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    FERC Rejects Riverkeeper re Millennium Eastern System Upgrade

    In August 2016, Millennium Pipeline, which stretches from Corning, NY to just outside New York City, filed an application for what it calls its Eastern System Upgrade (see Millennium Pipe Asks FERC to Approve Eastern System Upgrade in NY). The ESU would add 7.8 miles of extra looped pipeline in Orange County, upgrade a compressor station in Delaware County, build a new compressor in Sullivan County and make some minor tweaks to metering stations in Rockland County. In something of a miracle, the NY Dept. of Environmental Conservation granted permits for the project (see NY DEC Grants Permit for Millennium Pipe Eastern System Upgrade). Predictably, THE Delaware Riverkeeper, hater of all things fossil fuel, moved for a “stay” to block construction and filed a request for rehearing with FERC, and at the same time filed a lawsuit against the DEC’s water permit approval. In March FERC rejected Riverkeeper’s request for a stay, but not the rehearing (see FERC Rejects Riverkeeper Request to Stop Millennium Eastern Upgrade). The other shoe dropped last week when FERC rejected the request by Riverkeeper (and an anti from Orange County) for a rehearing. But not without some drama. In what has become a repeating pattern, the two Democrat members of FERC wanted a rehearing to consider mythical man-made global warming impacts from the project. It’s total horse manure, but there you go. This is how it’s going to be from here on out. The Democrats have politicized everything, even non-controversial pipeline projects like this one…
    Read More “FERC Rejects Riverkeeper re Millennium Eastern System Upgrade”

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    Can the Marcellus/Utica Build Too Many Cracker Plants?

    The Marcellus/Utica region produces a prodigious volume of ethane, a “natural gas liquid” (NGL) that comes out of the ground along with methane. That’s a good thing and a bad thing. It’s good because that ethane can be cracked (chemically) to produce ethylene–or raw plastics. It’s bad because we don’t have any crackers, currently, in our region–and just a small volume of our ethane travels via pipeline to the Gulf Coast or Canada for cracking. So right now ethane is a waste produce for most Marcellus/Utica drillers–something that costs money to dispose of. Shell is currently building a $6+ billion cracker in Monaca (Beaver County), PA, which will go online sometime after 2020. PTT Global Chemical is seriously considering, some say will finally commit, to building our region’s second cracker project in Belmont County, OH. At the Appalachian Storage Hub Conference held in Southpointe in June, an expert said we will see three more cracker plant projects announced within the next 12 months (see Industry Expert Says 3 More Crackers Coming to M-U). Exciting stuff! But, can there be too many crackers in the northeast? That’s the question asked in a recent E&E News report. Experts quoted in the article say that the Gulf Coast has too much of a head start on the northeast. Yet, a big part of the plastics market (the East Coast) is on our doorstep. States in our region take a heavier hand in regulating these plants than states along the Gulf Coast. Given these projects cost $5-$10 billion each to build, and the possibility that building one that doesn’t pan out would sink a company, it’s no wonder these decisions take years to make, and then more years to actually build the plant. Just how many crackers are too many? How much is too much of a good thing?…
    Read More “Can the Marcellus/Utica Build Too Many Cracker Plants?”

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    Williams to Appeal FERC’s Constitution Pipe Decision to Fed Court

    Last Friday MDN brought you the sad news that the Federal Energy Regulatory Commission (FERC) rejected Williams’ request to rehear an earlier decision to not overrule the New York Dept. of Environmental Conservation’s (DEC) decision to block the Constitution Pipeline (see FERC Declines to Overrule NY DEC re Constitution Pipe 2nd Time). We personally don’t see many (really any) pathways where the Constitution now gets built. But to their credit, Williams is not giving up. After FERC’s decision last week, the company announced it will appeal that decision to the D.C. Circuit Court of Appeals, asking the judges to overrule the DEC (bypassing FERC). Williams has filed in various courts, including the Supreme Court, to hear the Constitution case. Why not try the D.C. Circuit Court? There’s really nothing to lose. The project is currently as dead as a doornail anyway. So, hats off to Williams for giving it one last try…
    Read More “Williams to Appeal FERC’s Constitution Pipe Decision to Fed Court”

  • Energy Stories of Interest: Mon, Jul 23, 2018

    The “best of the rest”–stories that caught MDN’s eye that you may be interested in reading: Naive, miseducated students rally in Pittsburgh re “climate change”; as pipelines come online, more efficient movement of our gas boosts industry; Appalachian storage hub, prosperity’s next step; Molinaro’s call for fracking is hopeful for Upstate NY; a recycled story about Utica fracking causing STDs; Cabot’s Q2 is going to “knock your socks off”; NY ratepayers to fund offshore wind farm, not get access to the electricity; Rice Midstream OKs merger with EQT Midstream; FERC policy throws a lifeline to MLPs; what is digitization and why is it good for o&g; and more!
    Read More “Energy Stories of Interest: Mon, Jul 23, 2018”

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    FREE Audio: MDN Top 5 Stories for Week of July 16, 2018

    Below is an audio recording (“podcast”) featuring the Top 5 stories most read over the past week on MDN. Just click on the green button to listen. Below the recording is a list of the Top 5 with links to click to read the full stories (available only for subscribers). This list is meant as a way for folks to quickly catch up on the most essential news of the week–“essential” as determined by MDN’s audience of readers. Enjoy!


    Read More “FREE Audio: MDN Top 5 Stories for Week of July 16, 2018”

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    FERC Declines to Overrule NY DEC re Constitution Pipe 2nd Time

    One more thread has broken that holds together hope that Williams’ Constitution Pipeline will ever get built. Perhaps the final thread. Yesterday the Federal Energy Regulatory Commission (FERC) issued a ruling denying a rehearing request on the project–the second time they have done so. The Andrew Cuomo-corrupted NY Dept. of Environmental Conservation (DEC) refused to grant the pipeline project necessary federal stream crossing permits, blocking construction, in April 2016 (see NY Gov. Cuomo Refuses to Grant Permits for Constitution Pipeline). Williams asked the Federal Regulatory Commission (FERC) to overrule DEC and allow construction to begin. In January of this year, FERC denied that request (see Death of the Constitution Pipeline? FERC Refuses to Overrule NY DEC). In February of this year, Williams asked FERC to reconsider their denial. FERC’s response yesterday: No. Meanwhile, Williams had filed a lawsuit in federal court that eventually was appealed to the U.S. Supreme Court. In April, the Supremes refused to hear the case, shutting down that avenue (see Supreme Court Rejects Constitution Pipe Request to Overrule NY). As we’ve previously written, we now see only two remaining threads of hope–and they are very thin threads at that: (1) NY elects Cuomo’s Republican rival as governor and he reverses course and permits the project (about a snowball’s chance in Hades that Republican Marc Molinaro will win), and (2) President Trump signs an executive order overruling NY. That second thread is about the best chance Constitution now has. And even if Trump were to issue an executive order, we expect NY would go to court to try and stop it, dragging it out for years. As sad as we are to say this, for all intents and purposes, Constitution is dead…
    Read More “FERC Declines to Overrule NY DEC re Constitution Pipe 2nd Time”

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    ME2 Pipe Antis Politely & Completely Skewered at PA House Hearing

    On Tuesday, Pennsylvania State Rep. Chris Quinn (R-Delaware) hosted a House Republican Policy Committee meeting at the Penn State Brandywine Campus (Delaware County) to discuss pipeline safety, construction and siting issues in Chester and Delaware counties. The real aim of the session was to focus on Sunoco Logistics Partners’ Mariner East 2 (ME2) pipeline project–a state-regulated project not under the purview of the Federal Energy Regulatory Commission. Eve Miari of the Clean Air Council and Virginia Marcille-Kerslake from West Whiteland Residents for Pipeline Safety were there to provide an overview of concerns by “the community” with siting and building ME2. MDN friend Garland Thompson, a contributing editor for US Black Engineer & Information Technology magazine, attended the session and wrote a report (below). As usual, Garland does a terrific job in capturing the key points of what was discussed. Spoiler alert: While Garland found Miari and Marcille-Kerslake’s testimony heart-felt, their allegations that nobody was/is in charge of siting a project like ME2, and that Sunoco is not being “transparent” in their building of ME2, were skewered, point by point by point. Here is clear, honest, accurate reporting you won’t get anywhere else…
    Read More “ME2 Pipe Antis Politely & Completely Skewered at PA House Hearing”

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    Progress on US Methanol Plant in Institute, WV – Praxair Providing O2

    US Methanol broke ground last September in Institute (Kanawha County), WV to build its very first methanol production plant (see US Methanol Breaks Ground on First Plant in West Virginia). Methanol plants convert natural gas into methanol, used as a chemical feedstock (raw material) to create other things, like gasoline, antifreeze, plastic bottles–even LED and LCD screens. Methanol plants use a LOT of natural gas, hence our interest. A number of dignitaries attended the groundbreaking in Institute, including colorful WV Governor Jim Justice. Factoid: the plant in Institute is being constructed/assembled from a deconstructed methanol plant from Brazil. The new plant, called Liberty One, was supposed to open in mid-2018. That’s now changed. It’s been a while since we’ve reviewed Liberty One and its progress. It popped up on our radar when we spotted a press release from Praxair, an industrial gas company, announcing they have been selected as a partner to provide Liberty One with oxygen–lots of oxygen–to be used in the plant as part of the chemical process of converting methane into methanol. When we checked the Liberty One project site, we noticed the timeline to complete the plant has changed–from the previously announced mid-2018 to fourth quarter of 2019…
    Read More “Progress on US Methanol Plant in Institute, WV – Praxair Providing O2”

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    Elba Island, Ga. LNG Export Startup Delayed to 4Q18

    Elba Express – click for larger version

    Southern LNG, a unit of Kinder Morgan, filed a request in March with the Dept. of Energy asking the DOE for “blanket authorization” to export LNG from the Elba Island LNG plant in Georgia beginning in the third quarter of this year (see Elba Island LNG Wants to Start Up in Q3 This Year). Kinder has now changed its tune and says it will fourth quarter, not third, for initial startup. Elba Island will be the second East Coast LNG export plant to go online, following the now operational Cove Point LNG plant. Elba is quite a bit smaller than Cove Point. Whereas Cove Point can take in and liquefy up to 3.5 billion cubic feet per day (Bcf/d) of natural gas, Elba Island will be able to liquefy up to 350 million cubic feet per day (MMcf/d)–just 10% of Cove Point’s capacity. Still, Elba Island is an important project, because it will almost certainly be Marcellus gas feeding it. How so?…
    Read More “Elba Island, Ga. LNG Export Startup Delayed to 4Q18”

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    Dunkirk, NY Desperate to Restart Shuttered Electric Plant

    This is a truly sad story. Because of delays from lawsuits and regulators, power generator NRG said last week it has officially given up on restarting a shuttered coal-fired electric plant near Buffalo, in the Town of Dunkirk. There had been plans to convert the plant to burn natural gas, but due to delays, it didn’t happen. NRG closed the coal-fired plant in 2016, which was an economic nuclear bomb for Dunkirk–they get 40% of their tax revenue from that one plant. New York State “generously” shucked out $5.5 million so Dunkirk wouldn’t collapse economically. But doing that year after year will get old quick. Dunkirk needs that plant. Because of delays due to a lawsuit by a competitor (now dropped), NRG needs to restart the project from scratch, which means reconnecting the plant to the electricity grid. Estimated reconnect costs go as high as $115 million! The cost of “transmission upgrades,” according to the NY grid operator. The cost to reconnect would be almost as much as the project cost itself (see Looks Like WNY Coal-Fired Plant Will Never Convert to Gas/Reopen). As we predicted last month, NRG is walking away from the project. They said so, officially, last week. And that has Dunkirk leaders and residents in a panic, desperate to find someone else to take over the project and get it going. Don’t hold your breath. If NRG can’t make the numbers work, what makes Dunkirk think another company can?…
    Read More “Dunkirk, NY Desperate to Restart Shuttered Electric Plant”

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    Broome County, NY Substitutes Solar Crumbs for NatGas Feast

    We have nothing against solar energy–honestly. Yes, in one sense solar competes with natural gas, but hey, let the best energy source win! Truth be told, we need all energy sources, not just one. So please understand this is not a “bash solar” story. However, we do have a problem when politicians and anti-fossil fuel zealots insist we MUST use one source of energy over another. That’s just not American. And it doesn’t make economic sense either. You may hear that solar is cheap and getting cheaper. Some claim solar now produces electricity at a lower cost than natural gas. Not true. Here’s a comparison. Earlier this week Broome County celebrated the startup of a “large” solar farm on 20 acres of county-owned land in Conklin, NY. The official ribbon cutting was a big affair with the county executive claiming the county will save $140,000 a year with the facility–a facility that’s a year-and-a-half late going online. Fair enough. Who doesn’t want to save $140K a year, right? Not that a single taxpayer in Broome County will notice the 10 cents per tax bill they end up saving. Meanwhile, over the past ten years in Susquehanna County, PA (just south of Broome County, shares a border with Broome), natural gas drilling has been going great guns. In Susquehanna County, a single driller, Cabot Oil & Gas, has put $1.5 billion into the pockets of private landowners through signing bonuses and royalties, and has spent another $3.5 billion on drilling (over $5 billion total spent)–all in Susquehanna County. It is an economic miracle. Tax revenues in the county have gone through the roof! Millions have poured into tax coffers because of the gas industry. Cabot, a single driller, is providing 2.5% of all the natural gas produced in the U.S.–from Susquehanna County. And that’s just one driller! There are more drillers in Susquehanna. We’d estimate that at least $7-$8 billion has flowed into the county over the past 10 years. Mind blowing. And yet, here in the Binghamton area, local media has a blackout and refuses to report on Susquehanna County’s economic miracle. Meanwhile, Broome residents are told to get all excited about saving $140K a year. We’re being asked to jump up and down and feel good about a few economic cracker crumbs when 15 miles away everyone eats economic filet mignon. And now a group of antis masquerading as a solar group is trying to snow even more Broome residents into thinking solar is our energy savior. They’re selling a bill of goods…
    Read More “Broome County, NY Substitutes Solar Crumbs for NatGas Feast”

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    Federal Judge Tosses NYC Climate Change Lawsuit Against Oil Cos.

    New York City, in its attempt to (a) take every last dime out of the pockets of five big oil companies, and (b) shut down all fossil fuel extraction in the future–has struck out. Rather magnificently. In January, New York City’s insane mayor, Bill de Blasio, used city resources to sue five oil companies, blaming them for “climate change”–the hoax that mankind is causing the earth to warm at an apocalyptic rate (see NYC Commits Fossil Fuel Suicide – Sues Big Oil, Ending Investments). The theory behind global warming is that burning fossil fuels (extracted by the five companies) releases carbon dioxide (CO2) into the atmosphere where the CO2 then acts like a canopy over the earth, trapping in heat from the sun, causing the earth to warm. And, as the theory goes, Mom Earth is warming up to such a degree that it will “soon” (any year now) kill plants, animals, mankind–all living things. All sorts of ills are laid at the feet of so-called global warming, now called “climate change,” including earthquakes, major storms, hurricanes, pestilence, racism. No, we’re not exaggerating. EVERYTHING is blamed on global warming. Even the record cold temperatures that we experienced in the northeast last winter are blamed on global warming! Wait–how can that be? How can a canopy effect trapping heat cause COLDER temps? Obviously it can’t, but these people will believe anything. At its root, de Blasio’s move is not *really* about global warming and preserving the planet–it’s about an avowed socialist (de Blasio admits his perverse political leanings) attempting to steal money from those who earn it, in order to redistribute it to people who don’t earn it, people who will keep voting de Blasio into office in response to his political bribery. The gig is up. The judge in the case tossed it out yesterday, saying court is not the place for these kinds of charades…
    Read More “Federal Judge Tosses NYC Climate Change Lawsuit Against Oil Cos.”

  • Energy Stories of Interest: Fri, Jul 20, 2018

    The “best of the rest”–stories that caught MDN’s eye that you may be interested in reading: We need a serious conversation about laws to control pipeline siting; Heinz Endowments funds radical fractivist attorneys; WV program offers students energy education; Massachusetts fracking ban in hypocritical–in the extreme; FERC’s natgas pipeline greenhouse gas analysis policy; oilfield services companies looking to other countries for new growth; FERC collaborating with other agencies on speedier LNG export permits; new tax rule adopted by FERC for pipelines; China sits on world’s biggest shale gas prize; sanctions for Russian pipeline colluders; and more!
    Read More “Energy Stories of Interest: Fri, Jul 20, 2018”

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    Williams: Atlantic Sunrise Pipeline Going Online in August

    Atlantic Sunrise – click for larger version

    The sun is rising on Atlantic Sunrise Pipeline, a $3 billion, 198-mile pipeline project running through 10 Pennsylvania counties to connect Marcellus Shale natural gas from northeastern PA with the Williams’ Transco pipeline in southern Lancaster County. When first announced, radical anti-drillers claimed they had a thousand people ready to protest and block work on the pipeline. In the end, something under 50 people were arrested for illegal activities in blocking work on the project. The most recent kerfuffle, from earlier this month, included one of the original founders of Lancaster Against Pipelines, Mark Clatterbuck, who used a “sleeping dragon” technique to block work for a few hours (see 2 Lancaster Radicals Arrested Stopping Atlantic Sunrise Pipe Work). Along the journey to building Atlantic Sunrise we’ve faced down radicalized nuns (“Sisters of the Corn”) who tried to block the pipeline from passing across their property–a property with an old folks home that uses natural gas–using a faux “chapel” in a corn field and by filing federal lawsuits (see Lancaster Nuns Demand “Religious Freedom” Trial re Pipeline). Antis tried building a couple of sheds on stilts, hoping to block construction (see PA Antis Build 2nd Magic Tree House to Stop Atlantic Sunrise Pipe). Antis protested at Williams’ regional office, showed up at various construction sites, got a local tribe of Indians involved–and in the end, all of their machinations were for nothing. Williams issued a press release yesterday to say the pipeline is almost done and will go online–flowing 1.7 billion cubic feet per day of mostly Cabot Oil & Gas Marcellus Shale gas extracted in Susquehanna County–sometime in August…
    Read More “Williams: Atlantic Sunrise Pipeline Going Online in August”

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    OH Antis Attack Loudonville for Selling Water to Cabot for Drilling

    Little red dot indicates where Loudonville, OH is located

    At the Loudonville Village Council meeting on Monday, a dozen anti-drilling kooks “assailed” Mayor Steve Stricklen and council members over selling water to Cabot Oil & Gas to use in drilling (not fracking) several test wells in the area. Cabot is exploring north central Ohio as a potential spot for “what’s next” after their wildly successful Marcellus drilling program in Susquehanna County, PA. In typical fashion, lies and fearmongering were used in an attempt to shame Loudonville officials over water sales to Cabot. Loudonville sits on the border of Ashland and Homles counties. The village sells water to anyone who wants to buy, for 0.65 cents per gallon (a little over half a cent per gallon). So far Cabot has purchased 650,000 gallons from the village ($4,358). One of the antis said she’s fearful Cabot will dump the used fracking wastewater “contaminated by chemicals” in nearby Charles Mill Lake. It’s an outrageous and scurrilous allegation. We’ve personally seen Cabot’s first-rate wastewater recycling center in Susquehanna County. They recycle 100% of the wastewater coming out of the ground. But antis don’t bother to check on the facts–not when any old lying allegation will do…
    Read More “OH Antis Attack Loudonville for Selling Water to Cabot for Drilling”