Posts Tagged ‘natural-gas drilling boom’

• Marcellus production “will enable us all to keep our farms”
  
• “Farmers are making investments in their farms that were just dreams before the Marcellus Shale”
• Marcellus development pumping “hundreds of millions of dollars into the state’s  economy”

Family farmers say Marcellus development “will enable us all to keep our farms”: “Some see it as a way to keep their farms, which have been in their families for generations. … Nor do they have concerns over the hydraulic fracturing process, which some environmentalists claim can contaminate water wells and pollute rivers and streams. “We’ve been stewards of the farms for years,” said Ward, a fourth-generation farm owner. McMurray’s family has owned its land since 1811, and Bird’s since 1821. “It will enable us all to keep our farms,” said Wright-Croft. Ward believes that farmers have the most to lose from gas drilling since they rely on private wells to water livestock as well as drink it themselves. “You’re not going to find anyone with more concerns about the water than us,” he said. (Observer-Reporter, 8/3/10)

Marcellus development pumping “hundreds of millions of dollars into the state’s economy”: “With lease payments ranging from $750 per acre to $3,600 per acre – and royalties set from 12.5 percent to 18.75 percent – the Marcellus Shale contracts Chesapeake has signed with local property owners has pumped hundreds of millions of dollars into the state’s economy. … The natural gas company presently employs 636 Mountain State residents, with plans to hire more local workers in the future once those potential employees receive proper training. Chesapeake has spent $46 million with West Virginia-based vendors so far this year, including $1 million in shops based in Marshall and Wetzel counties and several million dollars more with a company in St. Marys, W.Va. The company also donated more than $400,000 to community organizations within Marshall and Wetzel counties during the past two years, Chesapeake leaders note. (Wheeling News-Register, 8/1/10)

Marcellus bringing hope to family farmers: “As an accountant who works for many farmers in the northern tier, I have witnessed first-hand the financial stress this important industry has experienced for the past 30 years. In the past two years, I also see the hope that Marcellus Shale brings to these farm families. … Today, these farmers are making investments in their farms that were just dreams before the Marcellus Shale. Also because of these new investments by farmers, I see a rebuilding of the northern tier agriculture infrastructure that was at risk. (Daily Item, 7/28/10)

Marcellus production “good for everybody”; Helping counties “meet their bottom line”: “Marcellus Shale drilling is boosting local water sales and helping to push the Quemahoning pipeline close to its permitted capacity. Bruce Hottle, president of the Lincoln Township Municipal Authority, said the nonprofit has been selling close to 3 million gallons per month to Dallas-based Chief Oil & Gas. Drillers use several million gallons of water to “frack” each Marcellus Shale gas well. “It’s given us some decent cash flow we wouldn’t normally have,” Hottle said. “It’s probably doubled our water sales for the months of June and July.” … “This helps us get out of the hole sooner. It’s been good for everybody,” Hottle said. … As for the county, Commissioner Pamela Tokar-Ickes said the increased usage is helping them meet their bottom line. “The more water we sell the better for the Que pipeline project,” Tokar-Ickes said. “We hope it continues.” (Daily America, 7/30/10)

More new jobs on the way thanks to the Marcellus: “A partnership between Medico Industries Inc. and a South American company looks to tap into the Marcellus Shale natural gas drilling boom with the opening of a manufacturing facility in Hanover Township. … Medico Industries received a $500,000 low-interest loan through the Luzerne County Business Development Loan program to install and purchase machinery. The company is investing nearly $960,000 in the project. It’s estimated 20 jobs will be created. (Times-Leader, 7/31/10)

Marcellus-related jobs “another strong performer”: “The Pittsburgh region’s growth in all four of those sectors ranked between third and seventh best among the 40 largest regions in the country. Another strong performer was the natural resources and mining sector; although it only added 500 jobs, that was more than any region other than Houston, likely reflecting the impact of Marcellus Shale drilling. (Pittsburgh Post-Gazette, 8/1/10)

Commissioners consider asking for proposals to drill at Moon Lake Park.

Having witnessed the natural-gas drilling boom both in other counties and for some local residents, Luzerne County officials are considering the windfall potential for county lands.

At its meeting on Wednesday, the county commissioners are expected to approve issuing a request for proposals to drill in a little more than 2,000 acres in Moon Lake Park. They’ll also likely vote on creating a gas exploration task force proposed by Commissioner Greg Skrepenak.

Commissioner Steve Urban said he’s been following the gas progress for about six months and feels now is the time to offer the park lands because surrounding landowners are seeking leases as well.

“People are already interested in the land around Moon Lake, and I’m optimistic they’d be willing to talk to us,” he said. “It’s good to be proactive.”

He said the going rates seem to be between $2,600 and $3,200 signing bonuses per acre and perhaps 18 percent royalties.

Beyond the benefits to the county, he suggested local customers would find a benefit in receiving domestically produced natural gas.

He said the drilling wouldn’t affect plans to construct mountain-bike racing courses there.

Skrepenak said he’d likely support offering the lands for leasing, but said the county should have fully researched the topic first.

“I definitely think we need to take this issue as far as we can,” he said.

The task force would gather information, but also be a source for residents and local companies seeking work with the gas companies, he said. It should be made up of county officials, other public officers and experienced professionals, he said.

The shale drilling has shown to be “recession proof” in Texas, he said, which is why he finds it an exciting consideration. “It is the hot topic,” he said. “It’s been seen as a positive thing for the most part.”

Dave Skoronski, director of the county Geographic Information System/Mapping Department, noted there are promising signs that companies are considering the county. Several companies in related industries have come to his office to buy the county’s map data.

“They’ve been coming, and some people who work at the desk said they were doing gas research,” he said, noting that Burnett Oil Co., Inc., Mason Dixon Energy, Inc. and Elexco Land Services, Inc. have purchased map information.

Panel created

Luzerne County Commissioner Greg Skrepenak was named to the County Commissioners Association of Pennsylvania’s Natural Gas Task Force.

The group has been established to identify issues related to exploration and development of natural gas in Pennsylvania and to advise on policy related to those issues. Skrepenak participated in the task force’s first conference call on Sept. 26.

Copyright: Times Leader