Posts Tagged ‘United States’

BY DENISE ALLABAUGH (STAFF WRITER)
Published: August 26, 2010

WILKES-BARRE – Encana Oil & Gas continues its quest for natural gas.

The company remains in an exploratory mode as it drills two natural gas wells in Fairmount and Lake townships, said company Vice President Don McClure.

“It’s very dependent on what we find in those two wells as to what our next steps are going to be,” Mr. McClure said.

Mr. McClure and Brian Grove, senior director of corporate development for Chesapeake Energy Corp.’s Eastern Division, spoke about the impacts of drilling natural gas wells to more than 100 business leaders who attended the Greater Wilkes-Barre Chamber of Commerce’s CEO-to-CEO networking breakfast Wednesday at the Westmoreland Club.

Earlier this month, the Luzerne County Zoning Hearing Board granted Encana Oil & Gas conditional use to drill 10 more wells in Fairmount and Lake townships. Mr. McClure says the company is “being very conservative” with the drilling process.

“We’re only going to drill a couple wells and we’ll evaluate what they’re going to produce,” Mr. McClure said.

The company drills wells simultaneously to be efficient and reduce community impact, Mr. McClure said. The potential for water pollution are among the concerns arising from the increased drilling. Yet, Mr. McClure said he sees natural-gas drilling as a “tremendous opportunity” that could reduce dependence on Middle East oil from about 44 percent to 10 percent by increasing natural gas production.

“That’s substantial,” Mr. McClure said. “That’s the kind of impact that Marcellus Shale can have.”

Showing the company’s track record in the United States and Canada on a slide presentation, Mr. McClure said the company takes safety of people and the environment very seriously. As the second largest natural gas producer in North America, he said Encana’s goal is not to be the biggest but the “best we can possibly be.”

“We’re always pursuing a higher safety standard,” he said.

Both Mr. McClure and Mr. Grove touted benefits of natural gas drilling, which they said will be an economic development engine for job growth.

When asked how many jobs could be created as a result of Marcellus Shale, Mr. McClure said studies show for every one percent increase in natural gas production across North America, that correlates to 20,000 to 30,000 jobs.

More than 350,000 oil and gas wells have been drilled in Pennsylvania since the first commercial oil well was developed in 1859, according to the state Department of Environmental Protection.

When asked what the biggest misconception of drilling is, Mr. Grove was quick to respond, “Hydraulic fracturing.” Fears about hydraulic fracturing, or the process used in wells that results in fractures in rocks, have been driven by a “lack of knowledge,” he said.

Contact the writer: dallabaugh@citizensvoice.com

View article here.

Copyright:  The Scranton Times

Experts say area should prepare because drilling is not far off

SCRANTON — Drilling for natural gas in Marcellus Shale in Monroe and Pike counties? It’s not a question of if, but when.

That was the word from around the state Thursday at a forum at Marywood University, where experts said the region is rich in the valuable fossil fuel.

The bulk of the drilling now in northeast Pennsylvania is along the northern tier but could eventually extend into the Poconos.

Kathryn Zuberbuhler Klaber, president and executive director of the Marcellus Shale Coalition, said areas more conducive to the entire operation — including roads and pipeline — are the first areas that will be drilled. Once more companies get involved and more money is available, drilling could expand to other parts of the state that haven’t seen it yet.

“There’s only so much capital right now,” she said. “By its nature, you’re going to see that concentrated development.”

Currently, there are no Marcellus Shale drilling operations in Monroe or Pike counties. There is only one in Wayne County.

One roadblock from local drilling right now is the Delaware River Basin Commission, which stopped issuing drilling permits in 2009 until it can formulate a list of regulations gas companies must meet.

Clarke Rupert, spokesman for the DRBC, said the commission hopes to have those regulations finalized by the end of the summer and adopted by the end of the year, admitting that’s an “optimistic” schedule.

Marcellus Shale is found in most of Pennsylvania and parts of New York and West Virginia, about 5,000 to 8,000 feet below the surface. It had been considered too expensive to drill, but advances in technology and the rising cost of natural gas made it more attractive, according to the Pennsylvania Department of Environmental Protection.

The new method of drilling — hydraulic fracturing, known as “fracking” — uses large amounts of water mixed with sand and other items to fracture the shale and allow the gas to flow, according to the DEP. The water used is then treated before it is released back into the water system.

However, residents near some drilling operations have complained that local water supplies have been damaged. That’s led to some in the state to wonder if this is another coal industry, which ravaged the land of the Scranton/Wilkes-Barre area before it was gone.

U.S. Rep. Paul E. Kanjorski, D-11, called the shale movement “our second chance” to correct the mistakes of the coal industry.

“Don’t exploit us, and we’ll work with you,” he said our message should be to gas companies. “Exploit us, and you don’t know the (bother) we can be to you.”

John Quigley, secretary of the state’s Department of Conservation and Natural Resources, said about half of Pennsylvania’s state parks are in areas where Marcellus Shale is thought to be present, and about 700,000 of the 2.1 million acres of state forest land already is leased by gas companies.

He called for the state to stop issuing permits to gas companies until there is more known about the industry.

“Frankly, I think we need to take more than a timeout, we need to take a stop,” he said.

U.S. Sen. Bob Casey, D-Pa., encouraged local government leaders who may not have many avenues of protecting themselves to write and even pressure their state and federal representatives to make sure the Marcellus Shale industry is regulated.

“There is almost no area that can look and say, ‘That’s someone else’s problem,’” he said. “We all have to do what we can to make sure this is done the right way.”

View article here.

Copyright:  Pocono Record

Clean-burning Marcellus Shale gas production continues to strengthen region’s economy, local workforce

The responsible and environmentally sound development of clean-burning natural gas from the Marcellus Shale continues to have a potent impact on our region’s economy and its workforce. This production is creating tens of thousands of good-paying jobs, a robust and growing supply chain network, tremendous amounts of economic opportunity, while at the same time helping delivering affordable supplies of homegrown energy to consumers throughout the Rust Belt.

“The potential is limitless,” says Gov. Ed Rendell, who underscores the fact that the “economic benefit of drilling in the Northern Alleghenies is welcome news in the midst of a sluggish economy and weak job market.”

Marcellus development is helping to buck otherwise bleak regional economic and job growth trends. This development has been – and continues to be – a boon for energy consumers, the environment, local businesses, and even for Pennsylvania’s state parks. In short, clean-burning Marcellus Shale gas is providing benefits to each and every one of the 12 million folks that call Pennsylvania home, in one way or another.

Call it a “Commitment to the Community.” Marcellus Shale Coalition (MSC) president Kathryn Klaber writes this under that headline in the Lock Haven Express yesterday, highlighting the steps shale gas producers are taking each day:

We are committed to working tirelessly each day to be good stewards of our land and waterways. We are also taking steps to ensure our operations minimize disruptions and risks in and near energy-producing communities. After all, our families live in these areas too.

While modern shale gas production involves intricate engineering technologies and techniques, our industry’s top priority is far less complex: Safely developing these clean-burning, job-creating resources in a way that benefits all Pennsylvanians – and protects the environment.

And while Marcellus development is still in the early stages, many of these benefits are already being realized. According to a recent study released by researchers at Penn State, our industry will help create nearly 212,000 jobs across the Commonwealth over the next decade. Last year alone, Marcellus development was responsible for the creation of 44,000 jobs.

And like our industry’s commitment to responsible development, we take very seriously our efforts to create job opportunities for locally trained and hired workers. As Marcellus production continues to expand, these opportunities will, too. Under the headline “Making good on a promise; Halliburton plant creates jobs,” the Williamsport Sun-Gazette highlights this promise in a story this week:

When ground was broken last August on a cement mixing plant owned by Halliburton off Route 405 in Clinton Township, company officials promised they would bring jobs to this area. The company is making good on that promise, said Perry A. Harris, senior district manager for Halliburton’s northeast U.S. operations. “By year’s end we’ll have 75 to 100 (employees) and (add) another 100 to 150 next year,” Harris said during a recent tour of the plant.

Harris said the company plans to develop another 55 acres nearby that will be home to other Halliburton gas field support operations. “Between the two sites, we’ll (be hiring) 400-plus people over the next two to three years,” Harris said.

And local training programs continue to offer and plan for coursework needed to equip the area’s workforce to join our fight for a cleaner and more secure energy future:

• Educators Tailor Courses For Marcellus Drilling Job Demand. “Local educators are creating additional courses commonly required in the Marcellus Shale drilling industry as the number of rigs is expanding across the Northern Alleghenies. Central Pennsylvania Institute of Science and Technology secondary education director Todd Taylor told WJAC-TV that there’s been a recent spike in adult students completing commercial driving license classes to drive vehicles used to haul equipment and liquid in and out of drilling sites. CPI officials plan to add an emerging energy course and expect to see of local job-seekers landing drilling rig jobs. (WJAC-TV, 8/9/10)
• Johnson hopes to build gas drilling workforce. “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. (Times-Leader, 8/10/10)
• Roustabout training offered. “Information on free training for workers seeking jobs as roustabouts in the natural gas drilling and production industry will be available from 11 a.m. to 12:30 p.m. and 4 to 5:30 p.m. Aug. 12 in Founder’s Hall, Westmoreland County Community College near Youngwood. (Pittsburg Tribune-Review, 8/5/10)
• SCCC may train gas-drilling work force. “Now count Sullivan County Community College among the institutions planning for a future that could include natural-gas drilling. Workforce Development Dean Stephen Mitchell is researching the kinds of jobs gas drilling would make available and what skills those jobs would require. The research could underpin a new job-training curriculum at the college. (Times Herald-Record, 8/3/10)

Canonsburg, Pa. – Tonight, Marcellus Shale Coalition (MSC) president and executive director Kathryn Klaber will deliver the following remarks at a public EPA forum on hydraulic fracturing. Excerpts and full text — as prepared for delivery — of her remarks are below:

• “Fracturing is considered a safe and essential part of the responsible development of natural gas, which studies have shown has the potential to create nearly 212,000 new jobs throughout Pennsylvania over the next decade.”
• “Our industry is working tirelessly to ensure that fracturing is done effectively, prudently and in a way that continues to create thousands of good-paying jobs and stable supplies of homegrown energy for U.S. consumers.”

My name is Kathryn Klaber, and I have the tremendous privilege of serving as the Marcellus Shale Coalition’s first president. And on behalf of the MSC – the organizational body that represents the vast majority of shale gas producers and midstream companies operating in the Commonwealth – I appreciate the opportunity to discuss the significant role hydraulic fracturing continues to play in the responsible development of clean-burning, job-creating natural gas.

As the MSC said at the outset of this study in March, our industry is confident that an objective, science-driven, and peer-reviewed evaluation of fracturing will reach the same conclusions produced by a host of other studies, including most notably one issued by your agency in 2004.

In that report — the product of an intensive, four-year course of study first initiated under the Clinton administration — EPA found “no evidence” suggesting the fracturing of shallow coalbed methane reserves posed a threat to underground drinking water supplies. Certainly you’re aware that coalbed methane strata reside thousands of feet closer to the water table than shale formations, and that the technology used today to access clean-burning natural gas from these formations is much more advanced and sophisticated than what was available in the past.

Here in Pennsylvania, fracturing has been in use for more than 50 years, and has been tightly regulated by the state almost before we had a name for it. Today, as you know, fracturing is considered a safe and essential part of the responsible development of natural gas, which studies have shown has the potential to create nearly 212,000 new jobs throughout Pennsylvania over the next decade.

Because of tight regulations and laws in place, coupled with the commitment from industry to protect the environment, there’s never been a single case of groundwater contamination associated with fracturing, as noted by PA DEP, top EPA officials, other state regulators, and the Groundwater Protection Council.

As EPA’s study moves forward, it’s critical to consider what the top officials responsible for regulating fracturing in the Commonwealth have said. Scott Perry, director of DEP’s bureau of oil and gas management – with whom my members work closely with – said this in May:

• “We’ve never seen an impact to fresh groundwater directly from fracking.”
• “No one’s ever documented drinking water wells that have actually been shown to be impacted by fracking.”

Pittsburgh Congressman Mike Doyle has said that state officials have “done a great job in regulating” Marcellus Shale exploration.

Unfortunately, while perceptions remain that our industry continues to resist regulations, the truth is quite the opposite. In fact, my member companies met earlier today with top DEP officials about well-casing standards; the second of such productive meetings in just months.

Our industry is working tirelessly to ensure that fracturing is done effectively, prudently and in a way that continues to create thousands of good-paying jobs and stable supplies of homegrown energy for U.S. consumers.

Once again, thank for the opportunity to speak here tonight about the critical role that hydraulic fracturing continues to play in realizing the Marcellus’s promise.

NOTE: Click HERE to view these remarks on-line.

• MSC President Kathryn Klaber: “[W]e need an updated and modernized regulatory and legislative framework, and a fair tax strategy that keeps our state ahead of the curve in attracting the investment needed to bring these resources to the surface
  
• [Severance] tax should not be set in a “vacuum” but as part of a “comprehensive evaluation” of laws and regulations governing the industry.

Shale Coalition Wants “Fair Tax” & Modernized Rules. Marcellus Shale Coalition President Kathryn Klaber says the fiscal code language about the severance tax proposal includes a commitment by elected leaders to conduct a comprehensive evaluation of “how best to seize on the opportunities of the Marcellus in the future, and do so in a manner that benefits all Pennsylvanians.” Klaber called on state lawmakers not to look at the severance tax in a vacuum, that there is more at stake than putting a little extra money in state coffers…..”we need an updated and modernized regulatory and legislative framework, and a fair tax strategy that keeps our state ahead of the curve in attracting the investment needed to bring these resources to the surface.” (WDUQ Radio, 7/7/10)

Pennsylvania needs to stay “ahead of the curve in terms of investment”: “The Marcellus Shale is not the only shale play that is under development in the United States, said Kathryn Klaber, president and executive director the Marcellus Shale Coalition.”There is a lot of competition for dollars” to develop gas wells, she said. Pennsylvania needs to stay “ahead of the curve in terms of investment” in gas drilling, Klaber said in a conference call with reporters on Tuesday. (Towanda Daily Review, 7/7/10)

Marcellus Shale represent[s] a tremendous opportunity: “The rich natural gas deposits in the Marcellus Shale represent a tremendous opportunity in the form of new jobs and economic stimulus to mostly rural communities across the commonwealth,” said Governor Rendell. “We have a responsibility to ensure that the economic benefits are balanced with the need to protect the local environment and the residents of communities where the work is being done.” (Pocono News, 7/7/10)

Gas rush has generated a frenzy: In some corners of the energy industry, tapping the shale gas has become every bit as enticing and adventurous as exploring in the Arctic and the deep waters of the Gulf of Mexico. The gas rush has generated a frenzy in the region over the past two years. In some corners of the energy industry, tapping the shale gas has become every bit as enticing and adventurous as exploring in the Arctic and the deep waters of the Gulf of Mexico. (New York Times, 7/7/10)

Comprehensive Evaluation of State Natural Gas Laws Needed: Now that the legislature has agreed in principle on the tax, energy industry leaders are hoping to influence the debate on the tax and regulation in coming months. The Marcellus Shale Coalition, an industry group, said on Tuesday the tax should not be set in a “vacuum” but as part of a “comprehensive evaluation” of laws and regulations governing the industry. Klaber argued that a “fair tax strategy,” coupled with laws and regulations that recognize the industry’s recent technological gains, would allow Pennsylvania to compete for new investment in the booming industry. (Reuters, 7/7/10)

For Mom, it’s just overwhelming: On a farm north of this old timber town that stretches out along the banks of the Susquehanna River, Perry Landon’s 82-year-old mother confronts the promises and trepidation of a new era of energy wealth. “For Mom, it’s just overwhelming,” Landon says. “She grew up in the Depression. Her parents were very poor. It’s hard for her to get her mind around this amount of money, and that you would get it for doing nothing.” Gas is testing oil’s position as the most sought-after energy commodity, as the global hunt for black gold faces technological limits, environmental risk and relentless political instability in oil-rich regions. (New York Times, 7/7/10)

The economic benefits associated with the responsible and environmentally sound development of the Marcellus Shale’s abundant, clean-burning natural gas reserves are overwhelming. Tens of thousands of good-paying jobs are being created across the Commonweal of Pennsylvania, where Marcellus development has been underway for several years. Hundreds of millions of dollars in tax revenues are being generated to local and state government. And Pennsylvania consumers, who continue to struggle with nearly double-digit unemployment rates, are seeing the benefits of shale gas development in the form of lower energy costs.

However, the story of the Marcellus Shale in New York State is a very different one. You see, in terms of geology, the Marcellus Shale formation is not considerably different in New York than it is in Pennsylvania. The technologies used to safely and effectively reach thesejob-creating resources are the same, too. But environmental regulators there have kept this production off-limits, denying the creation of thousands of jobs and countless other economic benefits to the region, despite the fact that the nation’s first natural gas well was completed in Fredonia, NY in 1821. At the same time, some elected state leaders are also working to implement an even more far-reaching moratorium on shale gas development.

Recognizing how critical this development is for Upstate New York’s struggling economy, and for our nation’s energy security, Marcellus Shale Coalition (MSC) president Kathryn Klaber joined a broad group of organizations this week in a letter to the State Assembly urging their support to move forward with responsible shale gas development: Here are key highlights from that letter:

We need your support for this compelling economic development opportunity, one that could benefit the State and localities significantly for years to come. We should embrace our State’s ability to bring New York-produced gas to New York customers, and by so doing create new opportunity and prosperity in our own State.

Natural gas is the cleanest fossil fuel known to man – is a solution to reducing our nation’s carbon footprint, and it will greatly improve New York’s and America’s energy independence. … And natural gas is abundant; the Marcellus Shale alone could supply natural gas to the entire United States for 20 years or more.

Based on economic projections in Pennsylvania, where the Marcellus is now being explored, Marcellus Shale development in New York will generate more than $1.4 billion in annual economic impact, based on 300 wells drilled – including more than $100 million in lease payments to landowners, $32 million in state tax revenue and tens of thousands of new jobs over time. In Broome County, a recent study that showed that 2,000 wells would annually generate more than $7.4 billion in economic activity, and nearly $400 million in wages, salaries and benefits. Also, more than $600 million in property tax income and $22 million and $20 million in state and local taxes would be generated. All of this – in just one county.

The folks in New York, especially those along the Southern Tier where Marcellus development would occur, are doing their part to educate, engage and inform the public, and key stakeholders, about the overwhelmingly positive benefits associated with shale gas production and how safe the process actually is. Last night, a group of elected officials, academics, landowners, and energy and labor representatives met in Binghamton to discuss these benefits, and to dispel the myths about the production of shale gas. The Ithaca Journal reports this today under the headline “Meeting touts benefits of tapping into Marcellus Shale”:

According to Syracuse University Earth Sciences professor Don Siegel, these concerns are more myth than reality. “This is the first environmental issue that I’ve thrown my hat into the ring on,” he said. “As a hydrogeologist, I really am almost offended by some of the opposition that’s trying to paint a picture of what groundwater resources are like that is completely wrong.”

“New investments will be made in a region where multimillion — and even multibillion — dollar investments have not been seen to this level in years,” said Broome County Executive Barbara Fiala,” and we can do all this while protecting the environment.”

“Our campus was one of the fastest-growing campuses in the United States, and virtually all of our graduates were going out into very good-paying energy industry jobs,” Drumm said. “The energy industry creates great jobs — lots of jobs — and we were heavily involved in our colleges in training for those jobs.”

Labor unions are also speaking out for responsible shale gas development in New York on behalf of their members. This from a WICZ-TV report:

Local union representatives were on hand as well, supporting the notion that jobs and money are on the coat tails of hydro-fracking.

Alex Barillo of Laborers Local 785 says he’s seen the benefits of drilling south of the border in Pennsylvania, and on the Millenium Pipeline where he says workers have seen a gross income of approximately 35 million dollars.

“That’s $35 million in gross wages that went to local workers right here so that they could have health insurance, they can have retirement, and they could pay their mortgages and so that they can do the things they do every day in their communities,” Barillo said.

We encourage you, your employees, colleagues, businesses associates, friends and family to visit Marcelluscoalition.org/get-involved, and join this fight for a more prosperous economy that leverages these resources into permanent, family-supporting jobs and stable supplies of domestic energy. Becoming a “Friend of Marcellus” will help ensure that you are informed and educated about the opportunities and critical issues surrounding this development, especially as it relates to moving forward with Marcellus development in New York.

Copyright: Marcelluscoalition.org

• “There were a lot of people around here who had a nicer Christmas last year because of the gas busines

• “The greatest economic and clean-energy opportunity of our lifetime

• “This is a good thing for us”

Marcellus Shale creating “family-sustaining jobs”: John Moran Jr., president of Moran Industries, described the arrival of the natural gas industry as “a wonderful thing” that will both create “family-sustaining jobs” and lead people to finally “really believe the clouds (have) parted.” He likened the gas industry to “a blessing from God” and predicted a trickle-down effect and creation of new wealth unlike anything seen here since the long-ago lumber era. Heinz said the gas industry brings to the area “unlimited” business and employment opportunities. (Williamsport Sun-Gazette, 6/23/10)

Responsible Marcellus development benefiting “the mom-and-pops”: “The burst in industrial activity creates new business opportunities and spinoff benefits for established companies, said Marilyn Morgan, president of the Greater Montrose Chamber of Commerce. “We’ve got a lot of entrepreneurs,” she said, including vendors selling food at drilling sites and start-up laundry services cleaning clothes for gas-field workers. “The mom-and-pops are starting to see some economic benefits,” Morgan said. “Restaurants are seeing a difference.” (Towanda Daily-Review, 6/23/10)

Sen. Mary Jo White: Marcellus Shale “the greatest economic, clean-energy opportunity of our lifetime”: “It must be noted that this activity has generated billions of dollars for landowners, including the state, through lease and royalty payments, as well as hundreds of millions of tax dollars through corporate and personal income, sales, fuel and other taxes. … Without question, we must ensure that drilling occurs in a responsible manner. Thanks to increased permitting fees, we now have twice as many permit reviewers and inspectors on the ground than before the Marcellus rush. … The Marcellus Shale presents perhaps the greatest economic and clean-energy opportunity of our lifetime. (Pittsburgh Post-Gazette, 6/23/10)

Marcellus Shale expanding PA’s workforce, small businesses: “According to Heinz, M-I SWACO initially will employ about 20 to 30 people at or working out of the Moran site, but he predicted the numbers will grow. … Among the employment opportunities are skilled positions for field engineers. Those hired locally will be those with both high school and college degrees, who will train before going out to well sites, according to Heinz. (Williamsport Sun-Gazette, 6/23/10)

Congressman Joe Pitts: Marcellus Shale will benefit local companies, “reduce energy costs while improving air quality”: “A Penn State University estimate shows that there is now enough gas in the Marcellus Shale to supply the entire U.S. for more than 14 years. Obviously, the Shale is not going to be tapped all at once and will not be the sole source of gas in the U.S., meaning that wells in Pennsylvania will provide a source of natural for decades. It is estimated that natural gas exploration could lead to more than 100,000 jobs statewide. While Pennsylvania’s 16th Congressional District is not located above the shale,local companies will certainly benefit. … With many Pennsylvanians looking for work we shouldn’t pass up this opportunity to create new jobs. Responsible development of the Marcellus Shale can reduce energy costs while improving air quality. (Pottstown Mercury,6/23/10)

Marcellus Shale generating new jobs, significant revenue for local, regional businesses: “Larry Mostoller’s company moves up to 1 million gallons of water a day for Cabot Oil and Gas Corp. “My company has grown 300 percent in one year.” “I employ 80 percent of my workforce from Susquehanna and Wyoming counties,” he said. “I’m definitely going to go over 100 (employees) this year.” Despite controversy about the economic, environmental and employment impacts of Marcellus Shale natural gas development, the industry generates new jobs and significant revenue for regional businesses. … A recent Penn State University study financed by the gas industry concluded that drilling companies spent $4.5 billion in the state in 2009 and helped create 44,000 jobs. (Citizens Voice, 6/23/10)

Marcellus development helping local school districts, “Taxpayers like the idea”: “A school district in Bradford County is now caught up in the natural gas boom. Towanda Area School District agreed Monday night to a $500,000 gas lease with Chesapeake Energy. … “This is added money that we didn’t have before, new money,” said school board vice president Pete Alesky. … There won’t be big gas drilling rigs on the actual school property. The lease only allows the gas company to drill underneath the land. If the gas company finds gas there, then the school district can make more money by getting 20 percent royalties. “They should get in it. The opportunity is there to get some money and they should get it,” said taxpayer Howard Shaw of Wysox Township. … Taxpayers who talked with Newswatch 16 liked the idea of the district getting the surge of cash. (WNEP-TV, 6/22/10)

Marcellus Shale ‘crop’ sustaining family farms: “Natural gas is a new crop for farmers in many parts of the state. It is harvested thousands of feet below the topsoil. This new revenue it generates has allowed countless farms to stay in business, repair and upgrade their barns and buy new equipment to plant their crops. The lease revenue has saved many farms from development and allowed farmers to invest in modern no-till equipment to farm in a more efficient and environmentally friendly way – both are good for water quality and the environment. (Wilkes-Barre Times Leader LTE, 6/22/10)

Marcellus Shale send rail yards booming, boosting “overall economic development”: “A $500,000 upgrade of the historic rail yard in Fell Twp., which was built in 1825 to help ignite the region’s coal boom, is a good example of the region’s new gas industry’s ability to boost overall economic development and of the growing importance of rail freight to the region. The project will make possible the easy delivery, by rail rather than truck alone, of many of the materials used in the booming Marcellus Shale drilling industry. … The rail yard upgrade is a good example of how to use the gas industry to boost general economic activity. (Scranton Times-Tribune Editorial, 6/22/10)

PA prof.: Marcellus “energy, income, jobs a good thing for us”: “Debate about the economic effect may overlook the impact on the ground, said John Sumansky, Ph.D., an economist at Misericordia University in Dallas. “The burst of energy and income and jobs coming from this spills over to a sector where the economy has been lagging in this region,” Sumansky said. “This is a good thing for us, especially in the fields of transportation and construction.” It is a good thing for Latona Trucking and Excavating Inc., a Pittston company that does well-site preparation and hauls water for Chesapeake. On some days, up to 60 of the company’s 120 employs do gas-related work, said Joseph Latona, company vice president. … “This will probably be our best year ever in business.” (Towanda Daily-Review,6/23/10)

200,000 well-paying jobs will be generated over the next decade: “It is likely, with the continued development of the Pennsylvania Marcellus Shale and the aging of the current natural gas industry workforce, that more than 200,000 well-paying jobs will be generated over the next decade, with an even greater number as drilling activity increases. … There is an immediate need for truck drivers/operators, equipment operators, drillers, rig hands, geologists/geophysical staff, production workers, well tenders, engineers, land agents and more. (PA Business Central, 6/22/10)

Marcellus Shale is saving small businesses, allowing folks to have “a nicer Christmas”: “Donald Lockhart sees a big difference over the last two years at his restaurant and gas station in South Montrose along Route 29, a major artery for drilling-related traffic. “We’ve better than tripled our business since last year,” Lockhart said as he sat in a booth in the dining area while a flatbed truck hauling an industrial generator idled outside. “I’m selling more Tastykake than they are in the grocery store.” … “They saved my business by coming here.” … Dozens of small businesses in the Endless Mountains region benefit from gas development, Mostoller said. … “My employees live better because they work in this industry,” Mostoller said. “There were a lot of people around here who had a nicer Christmas last year because of the gas business,” Lockhart said. (Towanda Daily-Review, 6/23/10)

The game-changing resource of the decade: “The extraction of shale natural gas is set to become a major growth industry in the United States. Recently, Amy Myers Jaffa wrote in the Wall Street Journal that natural gas could become “the game-changing resource of the decade.” Already Pennsylvania, West Virginia, Louisiana, and other states are beginning to reap the economic benefits of a natural gas boom. A study by Penn State University predicted that the natural gas industry in Pennsylvania alone will be responsible for the creation of 111,000 jobs and for bringing in an additional $987 million in tax revenue to the state by 2011. Natural gas extraction has been one of few industries growing (without government subsidies) during this recession. (Biggovernment.com Op-Ed, 6/23/10)

Copyright: Marcelluscoalition.org

U.S. Senate candidate Joe Sestak holds a meeting at Misericordia University.

By Sherry Long slong@timesleader.com
Staff Writer

Published on June 13, 2010

DALLAS TWP. – Property owners concerned about the effects of Marcellus Shale drilling on water reservoirs made their views clearly known Saturday afternoon during a packed town hall meeting at Misericordia University’s library.

They wanted a moratorium enacted immediately on all gas drilling throughout the state until more is known on how to safely drill natural gas wells without using dangerous chemicals in the hydrofracturing process. The process uses between 1 million to 1.5 million of gallons of water per well laced with chemicals and dirt under high pressure to force the ground open to release natural gas, geologist Patrick Considine said.

Considine and Democratic U.S. Senate candidate Joe Sestak, whose campaign organized the town hall forum, said that during President George W. Bush’s administration, requirements on oil and gas companies were dramatically lifted. Considine, president of Considine Associates and forum panel member, explained that federal and state officials are not entitled to know what mixtures of chemicals each gas drilling company uses because it is considered a trade secret formula.

He warned that the federal and state governments need more officials to oversee the drilling processes, so the companies are not tempted to cut corners when disposing of the water after the fracking.

“Oil and gas companies need to be held to the same standards as other companies. We don’t need more regulations; we need to find ways to enforce the regulations we have,” Considine said.

People wanting the moratorium drowned out the drilling supporters, including business owner, economist and farmer Joe Grace of Morris in Lycoming County, who sees this industry being one of the biggest Pennsylvania has ever experienced by bringing 88,000 jobs to the state just this year and generating millions in revenue.

Worried about the environment and safety of area water systems, local podiatrist Dr. Thomas Jiunta adamantly disagreed with Grace, pointing to the recent gas well drilling incident in Clearfield County and a gas pipeline accident that killed one worker in Texas.

“This is not a safe activity as we know how to do it right now. We need to stop it first. We are putting the cart before the horse when you are talking about economic boom. You can’t drink gas,” said Jiunta of Dallas, a Gas Drilling Awareness Coalition founding member.

Jiunta added more focus should be put jobs that will support and grow green and renewable energy sources.

Sestak told people he sees gas drilling as an economic boon to the state, yet it needs to be done in a responsible way.

“I think this would be a good way to yes, exploit our resources, but not our communities. Business has to pause. Harrisburg has to stop until we get it right,” Sestak said, adding that he supports enacting a 5 percent severance tax on the drilling companies. He said is in favor of a moratorium

No representatives from the campaign of Sestak’s opponent, former U.S. rep. Pat Toomey, attended the forum.

A statement from the Republican candidate’s campaign staff said Sestak’s plan for taxing the drilling will backfire by pushing those companies to focus on other states.

“Marcellus Shale has the potential to provide Pennsylvania with over 200,000 new jobs and millions of dollars in added revenue, but Joe Sestak’s plan to tax natural gas extraction will chase these jobs out of Pennsylvania. A recent study warned that a tax on Marcellus natural gas output would very likely divert investment to other states like Colorado and Texas. This is further proof that Joe Sestak’s ‘more government, less jobs’ approach is bad for Pennsylvania,” Toomey’s Deputy Communications Director Kristin Anderson said.

State Rep. Karen Boback, R-Harveys Lake, did not attend the forum, but issued a statement Friday stating she was working to develop legislation to protect drinking water from gas drilling practices. Knowing that will take time to become law, she is urging Gov. Ed Rendell to issue an executive order implementing four additional rules before permits can be issued.

Her opponent, Richard Shermanski, a Democrat, attended the meeting, telling people he would not support any form of drilling if he knows it will damage water reservoirs.

Many attending the forum reside in Luzerne County, but some people, including Leslie Avakian of Greenfield Township in northern Lackawanna County, drove an hour to voice their views.

She believes the state’s Department of Environmental Protection needs to be spilt up into two separate agencies because DEP currently issues the permits and regulates the gas companies.

Lynn Hesscease of Dallas told her story of how she became deathly sick after three years of oil leaking in her cellar from a rusted pipe.

She explained how she can’t use any type of products made from petroleum – polyester clothing, petroleum jelly or use plastic cups.

“We have to be very careful it is not near our drinking water and we are not exposed to the chemicals or fumes because if we are, people will get sick,” Hesscease said.

Sherry Long, a Times Leader staff writer, may be reached at 829-7159.

Copyright: The Times Leader

U.S. Senate candidate Joe Sestak holds a meeting at Misericordia University.

By Sherry Longslong@timesleader.com
Staff Writer

DALLAS TWP. – Property owners concerned about the effects of Marcellus Shale drilling on water reservoirs made their views clearly known Saturday afternoon during a packed town hall meeting at Misericordia University’s library.

They wanted a moratorium enacted immediately on all gas drilling throughout the state until more is known on how to safely drill natural gas wells without using dangerous chemicals in the hydrofracturing process. The process uses between 1 million to 1.5 million of gallons of water per well laced with chemicals and dirt under high pressure to force the ground open to release natural gas, geologist Patrick Considine said.

Considine and Democratic U.S. Senate candidate Joe Sestak, whose campaign organized the town hall forum, said that during President George W. Bush’s administration, requirements on oil and gas companies were dramatically lifted. Considine, president of Considine Associates and forum panel member, explained that federal and state officials are not entitled to know what mixtures of chemicals each gas drilling company uses because it is considered a trade secret formula.

He warned that the federal and state governments need more officials to oversee the drilling processes, so the companies are not tempted to cut corners when disposing of the water after the fracking.

“Oil and gas companies need to be held to the same standards as other companies. We don’t need more regulations; we need to find ways to enforce the regulations we have,” Considine said.

People wanting the moratorium drowned out the drilling supporters, including business owner, economist and farmer Joe Grace of Morris in Lycoming County, who sees this industry being one of the biggest Pennsylvania has ever experienced by bringing 88,000 jobs to the state just this year and generating millions in revenue.

Worried about the environment and safety of area water systems, local podiatrist Dr. Thomas Jiunta adamantly disagreed with Grace, pointing to the recent gas well drilling incident in Clearfield County and a gas pipeline accident that killed one worker in Texas.

“This is not a safe activity as we know how to do it right now. We need to stop it first. We are putting the cart before the horse when you are talking about economic boom. You can’t drink gas,” said Jiunta of Dallas, a Gas Drilling Awareness Coalition founding member.

Jiunta added more focus should be put jobs that will support and grow green and renewable energy sources.

Sestak told people he sees gas drilling as an economic boon to the state, yet it needs to be done in a responsible way.

“I think this would be a good way to yes, exploit our resources, but not our communities. Business has to pause. Harrisburg has to stop until we get it right,” Sestak said, adding that he supports enacting a 5 percent severance tax on the drilling companies. He said is in favor of a moratorium

No representatives from the campaign of Sestak’s opponent, former U.S. rep. Pat Toomey, attended the forum.

A statement from the Republican candidate’s campaign staff said Sestak’s plan for taxing the drilling will backfire by pushing those companies to focus on other states.

“Marcellus Shale has the potential to provide Pennsylvania with over 200,000 new jobs and millions of dollars in added revenue, but Joe Sestak’s plan to tax natural gas extraction will chase these jobs out of Pennsylvania. A recent study warned that a tax on Marcellus natural gas output would very likely divert investment to other states like Colorado and Texas. This is further proof that Joe Sestak’s ‘more government, less jobs’ approach is bad for Pennsylvania,” Toomey’s Deputy Communications Director Kristin Anderson said.

State Rep. Karen Boback, R-Harveys Lake, did not attend the forum, but issued a statement Friday stating she was working to develop legislation to protect drinking water from gas drilling practices. Knowing that will take time to become law, she is urging Gov. Ed Rendell to issue an executive order implementing four additional rules before permits can be issued.

Her opponent, Richard Shermanski, a Democrat, attended the meeting, telling people he would not support any form of drilling if he knows it will damage water reservoirs.

Many attending the forum reside in Luzerne County, but some people, including Leslie Avakian of Greenfield Township in northern Lackawanna County, drove an hour to voice their views.

She believes the state’s Department of Environmental Protection needs to be spilt up into two separate agencies because DEP currently issues the permits and regulates the gas companies.

Lynn Hesscease of Dallas told her story of how she became deathly sick after three years of oil leaking in her cellar from a rusted pipe.

She explained how she can’t use any type of products made from petroleum – polyester clothing, petroleum jelly or use plastic cups.

“We have to be very careful it is not near our drinking water and we are not exposed to the chemicals or fumes because if we are, people will get sick,” Hesscease said.

Sherry Long, a Times Leader staff writer, may be reached at 829-7159.

Copyright: Times Leader

Pa. American Water Co. wants state government to offer water supply protection.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

Officials with the water company that owns two Back Mountain reservoirs want to see state action to better protect those drinking water sources from contamination related to natural gas drilling.

They also want the opportunity to have input into the permitting process for natural gas wells located near those reservoirs.

Terry Maenza, spokesman for Pennsylvania American Water Co., said there is no requirement that natural gas companies or any state agency notify water suppliers when well-drilling permit applications for land near water supplies are submitted to the state Department of Environmental Protection.

“We would like to see those laws and regulations revised so we can be notified and have a chance to express any comments or concerns while a permit is under review,” Maenza said.

Maenza’s comments follow the revelation on Monday that at least one property on the shore of the Huntsville Reservoir in Lehman Township, and an adjacent property, have been leased to EnCana Oil & Gas (USA) Inc., which will begin exploratory drilling operations at a well in Fairmount Township in July and at a second in Lake Township in late summer or early fall.

Paul Siegel, who owns the three acres on the Huntsville shore, said on Monday there is language in his lease that allows him and his wife, Janet, to restrict any surface drilling on his land but would allow EnCana to drill horizontally underneath his property.

The couple’s son and daughter-in-law, Christopher and Maureen, own 10.88 acres bordered by Christopher’s parents’ land on the east and by Huntsville-Idetown Road on the west that is also leased to EnCana.

Maenza said there is a 500-foot buffer between other properties and the high-water point of the Huntsville and Ceasetown reservoirs in most areas, but some parcels of land were “grandfathered in” without buffers when Pennsylvania American bought the water system from PGW in 1996.

As far as allowing a gas company to drill underneath the reservoirs, Maenza said it “would depend on what the driller was proposing and who owns the land. I’m not sure how far (down) our rights extend under the reservoirs,” he said.

Maenza said Pennsylvania American started water sampling and visual creek inspections about two weeks ago “so we can get some baseline data before the drilling begins.”

Huntsville Reservoir provides water for about 30,000 people living in Dallas, Kingston Township., Swoyersville, Wyoming and West Wyoming. Ceasetown Reservoir provides water to about 70,000 people in Ashley, Courtdale, Edwardsville, Larksville, Nanticoke, Plymouth, Pringle, Shickshinny, the townships of Conyngham, Hanover, Hunlock, Newport and Plymouth, and portions of the city of Wilkes-Barre.

Wyoming Mayor Robert Boyer said he’d like to learn more about the drilling process, given that his town receives water from the Huntsville Reservoir.

“There is a potential for environmental concerns. If we drill for oil a mile under the ocean floor and we don’t have a plan in place to deal with a catastrophic event like we had off the Gulf Coast, it makes sense that we want to have environmental protections in place before we start drilling here. Don’t put the cart before the horse,” Boyd said.

Maenza noted that state Sen. Lisa Baker, R-Lehman Township, is working on legislation to protect water sources.

In order to protect aquifers and determine any adverse consequences attributable to drilling, one bill would require testing at three times – before drilling, at the completion of drilling and six months afterward – at three different depths.

A second bill would rule out drilling at sites too close to drinking water sources such as reservoirs.

A third bill would require DEP to ensure that the operators of wastewater treatment facilities are properly trained and sufficiently monitored to lessen the chances of human error creating a major problem.

Jennifer Wilson, Baker’s chief of staff, said specifics on the proposed bills, such as minimum distances from aquifers, are still being worked out.

Although EnCana has obtained a drilling permit for a site in Lehman Township about midway between Harveys Lake and Huntsville Reservoir, Wendy Wiedenbeck, public and community relations adviser for EnCana, said the company has not yet put together a full development program for drilling in Luzerne County should production at wells in Fairmount and Lake townships prove successful.

She did say the company is starting to look at additional potential drilling locations in the county.

As for company policies on proximity of drilling to water resources, she said the company naturally abides by the minimum setbacks set by states. But in considering additional setback distances, she said each potential drill location is unique and is assessed individually.

“We would take the same thoughtful, measured approach to any future operations as we have with our first two wells,” Wiedenbeck said.

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

Copyright: Times Leader