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    PA Enviros Resist Transferring Surplus to Help Balance State Budget

    Last September, amidst a heated state budget battle in Pennsylvania (where the phrase “severance tax” was on the lips of every Democrat and RINO in Harrisburg), a group of PA House Republicans did the hard work Gov. Tom Wolf and his cronies in the legislature refused to do: They figured out how to fund a wildly overspent budget without raising a single tax (see PA House Introduces Balanced Budget with NO Severance Tax). How did House Republicans do it? They went looking for state agencies hording money, with a plan to relieve them of their surplus. You know how it goes. Each year agencies don’t spend all of their allotted money, yet they ask for more the following year anyway, knowing legislators may shave some from the request. It’s obscene. Yet that’s how the game is played. When Republicans went looking, they found even the Dept. of Conservation and Natural Resources (DCNR) and Dept. of Environmental Protection (DEP) have been squirreling money away, unused in some of their programs. The House Republican plan from last September was not adopted, but elements of it were included in the final budget. The final budget passed in October instructs Gov. Wolf to reallocate $300 million from surpluses at various state agencies–from the agencies of his own choosing–as part of the “funding” for this year’s budget. The House Appropriations Committee will hold a meeting on Jan. 25 to question representatives from DCNR and DEP about the use and operation of special funds under their administration–to see if there’s a bit of surplus there that can be used for the state budget. Judging by the reaction from a former DEP Secretary, it seems both agencies take umbrage at having to subject themselves and their surpluses for scrutiny. At its core, this issue is about who will pay bloated teacher’s salaries in Philadelphia. Big Green wants to target the Marcellus industry to pay “for the children.” Yet when they themselves are asked to contribute a small amount of their bloated excess (give it up for the Philly teacher’s unions), THEY resist! They are all for raiding another industry, but refuse to have their own departments “raided” in order to balance a hugely overspent state budget. Anyone else smell rank hypocrisy?…
    Read More “PA Enviros Resist Transferring Surplus to Help Balance State Budget”

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    PA DEP Considers Rule Reducing/Eliminating VOC Emissions for O&G

    On Jan. 24 the Pennsylvania Dept. of Environmental Protection (DEP) Small Business Compliance Advisory Committee will hold a meeting in Harrisburg to discuss, among other things, RACT (“reasonably available control technology”) regulations for the oil and gas industry. The new regulations are aimed at further reducing volatile organic compound (VOC) emissions at oil and gas sites. The new regs, scheduled to go into effect in 2021, will require the use of technology to achieve a 95% reduction in VOCs from existing sources, including storage tanks, pneumatic pumps and centrifugal compressors. Supposedly this is a requirement being driven by a Control Technology Guideline (CTG) from the federal Environmental Protection Agency. We’re not sure whether conventional/vertical, or unconventional/shale will be affected by the coming changes. We suspect both will be affected. So it behooves the industry to get involved now, while there’s still time to tweak the new regs…
    Read More “PA DEP Considers Rule Reducing/Eliminating VOC Emissions for O&G”

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    Enviro. Defense Foundation Continues Quest to Gut PA DCNR Funding

    Big Green insanity continues at the so-called Pennsylvania Environmental Defense Foundation (PEDF). The only thing they “defend” is their own twisted philosophy of trying to gouge out the eyes of the oil and gas industry in PA–even at the expense of de-funding their own beloved PA Dept. of Conservation and Natural Resources. Last June, the PEDF won a case at the PA Supreme Court by the skin of their teeth (see PA Supreme Court Hands Antis Partial Victory re State Land Drilling). The case dealt with the narrow issue of how PA can spend revenue raised from drilling for oil and gas under state-owned land. A divided court ruled that money from royalties (not lease signing bonuses) must be used only for “environmental” purposes. The Supremes sent the case back down to the lower Commonwealth Court to settle some of the still-unsettled issues. PEDF tried to fleece Commonwealth Court into disallowing lease bonus payments and royalties from being used to pay the operating expenses of the PA Dept. of Conservation and Natural Resources (DCNR). That is, antis want to gut the funding that pays the people in the department to do their jobs! PEDF wants lease and royalty money to be used exclusively for Big Green causes. Last week Commonwealth Court told PEDF: “No” (see PA Court Rejects Request to Block Royalties Funding DCNR Operations). The lower court will NOT address the issue of funding salaries and operating expenses of DCNR. The only decision the lower court will make, per their instructions from the lofty Supremes, is whether or not lease bonus payments must also be used for the same things royalty payments are used for–whatever those “same things” happen to be (operating expenses or not). Last week we said, “If PEDF wants to gut DCNR, they will have to go back to the Supremes to do it.” That’s just what they’ve done. The PEDF radicals have filed with the Supremes yet again, asking the Supremes to either take up the issue again, or force Commonwealth Court to rule the way PEDF wants–to gut the funding of DCNR…
    Read More “Enviro. Defense Foundation Continues Quest to Gut PA DCNR Funding”

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    PA Gov. Wolf Creating “Instability” with Demand for Severance Tax

    Unstable people tend to create instability wherever they go–it’s just something we’ve noticed. Other people have noticed it too, at the highest levels of Pennsylvania state government. Business groups in PA are pointing a finger at unstable PA Gov. Tom Wolf. His repeated calls, his maniacal mission to force a severance tax on the Marcellus industry on top of the existing impact tax, is causing “instability” in the industry in PA. That is, companies are pulling back, not willing to drill as much, and investors are not willing to invest, because of the uncertainty of whether or not there will be a severance tax. It’s spooking the industry. These business groups, representing hundreds of thousands of PA residents, are calling on Wolf to end his unstable ways and quit calling for a severance tax. Specifically, they say, “He needs to stop it.” Is that blunt enough? Instead, these groups call on Wolf to reign in out-of-control spending. The less you spend, the less you need to rob from hardworking companies–companies providing tens of thousands of jobs and over a billion dollars of tax revenue for the state so far…
    Read More “PA Gov. Wolf Creating “Instability” with Demand for Severance Tax”

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    WVU Research to Convert Shale Gas into Hydrogen and “Good” Carbon

    It never ceases to amaze us at how an unshakable belief in the myth of man-made global warming drives normally sane people to do insane things. Like using millions in taxpayer dollars (“grants”) to figure out a way to convert shale gas into a more “environmental friendly” form of fuel for energy usage–explosive hydrogen. Methane (i.e. natural gas) has one carbon atom along with four hydrogen atoms–CH4. What do you do with that carbon atom when you split methane into its component parts? We can’t have that carbon atom mating with a couple of oxygen atoms and forming CO2 (carbon dioxide)! Perish the thought!! (Even though CO2 is what you exhale every time you breathe, CO2 has been bastardized into being considered a pollutant by the general population thanks to the efforts of Big Green.) West Virginia University, along with Southern California Gas Company and Pacific Northwest National Laboratory, is launching new research this month that aims to convert “methane to CO2-free hydrogen and solid carbon nanotubes”–that is, into hydrogen and “good” carbon, not “bad” CO2 carbon. Whatever…
    Read More “WVU Research to Convert Shale Gas into Hydrogen and “Good” Carbon”

  • Marcellus & Utica Shale Story Links: Tue, Jan 16, 2018

    The “best of the rest”–stories that caught MDN’s eye over the break that you may be interested in reading. In today’s lineup: Blasting for Atlantic Sunrise Pipe; heding keeps M-U natgas production flowing; construction to begin on Mid-Ohio Valley compressor stations; NYC mayor adopts Cuomo playbook on o&g industry; DRBC in high stakes game of high-tech colonialism; science replaces art in oil drilling; U.S. withdrew record amount of natgas during cold snap; carbon capture hopes & questions; renewable power not the only solution to energy poverty; Japan natgas prices hit 2-year high; and more!
    Read More “Marcellus & Utica Shale Story Links: Tue, Jan 16, 2018”

  • MDN Off for MLK Day

    Dear MDN Reader:

    Since it is a stock exchange holiday, and to honor the memory of Dr. Martin Luther King, Jr., MDN is taking today off, Monday, Jan. 15. We are sending along an updated calendar of events relevant to the Marcellus/Utica for the next 90 days. Full strength MDN will return Tuesday!

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    Death of the Constitution Pipeline? FERC Refuses to Overrule NY DEC

    This is a bitter and sad day. The five Commissioners of the Federal Energy Regulatory Commission (FERC) released a decision yesterday (copy below) that FERC will not overrule an illegal decision by the corrupt Cuomo Dept. of Environmental Conservation (DEC) to block construction of the Constitution Pipeline (which FERC approved in 2014). Is this truly “lights out” for the Constitution? It would seem so. Cuomo’s DEC took more than two years to evaluate and eventually reject the Constitution Pipeline–a $683 million, 124-mile pipeline from Susquehanna County, PA to Schoharie County, NY to move Marcellus gas into NY and New England (see NY Gov. Cuomo Refuses to Grant Permits for Constitution Pipeline). Constitution went to federal court to overturn that decision, but ultimately failed last August (see Court Rejects Constitution Pipe’s Case Against NY DEC; Now What?). But then a ray of hope appeared in the galaxy. FERC overruled NY DEC in another pipeline case, so Constitution filed a request with FERC to overrule NY DEC in their case (see Constitution Pipeline Asks FERC to Override NY DEC). FERC wanted to overrule DEC again. You can read between the lines and detect it in yesterday’s decision. But ultimately FERC could not overrule the DEC because the DEC rejected the permit with four days left ticking on a one-year clock (we explain it all below). So this question: Are all avenues exhausted for Constitution? Is the ray of hope in the galaxy now extinguished? Will evil (i.e., the Cuomo-corrupted DEC) rule the galaxy? According to Williams, Constitution’s builder, the answer is an emphatic, “NO!” Williams will first file with FERC, asking them to rehear their decision (which we don’t think is likely). If FERC denies the rehearing request, Williams is prepared to appeal FERC’s decision to federal court…
    Read More “Death of the Constitution Pipeline? FERC Refuses to Overrule NY DEC”

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    Following Constitution Pipe Decision, NY Virtual Pipe Now Vital

    1/24/18 Note: We have edited this post to be less incendiary and more respectful of the opposing viewpoint.

    Yesterday the Federal Energy Regulatory Commission (FERC) rejected a request by Constitution Pipeline to overrule the (very corrupt) New York Dept. of Environmental Conservation and allow construction of the pipeline to commence (see our lead story today: Death of the Constitution Pipeline? FERC Refuses to Overrule NY DEC). As we report in that story, Williams is not (yet) giving up the hope and dream of building the Constitution. However, given that tree clearing for the pipeline would have to begin now, and be done by the end of March (in order to save the bats–don’t ask), another year will go by before the Constitution could even begin construction. And it will take a year to build. That’s IF Williams prevails in court. In the meantime, businesses in New York State are DESPERATE to receive shipments of natural gas. Major employers in the Southern Tier of New York had planned to tap into the Constitution and use cheap, abundant, clean-burning Marcellus Shale gas from Pennsylvania, saving them money and lowering emissions. Without the Constitution, what can these employers do? Yes, they can leave the state (and some already have). But there is a solution. NG Advantage is planning to build a “virtual pipeline” in the Town of Fenton, on the outer edge of Binghamton, NY (Broome County). A virtual pipeline is a compressor plant (series of compressor plants) that grabs gas from a pipeline–in this case the Millennium Pipeline–and compresses it and loads it onto special tractor trailers that then deliver the gas to industrial customers like manufacturing plants, hospitals, and even small regional gas distribution systems servicing residential homes. NG’s project got derailed last year when a group of residents living nearby sued, stopping the project in its tracks (see Broome Virtual Pipe Project in Limbo, Fenton Board Refuses to Act). The residents claim three trucks per hour going through side streets will negatively alter the neighborhood. It’s bogus. NG is undaunted. They have patiently, calmly and repeatedly reached out to the community to answer questions and address concerns. NG has more than bent over backwards in an attempt to work with community. NG followed the judge’s directive and refiled the project with the Town of Fenton for a second time. There is a Fenton zoning board hearing at 6 pm on Tuesday, Jan. 23 at the Port Crane Fire Department to consider NG’s refiled request. Residents who are opposed are already gearing up to pressure board members. Pro-gas folks need to show up in large numbers to show the zoning board there is support for this vital project. Let’s not let the other side win this one! Jobs in, indeed the future of, the Southern Tier depend on it…
    Read More “Following Constitution Pipe Decision, NY Virtual Pipe Now Vital”

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    Dominion Files FERC Request to Expand Pipeline from PA to OH

    On Wednesday, Dominion Energy filed a request with the Federal Energy Regulatory Commission (FERC) to expand capacity along the existing Dominion Energy Transmission Inc. (DETI) pipeline from Pennsylvania to Ohio. Why? To flow more gas that will be used to generate electricity for the Midwest market. The project, called the Sweden Valley Project, is projected to cost $48 million and add another 120 million cubic feet per day (MMcf/d) of PA Marcellus Shale gas to the existing flow along DETI. Dominion says all 120 MMcf/d are already contracted and spoken for–by an unnamed customer. Notice the headline says “expand” and not “extend.” This project would build a tiny three miles of new pipeline, with the new pipeline lying next to existing pipeline (in Greene County, PA). The only greenfield construction is building a 1.75-mile pipeline to connect with the Tennessee Gas Pipeline in Tuscarawas County, OH. The other main part of the project is updating three units a compressor station in Licking County, OH. In the constellation of pipeline projects that disturb earth and disrupt landowners, this one is pretty minor–yet it will deliver big results by flowing an extra 120 MMcf/d of gas west to a new market…
    Read More “Dominion Files FERC Request to Expand Pipeline from PA to OH”

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    Monroeville Pushes Ban on NatGas Activity, Incl. Drilling & Plants

    The dunderhead leaders of Monroeville, PA (Allegheny County, suburb of Pittsburgh) are at it again, acting hostile toward the shale industry, attempting to stymie any kind of shale activity within its borders. In September, Monroeville Council voted to enact a super-restrictive seismic testing ordinance (see Monroeville, PA Passes Restrictive Seismic Testing Ordinance). The ordinance is meant to hassle Huntley & Huntley (H&H), which wants to conduct seismic testing in two rural areas of the municipality. In October, the contractor hired to do the seismic work for H&H, Geokinetics, took Monroeville Council to court over their punitive seismic ordinance. Both sides compromised and in November settled the case (see Monroeville Council Approves Seismic Testing Court Settlement). In 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,” meaning each permit was evaluated on its own merits, regardless of which zoning district it was located in. By limiting drilling to M-2, the Council effectively banned drilling in the municipality. They passed the temporary ban until they could pass a new zoning ordinance that would set the frack ban policy in concrete. That day is now here. Monroeville Council has just advertised a 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. That’s 150 acres out of 12,620 acres that make up Monroeville (1%). In other words, this is a complete and total ban on the shale industry in Monroeville–the Pittsburgh suburb that’s officially “closed for business”…
    Read More “Monroeville Pushes Ban on NatGas Activity, Incl. Drilling & Plants”

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    Another 3 Bcf/d of Pipeline Takeaway Coming to M-U by March 31

    In the fourth quarter of 2017 (Oct-Dec), 2.3 billion cubic feet per day (Bcf/d) of new/extra pipeline capacity was added in the Marcellus/Utica region, to carry our gas to markets outside the region. Even though production in the Marcellus/Utica has continued to climb every single month, that 2.3 Bcf/d of extra “takeaway” capacity had an immediate effect–prices for our gas began to rise. Here’s a bit of exciting news: By the end of the first quarter this year (that is, by Mar. 31st), another 3 Bcf/d of pipeline takeaway capacity will be online. We expect this new takeaway, combined with last quarter’s increase in takeaway, will continue to drive prices for our gas higher…
    Read More “Another 3 Bcf/d of Pipeline Takeaway Coming to M-U by March 31”

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    PA Court Rejects Request to Block Royalties Funding DCNR Operations

    Last June, radical anti-drillers from the Pennsylvania Environmental Defense Foundation (PEDF) won a case at the PA Supreme Court by the skin of their teeth (see PA Supreme Court Hands Antis Partial Victory re State Land Drilling). The case dealt with the narrow issue of how PA can spend revenue raised from allowing drilling for oil and gas under state-owned land. A divided court ruled that money from royalties (not lease signing bonuses) must be used only for “environmental” purposes. The Supremes sent the case back down to the lower Commonwealth Court to settle some of the still-unsettled issues. PEDF tried to fleece Commonwealth Court into disallowing lease bonus payments and royalties from being used to pay the operating expenses of the PA Dept. of Conservation and Natural Resources (DCNR). You read that right. The antis wanted to gut the funding that pays the people in the department to do their jobs! PEDF wanted lease and royalty money to be used exclusively for Big Green causes. Earlier this week Commonwealth Court told PEDF no, they will not address the issue of funding the salaries and operating expenses of DCNR. The only decision they will make, per their instructions from the lofty Supremes, is whether or not lease bonus payments must also be used for the same things royalty payments are used for–whatever those “same things” happen to be (operating expenses or not). In other words, if PEDF wants to gut DCNR, they will have to go back to the Supremes to do it…
    Read More “PA Court Rejects Request to Block Royalties Funding DCNR Operations”

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    OH Towns Duped by CELDF Nervous Following PA Court Ruling

    Svengali

    Earlier this week MDN told you that Tom Linzey, the anarchist attorney who founded and runs the radical Community Environmental Legal Defense Fund (CELDF), has been sanctioned by Federal Judge Susan Paradise Baxter and ordered to pay $52,000 to Pennsylvania General Energy (PGE) for his “bad faith” in continuing to press legal arguments on behalf of Grant Township, in Indiana County, PA (see Attorney for Anti Group CELDF Fined $52K for “Bad Faith”). Not only that, Judge Baxter also referred the matter to the Disciplinary Board of the Pennsylvania Supreme Court with a request they review Linzey’s actions with an eye to imposing more punishments against him. Linzey is red hot with rage following the sanctions imposed on him–claiming he’ll sue everyone and everything to clear his good name. Thing is, Grant Township isn’t the only town Linzey has duped using his Svengali routine. There are others, in both PA and OH. Athens, OH is one of them. The so-called “Community Bill of Rights” adopted by Athens in 2014 is almost word for word the same exact language thrown out by Judge Baxter in PA. Which is giving folks around Athens pause. It’s making them nervous about what will happen if they get sued, as you can detect in the following story…
    Read More “OH Towns Duped by CELDF Nervous Following PA Court Ruling”

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    Ultra-Lib Boston Globe Now Admits New England Needs New Pipes

    In the end, even the ultra-liberal editors of the Boston Globe couldn’t ignore and deny reality–the reality that their own favorite sons and daughters are to blame for sky high energy prices and dirtier air, because they’ve fought against new natural gas pipelines. We’ve been blowing the horn that New England is getting hosed on energy prices, paying the highest average prices in the world for natural gas, because of their stubborn refusal to allow new Marcellus gas pipelines into the region (see New England’s Lack of Pipelines = Most Expensive Gas in the WORLD). And now, even the ultra libs are admitting it. Here’s what the Boston Globe says “went wrong” and why the region is experiencing more air pollution this winter…
    Read More “Ultra-Lib Boston Globe Now Admits New England Needs New Pipes”