative auto fuel; Big Oil’s shale revival prompts industry doubts: Fuel for thought; GECF secretary general predicts growth in natural gas; China guarantees natural gas supply to avoid winter shortages; China’s ‘truce deal’ includes offer to buy more US natural gas, improve IPR protection.
    Read More “Energy Stories of Interest: Mon, Nov 19, 2018”

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    Is Shell Pulling Out of Pennsylvania Marcellus?

    Is Shell (or SWEPI, formerly known as Shell Western E&P Inc.) leaving its Pennsylvania Marcellus drilling program behind? You may recall we posted a story in June quoting Tonya Williams, general manager for Appalachia with Shell, as stating (during her talk at the DUG East event in Pittsburgh) that Shell plans to spend $150 million to drill wells on four pads in 2018, all of it in Tioga County (see Shell Focused on Single PA County, No New Drilling in Other Areas). Although Shell has wells and acreage in 10 Pennsylvania counties, Tioga is the focus for this year. Barley two months later, in early August, MDN received a note from a trusted reader saying that Shell is pulling out, ending its Marcellus program and sending their personnel to Texas. Frankly, we were skeptical.
    Read More “Is Shell Pulling Out of Pennsylvania Marcellus?”

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    Ohio EPA to Hold Air Permit Hearing for PTT Cracker Nov. 27

    PTT Global Chemical announced in April 2015 they want to build a $6 billion ethane cracker plant complex in Belmont County, OH (see It’s Official: Belmont County Chosen as POSSIBLE Cracker Plant Site). Since that time, PTT has purchased land, paid $100 million to get the cracker facility designed, and repeatedly said a final investment decision (FID) is imminent. It’s been imminent for more than two years now. Belmont County officials recently said the decision is coming “by the end of this year” (see Belmont, OH Leaders Say PTT Cracker Decision Coming This Year). But we’ve read comments by others who say the decision won’t happen until sometime next year (see Rumblings that PTT Will Once Again Delay OH Cracker Decision). We finally have some signs of life that a decision is, indeed, coming soon.
    Read More “Ohio EPA to Hold Air Permit Hearing for PTT Cracker Nov. 27”

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    NTSB: Columbia Gas Unlicensed Engineer Error Led to Mass. Tragedy

    Ever see a someone’s name listed on a business card or in a directory, and there’s a “PE” after his or her name? Know what that means? It means Professional Engineer. To get a PE, an engineer must complete a four-year college degree, work under a Professional Engineer for at least four years, pass two intensive competency exams and earn a license from their state’s licensure board. The engineer who drafted plans for NiSource Columbia Gas to replace gas mains about 25 miles north of Boston, in Lawrence, MA, didn’t have a PE after his name. And the National Transportation Safety Board (NTSB) says it was his fault that when the gas main was replaced, the old main still had sensors that detected low pressure and kept pressurizing (overpressurizing) the gas system that led to multiple explosions and one person dying, 25 injured, and 8,000 residences and business still without natural gas service some two months later.
    Read More “NTSB: Columbia Gas Unlicensed Engineer Error Led to Mass. Tragedy”

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    Wild Ride – Price of NatGas Crashes Day After it Spikes, Down 20%

    Yesterday MDN brought you the news that the price of the NYMEX natural gas futures contract closed (on Wednesday) at a four-year high, up 18% (see Price of NatGas Spikes to Highest Level in 4 Years – $4.84/Mcf). We said this in our closing comments: “We maintain the jump in prices is due to psychology more than reality. If traders believe there’s about to be a shortage, they react. In a sense, they panic. And the cycle feeds itself. Until the prices come crashing back down in a few days or weeks.” It took exactly one day. Yesterday the same futures contract (the price of gas at the Henry Hub) closed down $0.80 to $4.04/Mcf–a 20% drop! The day before it went up 18%, next day, down 20%. Day before was the biggest one-day increase in 14 years, yesterday the biggest one-day decrease in 15 years. Help! Let us off this roller coaster!
    Read More “Wild Ride – Price of NatGas Crashes Day After it Spikes, Down 20%”

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    Va. Air Pollution Control Bd Delays ACP Compressor Station Vote

    If there’s one more black person living in a given rural community than white, and if a pipeline company wants to put a compressor station in that community as the best location to push gas through the line, the very act of building that compressor station in that community is racist. That’s the horse manure being pedaled in Buckingham County, Va. Last week the State Air Pollution Control Board held two days of public hearings where antis, detecting they may lose the battle to stop a compressor station for Dominion Energy’s 600-mile Atlantic Coast Pipeline, trotted out their so-called “environmental justice” argument. Last Friday the board decided to delay a vote on whether to approve the compressor station, until their meeting on Dec. 10.
    Read More “Va. Air Pollution Control Bd Delays ACP Compressor Station Vote”

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    3 Drillers Pay $50K to Fund Mobile Emergency Unit for Belmont, OH

    New mobile emergency response trailer (Credit: WTOV)

    A feel-good story for your Friday. Three Utica Shale drillers operating in Belmont County, OH–EQT Corp., Ascent Resources and Antero Resources–between them donated $50,000 to the Belmont County Emergency Management Agency to purchase a mobile command unit trailer that can be hauled to sites where’s there is an ongoing emergency/crisis and used on location. Neighboring Monroe County will get to use it too. Taxpayers didn’t have to pay a dime. Everyone is tickled pink. Yes, there is some self interest in the donation, since better emergency response can theoretically aide their own workers in case of an emergency. But such incidents (in the shale industry) are rare. Chances are the trailer will be used for other types of emergencies. Which is just fine with the shale industry.
    Read More “3 Drillers Pay $50K to Fund Mobile Emergency Unit for Belmont, OH”

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    B&V 2019 Natural Gas Report: LNG Ramps Up, More Infra. Needed

    The annual Black & Veatch “Strategic Directions: Natural Gas Report” (full copy below) explores the complexities and market dynamics impacting today’s natural gas landscape. As the world continues to invest in the adoption of so-called renewable energy options, the outlook for natural gas has never been more positive. You read that right! More renewables = more investment in natural gas. Shifts in the global energy market are influencing gas production and transportation, altering the volume of supply. Developers, who know a good opportunity when they see it, are investing heavily in liquefied natural gas (LNG) and liquefaction capacity. But more infrastructure and pipeline capacity will be needed to continue to support the growth in LNG, especially as Asian markets continue to migrate away from coal in an effort to meet environmental goals. This report explores how complex geopolitics will impact upstream, midstream and downstream operations, while global forces reshape the industry across the board.
    Read More “B&V 2019 Natural Gas Report: LNG Ramps Up, More Infra. Needed”

  • Energy Stories of Interest: Fri, Nov 16, 2018

    The “best of the rest”–stories that caught MDN’s eye that you may be interested in reading: More Permian pipelines are coming. Will there be enough workers?; Total U.S. natural gas stocks end refill season at lowest level in 13 years; Once sleepy pipeline sector now at center of the action; Interior credits increased fossil fuel production for jump in revenue from federal lands; World has no capacity to absorb new fossil fuel plants, warns IEA; South Korea becomes top Asian destination for U.S. oil after China trade spat; India ready to import more U.S. oil and gas; Russia’s $11 billion natural gas pipeline is primed to fuel Europe.
    Read More “Energy Stories of Interest: Fri, Nov 16, 2018”