Posts Tagged ‘Times Leader’

By RICH HOWELLS rhowells@golackawanna.com

SCRANTON – In order for Johnson College to keep up with the future of Pennsylvania’s industries, the technical school has gone back to its past.

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Johnson held an open house on Wednesday of their brand new Welding Training Center, located at 2001 Rosanna Ave. The college hasn’t offered welding training to students since 2002, when they suspended their Welding Program after 33 years due to declining enrollment.

As development of natural gas from the state’s Marcellus Shale continues, the demand has now increased for skilled welders. Johnson hopes to meet that demand through an initiative by the Center for Sustainability at Johnson College, which is dedicated to offering industry-driven curriculum related to clean, green, and sustainable energy concepts.

“Johnson College’s goal is to take welders and specifically train them for the API 1104 code, which is the regulation they’re using for the pipeline in the natural gas industry. Right now, there’s a high demand for pipe welders who can weld to the API 1104 code. That’s primarily been used in southern states, so in this area, there’s not lot of welders trained in that. Our goal is to get local people working on the pipeline,” explained welding instructor Jeff Roughgarden.

Roughgarden, who has more than 10 years of welding experience, said that Johnson is the only school in the area offering a full-time day pipe welding program. The school also offers evening classes. The two courses are Basic Cutting and Welding for Pressure Pipelines, which runs for 400 hours over 16 weeks, and Pipe Welding for experienced welders, which is 125 hours over five weeks. The Welding Training Center also provides booth rentals and customized job training.

“There aren’t many schools locally that do welding training. We’re different because we’re teaching it all at once in short, 16-week segments,” added Marie Allison, director of continuing education.

Most of the drilling is currently being done in Susquehanna County, according to Allison, but more gas well drilling is being planned in Lackawanna County all the time. As high levels of unemployment continue to plague the area, she explained that the addition of these industry jobs is not only crucial to the region, but offer steady, dependable employment as well.

“The longevity (of these jobs) is important. Given that right now there are a lot of industries that are laying off workers, we need career paths that have long-term stability, and I think the gas industry has that. It varies. Some say 15 years, some say 20 years, and some say we’ll be here for 50 years. I think it’s going to be another 15 to 20 years, and that’s going to help a lot of people.”

Allison added that while these programs give students the skills necessary to obtain entry-level positions as welders for the gas industry, the abilities they learn and develop can also be useful in other industries, such as pipe welding for boiler manufacturers.

“These are skill sets that are transferable across industry sectors, but we do expect that most of the individuals would be looking at the gas industry for employment,” Allison said.

The occupation itself, as well as its tough schedule, can be difficult, Allison warned. There are many benefits, however, to those looking to start a career.

“It is a tough field to get into, and it’s a tough career path. It’s sometimes 14 days on, 14 days off,” she said. “There’s a commute, and a lot of individuals have to be prepared to do that. If they are, then there are a lot of opportunities there.”

Copyright: Times Leader

• 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)

Senator drafting legislation to improve the emergency response at oil and gas wells.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

At a hearing he chaired on Monday in Pittsburgh, U.S. Sen. Robert Casey sought input on legislation he plans to introduce to improve emergency response at oil and gas wells.

The Faster Action Safety Team Emergency Response Act of 2010 would empower the federal Occupational Safety and Health Administration to draft regulations that would enhance emergency response procedures at oil and gas wells.

Specifically, the act would let OSHA draft regulations requiring well operators to:

• Have an employee, knowledgeable in responding to emergency situations, present at the well at all times during the exploration or drilling phase.

• Make available a certified response team, within one hour of ground travel time, if an emergency situation arises.

• Contact local first responders within 15 minutes of an emergency situation beginning.

• Contact OSHA and the National Response Center within one hour of an emergency situation beginning.

• Provide communication technology at the well site (for example, mobile communication or satellite phone).

• Provide annual training to local first responders on the hazards of a well site and proper emergency response techniques.

• File an annual report with OSHA that names the certified response team assigned to each well of the operator.

OSHA would define the term “emergency situation” and would have 18 months to finalize the regulations under the act.

Casey, D-Scranton, sought input on the legislation from panelists at a field hearing of the Senate Health, Education, Labor and Pensions Committee titled “Emergency Response in the Marcellus Shale Region.”

“Because of the recent incidents at several gas well sites, I have called this hearing to investigate the current emergency response procedures and determine where we need improvement,” Casey said.

Panelists testified on current emergency response procedures and whether increased regulation is needed.

Among those testifying was Pennsylvania Emergency Management Agency Director Robert French, who said Marcellus Shale drilling has inherent risks, as demonstrated by the recent blowout at a well in Clearfield County and a fire at a separator tank in Susquehanna County. In the past year alone, there have been at least 47 incidents at natural gas operations that required an emergency response by the state Department of Environmental Protection.

French said PEMA has had to elevate efforts in response to industry growth, conducting tabletop exercises and meetings with industry and local officials and assisting county 9-1-1 centers with concerns about identifying drilling sites – often in very remote locations – so first responders can more quickly react.

French said state budgetary constraints can impact training and emergency response capabilities, and noted that part of a natural gas severance tax proposed by Gov. Ed Rendell would go to local governments and emergency responders for planning, training and equipment.

Barney Dobinick, emergency management coordinator for Lake Township, where Encana Oil & Gas USA plans to begin drilling a gas well later this summer, said Encana and the township already have everything in place that the senator’s been discussing.

“In fact, we exceed those (requirements) 10 times over in our plans,” Dobinick said.

Copyright: Times Leader

• “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

Those against Encana Oil & Gas plans ponder appeals for permits already granted.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

As Encana Oil & Gas officials await a hearing next month on zoning permits for 10 new natural gas wells in Luzerne County, gas-drilling opponents are contemplating a second appeal for permits that already have been issued to the company.

Encana recently filed applications with the Luzerne County Zoning Hearing Board seeking temporary-use permits and special exceptions for drilling five natural gas wells and height variances for building a gas processing facility at a site nestled between Loyalville, Hickory Tree and Meeker roads in Lake Township.

The company also applied for the same types of permits for drilling wells on two properties in Fairmount Township – two wells on a site northeast of the intersection of state routes 487 and 118, and three wells on adjoining land to the northeast.

The zoning hearing board has scheduled a hearing for 7 p.m. Aug. 3 to hear testimony on those applications.

The Lake Township site, owned by 4P Realty of Blakely, is about 600 acres. The two Fairmount Township sites consist of 13 parcels – some owned by William Kent of Benton and others owned by Jeffrey Hynich of Lake Township – spanning nearly 480 acres. They are referred to as the Red Rock/Benton Gas Consortium Lands in a lease with Encana.

Encana would move forward with drilling wells on those properties if two exploratory wells in Lake and Fairmount townships prove successful.

Drilling on the Fairmount Township property of Edward Buda is expected to begin within five to 10 days, Encana spokeswoman Wendy Wiedenbeck said.

Encana won zoning approval for drilling on a Lehman Township property owned by Russell W. Lansberry and Larry Lansberry in April but withdrew the application last week – less than a month after township residents Dr. Tom Jiunta, Brian and Jennifer Doran and Joseph Rutchauskas filed an appeal of the zoning approval in county court.

Rutchauskas said on Tuesday that attorneys for the Gas Drilling Awareness Coalition are checking into the possibility of appealing the issuance of zoning permits about two weeks ago for Lake Township property owned by Amy and Paul Salansky on which Encana plans to begin drilling later this summer.

The county zoning hearing board approved the permit applications for the Salansky property in May.

Rutchauskas said he was told by a zoning official that it was too late to file an appeal on the Salansky permits because one must be filed within 30 days of the zoning hearing board’s decision.

“We’re having lawyers check into the timeframe of when the permits were approved and when they were issued. Our stance is that the 30-day timeframe is from the day the permits were issued, not from the day they were approved,” Rutchauskas said.

He said the permits could not be issued until the board received several response plans from Encana, such as a traffic management plan and an emergency response plan.

Eight permits for the Salansky property were issued on June 25 – the same day Encana submitted the plans – and two more were issued on June 28, according to zoning office records.

Rutchauskas said there’s no way zoning officials could have reviewed all the plans the same day, and the permits should not have been issued until the plans were thoroughly reviewed.

“How can you issue a permit without reading the required plans? You can put a Superman comic book in there and they wouldn’t know the difference. Do it slow, take your time, at least open them. I’ve been going through those books almost eight hours,” Rutchauskas said.

Luzerne County Planner Pat Dooley said officials are checking into how an appeal can be filed on the issuance of a zoning permit.

Dooley said he’s not aware of anyone ever appealing the issuance of a zoning permit, only the approval of a permit.

Copyright: Times Leader

Gas drilling incident in western Pennsylvania linked to firm’s corner-cutting tactics.

From staff and wire reports

HARRISBURG – Rig workers’ inexcusable failure to use a second set of pressure-control devices while preparing to connect a natural gas well to a pipeline led to the well’s blowout in western Pennsylvania last month, a consultant’s report said Tuesday.

State regulators, who hired the consultant, quickly ordered all drilling operators to adhere to a set of safety standards designed to prevent another such incident.

“I don’t know any company that would cut corners like this on this kind of well,” said consultant John Vittitow, a Texas-based petroleum engineer.

The company, Houston-based EOG Resources Inc., has used this same tactic on other wells in Pennsylvania, Vittitow said.

“I don’t think they’ll use it again,” he added.

Meanwhile, state Environmental Protection Secretary John Hanger warned that another such incident could mean the end of EOG’s business in Pennsylvania, and insisted state regulations don’t allow EOG’s tactics.

EOG and its contractor, C.C. Forbes Co. of Texas, were given maximum fines of more than $400,000 combined and ordered to take corrective actions, but were allowed to resume all activities in Pennsylvania on Tuesday after a 40-day suspension of well-finishing work.

EOG operates nearly 300 wells in Pennsylvania.

The blowout happened late June 3 on the grounds of a hunting club in Clearfield County where EOG is drilling a number of wells.

For 16 hours, explosive gas and briny wastewater shot into the air before specialists brought it under control.

Hanger insisted Tuesday that existing regulations do not allow EOG’s tactics because they require companies to obey accepted industry safety standards.

Most companies obey those, he said, but a letter sent Tuesday would lay out in detail what is expected of them.

Gary L. Smith, EOG’s vice president and general manager in Pittsburgh stated in an e-mailed that company officials “sincerely regret that the well-control issue took place.”

Since that time, Smith said, EOG has worked with the DEP to resolve all issues, will implement the new operational procedures outlined in the letter to gas well operators and looks forward to resuming activities.

Marcellus Shale Coalition president and executive director Kathryn Klaber said the new regulations DEP put forth “have already been incorporated by many of our members as part of their regular wellsite operations.”

State Rep. Phyllis Mundy, who is leading the charge for a moratorium on gas drilling in the state, said the $400,000 in fines and 40-day suspension “seems like a pittance … for what was clearly an inexcusable lack of proper procedure to care for the environment and their workers.”

Mundy, D-Kingston, said the incident “reinforces the need to hit the pause button with a moratorium. With this kind of activity, there will always be accidents.

“But with proper laws, regulations, best practice guidelines and inspections in place, we could prevent many of them and be much better prepared to deal with them when they do occur. Those things are not in place at this time, yet we continue to issue new permits. We are simply not prepared to either prevent or react to these incidents.”

Hanger said his agency would redouble its inspection activity with more emphasis on well-finishing work.

Copyright: Times Leader

HARRISBURG – Untrained personnel and the failure to use proper well control procedures were the principal causes of a June 3 natural gas well blowout in Clearfield County, according to an independent investigation that was released today by the state Department of Environmental Protection.

DEP Secretary John Hanger said the blowout, which allowed natural gas and wastewater to escape from the well uncontrollably for 16 hours, was the result of failures by the well’s operator, EOG Resources. The company and its contractor, C.C. Forbes LLC, lost control of the well while performing post-fracturing well cleanout activities.

“The blowout in Clearfield County was caused by EOG Resources and its failure to have proper barriers in place. This incident was preventable and should never have occurred,” said Hanger, who added that EOG Resources has been ordered to take nine corrective actions; C.C. Forbes ordered to take six corrective actions and both companies were fined more than $400,000, collectively.

An EOG representative said the company would issue a press release in response to DEP’s announcement later today.

Following a 40-day suspension of operations in Pennsylvania, EOG Resources and C.C. Forbes were permitted to resume all well completion activities. EOG Resources, formerly known as Enron Oil & Gas Co., operates approximately 297 active wells in Pennsylvania, 139 of which are in the Marcellus Shale formation.

The report was compiled by John Vittitow, whom DEP hired to conduct a thorough and independent investigation into all aspects of EOG’s drilling operation based on his respected reputation in the industry as an experienced petroleum engineer. The investigation was conducted alongside, but independently of, DEP’s investigation.

“Make no mistake, this could have been a catastrophic incident,” Hanger said. “Had the gas blowing out of this well ignited, the human cost would have been tragic, and had an explosion allowed this well to discharge wastewater for days or weeks, the environmental damage would have been significant.”

In light of the investigation’s findings, Hanger said his agency has written each company drilling into the Marcellus Shale to ensure they understand proper well construction and emergency notification procedures. The letter stated that:

• A snubbing unit, which prevents pipes from ejecting uncontrollably from a well, may be used to clean out the composite frac plugs and sand during post-fracturing (post-frac) if coil tubing is not an option.

• A minimum of two pressure barriers should be in place during all post-frac cleanout operations.

• Any blowout preventer equipment should be tested immediately after its installation and before its use. Records of these tests should be kept on file at the well site or with the well site supervisor.

• A sign with DEP’s 24-hour emergency telephone number and local emergency response numbers, including 911 and the county communications center, should be posted prominently at each well site.

• At least one well site supervisor who has a current well control certification from a recognized institution should be on location during post-frac cleanout operations. These certifications should be in possession at all times.

• A remote-controlled, independently powered blowout preventer unit, which allows workers to control what’s happening on the rig at a safe distance, must be located a minimum of 100 feet from the well and operational during all post-frac cleanout operations.

The fines assessed to EOG Resources and C.C. Forbes—for $353,400 and $46,600, respectively—will cover the cost of DEP’s response to the incident and the investigation. In addition to the financial penalties, DEP ordered EOG Resources to implement practices and take nine corrective actions to avoid a repeat of this incident. C.C. Forbes was ordered to implement similar practices and to take six corrective actions.

Copyright: Times Leader

It is up to the state whether to approve or deny the request to seek natural gas.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

PLAINS TWP. – A second energy company has plans to drill a natural gas well in Luzerne County – this one behind the East Mountain Business Park in Plains Township on property owned by Theta Land Corp.

Rice Drilling, a subsidiary of Washington County-based Rice Energy, filed an application for a permit to drill and operate a well in the northeast corner of the township with the state Department of Environmental Protection on June 24, according to the department’s online database.

The department has 45 days from receipt to either approve or deny the application.

Encana Oil & Gas is set to begin drilling two wells in Fairmount and Lake townships this summer and has drilling permits for two other sites in Lake and Lehman townships.

According to a DEP well locator map, the proposed well site in Plains Township would be just west of Deep Hollow Pond, a little more than 1,000 feet from Baltimore Drive and less than a mile south of Jumper Road.

Freda Tarbell, DEP’s community relations coordinator for the Northwest Region, said the staffer handling the application was unavailable on Thursday, so specifics on the site, such as acreage and distance from water sources, were unavailable.

A secretary with Rice said no company representative was available to provide information on Thursday.

The permit application is somewhat unusual, given that energy companies normally lease gas rights from land owners before applying for drilling permits. However, no lease for the land had been filed with the Luzerne County Recorder of Deeds.

Theta Land Corp. is a subsidiary of Southern Union Co. – one of the nation’s largest suppliers of natural gas – and has been linked to billionaire Louis DeNaples of Dunmore.

Environmentalists criticized DeNaples in 2000 in connection with the purchase of 44,000 acres of land – some of it environmentally sensitive – owned by Theta. He had long been thought to be the buyer, but a confidentiality clause in the sales agreement kept the buyer’s identity secret.

However, DeNaples’ role was confirmed by a Dauphin County grand jury, which determined that a company controlled by DeNaples had purchased Theta. DeNaples in 2008 had been charged with perjury for allegedly lying to state Gaming Control Board investigators about alleged ties to organized crime members. Prosecutors withdrew the charge after he transferred ownership of Mount Airy Casino Resort in Monroe County to a trust.

Plains Township Secretary Kathy O’Boyle said no application for drilling has been submitted to the municipality. She said most of the land behind the business park is zoned as a conservation district and extraction of natural resources would be considered a conditional use. The driller would have to appear before the planning commission and the township board of commissioners for approval, and that process could take about a month, she said.

Reacting to news of the drilling permit application, state Rep. Eddie Day Pashinski, D-Wilkes-Barre, said he’s “in favor of economic development and job growth,” but he supports a temporary moratorium on gas drilling in Pennsylvania “until safeguards are in place.”

“There needs to be regulations in place, enough inspectors on the ground, enough state police to monitor and check vehicles and proper water treatment facilities to protect drinking water sources,” Pashinski said.

“We were all very excited when we learned this new industry was coming to Northeastern Pennsylvania. &hellip Their initial presentations were very encouraging. But in light of what happened in Dimock and Clearfield County, I am supporting a temporary moratorium,” he said.

Natural gas migrated from well bores in Dimock, Susquehanna County, contaminating some drinking water wells last year.

A blowout at a well in Clearfield County in June shot explosive gas and polluted water 75 feet into the air before crews tamed it 16 hours later.

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

Copyright: Times Leader

It is up to the state whether to approve or deny the request to seek natural gas.

By Steve Mocarsky smocarsky@timesleader.com
Staff Writer

PLAINS TWP. – A second energy company has plans to drill a natural gas well in Luzerne County – this one behind the East Mountain Business Park in Plains Township on property owned by Theta Land Corp.

Rice Drilling, a subsidiary of Washington County-based Rice Energy, filed an application for a permit to drill and operate a well in the northeast corner of the township with the state Department of Environmental Protection on June 24, according to the department’s online database.

The department has 45 days from receipt to either approve or deny the application.

Encana Oil & Gas is set to begin drilling two wells in Fairmount and Lake townships this summer and has drilling permits for two other sites in Lake and Lehman townships.

According to a DEP well locator map, the proposed well site in Plains Township would be just west of Deep Hollow Pond, a little more than 1,000 feet from Baltimore Drive and less than a mile south of Jumper Road.

Freda Tarbell, DEP’s community relations coordinator for the Northwest Region, said the staffer handling the application was unavailable on Thursday, so specifics on the site, such as acreage and distance from water sources, were unavailable.

A secretary with Rice said no company representative was available to provide information on Thursday.

The permit application is somewhat unusual, given that energy companies normally lease gas rights from land owners before applying for drilling permits. However, no lease for the land had been filed with the Luzerne County Recorder of Deeds.

Theta Land Corp. is a subsidiary of Southern Union Co. – one of the nation’s largest suppliers of natural gas – and has been linked to billionaire Louis DeNaples of Dunmore.

Environmentalists criticized DeNaples in 2000 in connection with the purchase of 44,000 acres of land – some of it environmentally sensitive – owned by Theta. He had long been thought to be the buyer, but a confidentiality clause in the sales agreement kept the buyer’s identity secret.

However, DeNaples’ role was confirmed by a Dauphin County grand jury, which determined that a company controlled by DeNaples had purchased Theta. DeNaples in 2008 had been charged with perjury for allegedly lying to state Gaming Control Board investigators about alleged ties to organized crime members. Prosecutors withdrew the charge after he transferred ownership of Mount Airy Casino Resort in Monroe County to a trust.

Plains Township Secretary Kathy O’Boyle said no application for drilling has been submitted to the municipality. She said most of the land behind the business park is zoned as a conservation district and extraction of natural resources would be considered a conditional use. The driller would have to appear before the planning commission and the township board of commissioners for approval, and that process could take about a month, she said.

Reacting to news of the drilling permit application, state Rep. Eddie Day Pashinski, D-Wilkes-Barre, said he’s “in favor of economic development and job growth,” but he supports a temporary moratorium on gas drilling in Pennsylvania “until safeguards are in place.”

“There needs to be regulations in place, enough inspectors on the ground, enough state police to monitor and check vehicles and proper water treatment facilities to protect drinking water sources,” Pashinski said.

“We were all very excited when we learned this new industry was coming to Northeastern Pennsylvania. … Their initial presentations were very encouraging. But in light of what happened in Dimock and Clearfield County, I am supporting a temporary moratorium,” he said.

Natural gas migrated from well bores in Dimock, Susquehanna County, contaminating some drinking water wells last year.

A blowout at a well in Clearfield County in June shot explosive gas and polluted water 75 feet into the air before crews tamed it 16 hours later.

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

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Copyright:  Times Leader

WILKES-BARRE – Democratic gubernatorial nominee Dan Onorato said Thursday he doesn’t support a moratorium on drilling in the Marcellus Shale region, but he does want to see the gas industry grow in “a responsible way.”

“I will grant permits,” Onorato said. “But I want these companies to hire Pennsylvanians. I don’t want to see a bunch of Oklahoma and Texas license plates here.”

Onorato visited the Scranton Chamber of Commerce to speak to members and young professionals of POWER Scranton to discuss the opportunities for economic growth in Scranton.

“Northeast Pennsylvania is in a unique situation to benefit from great economic growth,” he said. “The combination of location, resources and infrastructure could lead to an economic boon for the region’s economy.”

Onorato is opposed by Republican Tom Corbett, who has served two terms at the state’s attorney general.

Onorato knows Northeastern Pennsylvania – he is married to the former Shelly Ziegler of Mountain Top. Onorato said he has traveled to the region regularly for the past 20 years to visit his in-laws, Bill and Sue Ziegler.

“The northeast region is very important to me,” he said. “I will be campaigning here a lot over the next 17 weeks. I see a lot of similarities between here and my home area of Pittsburgh.”

Onorato, 49, has served as the Allegheny County executive for seven years. He boasts that when the next budget is passed in October, it will mark 10 straight years of no tax increase in the county.

“I’ve run the second largest county in the Commonwealth,” Onorato said. “We’ve downsized government – going from 10 row offices to four and we consolidated five 911 centers to one. Those two moves alone saved taxpayers $7 million per year.”

Onorato, the father of three teenagers, said he is optimistic about the governor’s race. He said he doesn’t believe a poll released last week that showed Corbett ahead by 10 percentage points.

“The same people that did that poll also had McCain ahead of Obama in 2008,” He said. “All the polls I’ve seen show this race to be neck-and-neck. I know it will be a battle, but I believe I can win.”

Onorato said the northeast region’s proximity to New York and New Jersey makes it the perfect location to become the warehouse distribution center for the eastern part of the country.

“I see a lot of potential here,” he said.

The Democrat said he would seek to enact a severance tax on the Marcellus Shale drillers and he would use the revenue to fully fund the state Department of Environmental Protection. Onorato said DEP took a 28 percent budget cut last year and he wants to return the department to full capacity.

“If we’re going to allow drilling, then we need a department to watch over it and protect the water and the environment,” Onorato said.

Bill O’Boyle, a Times Leader staff writer, may be reached at 829-7218.

Copyright: Times Leader