Posts Tagged ‘natural gas drilling’

By Elizabeth Skrapits (Staff Writer)
Published: August 19, 2010

Drilling is close to wrapping up at Luzerne County’s first natural gas well, paving the way for Encana Oil & Gas USA Inc. to start on the second.

In a recent release, Encana reported drilling operations at the Buda natural gas well site on Route 118 behind the Ricketts Glen Hotel in Fairmount Township are expected to be finished within the next two weeks. Construction of the drilling pad at the Salansky site on Zosh Road in Lake Township is also “nearing completion and preparation for active drilling operations will start soon,” the company stated.

However, Encana stated that the completion process, which includes hydraulic fracturing, has not yet been scheduled for either site.

The wells will take approximately 6 millions of gallons of water for hydraulic fracturing.

The Susquehanna River Basin Commission, which regulates large water withdrawals, has granted Encana permits to take water from three sources shared with other natural gas drilling companies and three municipal sources.

The municipal sources are Dushore Water Authority in Sullivan County, Towanda Municipal Authority in Bradford County and Tunkhannock Borough Municipal Authority, Wyoming County.

Encana has SRBC permission to take up to 499,000 gallons per day from a Citrus Energy source at the North Branch Susquehanna River in Washington Township, Wyoming County; up to 999,000 gallons per day from the Mountain Energy Services Inc. source at Tunkhannock Creek in Tunkhannock Township; and up to 240,000 gallons per day from the Bowmans Creek withdrawal site of Randy Wiernusz in Eaton Township.

Withdrawals from the Citrus Energy site are currently on hold due to low stream levels, triggering what the commission calls “pass-by restrictions,” according to Susquehanna River Basin Commission Spokeswoman Susan Obleski.

Citrus Energy and Mountain Energy were also under the restrictions, but Obleski said those have been lifted.

“The other two are available, but I understand the stream flows are dropping quickly there again, so it could be only a matter of time that they’re put on hold again,” she said.

Encana also announced that in the event of a natural gas well emergency, the company is partnering with Cudd Well Control as a first responder.

Cudd, which is based in Houston, Texas, has opened a branch on Route 414 in Canton, Bradford County – the first well-control specialists to start operating in Pennsylvania. Previously, specialists from Texas had to be flown in to handle natural gas well emergencies.

“We’ve worked with Encana for a long time in Texas and look forward to partnering here in Pennsylvania,” Troy White, Cudd’s director of business development, said in a prepared statement. “Our specialized team is already familiar with Encana’s safety practices, so we expect a smooth transition to first response planning with Encana in the Marcellus.”

eskrapits@citizensvoice.com, 570-821-2072

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Copyright:  Citizens Voice

By Steve McConnell (Staff Writer)
Published: August 16, 2010

Although a natural gas drilling ban is in effect for much of Wayne County, one company is lining up permits for what may become the county’s first producing wells – in a small area just a hop across the Delaware River watershed boundary.

Hess Corp. has natural gas development permits either pending or recently approved for at least six hydraulically fractured Marcellus Shale wells along the county’s far northwestern border, according to state Department of Environmental Protection and Susquehanna River Basin Commission records.

Nearly all of the county lies within the Delaware River watershed, a vast 13,539-square-mile area that drains into the Delaware River. But this sliver in its far northern reaches is in the Susquehanna River watershed. There, the presiding Susquehanna River Basin Commission has granted hundreds of water-use permits to the burgeoning industry centered regionally in Susquehanna and Bradford counties.

Hess, which has leased at least 100,000 acres in northern Wayne County in a joint-development partnership with Newfield Exploration Co., had received regulatory approval from both the Susquehanna River Basin Commission and DEP for three Marcellus Shale wells in the Susquehanna watershed as of Saturday, according to a record review.

The permits were issued in late June and July. The pending and approved wells are concentrated in an area that encompasses Scott and Preston townships and Starrucca. The company will be “drilling and hydraulically stimulating one or more horizontal natural gas wells,” according to each permit application.

“An accounting of how (the companies) are going to use the water” is made before the commission decides to issue a permit, Susquehanna commission spokeswoman Susan Obleski said.

Efforts to reach officials with the New York City-based Hess Corp. were unsuccessful.

Drilling in Wayne County’s portion of the Delaware River watershed is a different story.

The Delaware River Basin Commission recently enacted a moratorium on the drilling of producing natural gas wells, which may be in effect for at least six months to a year. Meanwhile, Wayne County does not have a single producing well, nor has it seen any wells hydraulically fractured.

The only natural gas company that has attempted to hydraulically fracture a Marcellus Shale natural gas well in Wayne County, Lafayette, La.-based Stone Energy Corp., was issued a stop-work order in the summer of 2008 for its partially completed well in Clinton Twp. because it lacked a permit from the Delaware River Basin commission.

The Delaware River commission, a federal-state environmental regulatory agency charged with protecting the environmental integrity of the watershed, has stringent jurisdiction over the watershed and over natural gas drilling operations there.

It has placed a blanket moratorium on natural gas drilling until it develops its own industry regulations which are expected to exceed some DEP enforced laws.

“(Delaware) River Basin Commission consideration of natural gas production projects will occur after new … regulations are adopted,” said spokesman Clarke Rupert.

Mr. Rupert said draft regulations are expected to be published by the end of the summer. They will be followed by a series of public meetings and comment periods prior to final approval by commission vote.

“I expect those draft regulations will include provisions relating to the accounting of water movement since we would want to know the source of water to be used to support natural gas development and extraction activities in the basin,” Mr. Rupert said.

Meanwhile, the Delaware River commission is allowing 10 natural gas exploratory wells to go forward in Wayne County. They will not be hydraulically fractured, produce gas, or require much water. Hess Corp. and Newfield Exploration Co. received approvals for these wells from DEP prior to the June 14 moratorium.

Contact the writer: smcconnell@timesshamrock.com

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Copyright:  The Scranton Times

Published: August 6, 2010

By Laura Legere

Staff Writer

When the New York State Senate passed a nine-month moratorium on a crucial natural gas drilling technique late Tuesday, legislators there held up Pennsylvania, state regulators and a small Susquehanna County community as models for how not to drill for gas in the Marcellus Shale.

The senators’ criticism raised the ire of Pennsylvania Environmental Protection Secretary John Hanger, who defended the state’s environmental regulations on Thursday and criticized New York for riding the moral “high horse while consuming Pennsylvania gas.”

“If they are so ashamed of what’s gone on here perhaps they should stop buying Pennsylvania gas,” Hanger said.

The sponsor of the New York legislation barring hydraulic fracking, Senator Antoine Thompson, twice visited Dimock Township, in Susquehanna County, and Bradford County in the last eight months to learn from citizens and gas companies about the positive and negative effects of drilling – experiences he cited when he introduced the bill for a vote.

“I think because the state of Pennsylvania was so thirsty to get this development opportunity they did not have enough infrastructure in place, making sure they were inspecting the wells properly, making sure that landowners were protected,” Thompson, D-Buffalo, said Tuesday night.

Despite his opposition to the moratorium, New York State Senator Tom Libous, R-Binghamton, spoke even more critically of Pennsylvania.

“Shame on the state of Pennsylvania,” Libous said. “Shame on their Department of Environmental Protection … because they screwed up badly. They didn’t keep an eye on those who were drilling. They didn’t keep an eye on environmental factors on behalf of the citizens of that state.”

Hanger agreed the experience in Dimock was “unacceptable” – the department found that faulty Cabot Oil and Gas Corp. natural gas wells caused methane to contaminate residents’ drinking water there. But he described two years of work the department has dedicated to strengthening Pennsylvania’s drilling standards and enforcement, including doubling the size of its gas enforcement staff while “New York has added nobody.”

“If New York demands to have no impacts from drilling, then they better have a moratorium that extends not just through May 2011, but forever,” he said. “You cannot have drilling, even done well, and get zero impact.”

When companies have “screwed up, like Cabot screwed up in Dimock,” he said, “we’ve come down on them very, very hard.”

Marcellus Shale drilling has been on hold in New York since 2008 when the state’s environmental regulatory agency began reviewing the environmental impact of the deep well drilling and updating its permitting requirements. That review is expected to be completed later this year.

When asked if he wished he had the opportunity to watch a neighboring state learn through trial and error – as the New York State Senate’s vote positions the Empire State to continue to do – Hanger said, “There are pluses and minuses to each state’s approach.”

llegere@timesshamrock.com

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Copyright:  The Citizens Voice 

By Elizabeth Skrapits (Staff Writer)
Published: August 4, 2010

WILKES-BARRE – The Luzerne County Zoning Hearing Board on Tuesday night approved new natural gas wells and a facility for processing the gas, but added safety conditions.

Zoning hearing board members William Harris, Anthony Palischak and Chairman Lawrence Newman unanimously granted Encana Oil & Gas USA Inc. conditional use to drill five natural gas wells in an agricultural zone on the 4-P Realty property on Loyalville Road in Lake Township, as well as a natural gas processing facility that would include a compressor station and a radio tower.

Among the conditions the board imposed, Encana will have to determine whether the county’s emergency responders will be able to handle problems at the site, and to draw up a contingency plan to share with all concerned.

Encana will have to mitigate noise, light and dust at the site, as well as provide a traffic control plan, bond all county and municipal roads, and consider safety measures for school buses, such as having flagmen at bus stops.

The board also granted conditional approval on Encana’s request to drill three wells on the Kent North site at 208 State Route 118 in Fairmount Township, and two wells on the Kent South site at 27 State Route 487 in Fairmount Township.

The commissioners’ meeting room at the courthouse was jammed with people, many of whom expressed opposition to natural gas drilling.

Zoning hearing board Solicitor Stephen A. Menn repeatedly stressed that the state Oil and Gas Act does not allow local officials to regulate most aspects of natural gas well drilling, including how it is done and water use and protection.

“In what ways has the Oil and Gas Act tied your hands?” Factoryville resident Patrick Walker asked.

“Health, safety and welfare issues,” Menn said.

Like with methadone clinics and adult entertainment, zoning cannot exclude natural gas drilling, according to Menn.

“Drilling is a legal use. You have to put it somewhere,” Menn said.

The place people should seek change is Harrisburg, in laws passed by the General Assembly.

“I think it is an absolute horror, I think this is a version of fascism, that this power has been taken away from you,” Walker said.

Several residents questioned safety issues, such as the 6,800 additional trucks on the road throughout the well drilling process.

Lake-Lehman Transportation Coordinator Sandy Dobrowolski, speaking on her own behalf, expressed concern about the school buses being on the roads at the same time as the heavy traffic at the site.

Paul Ungvarsky, who lives on Loyalville Road about a mile from the 4-P property, asked if something could be done to ensure trucks don’t speed on the road. Encana Community Relations Adviser Wendy Wiedenbeck said it seemed like a reasonable request.

Ungvarsky also wanted to know what would happen if a property isn’t leased. He said his isn’t.

“If it’s unleased, we cannot drill under it,” Encana Operations Engineer Joel Fox said.

Linster added that Encana has “quite a bit of room to work with” on the 4-P site.

Mike Patrician of Clarks Summit, one of the 4-P property owners, spoke on Encana’s behalf, saying he had talked to five different companies at length about leasing.

“People are not all the same, gas companies are not all the same,” he said. “Encana has a stellar reputation in the industry.”

Gary Ide, who has leased his Lehman Township property, also defended Encana, stating that leaseholders were “extraordinarily impressed” with the company.

But Gene Stilp of Dauphin County, in referencing Patrician’s comment, said: “People are different, companies are different – frack water is pretty much the same.”

eskrapits@citizensvoice.com , 570-821-2072

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Copyright:  The Citizens Voice 

By Elizabeth Skrapits (Staff Writer)
Published: August 2, 2010

JACKSON TWP. – Just as individual property owners are testing their drinking water wells before natural gas drilling starts, Pennsylvania American Water Co. has established a baseline to ensure nothing affects the quality of water the company provides to its thousands of customers.

After giving The Citizens’ Voice a tour of the Ceasetown Reservoir’s filtration plant last week, Pennsylvania American Water representatives explained what the company is doing to augment its water quality monitoring to prevent contamination from natural gas drilling.

Although no gas wells are planned near the Huntsville or Ceasetown reservoirs in Jackson and Lehman townships, Encana Oil & Gas USA Inc. has leased mineral rights to land close to both reservoirs and is preparing to drill an exploratory well in Lake Township, not far from the Lehman Township border.

Pennsylvania American Water Production Manager Mark Cross said the company has met with Encana and showed the gas company maps to indicate where the reservoirs’ watershed is and where future drilling activity could affect them.

“We had a lot of conversations with them to say this is a concern to us, and we need ongoing communication, and we need to know what your plans are,” he said.

Pennsylvania American Water also shared its watershed maps with the state Department of Environmental Protection, Cross said. Although there is no legal requirement to notify water companies when drilling permits are issued, DEP will take the watershed maps into consideration, and Pennsylvania American Water is also keeping up “ongoing dialogue” with the state agency, he said.

“Our focus is we want to know what’s going on out there, we want constant communication, we want to know what is in place out there, what their mitigation measures are, what spill control and response plans they have,” Cross said. “And it’s worked very well. They’ve been very cooperative, both DEP and Encana.”

‘Constantly monitored’

When people in Ashley, Conyngham Township, Courtdale, Edwardsville, Hanover Township, Hunlock Township, Larksville, Nanticoke, Plymouth, Plymouth Township, Pringle, Salem Township, Shickshinny and Wilkes-Barre City turn on their taps, the water probably comes from the Ceasetown Reservoir, which is fed by Pikes Creek.

Pennsylvania American Water’s 70,000 customers served by the Ceasetown Reservoir have their water treated at a facility in Jackson Township. A similar facility treats the water from the nearby Huntsville Reservoir, which serves about 29,000 customers. Huntsville serves Dallas, Kingston Township, Swoyersville, West Wyoming and Wyoming.

The “raw water” from the reservoir is piped into the facility in a 42-inch main, where chemicals are added to coagulate the small particles and make them easier to remove, Cross said.

The water then goes through a series of filters, which include irregularly shaped plastic beads that gather impurities, and layers of sand and gravel. The water is treated with chlorine to disinfect it and lime to adjust the pH level, then it is sent to a series of storage tanks and pump stations for distribution to customers.

Ceasetown’s facility handles a normal flow of 9 million gallons a day, Plant Supervisor Sean Sorber said. During droughts, Harveys Creek is used as an emergency source, but that hasn’t been necessary for about 10 years, Cross said.

“Ceasetown Reservoir is a very good source, very good quality,” he said.

Cross said the water is “constantly monitored” at the plant, and physical tests are done in its lab. A sink in the lab has a series of specialized faucets, each pouring water in a different stage of treatment. Every shift at the plant runs a minimum of two series of 15 tests – about 100 a day – Sorber said.

Because of impending natural gas drilling, Pennsylvania American Water instituted an additional set of parameters, Cross said.

Several months ago full baseline testing started at Pikes Creek, Harveys Creek, the Huntsville Reservoir in several locations, and the raw and treated water at the Huntsville and Ceasetown plants, he said. The water is tested at the plant and in the watershed for substances including volatile organic compounds, methane and total dissolved solids – extremely tiny particles of minerals or organic matter.

“We ran a full series of baseline tests – VOCs, metals, methane – on all of the sources in this Luzerne, Lackawanna and Susquehanna county area that are subject to any possible drilling,” Sorber said. “So we have a good baseline of what we currently have, and those tests will be run periodically also, as activity increases.”

Conductivity tests are one way to measure the amount of total dissolved solids, or TDSs. Changing levels of TDSs could signify a lot of things, including the water is being affected by natural gas drilling. Sorber took a sample of untreated water from one of the faucets and placed a probe in the plastic cup, then checked the meter. It was normal.

“If we see something jumping up, that will be an indication for us there’s something going on. It’s a very straightforward test,” he said.

Besides monitoring and testing, Pennsylvania American Water is active in trying to get Pennsylvania legislation changed, according to PAWC Communications Director Terry Maenza.

Two things the company would like to see changed are adding a requirement for drinking water utilities to be notified of any nearby natural gas drilling permit applications, and to have the buffer zone outside which drilling is allowed increased from 100 feet to 2,500 feet.

“We’re being as vigilant as we possibly can be, just to keep an eye on what’s proposed and before activity takes place, what safeguards are going to be in place,” Maenza said.

Contact the writer:  eskrapits@citizensvoice.com, 570-821-2072

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Copyright:  Citizens Voice 

By Elizabeth Skrapits (Staff Writer)
Published: July 26, 2010

HARVEYS LAKE – The natural gas company planning two exploratory natural gas wells in Noxen is steering clear of nearby Harveys Lake.

“Carrizo has no intention of drilling under Harveys Lake or anywhere near Harveys Lake,” Carrizo Marcellus LLC spokesman Phillip Corey said. “Our first well, the closest point to the lake as the crow flies, is almost 3 miles away.”

The company leased more than 3,000 acres of Sterling Farms, property belonging to the Sordoni family. While most of the property is in Noxen Township, some is in Harveys Lake Borough, he said. However, the company does not have rights to drill under Harveys Lake and doesn’t want to, anyway, Corey said.

“You can’t just go out there to drop a hole wherever you please,” he said.

Harveys Lake resident Guy Giordano, who is vocal about keeping contaminants out of the lake, said it’s good news that Carrizo is not drilling in the borough – but it’s still a little too close for him.

“That still doesn’t give me a lot of comfort. Thirty miles, yeah, but 3 miles, I’m not so sure,” he said.

Hydraulic fracturing, commonly called “fracking,” involves blasting millions of gallons of chemical-treated water thousands of feet underground to break up the shale and release the natural gas.

The fact that some of these chemicals are not disclosed bothers Giordano.

“Why can’t they use something non-toxic?” he asked. “I can’t believe the government would let anyone put anything in the ground that’s secret.”

State law allows natural gas companies to drill up to 100 feet away from a water source. State Rep. Karen Boback, R-Harveys Lake, wants to expand the buffer to 2,500 feet away from drinking water sources, as well as lakes and other bodies of water that are governed by boroughs or second-class townships. She also wants to prohibit drilling beneath them.

Boback has also signed on as a co-sponsor to state Rep. Phyllis Mundy’s bill calling for a one-year moratorium on natural gas drilling in Pennsylvania.

Corey said Carrizo will test the drinking water of residents around the drilling site, as required in the lease, which also calls for staying at least 500 feet away from any structure or water source.

He said Carrizo has not decided which direction, if at all, to drill horizontally. The company might just stick with a vertical well to see what’s there, he said.

“We’re going to play this very conservatively,” Corey said.

Giordano stressed that he does not oppose natural gas drilling.

“I’m glad these people got the money for these drilling leases, God bless ‘em. They deserve it,” he said. “But I wish they didn’t have to drill. If it’s rural, it’s OK, the risk is not that great. But when you’re talking about a densely populated area, it’s not worth it. I don’t see how they can take the risk.”

Ceasetown connection

Giordano pulled his minivan to the side of the road to get a better look at the Ceasetown Dam, slightly misty in the summer rain and surrounded by lush green foliage.

This is one of the main reasons he worries about Harveys Lake becoming contaminated.

“A few years ago I had a sample of lake water tested at the Kirby Health Center,” Giordano confessed. “It passed as drinking water.”

Harveys Lake is the source of Harveys Creek. Pennsylvania American Water Co. spokesman Terry Maenza said the company uses Harveys Creek as a backup water supply for the Ceasetown Reservoir. It isn’t used often but it’s there for emergencies, he said.

The Ceasetown Reservoir in Lehman Township serves about 70,000 people in all or parts of Ashley, Courtdale, Conyngham Township, Edwardsville, Hanover Township, Hunlock Township, Larksville, Nanticoke, Newport Township, Plymouth, Plymouth Township, Pringle, Salem Township, Shickshinny, Wilkes-Barre and Wilkes-Barre Township.

“We have done some sampling from Harveys Creek to get some baseline data, so we have that information on file if and when any drilling does take place in the future,” Maenza said.

The Susquehanna River Basin Commission, which regulates large water withdrawals from sources within the river basin, has not issued permits for any natural gas companies to take water from anywhere in Luzerne County, including the Ceasetown or Huntsville reservoirs.

Besides permits from the commission, “There are other permits they would have to get through us before they could start taking our water,” Maenza said.

Last week, there were water tankers at the Huntsville Reservoir, but they were removing sludge, Maenza said. When the filters at the water treatment centers are backwashed, the sludge goes into a lagoon, he explained. About 95 percent of it is recycled, including for agricultural use, he said.

When it comes to natural gas drilling, Maenza said Pennsylvania American Water officials are being vigilant, talking to the state Department of Environmental Protection about permits, keeping in constant touch with legislators including Boback, Mundy, and state Sen. Lisa Baker, R-Lehman Township.

Maenza said the company has also been in contact with Encana Oil & Gas USA Inc., which started site preparations for a second exploratory natural gas well on Zosh Road in Lake Township on Wednesday, the same day Encana began drilling its first well in Fairmount Township.

“Nobody’s more concerned than us,” Maenza said. “This is our business. Water quality is what we rely on. We don’t want anything to put our water supply in jeopardy.”

eskrapits@citizensvoice.com , 570-821-2072

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Copyright:  The Citizens Voice

By Elizabeth Skrapits (Staff Writer)
Published: July 22, 2010

FAIRMOUNT TWP. – In one Luzerne County municipality, a natural gas drilling rig towers in the background as a guard keeps vigil against unauthorized personnel at the gate that is kept open to allow trucks to pass in and out of the site.

In another Luzerne County municipality a few miles away, new electrified fencing surrounds a meadow and engineers’ trucks kick up dust along the freshly re-graveled road.

On Wednesday, Encana Oil & Gas USA Inc. started drilling the county’s first exploratory natural gas well in Fairmount Township, and also began site preparation for a second well in Lake Township.

Encana spokeswoman Wendy Wiedenbeck said the drilling components have arrived and operations are moving forward on the site owned by Edward Buda in Fairmount Township, on Route 118 behind the Ricketts Glen Hotel. The well will be drilled about 7,000 feet deep, then go out 2,500 to 5,000 feet horizontally.

Asked what motorists can anticipate near the site, Wiedenbeck said, “We would expect some additional truck traffic. There is signage on the road leading up to and away from the location.”

Noise and dust are side effects of the drilling process, which it is estimated will take about 30 days, Wiedenbeck said. Encana will monitor and mitigate both the dust and the noise at the site, and the company is working closely with Fairmount Township officials, she said.

About a quarter of a mile down Route 118 from the drilling site, Good’s Campground owner Frank Carroll was cutting firewood Wednesday afternoon. He noticed there has been a lot of truck traffic at the drill pad.

“Crazy thing is, all I can hear is the backup of the trucks – you know, beep-beep-beep,” Carroll said as he piled the cut wood in the bed of his pickup truck and pulled a blue tarp over it. “It doesn’t bother me, but I can hear it.”

Carroll says he wakes early and sleeps soundly, so he doesn’t expect the 24-hour-a-day, seven-days-a-week drilling operation to disturb him.

“I’d sleep through the end of the world,” he joked.

One thing does bother Carroll: the speculation. Will the well pay off in royalties to landowners who leased mineral rights?

“Everybody’s been talking about it for two years, how they’re going to get rich or they’re going to get nothing,” Carroll said. “And they’re still talking about it. They all think they’re going to be rich – and they can’t all be rich.”

As soon as drilling is complete in Fairmount Township, the rig, from Horizontal Well Drillers of Purcell, Okla., will be taken to the Lake Township site.

“Efficient work operations is to go from one area to the other,” Wiedenbeck said.

In Lake Township, heavy truck traffic warning signs are in place on Meeker, Outlet and other roads to be traveled by the approximately 2,100 total trucks it will take to create the drilling pad, drill the well and bring in the roughly six million gallons of water needed for hydraulic fracturing.

Robert and Debra Anderson live so close to the Zosh Road site that will be transformed into a natural gas drilling pad they could throw a baseball from the front yard of their trailer home and easily have it land over the electrified wire fence surrounding the meadow belonging to Paul and Amy Salansky.

The Andersons love the area, which is full of wildlife: “I have turkeys, I have deer, I have foxes, I have bear … I even have ducks in my pond,” Debra Anderson said.

Things were quiet on Wednesday afternoon, but in the morning, there was a “big meeting” at the drill pad site, Robert Anderson said.

Just then a pair of engineers drove by in a Borton-Lawson truck, stirring dust from the road as they passed.

But not much dust. The Andersons are pleased with the work Lake Township’s three-man road crew has done on the dirt-and-gravel roads around the site: enlarging them, smoothing them, lining the drainage ditches with rock. Debra Anderson declared she hasn’t seen the roads look that good in the 15 years they’ve lived in the township. Encana’s paying for the road maintenance, Robert Anderson said.

Lake Township will provide dust control with calcium chloride applications on the roads, he said. But what about the noise and light when drilling starts?

“We’ll deal with it. You can’t stop progress,” Robert Anderson said.

He called Encana a “reputable company, not like the one that’s up in Dimock,” and said its representatives are good about telling residents what’s going on. He said he attended the last Lake Township meeting, at which dozens of natural gas drilling opponents showed up, and he said they should go to the company for information, not the supervisors.

“People that go to the Lake Township meetings should be Lake Township residents,” Robert Anderson said. “It’s no one else’s concern.”

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Copyright:  The Citizens Voice

By Elizabeth Skrapits (Staff Writer)
Published: July 21, 2010

HARVEYS LAKE – If the state Department of Environmental Protection can make borough officials do something about sewage pollution in the lake, why can’t it step in to prevent potential contamination from natural gas drilling?

That was the argument state Rep. Karen Boback, R-Harveys Lake, approached council with Tuesday. She asked borough officials to meet with DEP and the state fish commission to discuss a one-year moratorium on drilling near the lake.

Her suggestion was greeted with applause from the approximately 80 people who filled council chambers. Council members were open to the idea of contacting the state agencies.

“As far as I’m concerned, the precedent is set,” Boback said. “In my letter to (DEP Secretary John) Hanger, I put it was due to the infiltration problems during storm events. Our concern is the potential contamination with fracking fluids, and if that’s not a legitimate argument, I don’t know what is.”

Hydraulic fracturing or “fracking” involves blasting millions of gallons of chemical-treated water thousands of feet underground to break up the shale rock and release the natural gas.

Because of problems with raw sewage flowing into the lake during heavy rains, DEP cited the borough and ordered its officials to come up with a corrective action plan. As a result, the General Municipal Authority of Harveys Lake put a DEP-approved voluntary moratorium on new sewer connections in July 2003 until inflow and infiltration into the system was cut back. DEP allowed the authority to relax the moratorium in 2006.

“If they’re talking about infiltration, what about fracking water spewing all over the place?” Boback said, referring to a recent well blowout in Clearfield County.

Boback said she is writing legislation similar to what she introduced to protect drinking water sources, such as the Huntsville and Ceasetown reservoirs. DEP allows natural gas drilling up to 100 feet away from bodies of water. Boback wants that changed to 2,500 feet.

She also wants to prohibit drilling beneath drinking water sources and lakes, such as Harveys Lake, that are governed by a borough or second-class township.

Resident Michelle Boice urged council to take a “strong, proactive stance” with DEP on the issue.

“My concern is that we should be working closely with DEP as a government, and ask the tough questions as to why, when they have been a strong presence in this borough for more than 40 years, they are not doing something about controlling where these drilling permits are being issued,” she said. “Right over the hill, a half mile at Alderson, a drilling permit has been issued.”

Boice was referring to the Sordoni family’s Sterling Farms, where Carrizo Marcellus LLC plans to drill one of two exploratory wells in the Noxen area. She also noted so far 300 acres in Harveys Lake Borough have been leased to gas companies.

Councilman Ryan Doughton said gas companies can lease anywhere. However, zoning restricts where they can drill.

The only place where mineral extraction is allowed in the borough is in the small manufacturing zone on the northern side of the Old Lake Road, Doughton said. Natural gas companies seeking to drill in other parts of the borough would need a zoning hearing for a conditional use permit, he said.

According to resident Guy Giordano, the underground-spring-fed Harveys Lake is a source of the Ceasetown Reservoir, where thousands of people in the Wyoming Valley get their drinking water.

“Council needs to take a stronger position on this and ask the state for help, because this not only affects our wells around Harveys Lake, it affects the drinking water for the entire Wyoming Valley,” he said.

Councilman Rich Williams III said he has been studying the state Oil & Gas Act, trying to find out what council as a local government can do – state law supersedes local government.

“Please don’t think what you say is falling on deaf ears, because I practically use this thing for a pillow,” he told residents.

eskrapits@citizensvoice.com , 570-821-2072

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Copyright:  The Citizen’s Voice

• “Business is booming thanks to the lucrative gas drilling industry tapping into the Marcellus Shale”

• Marcellus development “enables those of us who have farms to keep our farms so they can be passed on to our families”

• “Safe and responsible gas development could provide the three counties with much-needed jobs and economic growth”

• WV small business “having a banner year in 2010”

“Marcellus Shale region creating growth of business and industry”: “With the development of the Marcellus Shale region creating growth of business and industry within Bradford County, we feel there is tremendous opportunity for this new hotel. In addition to our locations in State College and Lock Haven, it becomes our third Fairfield Inn and Suites in the region.” (Star-Gazette, 7/14/10)

Marcellus development positively impacting local businesses; WV small business “already is having a banner year”: “Assuming the landowner group agrees to $3,000 per acre, the resulting $79.2 million could have a major impact not only on landowners, but on local businesses. Karen Knight, a partner at Knights Farm Supply in Glen Easton, said her company already is having a banner year in 2010 as both property owners and the drilling companies themselves scramble to acquire heavy equipment and other items. “We have seen a big increase in tractor sales, farm equipment sales, grass seed for reseeding at the drilling sites, straw for reseeding and other items. It’s a better year than 2009 for sure,” she said. “Our counter is swamped every day with residents and representatives from the drilling companies. In fact, our parts and counter people are about done in. We’ve been extremely busy.” (News-Register, 7/18/10)

“Prosperous Plans For Bradford County”: “As gas companies tap into the Marcellus Shale in Bradford County, businesses are looking to cash in on what many now consider a booming local economy. … A once abandoned warehouse is now the home for a trucking company. A hotel — gutted for refurbishing. And a excavator sits in this empty lot ready for its next construction project. One thing is clear in Bradford County — business is booming thanks to the lucrative gas drilling industry tapping into the Marcellus Shale, as thousands of workers and their families flock to the area. “I think there are many small towns across America that would die to have a natural resource that they can sell and revitalize their economy,” said Mike Holt of Red Rose Diner in Towanda. (WBNG-TV, 7/13/10)

Marcellus Shale helping to keep family farms in tact: “Nearly 600 residents attended Wednesday’s day-long DRBC meeting to plead their clashing cases: That drilling is needed not only to produce relatively clean energy but to save economically desperate communities … Landowners like Judy Ahrens of Hanesdale, Pa., argued that they should be able to lease the mineral rights to their land. “It enables those of us who have farms to keep our farms so they can be passed on to our families so they don’t have to be split up and developed,” she said. (Associated Press, 7/15/10)

“Gas drilling not only creates local jobs, but increases the nation’s energy independence”: “Gas drilling not only creates local jobs, but increases the nation’s energy independence, pro-drillers say. “I support gas drilling,” said David Jones, as part of a three-hour public comment period with more than 250 speakers. “I also believe that the industry is being unfairly treated. This process has been delayed for too long. Let’s get the regulations out,” he said, to the jeers of most of the crowd. “We don’t need further studies. The process should move forward.” (Bucks Co. Courier Times, 7/15/10)

Responsible Marcellus development “a win win situation all around”: “Some landowners in Wayne County want natural gas drilling to start and start now. They are upset over a decision to halt drilling by a group watching out for the land and water in the Delaware River Basin. Landowners are ready for the halt on gas drilling to be lifted in Wayne County. “It will help to maintain open space and keep our forest grounds grounded and our farms farming.The influx of cash is desperately needed in the state of Pennsylvania, and particularly in the depressed areas of Wayne County, said Alliance Executive Director Marian Schweighofter. … “The effect this has had is its given us the ability to make a college fund for our family members. We think it’s a win win situation all around, most definitely for the economic ability of Wayne County,” said Schweighofter. (WNEP-TV, 7/13/10)

Marcellus production providing “much-needed jobs and economic growth”: “The bottom line is this: If natural gas drilling has economic benefits for Wayne County and can be conducted safely with people mindful about protecting our natural resource, the Delaware River, then shouldn’t we explore the possibilities? … Mary Beth Wood, WEDCO’s executive director, said it best in stating that the coalition — through pooling resources — can gather the best information available. “Safe and responsible gas development could provide the three counties with much-needed jobs and economic growth,” Wood said. (Wayne Independent Editorial, 7/14/10)

Marcellus economic “ripple effect will benefit everyone”: “The Marcellus shale gas drilling boom drew companies from across the country. More than 100 of them packed the Indiana County Fairgrounds Wednesday. The PA Gas Expo was a job fair, a networking event, and a chance for folks to find out what Marcellus shale gas drilling means in employment for thousands. County Commissioners said they have already noticed hotels and restaurants in Indiana County filling up with gas company workers. They said ripple effect will benefit everyone. “The growth element for the region will not be in just one area, but in many areas. And we need to be prepared for that,” said Rod Ruddock. (WJAC-TV, 7/14/10)

“Is this a golden era for Pennsylvania? Absolutely it is.”: “In a sour economy, the word out of Renda Broadcasting Corp.’s first Pennsylvania Gas Expo was sweet: Now hiring. Several companies at the expo, held Wednesday at the Mack Park fairgrounds, reported thatthey are in a hiring mode as they ramp up operations in the Marcellus shale fields underlying the region. The expo brought together 120 or so natural gas producers, drillers, land brokers, well-service companies, suppliers and job seekers. … “Is this a golden era for Pennsylvania? Absolutely it is,” said Rod Foreman, Vanderra’s director of growth and corporate development, speaking during a panel discussion. (Indiana Gazette, 7/15/10)

Pa. landowner on Marcellus development: “I think it’s a wonderful thing”: “The tiny farming community has struggled to strengthen its economy ever since Mosser Tanning Co. left town in 1961. … So, when a gas company comes and injects millions of dollars into a community that has seen half a century pass by since its industrial backbone collapsed, residents are more than excited. “I think it’s a wonderful thing,” Ms. Race said. “It’s got to help financially; much more taxes, much more money. “We’re going to finish paying our mortgage off.” (Times-Tribune, 7/19/10)

Homeowners getting in on Marcellus Shale benefits: “In this struggling economy homeowners have been coming forward hoping to make a big buck from Marcellus shale natural gas drilling boom. Mary Elwood and her husband own a farm in Saltburg, Indiana County. They already have three gas wells and a lease with PC Explorations. Elwood said it is a very profitable endeavor. She wants to sign a lease with another gas company for Marcellus shale drilling. “We get a nice check four times a year,” said Elwood. (WJAC-TV,7/14/10)

Filling county coffers: Marcellus “lease, permit fees good for tens of thousands of dollars”: “The governmental fees related to natural gas drilling that industry officials have been dangling as a cash carrot of sorts to local officials are starting to add up in Luzerne County. A review of county Zoning Office records revealed that just on Wednesday, the office took in $4,450 in permit fees for the construction of a natural gas metering station on property owned by Thomas Raskiewicz near Mossville and Hartman roads in Fairmount Township. … Butthe big winner among county offices to date – as far as revenue associated with natural gas drilling – is the Office of the Recorder of Deeds. (Times-Leader, 7/19/10)

Copyright: Marcelluscoalition.org

By Patrick Sweet (Staff Writer)
Published: July 18, 2010

Harry Traver and Doug Brody glanced at each other, stood up and followed their neighbor’s lead.

“We didn’t drive all the way out here to make changes,” neighbor Joel Field responded when Carrizo Oil & Gas proposed amendments to the multimillion-dollar deal the three came to finalize.

Before the men made it very far, the company reeled them back to the bargaining table at its Pittsburgh office and hammered out a natural gas deal that includes the mineral rights to roughly 8,500 acres.

Willing to walk away from a deal worth more than $4 million – with the potential to become much more than $40 million – the three men exemplify the roughly 135 families they represent.

“Ninety-five percent of the people that signed live here,” Mr. Brody said. “I mean, this is our home … It’s been our group’s home for years and generations in some cases. We took our time and I think we did it right.”

Noxen is a community that came together and protested the closing of its post office on a bitter December morning. They embrace the camaraderie of a community that answered the call when its historic train station was threatened with demolition and raised money to protect it.

So, when gas company land agents approached residents in rural Noxen Twp., they demonstrated perhaps their greatest skill: their ability to unite.

Strength in numbers

Residents gathered under the pavilion behind Noxen United Methodist Church to formulate their plan of action. Across the street from his Whistle Pig Pumpkin Patch, Mr. Field found himself responsible for preserving the hopes of his family, friends and neighbors for a lucrative gas lease. The Noxen Area Gas Group was born.

“I kind of stood up and said, ‘Well, we ought to try this and we ought to try that,’ and everybody said, ‘OK. Great. Go do that,’” the 47-year-old farmer said.

“The responsibility was awesome.”

Over a 2½-year span, those responsibilities included innumerable hours of courthouse research, days studying the natural gas industry and negotiating deals that never succeeded. He even traveled to Houston to market the land that their farms, orchards and businesses have rested on for generations.

“We didn’t sign in the end, but for quite a long time we were dancing with Chief,” Mr. Field said. “The only reason we danced with Chief Oil and Gas was because we did courthouse research that revealed they had a couple thousand acres right contiguous to our block.”

Mr. Field didn’t realize exactly what he was getting himself into that day. He never thought he would have to hunt down the estranged brother of a neighboring family to gain his signature on their lease.

“It actually took a couple months to find the brother in California,” Mr. Field said. “They actually tracked him down through his union.”

Just as much, Mr. Traver and Mr. Brody – whom Mr. Field called upon to help organize the group – didn’t think they would be studying geology or helping to cover a several thousand dollar attorney bill.

Two days after the group signed the lease on July 10, Mr. Field, Mr. Traver and Mr. Brody sat down with Times Shamrock Newspapers for an exclusive interview about the experience. It was a complete about-face for the tight-lipped trio who refused to jeopardize any part of the deal before it was done.

Sitting at the wooden picnic table behind Mr. Field’s house, not far from the barn where the group held some of its meetings, the three men smiled as they shared stories.

“Getting up to speed on (natural gas) and keeping the people together was always, I guess, our biggest concern,” said Mr. Field.

“But the people stayed together and that’s what made it happen,” Mr. Traver added.

“Some of our principles in the very beginning, when we first started out, was to stick together as a family, as a community,” Mr. Field continued.

A boomtown again?

It’s not difficult to imagine why the community would unite so well. The tiny farming community has struggled to strengthen its economy ever since Mosser Tanning Co. left town in 1961.

The tannery employed enough people to force the construction of a second hotel and a row of houses nearby. It brought unprecedented life to Noxen’s economy that was once based on just more than a dozen farms and a handful of small businesses.

“When the tannery left, everything left with it,” Noxen resident Pearl Race said. “This was a booming town at one time.”

So, when a gas company comes and injects millions of dollars into a community that has seen half a century pass by since its industrial backbone collapsed, residents are more than excited.

“I think it’s a wonderful thing,” Ms. Race said. “It’s got to help financially; much more taxes, much more money.

“We’re going to finish paying our mortgage off.”

Carrizo paid each lessor $500 per acre up front with an additional $4,500 and 20 percent royalty if the company finds a decent supply of gas.

On the day of the signing, Mr. Traver said, an elderly woman who was having trouble getting by stepped up to the table, leased her roughly 1-acre property and took her check. Mr. Traver’s wife, Dawn, offered to take her to the bank.

The woman, Mr. Traver said, declined the offer.

“I want to keep it for a couple days just to look at it,” she said.

The possibility of a check more than 10 times the amount they just received, it seems, has most folks embracing the words of former Alaska Gov. Sarah Palin: “Drill, baby, drill.”

“We want production,” Mr. Field said. “We’re not just out there to get the bonus money. The value in this arrangement is in the royalty.”

Is the gas there?

The problem is companies aren’t quite sure the gas is there. Carrizo bought 2-D seismic data, senior landman Phillip Corey said, to get an idea of what they’d find.

“Based on what we see, it looks OK,” Mr. Corey said. “You’re trying to extrapolate a picture with three data points, though, when what you really need is a hundred.”

The uncertainty is why Carrizo didn’t pay the full $5,000 per acre up front. The company will drill two exploratory wells to test the area’s potential before cutting any more checks.

The Noxen group is split into southern and northern areas. Carrizo will drill one well in each area. If gas production is strong in the north but not the south, Carrizo will only have to pay northern landowners and vice versa.

Wooden stakes with neon flags tied to the tops mark the location of the northern well in Mr. Field’s pumpkin patch. The Sordoni family’s huge Sterling Farms property will host to the southern well.

The Sordoni property is one of a few properties directly abutting Harveys Lake. A provision in the lease prevents Carrizo from drilling within 500 feet of any structure or water source.

Still, some folks are concerned with what might unfold.

Noxen resident Viola Robbins, 72, has family in Dimock Twp., the poster-child community for environmental disasters caused by natural gas drilling. Thousands of gallons of potentially carcinogenic drilling fluid spilled just outside the town.

“They can’t do nothing,” Ms. Robbins said. “(The gas company) brought them water for drinking and cooking.”

Toxic water forced Ms. Robbins’ great-niece Andrea Ely and her family to move back in with her parents.

“I’m against it,” Ms. Robbins said. “Maybe it’s me. It might be a different story if I had lots of land for them to drill on.”

Still, many others have faith that Carrizo won’t make the same mistakes as Cabot Oil and Gas did in Dimock Twp.

“We all own farms down through here,” Mr. Traver said. “When these people say that they are worried about the water, they aren’t as worried as these guys, because that’s how they make their living.”

Contact the writer:

psweet@citizensvoice.com

View article here.

Copyright: The Scranton Times