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Marcellus Drilling News
  • Allegheny County | Energy Companies | Industrywide Issues | Olympus/Huntley & Huntley | Pennsylvania | Regulation

    Monroeville Back from Edge of Insanity, Allows Some Fracking

    March 27, 2018March 27, 2018

    Common sense has broken out in Monroeville. Either that, or fear of litigation. Either way, Monroeville (Allegheny County, PA) has rolled back an overly-restrictive zoning ordinance meant to hassle Huntley & Huntley’s plans to drill wells in the township–the very same township where H&H has its headquarters. Last October, Monroeville Council passed a temporary ban on oil and gas well drilling everywhere except for those areas marked M-2 industrial zoning–a big change (see Monroeville, PA Hostile to Shale, Bans Drilling in Most Places). Previously, drilling permits were “conditional use” in Monroeville, meaning each permit was evaluated on its own merits, regardless of which zoning district it was located in. By limiting drilling to M-2, Council severely limited drilling in the municipality–but at least drilling was still allowed. Then in January, Monroeville Council advertised their new zoning ordinance to FURTHER RESTRICT any kind of oil and gas activity–not just drilling, but pipelines, compressor plants, etc.–to a 150-acre parcel located next to the city dump (see Monroeville Pushes Ban on NatGas Activity, Incl. Drilling & Plants). It would be, in essence, a total ban on shale drilling activity throughout the township. Two weeks ago Monroeville Council voted (unanimously) to withdraw the proposed new ordinance, which means the zoning ordinance from last October limiting drilling to M-2 remains the law. Still not good, but better than a total ban…
    Read More “Monroeville Back from Edge of Insanity, Allows Some Fracking”

  • Anti-Drilling/Fossil Fuel | Dominion Energy | Energy Services | Industrywide Issues | Litigation | Pipelines

    Fed Court Dismisses Anti Lawsuit to Stop Atlantic Coast Pipeline

    March 27, 2018March 27, 2018

    Earlier this month MDN reported that the Southern Environmental Law Center and Appalachian Mountain Advocates, on behalf of a mishmash of second tier radical groups, filed a “hail Mary” request with the federal Fourth Circuit Court of Appeals to stop construction of Dominion Energy’s Atlantic Coast Pipeline until a lawsuit sitting before the Fourth Circuit questioning the validity of the permits granted for the project is played out (see Big Green Makes Desperate Attempt to Stop Atlantic Coast Pipe). Last week the Fourth Circuit responded by denying the request to stop ACP. Why? Because the Federal Energy Regulatory Commission (FERC) has not yet decided on whether or not to rehear their decision on ACP, which Big Green previously requested. FERC has used a “tolling order” to give themselves more time to consider whether or not they were wrong in approving the ACP project. The Fourth Circuit doesn’t have jurisdiction until FERC makes a decision on rehearing. In the meantime, construction on ACP continues…
    Read More “Fed Court Dismisses Anti Lawsuit to Stop Atlantic Coast Pipeline”

  • Energy Services | Industrywide Issues | Pipelines | Regulation | Williams

    Williams Northeast Supply Enhancement Pipe Gets Favorable DEIS

    March 27, 2018March 27, 2018

    In March 2017 (one year ago), Williams filed a full, official application for the Northeast Supply Enhancement project (see Williams Files with FERC to Expand Transco Pipeline to NYC, NE). The project is meant to increase pipeline capacity and flows heading into northeastern markets. In particular, Transco wants to provide more Marcellus natural gas to utility giant National Grid beginning with the 2019-2020 heating season. National Grid operates in New York City, Rhode Island and Massachusetts. There are a number of components to the project, but the key component, the heart of the project, is a new 23-mile pipeline from the shore of New Jersey into (on the bottom of) the Raritan Bay–running parallel to the existing Transco pipeline–before connecting to the Transco offshore. While the project is sure to encounter issues with the New York State Dept. of Environmental Conservation (much of the Raritan Bay pipeline is located in New York territorial waters), the good news is that the Federal Energy Regulatory Commission has just issued a favorable draft environment impact statement (DEIS). A favorable DEIS almost always means the project will receive a final approval from FERC…
    Read More “Williams Northeast Supply Enhancement Pipe Gets Favorable DEIS”

  • Best of the Rest

    Other Energy Stories of Interest: Tue, Mar 27, 2018

    March 27, 2018March 27, 2018

    The “best of the rest”–stories that caught MDN’s eye that you may be interested in reading: FERC denies stay of Mountaineer Xpress, Gulf Xpress; rural OH schools benefit from pipeline tax revenue; Range Resources’ CFO retiring in May; comment period of DRBC frack ban rules ends Friday; LNG in Jacksonville; Chevron’s climate court case kind of like Big Tobacco; gas is the new oil; climate change lawsuit avalanche is coming; Trump to name Energy Dept. official as top aide; Russian LNG heads to India; and more!
    Read More “Other Energy Stories of Interest: Tue, Mar 27, 2018”

  • Energy Companies | EQT Corp | Lease & Royalty Payments | Pennsylvania | Statewide PA

    EQT Pulls a Chesapeake, New Deductions from PA Leases

    March 26, 2018March 26, 2018

    Last Friday MDN editor Jim Willis had the pleasure of speaking at the National Association of Royalty Owners (NARO) Pennsylvania Chapter annual convention in State College, PA. Jim was humbled to present alongside a cast of terrific speakers, including Scott Perry, Deputy Secretary of the Office of Oil and Gas Management at the PA Dept. of Environmental Protection, Tom Murphy, Director of Penn State’s Marcellus Center of Outreach and Research (MCOR), and Scott Kurkoski, a top lawyer and head of the energy practice for Levene, Gouldin & Thompson (thanks for the ride home Scott!). One of the first attendees at the event to stop by the MDN table for a chat asked if we had heard about a letter recently sent by EQT to PA landowners. We had not. He gave us a copy (below). In the letter, EQT claims they have been “subsidizing a portion of the cost to gather the gas” produced by their PA wells, and they intend to begin claiming new deductions from royalty checks beginning this year. The way they position it in the letter is that landowners will begin “sharing” in these post-production costs. Who doesn’t like to share, right? We can tell you, not a single attendee at the event was impressed with EQT’s “sharing” letter. It smacks of the road Chesapeake Energy has gone down in robbing landowners of their royalties…
    Read More “EQT Pulls a Chesapeake, New Deductions from PA Leases”

  • Energy Companies | EQT Corp | Lease & Royalty Payments | Pennsylvania | Statewide PA

    EQT Spends $1.6M to Lease More Land Under Monongahela River

    March 26, 2018March 26, 2018

    The Pennsylvania Dept. of Conservation and Natural Resources (DCNR) has just amended an existing lease with EQT that allows EQT to extract natural gas (and other hydrocarbons) from underneath the Monongahela River in Allegheny, Greene, Fayette, Washington and Westmoreland counties. EQT is paying $4,000 per acre for 392 acres ($1.568 million total) in a signing bonus, along with a big 20% royalty on anything produced. However, the announcement raises an important question we’ve asked for more than four years: Is the land under rivers and streams actually owned by the state? PA says yes. We suspect landowners who own land along those rivers and streams would say otherwise. The state grabbing money for land under bodies of water has been going on for years (see PA DCNR Program Leases Under Rivers/Creeks for Marcellus Drilling and PA DCNR Publishes Lease Agreements for Deals Under Rivers/Creeks). Below is the latest lease deal by DCNR to lease more land under the Monongahela River…
    Read More “EQT Spends $1.6M to Lease More Land Under Monongahela River”

  • Industrywide Issues | Pennsylvania | Research | Statewide PA | Taxation

    IFO Report: Proposed Wolf Severance Tax Hits PA Landowners Hard

    March 26, 2018March 26, 2018

    One of the lies told by Pennsylvania Gov. Tom Wolf in attempting to sell a Marcellus-killing severance tax to the general population is that most of the tax would fall on businesses and corporations outside of PA. The rallying cry has always been that PA landowners would not bear any of the severance tax–as in deductions from royalties paid. That lie was exposed by none other than the PA Independent Fiscal Office last week when the IFO released a report that calculates of the estimated $210 million in severance taxes that would be raised, per year, by the latest Wolf proposal–some $28 million of it (over 13%) would come out of the pockets of landowners–IN THE FIRST YEAR. By the third year, that number rockets to $51 million (or 24%). That is, a meaningfully large portion of the proposed severance tax WILL get passed on to landowners as deductions from their royalties. Lesson for landowners: Don’t fall for the siren song from Wolf and RINOs who say “If you support the severance tax (it won’t affect you), we’ll get you your minimum royalty bill.” It’s a farce…
    Read More “IFO Report: Proposed Wolf Severance Tax Hits PA Landowners Hard”

  • Clearfield County | Industrywide Issues | Pennsylvania | Regulation | Wastewater

    PA DEP Approves Wastewater Injection Well in Clearfield County

    March 26, 2018March 26, 2018

    It takes a loooooong time to get a wastewater injection well approved and then up and running in Pennsylvania. Maybe that’s way there are less than a dozen of them in the entire state. In February 2014, the federal Environmental Protection Agency (EPA) gave a “final” approval to Windfall Oil and Gas to drill a wastewater injection well near Dubois (Clearfield County), PA (see New Wastewater Injection Well Approved in Clearfield County, PA). But then antis threw a fit and the EPA decided to withdraw their approval in May 2014 (see EPA Issues “Final” Permit for PA Injection Well, Then Rescinds It). Somewhere along the way the EPA got its head straight and approved the permit again, and now, so too has the PA State Dept. of Environmental Protection (DEP). Last week the DEP gave its approval for the Winfall Zelman #1 injection well, located in Brady Township…
    Read More “PA DEP Approves Wastewater Injection Well in Clearfield County”

  • Broome County | CNG/LNG | Energy Services | Industrywide Issues | New York | NG Advantage

    NG Advantage Looks Beyond Fenton, NY to Build Virtual Pipeline

    March 26, 2018March 26, 2018

    In a sad postscript, it appears that NG Advantage, which had once hoped to establish a virtual pipeline operation (compressing natural gas from the Millennium Pipeline) in the Town of Fenton (suburb of Binghamton), has finally given up on building the project in Fenton and is instead looking elsewhere. At least that’s our impression based on a couple of sources. We have no confirmation nor comment from NG–so this is purely our own speculation. However, a local television station in Binghamton recently noticed that NG is loading pipes onto a trailer, moving them out of the former construction site. The Town of Fenton Zoning Board of Appeals (ZBA) ruled in February that the facility does not qualify as an allowed use under existing zoning regulations (see NG Advantage Loses Zoning Vote for Virtual Pipe Near Binghamton). The Fenton Town Board is in no mood to overrule the ZBA decision, according to Suervisor Dave Hamlin. Case closed–unless NG plans to sue the town to recover costs, or try to force the issue of building the plant–which we don’t see happening. At any rate, MDN has heard scuttlebutt around the virtual water cooler that NG is looking at several other locations–in and out of Broome County. It would be a tremendous loss for Broome if NG locates outside the Greater Binghamton area. Meanwhile, MDN continues to spot XNG trucks (from a virtual pipeline in Susquehanna County, PA) passing through the Vestal, NY area–through densely populated centers–each and every day. They are the very same kind of trucks NG had proposed to use in Fenton. Yet not a peep about the XNG trucks that pass through our community…
    Read More “NG Advantage Looks Beyond Fenton, NY to Build Virtual Pipeline”

  • Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Lancaster County | Pennsylvania | Pipelines | Williams

    Lancaster Nuns Continue to Agitate Against Already-Installed Pipeline

    March 26, 2018March 26, 2018

    The Adorers of the Blood of Christ, a group of nuns in Lancaster County, PA, simply can’t stay away from sacrificing Christ on the alter of politics. The Sisters didn’t want the Atlantic Sunrise Pipeline project passing through their property. They own several buildings (one of them an old folks home heated with natural gas) on the very same property. The pipeline was due to run through a nearby field owned by the Sisters that they lease to a local farmer who grows corn on it. The Sisters took up with radical anti-fossil fuelers from Lancaster Against Pipelines to protest the project, putting a few wooden park benches and a flower tressle in the middle of the corn field, calling it a “chapel” (see Catholic Nuns Use Radicals to Build Chapel in Path of PA Pipeline), which is why we refer to them as Sisters of the Corn. They’ve tried a couple of different lawsuits, trying to spin the pipeline crossing their property as a religious freedom issue (see Lancaster Nuns Demand “Religious Freedom” Trial re Pipeline). Fast forward to Palm Sunday. The pipeline is now in the ground and covered up, and the farmer can plant his corn over top of it this spring. Yet the Sisters held a political protest service on Palm Sunday at the site of the pipeline. How enormously sad to sully the name of Christ in that way…
    Read More “Lancaster Nuns Continue to Agitate Against Already-Installed Pipeline”

  • Calendar

    Calendar of Marcellus/Utica Events for Mar 26 – Jun 25

    March 26, 2018March 26, 2018

    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 Mar 26 – Jun 25”

  • Best of the Rest

    Other Energy Stories of Interest: Mon, Mar 26, 2018

    March 26, 2018March 26, 2018

    The “best of the rest”–stories that caught MDN’s eye that you may be interested in reading: DEP wants comments on proposed Greene County, PA electric plant; Shale Crescent USA reports good showing at Houston conference; OH landowner groups take on left-wing Center for Biological Diversity; PA gov works with OH & WV to promote fracking, while he also promotes ban in DRB; source of Rover pipe contamination still unclear a year later; natgas enters “injection season” on a low note; TransCanada settles rate issue with NGTL shippers; and more!
    Read More “Other Energy Stories of Interest: Mon, Mar 26, 2018”

  • Energy Companies | Industrywide Issues | Ohio | Regulation | Seneca Resources | Trumbull County | Wastewater

    ODNR Grants Permits for 3 New Injection Wells in Trumbull County

    March 23, 2018March 22, 2018
    Town of Brookfield, Trumbull County, OH

    Last December MDN told you about three proposed new injection wells planned for the Town of Brookfield, in Trumbull County, OH (see 3 More Injection Wells Coming to Trumbull County, OH). Highland Field Services (subsidiary of Seneca Resources) brought two new injection wells online in Brookfield last year (see ODNR Approves Plans for 2 New Trumbull County Injection Wells). Shortly after the two wells went online, Highland then floated a plan to build three more wells in close proximity to the existing two, a plan opposed by many in the town (see Trumbull Residents Want Extra 60 Days to Fight 3 Injection Wells). Even though Brookfield Township trustees issued a “no more injection wells” letter to Gov. John Kasich and the Ohio Dept. of Natural Resources (ODNR), the ODNR ignored the letter and last week issued the necessary permits to build the three additional new wells…
    Read More “ODNR Grants Permits for 3 New Injection Wells in Trumbull County”

  • Industrywide Issues | Pennsylvania | Regulation | Statewide PA

    2 PA Bills Would Roll Back Conventional Drilling Regs to 1984

    March 23, 2018March 22, 2018

    Pennsylvania Gov. Tom Wolf has been obstinate in demanding onerous new drilling rules for the conventional, as well as unconventional (shale) drilling industry since he took office. Reworked drilling rules for both conventional and shale drillers were done and ready to go under previous Gov. Tom Corbett. Then Corbett lost to Wolf, and Wolf demanded changes to the common sense rules everyone had already agreed to (see New Draft Drilling Regulations in PA: Wastewater Impoundments Out). Wolf’s changes for conventional drillers threatened to run PA’s traditional, small conventional drillers out of business by applying the same regulations to them that will apply to shale drillers. As Wolf’s onerous changes were headed for certain defeat in the legislature last year, he changed gears and agreed to put off changes for conventional drilling until this year (see PA DEP Plans Redo of Chapter 78 Conventional Well Regs in 2018). It’s this year, and instead of letting Wolf advance his onerous drilling plans for conventional drillers, PA State Sen. Scott Hutchinson (R-Venango) and State Rep. Martin Causer (R-Forest) on Monday introduced essentially the same bill in their respective chambers, bills that will remove conventional drilling from compliance with the 2012 Act 13 bill and “turn back the clock,” re-adopting regulations for conventional drillers used in the Oil and Gas Act of 1984…
    Read More “2 PA Bills Would Roll Back Conventional Drilling Regs to 1984”

  • Industrywide Issues | Ohio | Statewide OH | Wastewater

    OH Legislators Propose Bill to Allow Frack Brine to Deice Roads

    March 23, 2018March 22, 2018

    The shale industry produces a lot of water. You read that right. The industry not only *uses* a lot of water (roughly 5 million gallons per well for fracking), it also *produces* a lot of water. Some 80% of the water used in fracking never comes back out of the ground–it seeps into the ground and stays there. However, there is naturally occurring water from the depths–from far below what we think of as “the water table” that sits a few hundred feet down. When you drill a hole in the ground a mile, or two miles down–there’s water down there too. It’s super-salty (full of minerals), which is why it’s called brine. In the industry the phrase used to describe this naturally occurring water is produced water. And it comes out long after fracking is over and done. It comes out for years–decades even. Drillers have to dispose of it somehow. The preferred method is to recycle it and use it for other drilling. When brine is recycled and the minerals (i.e. salt) is removed, the salt can be put to good uses, like spreading it on roads during the winter. Antis paint a scary picture of environmental holocaust in using “fracked salt”–but it’s nonsense. A bipartisan bill in Ohio is getting fresh attention, a bill that will allow for the sale of “fracked” brine for deicing roads in the Buckeye State during winter…
    Read More “OH Legislators Propose Bill to Allow Frack Brine to Deice Roads”

  • Energy Services | Industrywide Issues | Millennium Pipeline | Pipelines | Regulation

    FERC Rejects Riverkeeper Request to Stop Millennium Eastern Upgrade

    March 23, 2018July 23, 2018

    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 (see Frenemies: Millennium & NY DEC Fight Riverkeeper on Pipeline Upgrade). FERC has just rejected Riverkeeper’s request for a stay (but not the rehearing)…
    Read More “FERC Rejects Riverkeeper Request to Stop Millennium Eastern Upgrade”

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