Posts Tagged ‘Paul’

Land in the Back Mountain complex will not be disturbed, since the approach is horizontal.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

LEHMAN TWP. – Board members who oversee the Back Mountain Recreation Complex will certainly appreciate any revenue derived from a natural gas lease if local Marcellus Shale development is successful, but that’s not why they approved the lease, according to the board president.

“All of the adjacent landowners to our property I believe did sign leases with Marcellus Shale companies,” said board President Richard Coslett, a dentist practicing in Shavertown, Kingston Township.

Because it was expected that natural gas drilling would be going on all around the organization’s 130-acre property, there was no reason not to sign a lease with Chief Oil & Gas, Coslett said. “But there will be no well drilling on the property &hellip absolutely not.”

“Our land is there for one purpose – for the recreational enjoyment of residents of the Back Mountain,” he said.

Back Mountain Recreation will receive a bonus payment of $12.50 per acre and, if natural gas is extracted from the land beneath the complex, the organization will receive 20 percent royalty payments.

Coslett said that money would go right back into developing the complex.

Coslett said the lease gives permission to Chief Oil & Gas to drill horizontally deep underneath the organization’s property without disturbing the surface. “Now, on the other properties, I can’t speak for that,” he said.

EnCana Oil & Gas is proposing to drill just over a mile from the complex on property owned by Lake Township Supervisor Amy Salansky and her husband, Paul.

There was “very concerned discussion” among the board members about the safety of children and adults who use the complex if natural gas wells were drilled on nearby property, Coslett said.

“We see what happened to the roads in the Northern Tier counties; we heard the stories of water being contaminated in the Northern Tier. Myself and the board are very concerned about those things happening here also,” Coslett said.

And, of course, the thought of an explosion on property near the complex similar to the natural gas well blowout in Clearfield County on June 3 would be enough to make any Back Mountain recreational enthusiast shudder.

But Coslett is hopeful state officials will make sure adequate regulatory safeguards are in place before drilling begins anywhere near the complex.

“I really think there is a lot of emotional information out there right now,” Coslett said. “I can understand both sides of the issue. Hopefully, the facts will come out.”

The organization is in the process of a multiphase development. A lacrosse field and two soccer fields opened in summer 2007. They were dedicated in May 2008 as Edward Darling Field, Flack Field and Pride Field.

Two more full-size soccer fields and two mid-size soccer fields were completed in fall 2008 and opened for use last fall. The fields are currently used by Back Mountain Youth Soccer and Back Mountain Lacrosse. A football field, used by the Back Mountain Youth Football and Cheerleading League, is the most recent addition.

The fields lie on about 40 acres of the complex dedicated to organized recreational activities, Coslett said. But the board wants to develop part of the remaining 90 acres for passive recreational activities such as hiking and biking trails and other activities.

Copyright: Times Leader

Copyright: Times Leader

Bill would have rollback taxes assessed only on land impacted by wellhead permanently.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

Luzerne County Assessor’s Office Director Tony Alu still doesn’t know how Marcellus Shale development on land with “Clean and Green” designation will affect the land’s tax status.

“We don’t have a clear-cut plan yet. … I’m turning over every stone to get as much information as possible. We won’t be doing anything until I’m sure what our options are,” Alu said Monday.

Clean and Green is a program authorized by state law that allows land devoted to agricultural or forest use to be assessed at a value for that use rather than at fair market value.

The intent of the program, which is administered through county government, is to encourage property owners to retain their land in agricultural, open-space or forest-land use by providing real estate tax relief.

Property owners benefit through lower taxes as long as their land isn’t used for housing developments or other uses inconsistent with agricultural production, open-space or forest-land use.

If a property owner decided to use the land for a purpose inconsistent with the program, the landowner would have to pay “rollback taxes” – the difference between fair market value and use value of the land – for as many years as the property had been designated Clean and Green, up to a maximum of seven years.

Although it’s a state-authorized program, with maximum use values set annually for each county by the Department of Agriculture’s Bureau of Farmland Preservation, the bureau offers no guidance on how drilling for natural gas on a Clean and Green parcel would affect the tax status.

“The (state Farmland and Forest Land Assessment) Act is silent in that regard, so it’s left up to each individual county how to address it,” said bureau director Doug Wolfgang.

However, Wolfgang said, in March 2009, state Sen. Gene Yaw, R-Loyalsock Township, introduced a bill that would amend the act, allowing for natural gas drilling on Clean and Green land, with rollback taxes being assessed only on the portion of land that would be permanently impacted by a wellhead. State Sen. Lisa Baker, R-Lehman Township, was a co-sponsor of that bill.

Yaw represents Union and Sullivan counties and parts of Susquehanna, Bradford and Lycoming counties, which together boasted a total of about 200 natural gas wells by the end of last year.

The bill won Senate approval in February and is before the House for consideration.

Yaw has said the bill would provide counties across the state with “a consistent interpretation” to follow and would “help to prevent differing opinions on how many acres of roll-back taxes should be levied on landowners who have leased for natural gas development.”

He has said farmers and landowners need the bill to become law “so that there isn’t any confusion on how the Clean and Green Program operates.”

The bill also would exempt land with underground transmission or gathering lines from roll-back taxes and would allow for one lease for temporary pipe storage facilities for two years. Each property would have to be restored to its original use.

Regardless of whether the bill becomes law, Lake Township Supervisor Amy Salansky said neither she nor her husband, Paul, will have to pay rollback taxes on their Clean and Green land, on which EnCana Oil and Gas USA intends to drill a natural gas well in August. If county officials decide to assess rollback taxes, the lease with EnCana makes the energy company responsible for paying them.

Salansky noted neither she nor her husband own the mineral or gas rights to the land.

The couple bought the land after the owner died so they could farm it, but the owner had willed the mineral and gas rights to his nephew, who retained them in the sale.

The Salanskys are crop farmers, growing oats, corn and hay. They own and work more farmland nearby, Amy Salansky said.

Even if the entire 50-acre parcel is kicked out of the Clean and Green program, Salansky said she would reapply to have the parcel accepted back into the program, minus the 6 acres that would be used for the gas-drilling operations.

Steve Mocarsky, a Times Leader staff writer, may be reached at 970-7311.

Copyright: Times Leader

People are wondering just what EnCana will bring to Marcellus Shale drilling.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

Edward Buda had been dealing with representatives of Whitmar Exploration Co. for about two years since he, his late brother and sister-in-law negotiated a lease with the company for natural gas drilling on their Fairmount Township property.

Now, there’s a new player in the mix, since Whitmar announced a partnership with EnCana Oil & Gas (USA) Inc. in November for a joint venture in drilling and development of the Marcellus Shale in Luzerne and Columbia counties.

Like others in the Back Mountain, Sweet Valley and Red Rock areas, Buda is a bit wary of the Denver-based energy company.

“We did business with Whitmar. How (Encana is) going to be, I don’t know. How they honor the contract, that’s to be seen. I still don’t know much about them,” said Buda, 75, who lives in Ross Township.

Buda’s brother Walter and Walter’s wife Eleanor signed a fairly simple three-page lease with Whitmar in February 2009, a month before Walter died. Eleanor passed away in November, Edward said, and he became the new lease holder just as EnCana came into the picture.

Now, EnCana wants to lease Edward’s property in Ross Township, but he isn’t too impressed with the $1,000-per-acre offer. And the 16-page lease proposal that has undergone many revisions is written in legalese, he said.

“They wanted to put a drill pad on my property (in Ross Township). I said I want to wait and see what happens in Red Rock (section of Fairmount Township). Everybody’s waiting to see whether it’s going to be a gusher or a fiasco in Red Rock,” Edward said.

Wendy Wiedenbeck, a public and community relations adviser for EnCana, said the well on Buda’s property and a second well planned for a Lake Township property owned by township Supervisor Amy Salansky and her husband, Paul, are exploratory ventures.

If those wells produce an acceptable amount of natural gas, EnCana will develop a plan for expanded drilling operations in the area, Wiedenbeck said. Drilling is expected to begin in July on Buda’s property and gas production should start by October. Clearing of an access road to the site began last week.

Company has won honors

For the past few months, Wiedenbeck has been the face of EnCana locally, arranging and attending meetings with people who live or own property within a mile of the planned drilling sites as well as attending meetings with local groups concerned about drilling activity in their communities.

A self-described “Army wife” with two sons – one in first grade, the other a senior in college, Wiedenbeck has lived in Colorado since 1989 and has been working in community/public relations since the early 1990s. She’s been with EnCana for five years.

“They’re a cultural fit for me. I believe they truly believe in responsible development,” Wiedenbeck said of her employer.

To prove her point, Wiedenbeck provided a long list of awards EnCana has received over the past few years. Just a few include:

• The 2008 U.S. Environmental Protection Agency Natural Gas STAR award, recognizing outstanding efforts to measure, report and reduce methane emissions;

• Interstate Oil & Gas Conservation Commission Chairman’s Stewardship Awards, recognizing exemplary efforts in environmental stewardship by the oil and natural gas industry;

• The 2009 Colorado Oil & Gas Conservation Commission Award for Courtesy Matters program in the Denver-Julesburg Basin surrounding Erie, Colo.

“Courtesy Matters” is EnCana’s community engagement program that brings EnCana staff and third-party contractors together with the community to discuss the nuisance issues associated with company operations,” Wiedenbeck said.

“Courtesy Matters creates a working environment where open and ongoing dialog are paramount. Discussions generally include concerns with traffic, noise and dust associated with our operations,” she said.

Community investment vital

Marty Ostholthoff, community development director for Erie, Colo., said in a teleconference that EnCana is one of four major energy companies drilling in the Denver-Julesburg Basin, the others being Noble Energy Inc., Kerr-McGee Corp. and Anadarko Petroleum Corp.

Fred Diehl, assistant town administrator in Erie, said he would be remiss if he didn’t point out “how far ahead of the other operators EnCana is” when it comes to community investment.

Diehl said he mentioned to Wiedenbeck that officials wanted to install solar panels on a new community center being built, and EnCana donated $250,000 to make that happen. A month ago, the company donated $175,000 for eco-friendly lighting at community ball fields.

“It’s not a requirement that they make notifications to our residents (about drilling activities or problems), but they do. It’s not a requirement that they make financial investments into our community, but they do,” Ostholthoff said.

Of course, there’s a downside to the presence of the drilling companies in the suburban area, which lies in one of the largest natural gas fields in the country, Diehl said.

“These things are still loud,” he said of the drilling rigs. “People come into our offices complaining, ‘We can’t sleep.’ But we worked with the operators to put up hay bales and cargo trailers to minimize the noise. The only good thing is, (the drilling is) temporary.”

As far as addressing concerns of residents, Diehl said all of the companies seem willing and responsive. “If they’re not, one of them can give the whole industry a black eye,” Diehl said.

Wiedenbeck said EnCana will have a toll-free number posted at its drilling sites that people can call to report concerns. Callers who choose the Pennsylvania prompt will be automatically directed to her office or cell phone. An operations phone number also will be established, she said.

And while EnCana will hire someone locally to help with community relations efforts, Wiedenbeck said she will continue to be “that face” for the community. She has spent about half her time in Pennsylvania since EnCana partnered with Whitmar, sometimes bringing her youngest son, Sammy, on trips here.

“He loves Pennsylvania,” she said.

Steve Mocarsky, a Times Leader staff writer, may be reached at 970-7311.

Copyright: Times Leader

EnCana also allowed to put in gas metering station in Fairmount Township.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

WILKES-BARRE – The Luzerne County Zoning Hearing Board on Tuesday gave the go-ahead for a natural gas drilling operation on 6 acres of land in Lake Township and a natural gas metering station on 5 acres in Fairmount Township – under certain conditions.

EnCana Oil & Gas USA Inc. sought a 12-month temporary use permit to drill a gas well, have a water tank storage facility and park five personnel trailers on a part of a 49-acre site located at 133 Soltis Road and owned by township Supervisor Amy Salansky and her husband, Paul.

The company also sought a special exception to install a permanent wellhead on the site.

In a separate application, EnCana sought a use variance to operate a natural gas meter station within a 112-acre parcel near the intersection of Mossville and Hartman roads on property owned by Thomas and Caroline Raskiewicz, in Fairmount Township, as well as a height variance to erect an associated 150-foot radio tower on the site.

Following a presentation by EnCana regulatory adviser Brenda Listner and listening to testimony from seven members of the public who opposed the plan in a packed hearing room at the county courthouse, the board adjourned for an approximately 10-minute executive session to, according to Chairman Lawrence Newman, “discuss the conditions that would be placed on the special exception request.”

The board then voted unanimously to approve all of Encana’s requests subject to the company providing evidence of:

• Approved permits from the state Department of Environmental Protection, the Susquehanna River Basin Commission and any other mandated agency.

• Road bonding based on acceptable rates as designated by supervisors of the townships of Lake and Lehman.

• Appropriate sound controls as necessary to minimize noise.

• Light diffusion as required to divert light away from neighboring structures.

• A dust-control plan including evidence that no contaminated water or water used in the hydraulic fracturing (fracking) process would be used for dust control.

• A pollution preparedness contingency plan, an emergency response plan and other plans set forth in EnCana’s “best management practices” outlined in a memo from EnCana.

Prior to the vote, local activist Dr. Thomas Jiunta, led off a round of questions from the public. He had asked EnCana representatives if many of the plans addressed in EnCana’s best management practices were available for review.

Listner said they were still in the works or under discussion with township officials.

Jiunta wanted to know how emergency response times in the area would be addressed, given that some sections of road are 17 feet wide and the average width of fire trucks and trucks associated with drilling operations are an average of 9 feet wide. There is no room for a truck to pull off a road and yield to an emergency vehicle, he said.

Michelle Boice of Harveys Lake said she doesn’t think “there’s any emergency preparedness,” noting that there are no police or fire departments in Lake Township, and the community relies on state police and volunteers from other communities for coverage.

Copyright: Times Leader

Parcels in Lake, Fairmount townships require county zoning approval.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

An energy company is seeking zoning approval to temporarily locate five personnel trailers and up to 192 water storage tanks capable of holding more than 4 million gallons on a 6-acre site in Lake Township.

IF YOU GO

The Luzerne County Zoning Hearing Board will hear testimony on applications from EnCana Oil & Gas for special land uses in Lake and Fairmount townships at 7 p.m. Tuesday, in the Commissioners Meeting Room at the Luzerne County Courthouse in Wilkes-Barre.

EnCana Oil & Gas USA Inc. also wants to temporarily place a sewage holding tank and a potable water tank for each trailer at the site, all to be used during the drilling of a well to extract natural gas from the Marcellus Shale formation thousands of feet below the Earth’s surface.

The Luzerne County Zoning Hearing Board on Tuesday will hear a presentation from EnCana in connection with the company’s application for a “temporary use” and a special exception to construct a permanent gas well head facility on the 49-acre property located at 133 Soltis Road and owned by township Supervisor Amy Salansky and her husband, Paul.

EnCana also is seeking a use variance to operate a natural gas meter station on 5 acres within a 112-acre parcel in Fairmount Township, as well as a height variance to erect an associated 150-foot radio tower on the site.

The meter station site, located at the intersection of Mossville and Hartman roads on property owned by Thomas and Caroline Raskiewicz, would be used to treat and compress natural gas from another well drilling site in Fairmount Township for which EnCana has already received county zoning approval. That drilling site, located off state Route 118 between Tripp and Mossville roads, is owned by Edward Buda.

The Salansky site in Lake Township is the third in the county on which EnCana plans to begin drilling for gas this summer. Earlier this month, the company received approval from Lehman Township supervisors to drill near Peaceful Valley Road on property owned by Russell and Larry Lansberry.

The Salansky and Buda sites required county zoning board approval because neither Lake Township nor Fairmount Township has zoning regulations.

Wendy Wiedenbeck, public and community relations advisor for EnCana, said the Buda site will be the first to be drilled. The target date for drilling to begin, known in the industry as the spud date, is July 1. Crews were to begin clearing an access road on Thursday.

Wiedenbeck said the spud date for the Salansky site is expected to be about a month after drilling begins at the Buda site. It takes about a month to drill a well, and the drilling equipment will be moved from one site to the next.

Plans for the Lansberry site are still under discussion, she said.

21,000-gallon tanks

According to a narrative that EnCana included in the zoning application for the Salansky site, the company will need about 6 million gallons of water for each well completion. Completing a well requires hydraulic fracturing (fracking), which is the process of injecting a mixture of water, sand and a small amount of chemical fluid additives into the wellbore under very high pressure to fracture the shale formation and release the natural gas.

EnCana estimates about 1.2 million gallons of flowback water will return to the surface.

Fresh water for the well completions will be stored in some of the 21,000-gallon “frac water” tanks, which are about 8 feet wide, 50 feet long and 13 feet tall. Some of the steel tanks also could be used to collect flowback water, which either will be treated and reused during a future well completion or hauled away and disposed of at a permitted wastewater facility.

EnCana plans to drill one well at each site using a truck-mounted drill rig. It would be drilled vertically about 7,000 to 8,000 feet deep and then horizontally about 5,000 to 7,000 feet.

During drilling operations, sites would have a drill rig, stockpiles of drill pipe and casing, a 60-by-160-foot reserve pit with an impermeable liner for collecting cuttings and fluid, mud shakers to separate the cuttings from the fluid, generators to provide power to the drill rig and office trailers that would be equipped with personnel sleeping quarters.

Drilling activities would occur around the clock for about four weeks and require on-site supervision 24 hours a day.

Main access roads to the Salansky site include Lehman Outlet, Hoover, Sholtis, Zosh, Ides, Meeker and Slocum roads and state Route 118. EnCana will work with supervisors of Lake and Lehman townships to complete a road assessment and provide appropriate bonding for the roads.

Meter site structures

Major structures at the Raskiewicz meter site in Fairmount Township, in addition to the radio tower, include two 40-by-40-foot buildings, about 20 feet tall, that would house compressor engines, and a 15-by-35-foot meter building about 12 feet high.

Also planned is a smaller air purification building.

Two 20-foot-tall storage tanks for condensate – liquids that fall out of the gas and settle at low points in the pipeline – also will be placed there, along with various other types of storage tanks, most about 10 feet tall. There also will be a dehydration unit, mainly composed of a vertical tank about 34 feet tall.

The facility will require a 1/2 acre where a 6-inch EnCana gas line will feed into the 24-inch transcontinental pipeline that already passes through the site underground, and another 1.5 acres for placement of EnCana treating and compression equipment. The additional 3 acres is for future expansion.

Main access roads to the site are state Route 118, Mossville Road and Hartman Road.

Steve Mocarsky, a Times Leader staff writer, may be reached at 970-7311.

Copyright: Times Leader

Paul had worked for a Texas-based natural gas drilling company out of Texas for a number of years. The company started to develop drilling sites in Northeastern Pennsylvania, and Paul was put up at a hotel close to the drilling site. Paul had never had an accident in the ten previous years he had worked, despite doing very physical types of activities while working with the various drills on the sites.

Paul’s good fortune ran out though, and he jammed his hand on one of the drill bits, seriously injuring the hand. Paul’s employer was insistent that since Paul was employed out of Texas and the employer was based out of Texas, that he would have to file his comp claim under Texas law.

Issue: Is Paul’s employer correct?

Answer: No. In Pennsylvania, regardless of where an employer is principally located and/or where a contract for hire was entered into, if an injury occurs in Pennsylvania, then Pennsylvania has jurisdiction and Paul will be entitled to benefits under Pennsylvania law. Pennsylvania’s workers’ compensation benefits are, for the most part, far more generous, and the injured worker is provided far more protection than in other states, especially states in the South and Midwest.

Paul had worked for a Texas-based natural gas drilling company out of Texas for a number of years. The company started to develop drilling sites in Northeastern Pennsylvania, and Paul was put up at a hotel close to the drilling site. Paul had never had an accident in the ten previous years he had worked, despite doing very physical types of activities while working with the various drills on the sites.

Paul’s good fortune ran out though, and he jammed his hand on one of the drill bits, seriously injuring the hand. Paul’s employer was insistent that since Paul was employed out of Texas and the employer was based out of Texas, that he would have to file his comp claim under Texas law.

Issue: Is Paul’s employer correct?

Answer: No. In Pennsylvania, regardless of where an employer is principally located and/or where a contract for hire was entered into, if an injury occurs in Pennsylvania, then Pennsylvania has jurisdiction and Paul will be entitled to benefits under Pennsylvania law. Pennsylvania’s workers’ compensation benefits are, for the most part, far more generous, and the injured worker is provided far more protection than in other states, especially states in the South and Midwest.

Disclaimer: The above article is for instructive purposes only and each case is fact sensitive. Consultation with an attorney should be obtained instead of reliance upon the legal issues discussed in this column.