Posts Tagged ‘gas’
Pro-drilling group welcomes gas companies
Yellow signs welcoming Encana Oil & Gas USA Inc., the first natural gas company to start drilling in Luzerne County, are starting to pop up around the Back Mountain.
They’re the handiwork of a newly formed pro-gas group, Citizens for Cleaner Energy, which consists of people who have leased their land – or who want to – and who feel it’s time to speak out in favor of what they believe will be the region’s most important resource.
Unlike natural gas drilling opponents, who have been highly visible and vocal, natural gas drilling proponents have been largely silent.
“I understand other people see this differently, and that’s fine, that’s the American process,” Citizens for Cleaner Energy President Gary Ide said. “But if we sit back and say nothing, I think everyone assumes we have nothing to say, and we do.”
The signs are symbolic, according to Ide: they are meant to welcome Encana specifically, because many of the group’s members have leases with the company and they have heard good things about it, but they’re also meant to welcome responsible natural gas exploration in general, which is one of the group’s goals. The others are to protect personal property rights and educate people about natural gas and the drilling process.
In addition to Ide, the group’s organizers are Russ and Mary Lansberry, Larry Lansberry and Gene Janiczek, whose properties in Lehman Township were to be the site of a vertical natural gas well until Encana withdrew its application to drill.
At later meetings the group decided on a name and appointed officers: Ide as president, Mary Lansberry as vice president, Barbara Mikielski as secretary and Janet McCarroll as treasurer.
But the group’s first meeting on Aug. 13 in the Lehman Township fire hall was to determine if others had similar concerns, according to Ide.
They did: “It was clear that all were frustrated about how they were being portrayed by those who oppose gas exploration,” he said.
However, Ide said the group was not formed to counter anti-drilling groups such as the Gas Drilling Awareness Coalition. Members of Citizens for Cleaner Energy are also sensitive to environmental issues, he said.
“People have a reason to be concerned. This is not oxygen we’re trying to find, it is a combustible substance and it is potentially dangerous,” Ide said. “That’s why many people who have signed (leases) signed with Encana – there seems to be some real thought about how they are going to drill and produce. We think there’s a responsible way of doing this and a safe way of doing this.”
Members of Citizens for Cleaner Energy want people to know a lot of thought goes into making the decision to lease, Ide said.
“Of course economic reasons are why we’re all doing this,” he said. “But I think the considerations of all the things you might think we would worry about are there.”
Members also want to help people learn about all the components of natural gas drilling – the main problem he sees is that people are not familiar with the entire process.
“My biggest beef is probably the people who are just flat-out opposed because something might go wrong, and in the case of Dimock, did go wrong,” Ide said, referring to the Susquehanna County township where some residents are experiencing water well contamination. “I think it’s OK to be concerned and make sure they’re doing the best job possible. I don’t think it’s OK to frighten needlessly.”
Things can go wrong, he acknowledges. But, he noted, “The opportunity for economic growth for the entire area is just a little more powerful than the potential for these huge catastrophic environmental messes.”
Much needs to be proven to an unsure public, Ide said.
“I want to hopefully engage people who think they have nothing, that they have something to gain,” he said. “It’s not just good for a handful of people. ⦠I think we’re all going to benefit.”
Some people think just because they don’t have land they won’t get anything, but that’s not true, Ide said.
“I don’t think there’s a business that could be brought in that can stimulate the economy more than this can. I can say that, but I think in time that will be proved.”
For the past six weeks Ide has been talking to as many people as possible, to learn what they had to say, find out what they were frustrated about, make sure everyone was on the same page.
So far Citizens for Cleaner Energy has about 120 members, Ide said. There are no dues or membership fees, but people do make voluntary contributions to cover costs.
Lehman Township resident Carl Kern, who does trucking for natural gas companies, was the group’s first speaker. His trucks are leased to Mountain Energy, which provides water for Chesapeake Appalachia LLC.
Ide said Kern explained how stringent the rules are for collecting and transporting water, and he made an impact on the group “by saying these are not fly-by-night outfits.”
“Most of the companies are good companies. They’re honestly trying to do things the right way,” he said.
Kern said he talked about what he is seeing in the field and how the natural gas industry is producing jobs.
He said he is just as concerned as anyone else that the gas companies do things right, but said people need to give the state some credit for enforcing regulations.
“I understand where some of these people are coming from, but everybody has to sit down and weigh it all out. I think in the long run, the pluses are going to outweigh the negatives,” Kern said.
He supports Citizens for Cleaner Energy and believes more people will join the group.
“I’m right with them. I’m going to fight as hard as I can to make this work,” Kern said.
View article here.
Copyright: The Citizens Voice
eskrapits@citizensvoice.com, 570-821-2072
Drilling at second Lake Twp. well begins
Encana Oil & Gas USA Inc. recently started drilling on Zosh Road in Lake Township, the second of its two exploratory natural gas wells in Luzerne County, after wrapping up drilling at its first.
Encana Community Relations Advisor Wendy Wiedenbeck said via e-mail that “drilling is under way at the Salansky location and activity is going as expected.” She estimates the drilling activity will last for about 30 days.
Prior to starting work in Lake Township, Encana finished drilling operations at its first exploratory site, the Buda well behind the Ricketts Glen Hotel on Route 118 in Fairmount Township. Wiedenbeck said the well was drilled 7,000 feet deep and 4,400 feet horizontally.
Since April, the state Department of Environmental Protection has made eight site inspections at the Buda well, and found no violations. Additionally, DEP has issued permits for Encana’s two Kent North horizontal wells, which are planned just down Route 118 from the Buda well site in Fairmount Township. Encana is still awaiting DEP permits for three more wells in Fairmount Township and five more in Lake Township.
A schedule has not been set to complete the first two wells, including hydraulic fracturing to break up the shale and release the gas, according to Wiedenbeck.
She stated it is “just a matter of all the business needs aligning at the same time: specialty contractor availability, equipment availability and water resources. We anticipated that completions activities wouldn’t take place immediately following drilling.
Exploratory projects are by nature limited in scope and as such needed services and supplies compete with already full schedules.”
Wiedenbeck said Encana anticipates completing both wells either later this year or early 2011.
A potential headache for natural gas companies, including Encana, is that dry conditions are leading to a growing scarcity of the large quantities of water needed for hydraulic fracturing.
Last week, DEP declared most of Pennsylvania’s counties to be either in a state of drought watch or the more severe drought warning.
The Susquehanna River Basin Commission, which monitors water levels and controls large-scale water withdrawals, has temporarily shut down some of Encana’s sources in Wyoming County.
“The drought does impact our ability to access water,” Wiedenbeck confirmed.
Drilling starts in Benton
Another exploratory natural gas well is under way in Benton, in neighboring Columbia County.
Williams Production Appalachia LLC has drilled other wells in Pennsylvania’s Marcellus Shale, but this is the company’s first in Columbia County, Williams Spokeswoman Susan Oliver said.
The drill site is part of acreage originally leased to Citrus Energy Corp. In April, Citrus sold leases for 10,000 acres in Columbia County and several hundred acres’ worth of leases in Fairmount Township to Williams.
Williams representatives met with about 250 community members in the Benton High School on Tuesday to talk about the company and its plans. She said questions ranged from the economic development effects of natural gas drilling to what hydraulic fracturing is.
“We’re very open to meeting with landowner groups and other organizations,” Oliver said.
eskrapits@citizensvoice.com, 570-821-2072
View article here.
Copyright: The Citizens Voice
UGI, Citrus sign agreement on productive wells
The Marcellus Shale wells Citrus Energy Corp. is drilling for Procter & Gamble near its Wyoming County plant are so productive there’s enough natural gas left over to send to market.
UGI Energy Services Inc., the midstream and energy marketing subsidiary of UGI Corp., forged an agreement with Citrus to use the pipeline that once brought gas to the Procter & Gamble plant to instead move the extra gas out of the plant and into the Tennessee interstate gas pipeline in Susquehanna County.
“This gas we’re talking about here is that which is over and above the requirements of Procter & Gamble at their Mehoopany plant,” said Peter Terranova, UGI vice president of midstream assets and services.
UGI Energy Services plans to acquire and construct facilities to handle up to 120,000 dekatherms – 120 billion British thermal units – of gas per day. Service could begin as early as next spring.
“We’re happy about them (UGI) becoming a transporter-gatherer,” said Steve Myers, Director of Land and Legal Affairs for Citrus. “We have acquired quite a bit of capacity on that line. That was the game plan from Day One when we first walked in the door and started talking to Procter & Gamble. That was how we saw this thing developing.”
Procter & Gamble spokesman Alex Fried said UGI had been providing gas to the company for 45 years.
“They connect to the Tennessee Pipeline in Auburn Center in Susquehanna County about eight miles north of us. From there it can flow to a number of other customers, both residential and commercial,” he said. “UGI gets to re-use a good existing pipeline, and Citrus gets to continue developing wells within the Wyoming County region and not have to stop once they hit P&G’s needs. This provides a much bigger market to the area.”
Last October, Citrus started drilling under an agreement that gives Procter & Gamble minority ownership of the wells with an option to buy them. So far Citrus has drilled six wells for the company, not all of which are producing because they are in various stages of preparation, Myers said.
But at least one has been exceeding expectations. Well production data recently released by the Department of Environmental Protection shows that Citrus’ PG2-1H well for Procter & Gamble ranks fifth in the state, with an average daily production of more than 10.04 million cubic feet of gas each day for the 22 days of the fiscal year reported.
Fried noted that it will take until the next report to determine exactly how the well is producing, since gas flows tend to be high at the start and can decline.
Anything above what Procter & Gamble consumes would be considered “stranded gas” because there is no way to get it to market, Myers said. It is expensive to lay pipeline – and why duplicate a line that already exists, and that has become valueless since it is no longer supplying gas to Procter & Gamble.
“Ostensibly it should help the (UGI) ratepayers in that this will be a piece of pipeline that produces income,” Myers said. “Otherwise it’s just a piece of steel in the ground because nobody’s paying to move gas through it.”
Fried noted, “It’s very logical for UGI to make existing infrastructure available to Citrus. It’s a win-win all around.”
Terranova said the project is the first UGI Energy Services is undertaking to “provide Marcellus producers multiple avenues to serve high value markets efficiently and bring plentiful, competitively priced, locally produced natural gas to consumers.”
He said he is glad to see how well everything is working out.
“We’ve worked very closely with Procter & Gamble and Citrus to make this happen,” Terranova said.
eskrapits@citizensvoice.com, 570-821-2072
View article here.
Copyright: The Citizens Voice
Oversized gas trucks a concern in Lehman
Posted: September 21
CAMILLE FIOTI Times Leader CorrespondentLEHMAN TWP. — Issues involving the oversized gas drilling company trucks traveling through the township were discussed at Monday’s board of supervisors meeting. Tony Rutchauskas said he read a recent local news article about gas trucks that were too high to clear utility wires hanging over the township roadways. He said the wires had to be moved by hand for the trucks to pass through.
“They failed to study the route,” Rutchauskas said of the gas company.
Susan Rutchauskas asked if the township is responsible for maintaining the wires. Supervisor Dave Sutton said the utility that owns the wires is responsible for them.
Joe Rutchauskas voiced concerns about a recent incident involving a large flat-bed truck owned by EnCana Gas Co. that was too large to navigate through the intersection of Ide and Meeker roads, thus blocking a school bus. He asked the board if someone from the gas company could direct traffic when its trucks need help clearing a turn.
Supervisor Doug Ide said EnCana officials contacted James McGovern, superintendent of the Lake-Lehman School District, as soon as the incident occurred. Ide said he would request EnCana to provide its own traffic control personnel for the future.
Catherine Tasco asked if the district has a system to notify parents in the event of a school bus delay. Supervisor Ray Iwanoski said he wasn’t sure what system the district used, but that school officials were involved with the traffic planning regarding gas company traffic routes.
View article here.
Copyright: The Times Leader
Marcellus Shale takes center stage in New York meeting
By Laura Legere (Staff Writer)
Published: September 14, 2010
BINGHAMTON, N.Y. – Hundreds of people gathered in this Southern Tier city on Monday to advise the Environmental Protection Agency on how to conduct a multiyear study of hydraulic fracturing and the impact it may have on drinking water.
Despite the New York setting, many of the speakers at the first sessions of a two-day hearing about the gas drilling technology turned their attention south of the state border to describe evidence of the promise, or peril, of Marcellus Shale natural gas drilling in Pennsylvania.
The meeting is the last of four being held in the United States this year to gather public input about the scope and shape of the study, especially where to find appropriate places for case studies of the interaction – or lack thereof – of hydraulic fracturing and drinking water supplies.
Dimock Township in Susquehanna County was repeatedly offered as a perfect place to examine: It is an epicenter of Marcellus Shale gas activity in Pennsylvania, and state regulators have determined that water wells there were contaminated by methane associated with the drilling.
Victoria Switzer, a Dimock resident, testified that water from her household well was recently found by an independent lab to contain ethylene glycol, propylene glycol and toluene – all chemicals frequently used in the hydraulic fracturing, or “fracking,” process.
“EPA, do your job,” she said. “Please demand accountability. I offer you a case study: myself, Dimock.”
The Commonwealth was also invoked as an example of the benefits of natural gas drilling by New Yorkers who support the development of the industry in their state, which has a moratorium on Marcellus Shale exploration while it develops rules for regulating it.
“Drilling is safe and will bring prosperity to New York,” said Lorin Cooper, a member of the Steuben County Landowners Coalition. “The evidence is in Pennsylvania, Wyoming and everywhere else drilling has been allowed to proceed.”
The sides of the drilling debate were split at the hearing in their advice to federal environmental regulators.
Those in favor of drilling tended to ask for a narrow study – one that looks at the specific moments when a gas-bearing formation is fractured by high volumes of water mixed with sand and chemical additives. The industry and state regulators say there has not been a single documented case of groundwater contamination in the United States that can be attributed to that process.
“All that we ask is that this study be focused and not take forever to complete,” said Broome County Executive Barbara Fiala, who supports drilling and hydraulic fracturing. “I hope the EPA is not going to study the entire natural gas drilling cycle.”
Those opposed to the drilling asked for an expansive study – one that covers everything from how water for fracturing is withdrawn from rivers to the disposal of the salt- and metals-laden wastewater that returns from the wells. Some also encouraged the agency to cover other associated impacts, including air pollution.
“The EPA study must look cradle to grave,” said Barbara Arrindell of Damascus Citizens for Sustainability, a Wayne County-based anti-drilling group.
Prior to the afternoon session, pro- and anti-drilling groups gathered on opposite ends of Washington Street shouting competing slogans of “Pass the gas” and “No fracking way.”
At the anti-drilling rally, where the props included a large plywood derrick, a Mother Earth puppet and a person dressed as “Frackin’stein,” the prop presented by Dimock resident Craig Sautner – a milk jug of brown water drawn from his well after intensive gas drilling occurred nearby – garnered the most response.
“I can’t say this is going to happen to your well. I’m not sure,” he said. “But do you want to take that chance?”
Down the road, Jim Riley, a landowner from Conklin, N.Y., said he does not have a gas lease, but would like one.
“First thing I’d do, I’d fix my house up,” he said. “I’d spend my money right here in the community.”
“I’m not afraid of the drilling,” he said.
The EPA meeting continues on Wednesday, with two sessions from 12-4 p.m. and 6-10 p.m. The agency is also accepting written comments on the study at hydraulic.fracturing@epa.gov through Sept. 28.
View article here.
Copyright: Citizens Voice
Welcome to Wayne County
Home of folks who know a thing or two about clean energy from the Marcellus Shale — and aren’t afraid to tell DRBC how to use it
Before there was a Hoover, Grand Coulee or Niagara, there was a Wallenpaupack – a manmade lake dug out of Pike and Wayne counties featuring a state-of-the-art dam and 44-megawatt hydroelectric generator. It was a project that took 2,700 men and five million board feet of Douglas-fir to complete. But when it was done, folks in northeast Pennsylvania found themselves in possession of a clean energy resource that could be converted safely and efficiently into jobs and opportunity for the region. That, and a lake full of walleye.
Nearly 85 years removed from the dedication of Lake Wallenpaupack, residents of the Upper Delaware are at it again today. Just like back then, they’re looking to harness the promise and potential of clean energy in a way that makes a better future possible for themselves and their grandkids. These days, though, their focus is on the opportunities available through the development of clean-burning natural gas – and specifically, from the world-class shale formation known as the Marcellus.
How much natural gas are we talking here? Across the entire Marcellus, potentially an awful lot – as much as 516 trillion cubic feet if the geologists have it right, which, if actualized, would make the Marcellus the second largest natural gas field in the entire world (behind one in Iran, of all places).
But here’s a little wrinkle for you: News out of Harrisburg this week suggests the Marcellus resource base in Northeast PA may be a lot more significant than some had initially thought. Looking for a sweet-spot? Turns out 19 of the top 20 producing natural gas wells in the state over the past year can be found in a three-county stretch along the northern tier. Laura Legere of the Times-Tribune has more:
Of the top 20 producing wells, all but one are in Susquehanna, Bradford or Tioga counties. Raymond Deacon, an analyst with Pritchard Capital Partners LLC, sorted the wells’ production depending on how long they were on line in order to measure their performance. “It seemed like in every case, all the counties in the Northeast really stood out as being among the strongest in terms of production,” he said.
West to east, that’s Tioga, Bradford and Susquehanna. Can you name the county that comes next? It’s Wayne, with Pike County to the immediate south. So what do you think the chances are that folks up in Wayne and Pike are sitting atop a reservoir with the same sort of natural gas potential as they’re seeing from their neighbors? Pretty good, right? Unfortunately, and as we’ve written in the past, if the West Trenton, N.J.-based Delaware River Basin Commission (DRBC) has its way, those folks may never get to know one way or the other.
But sort through the weekend boating crowd, and set aside the second-summer-home crew from Manhattan, and you’ll find a group of folks in the area who have been part of that community for three, four, even five generations or more. Folks whose ancestors came to Honesdale back in the day to work on the railroads; others who can trace their lineage back to 19th century bridge builders from Milford. And guess what? Turns out these people aren’t all that keen about letting an out-of-state commission deny them the ability to develop their private mineral rights without a fight – or at least an explanation.
What exactly do they want, and why exactly do they want it? Take a look for yourself. Released earlier this week by the Northern Wayne Property Owners Alliance, and co-signed by more than dozen local landowner, farmer and small business groups, the document linked to above (and here again) puts forth 10 separate requests that, under any other normal circumstance, before any other normal commission, would likely have already been incorporated as a matter of course. That’s not the case with the DRBC. But that’s not stopping folks on the PA side of the river from making their position on the matter crystal clear.
The natural gas industry offers unparalleled economic opportunities for the region with extremely limited impacts on the natural environment. No industry offers so much, with so small a footprint on the land that supports our tourism industry and lifestyle. … Our three principal counties suffer incomes that are 30-65% below those of the remainder of the DRBC region, with a median household income of only $44,000 a year. … The benefits to the nation from development of such clean energy here at home … compel us to insist the DRBC move forward promptly with regulation to ensure responsible gas drilling can take place now.
As you’ll see, the document not only stands up as a powerful public statement, but it’s also just dripping with substance. How does natural gas stack up with other energy when it comes to water usage? “It requires 0.84 to 3.70 gallons of water to produce one million BTUs of natural gas energy … compared with more than 2,500 gallons per one million BTUs of biofuels energy” – and according to federal reports, that’s on the conservative end. What about those who say the area’s lost too much forestland over the years? “A detailed land use study … found forest cover increased by 44,458 acres or 16.7% between 1959 and 2008.”
But wait, there’s more. Looking to catch up on the latest trends in the world of well-spacing? “Three years ago, the speculation was that each gas well might serve 40 acres. Two years ago, a 640-acre unit with four wells became standard. Today, Marcellus Shale companies are proposing 1,280-acre units on which they can potentially drill dozens of wells on less than a single five acre pad.” Sit down and listen up, DRBC. You may actually learn something here.
Of course, despite a high-profile EPA study that confirms the safety of fracturing technology, and more than 60 years of history and experience backing those findings up, DRBC finds itself today under a good bit of pressure from the naysayers as well. Their demand? DRBC must conduct a “cumulative” (read: multi-year) examination of the Marcellus before even thinking about issuing anything close to a permit. A letter sent to the Commission this week by Congressman Maurice Hinchey, a reflexive opponent of shale in particular and non-subsidized energy in general, makes this point abundantly clear:
I am writing to express my concerns regarding the Delaware River Basin Commission’s proposed regulations for natural gas exploration and production in the Delaware River Basin. … [I]t is difficult to understand how the DRBC can consider the release of gas drilling regulations without a comprehensive assessment of the possible impacts in the Delaware River Basin.
Delay, deny, and fight ‘til it dies — it’s strategy that’s as old as time itself. You know how it goes: An extra study here, an extended comment period there, a request for injunction if all else fails — anything to save opponents of affordable, job-creating energy from being put in the uncomfortable position of having to defend that proposition honestly, directly and on its own merits.
But good luck trying to bleed the air out of the tires on the NWPOA, fellas. These guys won’t be denied, and if Scott McConnell’s Times-Tribune article today is any indication, they won’t be ignored either. To wit:
Economic development organizations and landowner groups in Wayne County issued a stinging criticism Thursday against the Delaware River Basin Commission for enacting a moratorium on natural gas drilling and causing a deep negative economic impact by effectively halting development. … “We want to get the debate started and put our position out,” said Peter Wynne, spokesman, Northern Wayne Property Owners Alliance.
It’s never been bad advice to come loaded for bear when visiting Wayne Co, Pa. But don’t expect to find any bull.
Copyright http://marcelluscoalition.org/
Pro-drilling groups critical of natural gas drilling moratorium
By Steve McConnell (Staff Writer)
Published: September 10, 2010
Economic development organizations and landowner groups in Wayne County issued a stinging criticism Thursday against the Delaware River Basin Commission for enacting a moratorium on natural gas drilling and causing a deep negative economic impact by effectively halting development.
The pro-drilling groups, including landowners’ alliances that have secured more than 100,000 acres in Wayne County for gas development and the Wayne County Chamber of Commerce, also warned the commission not to develop stringent regulations that would exceed current state environmental regulations because it could deter companies from operating there.
“We want to get the debate started and put our position out,” said Peter Wynne, spokesman, Northern Wayne Property Owners Alliance. “We expect there is going to be a degree of severity that exceeds” the state Department of Environmental Protection.
The commission, which has regulated water resources in the four-state area that drains into the Delaware River since 1961, including a large swath of eastern Pennsylvania, has been developing its own environmental regulations over the industry in light of an increased interest in drilling for natural gas in the watershed.
While Marcellus Shale drilling is accelerating throughout the state and regionally in Susquehanna and Bradford counties, there are no producing wells in out the 13,539-square-mile Delaware River Basin, though Wayne County has lured multimillion-dollar land-leasing investments from several natural gas companies since 2007. The Northern Wayne Property Owners Alliance, encompassing 100,000 acres mostly north of Honesdale, finalized a land-lease agreement valued at a more than $100 million with New York City-based Hess Corp. and Houston-based Newfield Exploration Co. in late 2009.
Meanwhile, the commission enacted a drilling moratorium in May, in particular on production wells, but is allowing 10 exploratory wells to go forward in Wayne County while the regulations are developed.
The moratorium caused Newfield Exploration Co. and Hess Corp. to halt land-lease payments until the drilling ban is lifted. This could amount to the loss of $220 million in payments to leaseholders – not including royalties on producing natural gas wells – if Newfield and Hess Corp. decided to pull out of Wayne County, Mr. Wynne has said.
The pro-drilling groups’ 10-page letter, which was widely distributed to federal, state and local government officials Thursday and to the five-member commission board, urges the commission to consider the “unparalleled economic opportunities” gas drilling could yield while urging them to avoid the “infinite costs” associated with stiff environmental regulations. It also cites the poor state of the economy in Wayne County, a largely rural area with little to no economic growth in recent years, and how gas drilling could solve these “severe” challenges.
The letter also includes a series of recommendations the commission should take in its effort to regulate the industry. Efforts to reach Wayne County economic development officials were unsuccessful.
Nevertheless, the river basin commission believes it must protect the integrity of the Delaware River watershed – home to the Delaware Water Gap National Recreation Area and part of the National Wild and Scenic Rivers System – while allowing natural gas drilling to occur.
Commission spokesman Clarke Rupert said the agency is trying to ensure that water used by an estimated 15 million people in four states is not negatively impacted by the industry, and criticism of their efforts to ensure that is unfair.
“Do you want to do it quickly … or to get it right? Our approach is to get it right,” Mr. Rupert said. Mr. Rupert said that he does not know what the makeup of the regulations will be, in part because once draft regulations are published it will undergo a series of public comment and public hearing periods that may tweak its final form.
The commission hopes to adopt final regulations by the end of this year, although that is subject to change.
Contact the writer: smcconnell@timesshamrock.com
View article here.
Copyright: The Scranton Times
On the Radio: MSC Talks About Responsible Marcellus Development on Susquehanna Valley Airwaves
- MSC president: “It’s important for listeners to understand more and more about this industry, and really get the facts, because this has been done safely for years and years.”
- MSC president: “The Safe Drinking Water Act never was the venue for which we regulated hydraulic fracturing processes in this country. It’s regulated by the states, and has been for as long as it has been regulated.”
- Radio host: “I was in Bradford County last weekend and must say that the gas companies look like they’re keeping everything looking nice and clean, building new roads.”
Canonsburg, Pa. – Yesterday, Marcellus Shale Coalition (MSC) president Kathryn Klaber appeared on WKOK’s “On The Mark” program to discuss a host of issues regarding the responsible development of clean-burning, job-creating natural gas from the Marcellus Shale formation. Below are key excerpts from the interview, which is available on-line HERE (40:13–1:02:52).
On the MSC’s Community Outreach, Supply Chain Opportunities
- “It’s a really exciting time for the industry. There’s a huge interest around all sorts of businesses who see opportunities here to add new products, to strengthen the supply chain, in working alongside the drillers and the midstream companies. … We’re also working on quite a few public appearances. … It’s important for listeners and viewers and readers to understand more and more about this industry, and really get the facts, because this has been done safely for years and years. And I can let you know that the Marcellus Coalition is working hard to make sure it’s done right for years to come.”
On Modernizing Pa.’s Outdated Legislative, Regulatory Framework
- “Making sure that as we upgrade the different standards to reflect the current technologies that our members are brining that technical expertise to the table to do it in a way that really does it right. … It’s really important that we have a competitive framework and a competitive tax in place. … And for Pennsylvania, being a shining star in the national shale revolution, we want to make sure that there’s not a tax put in place that takes us out of that status, and makes it over punitive to do business here. And that’s really the same as any business person in Pennsylvania would expect, and deserve as well. Paying taxes is part of what businesses do, but you want to do it in a way that does not make you uncompetitive in what is more and more everyday a global and national marketplace.”
On Hydraulic Fracturing and the Safe Drinking Water Act (SDWA)
- “There is an extreme amount of misinformation about the Safe Drinking Water Act. The SDWA never was the venue for which we regulated the process of how water was used in hydraulic fracturing processes in this country. It’s regulated by the states, and has been for as long as it has been regulated. … We have the distinct daily exposure to the many regulatory professionals who are working in all of these companies, both with well drilling companies, well service companies, and the many environmental consulting firms, who are the members of our coalition. And those folks are implementing the dozens of laws that apply to every step of the process. … We’d be glad to show anyone the level of reports and the level of monitoring, the constant tracking of all the water that’s managed throughout this process.”
On GasLand, Shallow Methane Migration, and Pa.’s Private Water Wells
- “I do believe its entertainment. … [PA DEP] Secretary John Hanger had called it “propaganda.” It’s very easy to show certain images, and not talk about what is the science behind it. For example, the northern tier in Pennsylvania has long had naturally occurring methane in the shallow surface area. It’s a problem when it contaminates private water wells. … That has nothing to do with the shale gas, that’s 8,000 feet below the surface. Is it a problem, absolutely. Does it result in being able to light taps on fire? I understand that’s the case. That is certainly not anything that has to do with shale gas development, and has everything to do with an issue that we really need to address in Pennsylvania, separate and apart from what this new [Marcellus] opportunity means for Pennsylvanians.”
On DEP’s Claims that Half of the Marcellus Operators Failed to Meet Reporting Deadlines
- “The industry supported a law passed by the General Assembly and signed by the governor that created more transparency into what’s called the “production data.” We didn’t have that in Pennsylvania and thought it was a great idea, which gives greater transparency to all involved — and helps move the industry into the next level of modernization. … August 15th was the first ever filing date for that kind of data. When I saw that information I immediately reached out to our membership and … with the agency to correct some of the significant pieces of misinformation on that release. There is a majority of names on the list that have not even had production during the reporting period. There was no indication that “zero” should be reported, and we’ve since talked about what the industry needs [to do] when there is “zero” production.”
On Midstream Development, Moving Marcellus Gas to Pa. Consumers
- “We’ve had natural gas wells in Pennsylvania for generations, and that gas travels through what are called gathering lines, and then they go to the transmission lines. Part of the business, called the downstream part, is what sells you or I the gas for our homes or business. … So what’s happening, as larger quantities are being developed from a single well pad than before, is new gathering line infrastructure is being put in place. … Gathering lines are kind of like our neighborhood streets. It’s not the highway; those are the transmission lines. And it’s not our driveway, which just takes the gas from the ground to the wells on site. Those companies are also very integrated in what’s going on in Pennsylvania right now, and work for years, in many cases, with local landowners to make sure that that gas can get to market.”
Copyright MarcellusCoalition.org
What They’re Saying: Responsible Marcellus Production Continues to Create Much-Needed Jobs, Economic Opportunity
- Marcellus production “is creating jobs and boosting local economies”
- “Farmers are making investments in farms that were just dreams before the Marcellus Shale”
- “The opportunity for growth, job creation has not been seen since the late 1800s”
Mighty Marcellus “Boosting Pa. economy”: “Forum panelist Kathryn Klaber, president and executive director of the Marcellus Shale Coalition, detailed how the gas drilling industry is creating jobs and boosting local economies, making special note of the steel and rail industries in the state. She also addressed how the industry is working to safeguard public health and the environment and noted that the industry supported the state Department of Environmental Protection significant increase of permit fees to fund the hire of more oil and gas inspectors. (Times-Leader, 8/22/10)
Responsible Marcellus development “could yield millions for Pittsburgh”: “A solution to some of Pittsburgh’s money problems could be just below the surface. Leasing the drilling rights to natural gas trapped in a portion of the Marcellus shale formation under Pittsburgh’s 2,000 acres of parks could net the city $6 million to $16 million in one-time access fees and potentially millions more in royalties if officials make deals similar to those struck elsewhere in Western Pennsylvania and Texas. (Tribune-Review, 8/20/10)
MSC president in-studio on ‘Corbett’s Corner’: “I’m already seeing people hiring in communities where the drilling is happening, all down the supply chain. We see restaurants that are opening that have lines outside, we see suppliers. I’ve had a unique opportunity, as our industry continues to expand, to see businesses who are increasing their top line and revenue and bringing on new people. (WILK-FM, 8/19/10)
“Marcellus Hope”: “I also see the hope that Marcellus Shale brings to these farm families. The relief from financial stress and their ability to make much needed improvements to their farms is a new way of life and is in fact insuring thousands of acres will continue in agriculture for future generations. … Farmers are making investments in farms that were just dreams before the Marcellus Shale. … I see a rebuilding of the Northern Tier agriculture infrastructure that was at risk. … Marcellus Shale will be an important part of America’s energy future as well as an important part of production agriculture’s future in the northern tier. (Williamsport Sun-Gazette LTE, 8/22/10)
Heroic Marcellus worker helps rescue woman, pet from house fire: “A gas industry worker who recently moved to Wellsburg from Oklahoma got an unusual opportunity on his birthday Monday: the chance to save a life. Billy Watts, who turned 37 Monday, was driving home on South Broadway from Troy at about 6 p.m. when he saw black smoke in the air. Watts, a hydrofracturing operator for Cudd Energy Services in Pennsylvania, pulled over and helped a volunteer firefighter at the scene before any fire trucks arrived. … “It’s important for people to stop and try to help out,” Watts said. (Star-Gazette, 8/23/10)
More jobs headed to southwestern Pa.: “Universal Pegasus International, a Houston, Texas, company that provides engineering and project management services to the oil and gas industry, has opened an office at 601 Technology Drive, Southpointe. During brief ribbon-cutting ceremonies Wednesday, Chief Executive Officer John Jameson said the office employs 12 people but is expected to grow to between 50 and 70 employees within the next 18 months. (Washington Observer-Reporter, 8/26/10)
“It’s economics 101”: “Kathryn Klaber, the president of the Marcellus Shale Coalition, countered that the shale development will bring “lots of economic activity” but only if the tax is structured to encourage drillers’ continued investment in the state. “It’s economics 101,” she said. “The more you tax something, the less you get of it.” (Times-Tribune,8/22/10)
Ph.D. in petroleum seismology says “hydraulic fracturing can work for NY”: “Hydraulic fracturing – sometimes called “fracking” – involves injecting fluid into tight formations at very high pressures to create artificial fractures. … Fracking has made production from the Marcellus Shale possible and created thousands of jobs. … New York is well able to regulate fracking while at the same time allowing development of natural gas and enjoying the jobs and revenue it brings. (Syracuse Post-Standard, 8/25/10)
Marcellus production “has brought an influx of jobs, business, money to Williamsport”: “The positive impacts include the arrival of new companies, job opportunities and property owners getting lease and royalty checks. “In the past 18 to 24 months, 60 to 70 companies of varying sizes have opened in Lycoming County as a direct result of the Marcellus Shale natural gas industry,” said Vincent J. Matteo, president and CEO of the Williamsport-Lycoming Chamber of Commerce. “I have been in economic development for 30 years and have never seen anything that comes close to what we are experiencing,” he said. The opportunity for growth and job creation has not been seen since the late 1800s, when Williamsport was the lumber capital of the world, he said. Halliburton alone projects hiring up to 300. “We estimate, to date, more than 1,500 jobs have been created and thousands more will be. … We are looking at a generational opportunity that will be creating jobs and wealth for decades to come.” (Patriot-News, 8/24/10)
Marcellus producers educate local business leaders: “[EnCana’s Don] McClure and Brian Grove, Chesapeake’s director of corporate development for the Eastern Division, spoke ofeconomic and environmental benefits of natural gas production – creating jobs, using less water than any other energy-production method and producing cleaner-burning energy than coal or oil. … “So there is clearly a job creation impact associated with the industry. … We’re happy about that,” [Chamber President Todd] Vonderheid said. (Times-Leader,8/26/10)
Marcellus Multiplier: “Task force works to link businesses to gas industries”: “The Clinton County Natural Gas Task Force juggled a large number of issues Tuesday evening. … Estimates by Penn State University experts suggest the Marcellus might contain more than 500 trillion cubic feet of natural gas. Using some of the same horizontal drilling and hydraulic fracturing methods previously applied in the Barnett Shale of Texas, perhaps 10 percent of that gas (50 trillion cubic feet) might be recoverable. That volume of natural gaswould be enough to supply the entire United States for about two years. (Lock Haven Express, 8/25/10)
Marcellus production bringing an “industrial boom to Pennsylvania”: “All agreed that the gas – with an estimated worth of $1.2 trillion – contained in the Marcellus Shale formation underlying a good portion of the state could bring industrial boom to Pennsylvania. To date, gas extraction has created 88,000 jobs, $800 million in local and state tax revenue and $8 billion in economic value for Pennsylvania. (Beaver County Times,8/27/10)
NY landowners continue to rally for Marcellus opportunity: “The Sullivan County Partnership for Economic Development and supporters of natural-gas drilling struck back Thursday during a meeting of the county’s full Legislature. One by one, Partnership officials and county property owners stood up to defend the organization’s position on drilling and to criticize environmental groups for opposing an industry supporters say will boost Sullivan County out of its economic malaise. … Drilling supporters also value the land, he said, and“realists” understand the economic benefits of drilling. (Times Record-Herald, 8/20/10)
Marcellus development in NY could be “incredible”: “The economic benefit to New York could be “incredible,” says Brad Gill, executive director of the Independent Oil and Gas Association. In Pennsylvania towns where drilling has begun, he says, “the motels are filled, the restaurants are filled. It’s flourishing.” … Fracking is “absolutely” environmentally safe, he says. “I would never do anything to destroy my property.” A lucrative gas lease would change everything, he says. “To farm without debt — what a dream that would be.” (USA Today, 8/24/10)
Another local govt. backs responsible Marcellus development: “The supervisors of Lehman Township expressed their support of the industry at Monday night’s meeting. Several township residents were boisterous in their support as well. Carl Kern, who owns trucks that provide service to drillers in Bradford County, said the public should listen to the positive side of drilling. … For example, the companies are maintaining the roads they use, Kern said. … Township Chairman Dave Sutton concurred, adding that if the township must repair a road in an emergency situation, it will be reimbursed for the cost by the drillers. “It’s nice to hear something positive,” Sutton said. (Dallas Post, 8/22/10)
Copyright MarcellusCoalition.org
What They’re Saying: Responsible Marcellus Production Continues to Create Much-Needed Jobs, Economic Opportunity
- Marcellus production “is creating jobs and boosting local economies”
- “Farmers are making investments in farms that were just dreams before the Marcellus Shale”
- “The opportunity for growth, job creation has not been seen since the late 1800s”
Mighty Marcellus “Boosting Pa. economy”: “Forum panelist Kathryn Klaber, president and executive director of the Marcellus Shale Coalition, detailed how the gas drilling industry is creating jobs and boosting local economies, making special note of the steel and rail industries in the state. She also addressed how the industry is working to safeguard public health and the environment and noted that the industry supported the state Department of Environmental Protection significant increase of permit fees to fund the hire of more oil and gas inspectors. (Times-Leader, 8/22/10)
Responsible Marcellus development “could yield millions for Pittsburgh”: “A solution to some of Pittsburgh’s money problems could be just below the surface. Leasing the drilling rights to natural gas trapped in a portion of the Marcellus shale formation under Pittsburgh’s 2,000 acres of parks could net the city $6 million to $16 million in one-time access fees and potentially millions more in royalties if officials make deals similar to those struck elsewhere in Western Pennsylvania and Texas. (Tribune-Review, 8/20/10)
MSC president in-studio on ‘Corbett’s Corner’: “I’m already seeing people hiring in communities where the drilling is happening, all down the supply chain. We see restaurants that are opening that have lines outside, we see suppliers. I’ve had a unique opportunity, as our industry continues to expand, to see businesses who are increasing their top line and revenue and bringing on new people. (WILK-FM, 8/19/10)
“Marcellus Hope”: “I also see the hope that Marcellus Shale brings to these farm families. The relief from financial stress and their ability to make much needed improvements to their farms is a new way of life and is in fact insuring thousands of acres will continue in agriculture for future generations. … Farmers are making investments in farms that were just dreams before the Marcellus Shale. … I see a rebuilding of the Northern Tier agriculture infrastructure that was at risk. … Marcellus Shale will be an important part of America’s energy future as well as an important part of production agriculture’s future in the northern tier. (Williamsport Sun-Gazette LTE, 8/22/10)
Heroic Marcellus worker helps rescue woman, pet from house fire: “A gas industry worker who recently moved to Wellsburg from Oklahoma got an unusual opportunity on his birthday Monday: the chance to save a life. Billy Watts, who turned 37 Monday, was driving home on South Broadway from Troy at about 6 p.m. when he saw black smoke in the air. Watts, a hydrofracturing operator for Cudd Energy Services in Pennsylvania, pulled over and helped a volunteer firefighter at the scene before any fire trucks arrived. … “It’s important for people to stop and try to help out,” Watts said. (Star-Gazette, 8/23/10)
More jobs headed to southwestern Pa.: “Universal Pegasus International, a Houston, Texas, company that provides engineering and project management services to the oil and gas industry, has opened an office at 601 Technology Drive, Southpointe. During brief ribbon-cutting ceremonies Wednesday, Chief Executive Officer John Jameson said the office employs 12 people but is expected to grow to between 50 and 70 employees within the next 18 months. (Washington Observer-Reporter, 8/26/10)
“It’s economics 101”: “Kathryn Klaber, the president of the Marcellus Shale Coalition, countered that the shale development will bring “lots of economic activity” but only if the tax is structured to encourage drillers’ continued investment in the state. “It’s economics 101,” she said. “The more you tax something, the less you get of it.” (Times-Tribune, 8/22/10)
Ph.D. in petroleum seismology says “hydraulic fracturing can work for NY”: “Hydraulic fracturing – sometimes called “fracking” – involves injecting fluid into tight formations at very high pressures to create artificial fractures. … Fracking has made production from the Marcellus Shale possible and created thousands of jobs. … New York is well able to regulate fracking while at the same time allowing development of natural gas and enjoying the jobs and revenue it brings. (Syracuse Post-Standard, 8/25/10)
Marcellus production “has brought an influx of jobs, business, money to Williamsport”: “The positive impacts include the arrival of new companies, job opportunities and property owners getting lease and royalty checks. “In the past 18 to 24 months, 60 to 70 companies of varying sizes have opened in Lycoming County as a direct result of the Marcellus Shale natural gas industry,” said Vincent J. Matteo, president and CEO of the Williamsport-Lycoming Chamber of Commerce. “I have been in economic development for 30 years and have never seen anything that comes close to what we are experiencing,” he said.The opportunity for growth and job creation has not been seen since the late 1800s, when Williamsport was the lumber capital of the world, he said. Halliburton alone projects hiring up to 300. “We estimate, to date, more than 1,500 jobs have been created and thousands more will be. … We are looking at a generational opportunity that will be creating jobs and wealth for decades to come.” (Patriot-News, 8/24/10)
Marcellus producers educate local business leaders: “[EnCana’s Don] McClure and Brian Grove, Chesapeake’s director of corporate development for the Eastern Division, spoke ofeconomic and environmental benefits of natural gas production – creating jobs, using less water than any other energy-production method and producing cleaner-burning energy than coal or oil. … “So there is clearly a job creation impact associated with the industry. … We’re happy about that,” [Chamber President Todd] Vonderheid said. (Times-Leader, 8/26/10)
Marcellus Multiplier: “Task force works to link businesses to gas industries”: “The Clinton County Natural Gas Task Force juggled a large number of issues Tuesday evening. … Estimates by Penn State University experts suggest the Marcellus might contain more than 500 trillion cubic feet of natural gas. Using some of the same horizontal drilling and hydraulic fracturing methods previously applied in the Barnett Shale of Texas, perhaps 10 percent of that gas (50 trillion cubic feet) might be recoverable. That volume of natural gas would be enough to supply the entire United States for about two years. (Lock Haven Express,8/25/10)
Marcellus production bringing an “industrial boom to Pennsylvania”: “All agreed that the gas – with an estimated worth of $1.2 trillion – contained in the Marcellus Shale formation underlying a good portion of the state could bring industrial boom to Pennsylvania. To date, gas extraction has created 88,000 jobs, $800 million in local and state tax revenue and $8 billion in economic value for Pennsylvania. (Beaver County Times, 8/27/10)
NY landowners continue to rally for Marcellus opportunity: “The Sullivan County Partnership for Economic Development and supporters of natural-gas drilling struck back Thursday during a meeting of the county’s full Legislature. One by one, Partnership officials and county property owners stood up to defend the organization’s position on drilling and to criticize environmental groups for opposing an industry supporters say will boost Sullivan County out of its economic malaise. … Drilling supporters also value the land, he said, and“realists” understand the economic benefits of drilling. (Times Record-Herald, 8/20/10)
Marcellus development in NY could be “incredible”: “The economic benefit to New York could be “incredible,” says Brad Gill, executive director of the Independent Oil and Gas Association. In Pennsylvania towns where drilling has begun, he says, “the motels are filled, the restaurants are filled. It’s flourishing.” … Fracking is “absolutely” environmentally safe, he says. “I would never do anything to destroy my property.” A lucrative gas lease would change everything, he says. “To farm without debt — what a dream that would be.” (USA Today, 8/24/10)
Another local govt. backs responsible Marcellus development: “The supervisors of Lehman Township expressed their support of the industry at Monday night’s meeting. Several township residents were boisterous in their support as well. Carl Kern, who owns trucks that provide service to drillers in Bradford County, said the public should listen to the positive side of drilling. … For example, the companies are maintaining the roads they use, Kern said. … Township Chairman Dave Sutton concurred, adding that if the township must repair a road in an emergency situation, it will be reimbursed for the cost by the drillers. “It’s nice to hear something positive,” Sutton said. (Dallas Post, 8/22/10)
Copyright: Marcelluscoalition.org