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Sep 19, 2014

Rex Energy closes on land deal with Shell in Pennsylvania, Ohio
 

Rex Energy Corp. has closed on a deal to acquire 208,000 gross acres for oil and gas development from a Royal Dutch Shell affiliate in western Pennsylvania and eastern Ohio, reports the Pittsburgh Business Times. The newspaper says Rex, based in State College, Pennsylvania, is paying $120 million for the acreage and funded the deal primarily through its recent offering of convertible perpetual preferred stock. The sale by Shell comes as the oil giant focuses on its holdings in northeast Pennsylvania where it has seen promising early results from drilling in the Utica shale play. (See our Sept. 17, 2014 blog “Shell’s new wells extend reach of Utica shale play.”) For more on the Rex Energy deal, read the full story.
 


 
Posted by R. Smith in  Ohio  Pennsylvania   |  Permalink

 

Sep 19, 2014

Study: Proper oil and gas well construction keeps methane from leaking into drinking water
 

The Columbus Dispatch reports that a new study led by an Ohio State University researcher says hydraulic fracturing in oil and gas drilling operations does not inherently contaminate nearby drinking water with methane. The newspaper says the study by Ohio State assistant professor Thomas Darrah  and researchers at Duke, Stanford and Dartmouth universities and the University of Rochester found that methane is unlikely to move from deep shale formations into drinking water supplies as long as the oil and gas wells are built correctly. But the researchers also concluded that poorly constructed wells with leaky casings or faulty cement can allow methane to leach into drinking water. For more, read the full story.
 


 
Posted by R. Smith in  Ohio   |  Permalink

 

Sep 18, 2014

New video addresses key issues of Ohio's Dormant Minerals Act
 

Bricker & Eckler LLP attorneys Dan Gerken and Ryan Smith discuss the critical legal issues surrounding Ohio’s Dormant Minerals Act (DMA) in a new video posted shortly after the Ohio Supreme Court’s recent decision to accept a case that will help resolve disputes over the DMA. On September 3, the court accepted Walker v. Noon (Supreme Court of Ohio Case No. 2014-0803), in which Bricker & Eckler represents the mineral rights owners. (See our Sept. 5, 2014 blog “Ohio Supreme Court accepts landmark Dormant Minerals Act case.”) The court decided to address six critical issues in the case, including whether the 1989 version of the DMA applies in mineral rights lawsuits filed after 2006, when the revised version of the DMA was enacted. The new video, available here, builds on a prior discussion of the DMA by Gerken and Smith, available here.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Sep 18, 2014

NiSource to spend $1.5 million to improve roads in northeast Ohio county
 

NiSource is planning to spend $1.5 million to improve roads in Mahoning County, Ohio, that will be damaged by the company’s construction of pipelines and a natural-gas processing facility, reports the Youngstown Vindicator. The newspaper says NiSource will pay to repave between 10 and 12 miles of road at no cost to local governments and rebuild some of those roads from the base layer. NiSource Midstream Services is building the Hickory Bend gathering system and processing plant in Springfield Township, Ohio, for Pennant Midstream, LLC, a joint venture between NiSource and Hilcorp Energy Co. The system and plant are expected to be operational by the end of 2014. For more, read the full story.
 


 
Posted by R. Smith in  Ohio   |  Permalink

 

Sep 17, 2014

Kasich vows to keep pushing for new severance tax in Ohio
 

Gov. John Kasich told the Columbus Dispatch he’s only going to push harder for a new severance tax on hydraulic fracturing in Ohio if he wins re-election in November. That’s case, the newspaper says, despite the fact the state legislature for more than three years has declined to give Kasich what he wants in revising the tax on oil and natural gas production. In May, the Ohio House passed a severance tax bill, but Kasich called it “puny” and has continued to push for more changes. For more, read the full story.
 


 
Posted by R. Smith in  Ohio   |  Permalink

 

Sep 17, 2014

Shell’s new wells are extending reach of Utica shale play
 

American Energy Partners founder Aubrey McClendon appears to no longer be alone in his view that the Utica shale play is “extraordinary" in light of a significant natural gas discovery by Royal Dutch Shell in Pennsylvania, reports NASDAQ.com. The investor service says Shell's wells, which are near the Pennsylvania-New York border, could extend the Utica shale play hundreds of miles further to the east than energy companies previously thought. It notes that Shell is particularly optimistic because the initial production rates of its first two wells there are as good, if not better, than the wells Chesapeake Energy, McClendon’s former company, and others in the industry are drilling in eastern Ohio. For more, read the full story.
 


 
Posted by R. Smith in  Pennsylvania   |  Permalink

 

Sep 16, 2014

Esmark to convert former Ohio steel plant to oil and gas hub
 

Esmark Inc. plans to convert an idled steel manufacturing plant in Yorkville, Ohio into a transportation and logistics hub to serve the surging Marcellus and Utica shale plays of Pennsylvania, Ohio and West Virginia. Reuters news service reports that Pittsburgh-based Esmark said the new facility, to be renamed “Yorkville Energy Services Terminal,” will provide oil and gas-related infrastructure services such as fresh water off-take, dry storage and rail, barge and truck access. The terminal, which is located along the Ohio River, is expected to become operational by October or early November of 2014, employing up to 75 people. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Sep 16, 2014

State data shows heart of Ohio’s shale play shifting south
 

The center of Ohio’s shale play is shifting somewhat to the south based on new oil and gas production figures from the Ohio Department of Natural Resources (ODNR), reports the Columbus Dispatch. The newspaper says ODNR’s data shows eight of the top 10 producing oil wells during the second quarter of 2014 are in Noble County and the top two natural gas wells are in Monroe County. Both counties are south of Carroll County, which still has the most horizontal oil and gas wells in Ohio. “This dovetails with what I’ve been hearing and seeing, which is that the trend is moving south,” Bricker & Eckler attorney Matt Warnock told the Dispatch. For more, read the full story.
 


 
Posted by J. Bell in  Ohio   |  Permalink

 

Sep 15, 2014

Bloomberg: U.S. oil and gas drillers sitting on a mountain of debt
 

A decade into the U.S. shale boom, oil and gas drillers are propping up the dream of American energy independence with a mountain of debt, Bloomberg reports. It says these companies are paying a steep price for big gains in domestic oil production, with most spending money -- an average of $1.17 for every dollar earned in the 12 months ended on June 30 – faster than they make it. Bloomberg’s research found only seven of the U.S.-listed firms in the Bloomberg Intelligence’s E&P index made more money in that time than it cost them to keep drilling, and they are plugging their cash shortfalls with junk-rated debt. For more, read the full story.
 


 
Posted by R. Smith in  United States   |  Permalink

 

Sep 15, 2014

Michigan judge orders Chesapeake to stand trial in land-leasing case
 

Reuters news service reports that natural gas and oil producer Chesapeake Energy Corp. will face trial on charges of felony racketeering and using false pretenses related to its land-leasing practices in Michigan. Reuters says Cheboygan District Court Judge Maria Barton has ruled that Oklahoma City-based Chesapeake must stand trial on one charge of racketeering and 20 counts of using false pretenses to allegedly defraud private landowners in Michigan during an oil and gas leasing boom in 2010. Michigan Attorney General Bill Schuette brought the charges against Chesapeake in June. Reuters also cites a statement from Chesapeake in which the company says it believes the charges are without merit and Schuette is attempting to criminalize basic contract disputes. For more, read the full story.
 


 
Posted by D. Gerken in  Oil & Gas Litigation   |  Permalink

 

Sep 15, 2014

Ohio Utica shale well permitting activity down in August
 

Approvals for new Utica shale wells slowed in August with only 38 drilling permits issued statewide by the Ohio Department of Natural Resources, reports Farm and Dairy magazine. That compares to 51 permits in July. Sites in Belmont County received 12 drilling permits in August, the most of any Ohio county. Meanwhile, permits issued by the Pennsylvania Department of Environmental Protection don’t appear to be slowing down, Farm and Dairy notes, with the department approving 230 new well permits during August. For more, read the full story.
 


 
Posted by R. Smith in  Ohio   |  Permalink

 

Sep 12, 2014

Energy Transfer Partners alters route of Rover Pipeline through Ohio
 

Energy Transfer Partners’ is altering the route of its proposed 590-mile pipeline to carry natural gas from the shale plays in eastern Ohio, Pennsylvania and West Virginia to Michigan and Canada, reports The Blade in Toledo. The newspaper says the company had to shift the path of its $4.3 billion ET Rover Pipeline after an environmental survey found problems along the previously planned route. The proposed pipeline would carry up to 3.25 billion cubic feet of natural gas per day, passing through multiple counties in Ohio before entering Michigan. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Sep 12, 2014

Shell applies to build docks near site of proposed ‘cracker’ plant in Pennsylvania
 

Shell Chemicals has applied for a federal permit to build two docks and 24 smaller moorings for barges on the Ohio River near the site of its proposed ethane “cracker” plant in Beaver County, Pennsylvania. The Plastemart.com industry news site reports that Shell’s application is being reviewed by the U.S. Army Corps of Engineers, and the company must also obtain a permit from the U.S. Environmental Protection Agency. Shell first proposed building the cracker facility on the western Pennsylvania site in March 2012 (See our March 16, 2012 blog “Shell picks Pennsylvania for the site of ethane cracker), but Plastemart notes the company said it must gather more information before it can make a decision on building the plant. For more, read the full story.
 


 
Posted by M. Warnock in  Pennsylvania   |  Permalink

 

Sep 11, 2014

Hilcorp withdraws forced pooling application in Pennsylvania
 

The Pittsburgh Business Times reports that Hilcorp Energy Co. has decided to withdraw its state application for forced pooling of oil and natural gas on 35 unleased acres in Lawrence and Mercer counties in western Pennsylvania. The Houston-based oil and natural gas producer had sought to include the acreage in its proposed 3,267-acre drilling area. The Business Times says the application was significant because it would have been the first time forced pooling – also called unitization -- had been employed during the shale-gas boom in Pennsylvania over the last 10 years. Hilcorp said it decided to drop the application so it could move forward with its drilling plans and serve the best interests of its lessors. For more, read the full story.
 


 
Posted by D. Gerken in  Pennsylvania   |  Permalink

 

Sep 10, 2014

Gas production in Ohio’s Utica shale play soared during second quarter
 

Ohio’s energy boom continued during the second quarter of 2014, as natural gas production in the Utica shale play jumped 32 percent compared to the first three months of the year, reports Columbus Business First. Citing new data from the Ohio Department of Natural Resources (ODNR), the newspaper says Ohio drillers produced 88.7 billion cubic feet of natural gas from April to June, up from 67.3 billion from January through March. Oil production was also up 32 percent compared to the prior three-month period. Business First reported separately that two of Hall Drilling LLC’s gas wells in Monroe County were the most productive in the Utica play during the second quarter. For more on the ODNR report, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Sep 10, 2014

New York Times: Oil and gas surge changes economic picture for the heartland
 

The New York Times reports that an industrial turnaround in the nation’s heartland is being driven by a surge in domestic oil and gas production that is “changing the economic calculus for old industries and downtrodden cities.” The newspaper says that in Ohio, entire sectors such as manufacturing, lodging, real estate and law are being reshaped in an arc stretching south from Youngstown, past Canton and into the rural parts of eastern Ohio. A manufacturing consultant at McKinsey & Company told the Times that energy production is a game-changer for the U.S. economy and an opportunity for regions of the country to renew themselves. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio  United States   |  Permalink

 

Sep 09, 2014

Arlington, Texas school board settles royalty dispute with Chesapeake
 

The school board in Arlington, Texas has resolved its dispute with Chesapeake Exploration over oil and gas royalties but would not disclose the amount of the settlement, reports the Fort Worth Star-Telegram. The newspaper says the district had sought about $1 million in a lawsuit for damages, costs, expenses, interest and attorneys fees. In November, the district joined the city of Arlington’s lawsuit against Chesapeake and Total E&P USA, accusing them of using a complicated scheme to reduce royalty checks for gas pumped from under parks, airports and other pieces of public property. As reported in a ShaleOhio blog on Sept. 4, 2014,  the Arlington City Council accepted $700,000 to settle its part of the lawsuit. For more, read the full story.
 


 
Posted by M. Warnock in  Oil & Gas Litigation   |  Permalink

 

Sep 09, 2014

Rover Pipeline documents can be viewed at Ohio libraries
 

WTOL-TV in Toledo reports that detailed maps and fact sheets about Energy Transfer Partners’ Rover Pipeline project in Ohio are now available to the public at libraries in the affected counties of Seneca, Hancock, Wood, Henry, Defiance and Fulton. The proposed pipeline would transport natural gas from processing plants and interconnections in Pennsylvania, West Virginia and Ohio to Energy Transfer Partners’ Panhandle Eastern PipeLine and other Midwest pipeline connections near Defiance, Ohio. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Sep 08, 2014

Cleveland’s Friedman cashing in on housing shortage in Bakken shale play
 

Cleveland area businessman Michael Friedman is leaving his mark as a real estate deal maker in North Dakota’s housing-hungry Bakken shale play, reports Crain’s Cleveland Business. The newspaper says Friedman got his start in North Dakota three years ago by building and renting housing for oilfield workers. Now he said he raises millions of dollars for other housing and commercial developments in the region, usually tapping hedge funds and family investment groups from New York, Philadelphia and California. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio  United States   |  Permalink

 

Sep 08, 2014

Colorado researchers look for cause of seismic activity
 

Seismic activity in Greeley, Colorado has prompted researchers from the University of Colorado to examine whether there is link to a high-volume injection well for drilling wastes, reports the FuelFix news site. FuelFix says the study in Colorado comes on the heels of seismic research out of Oklahoma, which is also undergoing intensive oil and gas extraction and wastewater injection activities. For more, read the full story.
 


 
Posted by M. Warnock in  United States   |  Permalink

 

Sep 08, 2014

Judges strike down three fracking bans in Colorado cities
 

District court judges in Colorado recently struck down three out of the five bans on hydraulic fracturing in the state’s Front Range region, reports the Denver Business Journal. The newspaper says Boulder District Judge D.D. Mallard struck down the bans in the cities of Lafayette and Longmont, Colorado, while Larimer County District Judge Gregory Lammons rejected the city of Fort Collins’ voter-approved ban on fracking. Both judges ruled in essence that local governments couldn’t ban fracking because it’s a critical technology used by the oil and natural gas industry and the state of Colorado, not local communities, oversees oil and gas operations. For more, read the full story.
 


 
Posted by D. Gerken in  Oil & Gas Litigation   |  Permalink

 

Sep 05, 2014

Dominion, Duke propose $5 billion gas pipeline to connect West Virginia, South Carolina
 

Dominion Resources, Duke Energy and other partners are proposing a $5 billion natural gas pipeline to connect the Southeast with natural gas being produced in Pennsylvania, Ohio and West Virginia. The Washington Post reports the 550-mile Atlantic Coast Pipeline project would begin in Harrison County, West Virginia and stretch through Virginia and North Carolina to Robeson County near the South Carolina border. The pipeline would tap the rapidly growing supplies of gas produced in the Marcellus and Utica shale plays and move it to the Southeast, which now receives nearly all of its gas from Louisiana, Texas and Oklahoma. For more, read the full story.
 


 
Posted by M. Warnock in  West Virginia   |  Permalink

 

Sep 05, 2014

Income from Utica shale play will fund improvements by watershed district
 

Boosted by more than $175 million in income from oil and gas leasing activities in the Utica shale play, the Muskingum Watershed Conservancy District in eastern Ohio is spreading around its newfound wealth. The Akron Beacon Journal reports that the district will cut in half the assessment it collects from landowners, and will spend heavily to rebuild recreational facilities within its boundaries. The spending will include funding complete renovations of facilities at five parks and two marinas, eliminating an $80 million maintenance backlog, and establishing a revolving loan fund to help communities in its 18 counties fund water and sewer projects. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Sep 05, 2014

Ohio Supreme Court accepts landmark Dormant Minerals Act case
 

The Ohio Supreme Court has accepted a case that will resolve disputes over Ohio’s Dormant Minerals Act (DMA), a key issue for oil and gas development in the state. On September 3, the court accepted Walker v. Noon (Supreme Court of Ohio Case No. 2014-0803) in which Bricker & Eckler LLP represents the mineral rights owners. The court is being asked to address the issue of whether the 1989 version of the DMA applies in mineral rights lawsuits filed after 2006, when the revised version of the DMA was enacted. The decision likely will affect thousands of acres of mineral rights across the state. Uncertainty over the issue is likely holding up millions of dollars in oil and gas development in Ohio. Watch this video for a discussion of the DMA by Bricker & Eckler attorneys.
 


 
Posted by D. Gerken in  Ohio  Oil & Gas Litigation   |  Permalink

 

Sep 05, 2014

Research firm says Marcellus shale play has $90 billion in remaining value
 

The Pittsburgh Business Times reports that global research and consulting firm Wood Mackenzie said it believes oil and gas fields in the Marcellus shale play have $90 billion in remaining value. The newspaper says the firm estimates the top 20 operators in the Marcellus will drill 25,000 wells through 2035. Wood Mackenzie also says the most near-term growth in the Marcellus shale region will come from liquids-rich sub plays in southwestern Pennsylvania and West Virginia. For more, read the full story.
 


 
Posted by M. Warnock in  Pennsylvania  West Virginia   |  Permalink

 

Sep 04, 2014

Chesapeake to pay $700,000 to Arlington, Texas, to settle royalty lawsuit
 

Chesapeake Energy Corp. will pay the city of Arlington, Texas, $700,000 to settle a lawsuit accusing the company of a scheme to reduce royalty checks for natural gas pumped from under parks, airports and other pieces of public property, reports the Star-Telegram in Fort Worth. Arlington filed suit in August 2013, claiming that Chesapeake based its royalty payments on gas prices that were well below the actual sales price and improperly deducted certain post-production costs. (See our Aug. 11, 2013 blog: “City of Arlington, Texas, is the latest landowner to sue Chesapeake Energy Corp. for alleged underpayment of royalties”.) According to the Star-Telegram, the settlement calls for Chesapeake to no longer subtract post-production costs and the city’s royalty will be calculated on the highest price received by Chesapeake when the gas is sold or be established by a formula. For more, read the full story.
 


 
Posted by D. Gerken in  Oil & Gas Litigation   |  Permalink

 

Sep 04, 2014

Columbia Pipeline Group to install gas compressor station in Jackson County
 

An affiliate of Columbia Gas plans to install a natural gas compressor station in Jackson County, Ohio, most likely near the village of Oak Hill, reports the Jackson County Times-Journal. The newspaper says a Columbia Pipeline Group official told the Jackson County commissioners that the station would be connected to a 150-mile pipeline that would run from Marshall County, West Virginia to the Jackson County location in southern Ohio. Plans also call for compressor stations in Marshall County, West Virginia and Noble County, Ohio. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio  West Virginia   |  Permalink

 

Sep 04, 2014

Decision on West Virginia ‘cracker’ plant reported to be a year away
 

The Charleston Daily Mail reports that Brazilian company Odebrecht is about a year away from making its final decision on whether to build a massive petrochemical complex in Wood County, West Virginia. The newspaper says the facility, to be anchored by an ethylene “cracker” plant, could be built and fully operational as soon as late 2019 if Odebrecht gives Project ASCENT the green light by next fall. A company executive told the Daily Mail that Odebrecht has started the permitting process with state and federal agencies, and the project has been accepted into the West Virginia Department of Environmental Protection’s Voluntary Remediation Program that helps clean up former industrial sites. (See our Sept. 2, 2014 blog.) For more, read the full story.
 


 
Posted by M. Warnock in  West Virginia   |  Permalink

 

Sep 03, 2014

Pennsylvania township faces decision on injection well ban
 

Grant Township supervisors in Indiana County, Pennsylvania must soon decide whether to defend in federal court their ban on injection wells for drilling waste despite case law that appears to be against them. The Pittsburgh Tribune-Review reports some residents and environmentalists convinced the supervisors to pass the ban in June in response to Pennsylvania General Energy Co.’s plan to convert an oil and gas production well to a waste disposal well. PGE sued the township in August, alleging the ordinance violates federal laws and is an effort to trump federal statutes. For more, read the full story.
 


 
Posted by D. Gerken in  Pennsylvania   |  Permalink

 

Sep 02, 2014

Antero Resources has high hopes for drilling in Utica, Marcellus shale plays
 

Antero Resources predicts there are as many as 835 locations primed for drilling on its holdings in the Utica shale play and 5,011 when combining possible drilling sites in Ohio, West Virginia and Pennsylvania. Citing the Denver-based company’s August update to investors, Columbus Business First reports Antero’s projections reflect a best-case scenario based on potential well development. The newspaper says Antero has the second-most drilling rigs in the Utica shale play with seven, and another 15 in the neighboring Marcellus shale region in Pennsylvania and West Virginia. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio  Pennsylvania  West Virginia   |  Permalink

 

Sep 02, 2014

Marcellus shale boom sparks ‘reverse brain drain’ in Pennsylvania
 

Job opportunities presented by development of the Marcellus shale play in western Pennsylvania are drawing former residents, many of them professionals, back to the region, reports the Ellwood City Ledger. Calling the migratory phenomenon a “reverse brain drain,” the newspaper says the oil and gas boom enables educated workers who left the region for work to return to their roots. The Pennsylvania Department of Labor and Industry has said 245,000 jobs in the state are related to the Marcellus shale play, and 96 percent of those working in the Marcellus are from Pennsylvania, West Virginia, Ohio, Maryland and New York. For more, read the full story.
 


 
Posted by M. Warnock in  Pennsylvania   |  Permalink

 

Sep 02, 2014

Odebrecht seeks environmental approval for West Virginia ‘cracker’ site
 

Brazilian conglomerate Odebrecht’s proposed petrochemical complex in Wood County, West Virginia is moving forward as a company subsidiary seeks state approval to clean up one of the industrial sites being considered for the ASCENT project. The Charleston Daily Mail reports the West Virginia Department of Environmental Protection has accepted an application from Appalachian Shale Cracker Enterprise LLC to enter the state’s Voluntary Remediation Program to clean up property for the proposed ethylene cracker plant in Washington, West Virginia. The Odebrecht subsidiary is exploring whether to build the cracker, three polyethylene plastic resin plants and additional facilities for water treatment and energy generation on a 363-acre site. (ShaleOhio first reported on the Odebrecht project in November 2013). For more, read the full story.
 


 
Posted by M. Warnock in  West Virginia   |  Permalink

 

Aug 27, 2014

Bennett leaves Energy in Depth for post at Ohio Oil and Gas Association (OOGA)
 

Shawn Bennett is leaving the oil and natural gas outreach group Energy in Depth-Ohio to become a senior vice president at the Ohio Oil and Gas Association (OOGA). Columbus Business First reports that Bennett will do some of the same work he did at Energy In Depth, focusing on the areas of public policy, outreach, media and content creation. As Energy in Depth-Ohio’s director, Bennett worked with business leaders, elected officials and residents in eastern Ohio regarding the safety and economic benefits of oil and gas exploration. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 27, 2014

Report: Blue Racer back on track with Northeast Ohio processing plant
 

Blue Racer Midstream LLC’s plans to construct a $70 million natural gas processing plant in southeastern Mahoning County, Ohio appears to be back on track, reports the Business Journal in Youngstown. Citing a report published by Texas-based Industrial Info Resources Inc., the newspaper says Blue Racer would like to start construction on the plant by September 2015, and finish the project by June 2016. Blue Racer Midstream, a joint venture between Dominion and Caiman Energy, announced plans in 2012 for the plant and a pipeline network in the northern part of the Utica shale play. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 27, 2014

Texas company shifts ‘cracker’ plant site from West Virginia to Ohio
 

Downstream Today reports that Houston-based Appalachian Resins Inc. plans to lease approximately 50 acres in southeastern Ohio to build a $1 billion integrated ethylene/polyethylene production facility. The company had planned to put the ethane “cracker” facility in West Virginia, but an Appalachian Resin executive told the news site that it decided to move the proposed plant to Monroe County, Ohio, "for business and commercial reasons and to accommodate a larger production facility.” The plant would serve a regional market, using natural gas liquids produced in the Utica and Marcellus shale plays to process approximately 18,000 barrels per day of ethane into ethylene and polyethylene. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio  West Virginia   |  Permalink

 

Aug 27, 2014

Tressel faces balancing act on oil and gas in new job at Youngstown State
 

New Youngstown State University President Jim Tressel faces the task of helping YSU build programs to meet the needs of Ohio’s growing oil and natural gas industry, reports the Youngstown Vindicator. But the newspaper says the former Ohio State University football coach will have to navigate the “cultural clash between academic and campus life versus the needs of the local oil and natural-gas industry.” Some Youngstown State professors have supported a proposed ban on hydraulic fracturing in Youngstown, while Ohio’s oil and gas boom presents growth opportunities for the university in areas such as advanced metallurgic, civil, electrical and radiological engineering. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 27, 2014

West Virginia seeks bids for shale gas drilling below Ohio River
 

West Virginia’s Division of Natural Resources is seeking bids that would allow Utica and Marcellus shale drillers to lease access to natural gas below the Ohio River, reports Columbus Business First. The newspaper says the state agency recently placed a legal notice in the Wheeling, W.Va. Intelligencer that asks for bids to be submitted by Sept. 11. The leases would be for Wetzel, Marshall and Pleasants counties along the Ohio River. For more, read the full story.
 


 
Posted by M. Warnock in  West Virginia   |  Permalink

 

Aug 26, 2014

Utica shale play passes the 1,000 mark in wells drilled in Ohio
 

Ohio’s Utica shale play has passed the 1,000-wells-drilled milestone as it continues to be one of the nation’s fastest growing areas for oil and natural gas activity. The Columbus Dispatch says statistics released recently by the Ohio Department of Natural Resources show 1,004 wells having been drilled, in the process of being drilled or producing oil and gas. Carroll County in eastern Ohio has the most Utica wells, with 240 wells producing out of 363 drilled. Neighboring Harrison County ranks second, with 70 producing wells out of 174 drilled. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 25, 2014

200 teachers take workshops to learn about oil and gas drilling
 

As the pace of drilling accelerates in the Utica shale play, more Ohio teachers are interested in a workshop put on by the organization funded by the state’s oil and natural gas companies. Columbus Business First reports that 2,700 teachers, including 200 this summer, have now gone through the 16-year-old program sponsored by the Ohio Oil and Gas Energy Education Program. The newspaper also says the teacher workshops have avoided the sort of criticism directed at OOGEEP’s education program for youths, which opponents of oil and gas development have claimed is an effort by the group to indoctrinate students with pro-drilling propaganda. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 25, 2014

Consol looking at ‘refracking’ horizontal wells in Marcellus shale play
 

Consol Energy is looking at starting a program that would “refrack” as many as 200 wells in the Marcellus shale play in Pennsylvania, reports the Pittsburgh Post-Gazette. The newspaper says the Pittsburgh-based company is considering that option because of results from refracking some horizontal wells in Greene County, Pennsylvania earlier this year. Based on five years of drilling experience and with significant advances in data and technology, Consol hired oil and gas services company Halliburton, re-fracked the wells and forced out far more gas than the wells had previously produced. For more, read the full story.
 


 
Posted by M. Warnock in  Pennsylvania   |  Permalink

 

Aug 21, 2014

EnLink to spend $250 million on Utica pipeline, processing facilities
 

CEOWorld magazine reports that EnLink Midstream Partners, LP and EnLink Midstream, LLC plan to build a 45-mile condensate pipeline and six natural gas compression and condensate stabilization facilities to serve producers in the Utica shale play. The price tag for the project is more than $250 million, roughly doubling the capital that EnLink Midstream has invested in the Ohio River Valley region. EnLink President and CEO Barry Davis called the project a game changer for his company’s Ohio River Valley business, placing it in the heart of the gas and condensate production fairway in the Utica shale region. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 21, 2014

Shale drilling boom drives up revenue for solid waste district in Ohio
 

The solid waste district that serves Columbiana, Carroll and Harrison counties in eastern Ohio has posted record revenue as a result of the drilling boom in the Utica shale play, reports the Morning Journal in Lisbon, Ohio. The newspaper says that the district’s revenue hit $1.69 million last year, up more than $1 million from 2011. Solid Waste District Director Eric Matthews told the Columbiana County Commissioners that 77 percent of the solid waste disposed at landfills within the district constitutes drilling mud, a byproduct of the drilling process for oil and natural gas in the shale play. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 21, 2014

Utica shale gas producers join push for condensate exports
 

Natural gas producers in the Utica shale play are joining upstream and midstream companies seeking confirmation from the U.S. Commerce Department that they can export their distilled condensate, reports the Argus news site. Argus notes that U.S. midstream company Kinder Morgan has said it is in discussions with Utica shale producers wanting to ship certain materials — such as distilled condensate — to western Canada.  Already, Kinder Morgan has reversed the flow on its Cochin pipeline to allow shipments of condensate to move north from Kankakee County, Illinois, to Fort Saskatchewan, Alberta. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 20, 2014

Shell’s deal opens door to Utica shale development in NE Pennsylvania
 

Royal Dutch Shell is adding 155,000 acres to its holdings in northeastern Pennsylvania where the company is among the first to bet on development of the Utica shale formation, reports the Pittsburgh Post-Gazette. The newspaper says Shell, whose subsidiary SWEPI LP controls about 900,000 acres in Pennsylvania, has been developing the Marcellus shale play in the northeastern and central areas of the state under a joint venture with Houston-based Ultra Petroleum Corp. Shell announced it will sell its Pinedale oil and gas assets in Wyoming to Ultra for $925 million and gain 155,000 net acres in the Marcellus and Utica shale regions in northeastern Pennsylvania. For more, read the full story.


 
Posted by M. Warnock in  Pennsylvania   |  Permalink

 

Aug 20, 2014

Utica shale gas boom is a mixed bag for rural Ohio county
 

Life has changed in the past few years in Carrollton, Ohio, one of the areas at the center of the Utica shale gas boom, but whether it’s for better or worse remains open to debate, reports WKSU radio in Kent, Ohio. The station says Carrollton and surrounding Carroll County have seen a major drop in unemployment, a big jump in the county’s sales tax revenues and more customers for local businesses since the first Utica shale well was drilled there about three years ago. But, the report also notes that increased truck traffic has boosted noise and accidents, while industrialization of the countryside puts in question the future of the county’s outdoor lifestyle. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 19, 2014

API official: ‘It’s just the beginning’ for Utica shale play
 

Ohio has only seen the tip of the iceberg when it comes to developing the Utica shale play, says Rayola Dougher, a senior economic adviser for the American Petroleum Institute. She told the Times Reporter in Zanesville, Ohio that drilling in the Utica shale region, currently focused in a half dozen southeastern Ohio counties, should complement the state’s manufacturing base, especially the steel and chemical industries. “It’s just the beginning of the journey,” Dougher said. For more, read the full story.
 


 
Posted by R. Smith in  Ohio   |  Permalink

 

Aug 19, 2014

North American shale activity fuels jump in merger values
 

Columbus Business First reports that merger values in the oil and natural gas industry’s exploration and production segment have doubled globally so far in 2014. Citing a report from the Deloitte Center for Energy Solutions, the newspaper says shale deals in the United States and Canada accounted for 47 percent of all exploration and production, or upstream, transactions. The report says deal values in the United States rose more than 90 percent in the first half of 2014 compared with the same time period in 2013, jumping from $52 billion to $100 billion. For more, read the full story.
 


 
Posted by M. Warnock in  United States   |  Permalink

 

Aug 19, 2014

Rex Energy to acquire 208,000 acres from Shell in Pennsylvania, Ohio
 

Rex Energy Corp. says it is acquiring 208,000 acres in western Pennsylvania and eastern Ohio from a Shell subsidiary for $120 million, reports the Akron Beacon Journal. The newspaper says the company, based in State College, Pennsylvania, will buy the acreage from SWEPI LP, an affiliate of Royal Dutch Shell, in a deal covering oil and natural gas assets in the Utica, Marcellus and Upper Devonian shale plays. The transaction, which will boost Rex’s footprint in the Appalachian Basin by 200 percent, is expected to close in September. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio  Pennsylvania   |  Permalink

 

Aug 18, 2014

EV Energy Partners, EnerVest to explore oil window in Utica shale play
 

EV Energy Partners and EnerVest plan to drill a well in Tuscarawas County in eastern Ohio to explore their acreage in the Utica shale play’s oil window, reports the Massillon Independent. The newspaper says the well will test new fracking techniques for oil in the western part of the shale play that has proven to be tougher for drillers to develop. Based in Houston, EV Energy Partners is a master-limited partnership of which EnerVest is the controlling member. For more, read the full story.
 


 
Posted by R. Smith in  Ohio   |  Permalink

 

Aug 18, 2014

Federal agency adds Utica shale play to monthly drilling report
 

The Utica shale region in eastern Ohio has been added to the U.S. Energy Information Administration’s monthly Drilling Productivity Report in another sign that the Utica has become one of the nation’s top areas for natural gas production. The Utica has been added to the seven shale plays tracked in the EIA report, joining the Marcellus in Pennsylvania, Bakken in North Dakota, Niobrara in Wyoming and Colorado, Haynesville in Texas and Louisiana, and Permian and Eagle Ford regions in Texas. For more, read the full story.
 


 
Posted by R. Smith in  Ohio   |  Permalink

 

Aug 15, 2014

Federal report shows tenfold rise in gas production in Utica shale play
 

A new federal report says natural gas production in the Utica shale region in eastern Ohio has increased by more than 10 times over the last two years. The Enquirer-Herald in York, South Carolina reports the U.S. Energy Information Administration says gas production in the Utica shale play will rise from 115 million cubic feet per day in 2012 to an estimated 1.3 billion cubic feet per day by September 2014. EIA says that makes the Utica one of the fastest growing shale plays in the country although it continues to trail the Marcellus in Pennsylvania, Bakken in North Dakota, and Eagle Ford in Texas. For more, read the full story.
 


 
Posted by R. Smith in  Ohio   |  Permalink

 

Aug 15, 2014

Regency, American Energy-Midstream to team on $500 million project
 

The Business Journal in Youngstown, Ohio reports that Regency Energy Partners has secured a joint venture agreement with American Energy–Midstream LLC for the construction and operation of Regency's $500 million Utica Ohio River pipeline project. The newspaper also says Dallas-based Regency and American Energy Utica LLC (AEU) will enter into a gathering agreement for gas that AEU produces in the Utica shale region. The project is scheduled for completion in the third quarter of 2015. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 15, 2014

Rice Energy to form master-limited partnership to finance pipeline projects
 

Rice Energy Inc., the Appalachian natural gas producer whose stock went public in January, intends to form a master-limited partnership (MLP) to help finance its expanding pipeline network, reports Hellenic Shipping News Worldwide. The online newspaper says Rice, based in Canonsburg, Pennsylvania, would control the partnership that would initially own gas-gathering and water-distribution lines in Pennsylvania used for hydraulic fracturing. The report says MLPs have gained favor with investors seeking cash payouts because they don’t pay federal income tax, leaving more money for distributions. For more, read the full story.
 


 
Posted by R. Smith in  Pennsylvania   |  Permalink

 

Aug 14, 2014

Austrian firm will import ethane in deal with Antero Resources
 

The Akron Beacon Journal reports that Borealis AG, an Austrian petrochemical company, has signed a long-term ethane supply contract with Antero Resources as Borealis pushes ahead with a plan to import cheaper U.S. feedstocks for its ethane cracker plant in Sweden. The newspaper said the ethane would be shipped from the Marcus Hook terminal near Philadelphia starting in late 2016. Antero is active in Ohio's Utica shale play. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 14, 2014

Bricker & Eckler adds Aaron Bruggeman to Shale, Oil & Gas team
 

Aaron Bruggeman has joined Bricker & Eckler LLP as an attorney on the firm's Shale, Oil & Gas team. Based out of Bricker’s Marietta office, Bruggeman will focus on oil and gas matters for clients in Ohio and West Virginia. He will maintain regular office hours 2-3 days each week at an office in his hometown of Barnesville, Ohio. “Aaron’s presence in Southeast and Eastern Ohio and West Virginia will allow us to meet the increasing demands of our clients throughout the region,” says Kurt Tunnell, managing partner of Bricker & Eckler.  For more, read the full release.
 


 
Posted by M. Warnock in  Ohio  West Virginia   |  Permalink

 

Aug 14, 2014

Columbia Pipeline Group plans $1.75 billion project to move gas from Utica, Marcellus shale plays
 

Columbia Pipeline Group plans to build a 140-mile pipeline and associated support systems in Ohio and West Virginia to transport natural gas from the Utica and Marcellus shale plays. The Columbus Dispatch reports the company, which shares a corporate parent (NiSource Inc.) with Columbia Gas of Ohio, will spend $1.75 billion on the project. The newspaper says the new pipeline, to be called the Leach Xpress, will increase the capacity of Columbia’s gas delivery system by 1.5 billion cubic feet of gas per day. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio  West Virginia   |  Permalink

 

Aug 12, 2014

American Energy Partners affiliates acquire 75,000 net acres in Marcellus, Utica shale plays
 

Two affiliates of American Energy Partners have announced the acquisition of 75,000 net acres of land in West Virginia's northern panhandle and a county in eastern Ohio, reports the State Journal in Charleston, West Virginia. The deals, first reported to be in the works in June, have American Energy-Marcellus acquiring 48,000 acres of leasehold in Doddridge, Harrison, Marion, Tyler and Wetzel counties in West Virginia for $1.275 billion, and American Energy-Utica acquiring 27,000 net acres of land in Monroe County, Ohio for $475 million. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio  West Virginia   |  Permalink

 

Aug 12, 2014

Kensington plant will help Chesapeake connect more wells to market
 

Chesapeake Energy Corp. says the recent completion of the third phase of the Kensington natural gas processing plant in Columbiana County, Ohio will enable it to connect more wells to market in the Utica shale play. An earnings release from the Oklahoma City-based company also says that the Kensington plant will help reduce Chesapeake’s inventory of nonproducing wells to a more normalized level. As of June 30, 2014, the company had 210 wells awaiting pipeline connections or in various stages of completion in the Utica footprint. Despite the bottleneck, Chesapeake reported that its net production in the Utica region averaged approximately 67,000 barrels of oil equivalent (BOE) per day during the second quarter, an increase of 373% from the same time period in 2013. For more, read the full release.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 12, 2014

Utica Shale Academy taps Southern Local teacher to be director
 

The new Utica Shale Academy in Columbiana County, Ohio has turned to Southern Local educator Eric Sampson as the school’s new director, reports WKBN-TV in Youngstown. The academy, scheduled to open Aug. 19, is for students in grades 9 through 12 who will attend classes at Southern Local High School in Salineville. WKBN says Sampson has spent the past eight years serving as Southern Local’s health and physical education teacher and also was involved in creating the district’s online health curriculum. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 07, 2014

Chesapeake dips toe in West Virginia shale development
 

Chesapeake Energy Corp., the biggest player in Ohio’s Utica shale play, appears to be moving eastward into West Virginia as well, reports Columbus Business First. Citing records from West Virginia’s Department of Environmental Protection, the newspaper says Chesapeake’s well in Wetzel County along the Ohio River is targeting the Point Pleasant formation that sits beneath Utica shale. State records show a flurry of activity for Chesapeake’s James Messenger 3HU well in Wileysville since October, but no production has been reported. For more, read the full story.
 


 
Posted by M. Warnock in  West Virginia   |  Permalink

 

Aug 07, 2014

OSU Extension gets $200,000 to help eastern Ohio examine impact of shale boom
 

Development specialists with Ohio State University Extension have received $200,000 to help eastern Ohio communities examine how shale gas development is affecting their economies, environmental conditions and social structures. Ohio State also reports the funds from the U.S. Department of Commerce’s Economic Development Administration will be used to create plans for long-term viability in eastern Ohio communities. OSU Extension is working on the three-year project with four regional EDA districts representing 25 Ohio counties. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 06, 2014

Power company eyes $4 billion project to tap energy from Marcellus shale play
 

PPL Corp. wants to spend more than $4 billion to build a 725-mile long system of electric transmission lines that would bring energy from the Marcellus shale gas region to customers along the Eastern Seaboard, reports the Miami Herald. The newspaper said the Allentown, Pennsylvania-based utility’s plan calls for the 500-kilovolt line to span much of Pennsylvania and reach into New York, New Jersey and Maryland. PPL said the project, which could take more than a decade to complete, would likely increase reliability during demand-driven power shortages and save money for customers. For more, read the full story.
 


 
Posted by M. Warnock in  Pennsylvania   |  Permalink

 

Aug 06, 2014

Worthington Industries makes another oil and gas acquisition
 

Worthington Industries Inc. has acquired Oklahoma-based Midstream Equipment Fabrication LLC for $40 million as the Columbus steel processor continues to boost its involvement in the oil and natural gas industry. Columbus Business First reports Worthington has spent $245.1 million to acquire oil and gas service businesses since September 2012. Midstream Equipment Fabrication makes machines that separate oil field liquids from gas for drillers in the Eagle Ford shale play in south Texas. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 05, 2014

Fenstermaker opens office to better serve Utica shale play
 

Fenstermaker Co. has opened an office in Cambridge, Ohio, to help serve the engineering firm’s growing list of oil and natural gas clients in the Utica shale play. WKGR-TV in Mobile, Alabama reports the Louisiana-based company made the move to offer more support to new and existing clients in the Utica where it has been active since October 2013. Fenstermaker, which also has an office in Montrose, Pennsylvania, specializes in survey and mapping, engineering, environmental consulting, and advanced technologies. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 05, 2014

Rice, MarkWest to help move Gulfport gas from Utica shale wells
 

Gulfport Energy has reached preliminary deals with two companies to pipe natural gas from its Utica shale wells in southeastern Ohio, reports the Canton Repository. Citing a Gulfport press release, the newspaper said Rice Energy will build and operate pipelines for Gulfport wells in Belmont County, while MarkWest Energy Partners will construct gas-gathering facilities to handle dry natural gas from wells in Belmont and Monroe Counties. The agreements will enable Oklahoma City-based Gulfport to feed 1 billion cubic feet of gas per day into multiple pipelines. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 04, 2014

Hess sells 30,000 acres in dry gas area of Utica play
 

Hess Corp. says it completed the sale of 30,000 net acres for $485 million in the dry gas area of the Utica shale play during the second quarter in transactions that included wells and related facilities. The New York-based company said in a second-quarter earnings release that total year-to-date proceeds from asset sales in the Utica now stand at approximately $1.1 billion. But Hess remains active in the shale play in eastern Ohio, reporting it drilled 10 wells in the Utica during the second quarter. The company has wells that are producing gas and oil or are under development in Harrison, Belmont and Guernsey counties. For more, read the full release.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 04, 2014

Oil and gas M&A activity was strong in second quarter
 

Merger and acquisition activity in the oil and gas industry surged in terms of value and volume in the second quarter of 2014 compared with the second quarter of last year. Platts reports that PwC US said there were 54 oil and gas deals with values greater than $50 million in the second quarter and $42.2 billion of total deal value during the period. That was the strongest second quarter for M&A activity seen in the last five years. Two of the deals involved the Marcellus shale play, and one involved the Utica play in eastern Ohio. For more, read the full story.
 


 
Posted by M. Warnock in  United States   |  Permalink

 

Aug 01, 2014

Chesapeake buying back shares in CHK Utica unit
 

Reuters News Service reports that Chesapeake Energy Corp. said it would spend $1.26 billion to buy back all of the outstanding preferred shares issued by CHK Utica, which holds acreage in Ohio’s Utica shale play. Reuters said the move comes as Chesapeake tries to simplify its balance sheet and eliminate about $75 million in annual dividend payments. The company had sold preferred shares in CHK Utica to private equity firms EIG Global Energy, Magnetar Capital and other investors in 2011. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 01, 2014

EnerGreen pulls lease request for site in eastern Ohio
 

The dispute over EnerGreen 360's plan to develop a site in the East Ohio Regional Industrial Park in Barnesville has been resolved, with the company agreeing to withdraw its lease request, reports the Times Leader in Martins Ferry. The newspaper says EnerGreen’s plan called for the use of recycled earthen materials from the construction of oil and gas wells in the industrial park. The plan had drawn community opposition, but an EnerGreen executive said the decision to withdraw the request was based on the industrial park not fitting the company’s current business model due to site costs. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Aug 01, 2014

Utica compares well to some shale plays, but not the Marcellus
 

Initial natural gas production from the Utica shale play mirrors that of the Eagle Ford shale play in Texas and is slightly higher than that from the Haynesville formation in Louisiana, reports Columbus Business First. Citing a report from the U.S. Energy Information Administration, the newspaper also notes the Utica’s natural gas production is still modest compared to the Marcellus in Pennsylvania and West Virginia. The findings were based on an EIA comparison of the first 20 months of drilling in the Utica region as compared to other emerging shale plays. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio  Pennsylvania  West Virginia   |  Permalink

 

Jul 31, 2014

Report: ODNR slow to respond to fire at well pad
 

A report by the U.S. Environmental Protection Agency indicates the Ohio Department of Natural Resources was not actively involved in a major well fire in Monroe County until three days after the Statoil well pad near Clarington caught fire on June 28th. The Akron Beacon-Journal reports the U.S. EPA also claims ODNR was only involved sporadically after July 1st, but an ODNR spokeswoman disagreed with the report. She said inspectors from the agency were on the scene within hours of being notified of an emergency, and took action to ensure the safety of the first responders and community. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Jul 31, 2014

TransCanada explores Ohio-to-Michigan pipeline project
 

TransCanada Corp. is looking at building a 500-mile natural gas pipeline from Monroe County, Ohio, in the Utica shale play to the shores of Lake Michigan, reports Columbus Business First. The company reportedly is exploring an extension of its ANR pipeline that will send gas from the Utica and Marcellus shale plays to the Gulf Coast and other areas of the country. The new extension would run from Clarington in southeastern Ohio to Bridgman, Mich., a small town bordering the Great Lakes. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Jul 30, 2014

Kinder Morgan pipeline scheduled to be in service by 2017
 

A Kinder Morgan Energy Partners' pipeline that will carry natural-gas liquids from Ohio to the Gulf Coast is scheduled to be in service by the second quarter of 2017, reports the Akron Beacon-Journal. Citing a fact sheet posted on Kinder Morgan's website, the newspaper said the pipeline will serve the Utica and Marcellus shale regions in Ohio and surrounding states. The project calls for converting 1,005 miles of Kinder Morgan's 24-inch and 26-inch Tennessee Gas Pipeline system from natural gas to related liquids such as ethane, butane and propane. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Jul 30, 2014

New York firm moves forward on hotels in Utica shale play
 

Drill Capital LLC has opened one hotel in the Utica shale play, is working on a second one and has plans for a third location, reports Columbus Business First. The newspaper said the New York-based investment firm recently opened an 80-room Microtel Inn and Suites in Carrollton. Drill Capital also broke ground on an 80-room Microtel in Caldwell last month and is in the early stages of developing a hotel at a site still to be determined in eastern Ohio. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Jul 29, 2014

Antero shifts gas to Great Lakes markets along Seneca lateral
 

Argus Media reports that Antero Resources has said new transportation capacity on the Rockies Express Pipeline's Seneca Lateral in southeast Ohio is allowing the company to move Utica shale production to higher priced markets in the Great Lakes region. Denver-based Antero said the lateral, which went into service June 26, makes it possible to shift its natural gas to higher pricing at Chicago indexes instead of the Texas Eastern Transmission M2 hub.  Antero has also said it has signed an agreement to be an anchor shipper on Energy Transfer Partners' ET Rover Pipeline that will connect the Marcellus and Utica shale plays to the Great Lakes and Gulf Coast, or for export to Canadian markets. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Jul 29, 2014

Report: Chevron remains bullish on U.S. shale plays
 

A few major oil companies still see huge opportunity in U.S. shale plays, especially Chevron, reports the Motley Fool newsletter. It notes Chevron is primarily focused on west Texas' Permian Basin where it acquired 246,000 net leasehold acres from Chesapeake Energy in October 2012. Chevron also maintains stakes in the Marcellus and Utica shale plays in southwestern Pennsylvania, eastern Ohio and West Virginia panhandle, as well as the Antrim shale and Collingwood/Utica shale areas in Michigan. For more, read the full story.

 


 
Posted by M. Warnock in  Ohio  Pennsylvania  West Virginia   |  Permalink

 

Jul 28, 2014

Conventional drillers face challenging times in Ohio
 

Ohio’s shale-drilling boom and the surge in natural gas production are putting pressure on conventional drillers that are faced with rising costs, increased regulatory scrutiny and low natural gas prices, reports the Canton Repository. The newspaper said Ohio’s 352 horizontal shale wells produced more natural gas last year than approximately 51,000 conventional wells. All of that natural gas flowed into an already flooded regional market at a time when the national prices for natural gas remain low. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Jul 28, 2014

Stark State seeks funds for oil and gas training center
 

Stark State College’s training center for oil and gas jobs in Ohio is on track to start classes in January, reports Columbus Business First. The newspaper says the community college is requesting $2.6 million in state funding as part of the $10 million Stark State was promised last year to buy and renovate an office building in Canton. The new Downtown Canton Satellite Center and Energy Institute is part of Stark State’s plan to become a regional oil and gas hub. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Jul 28, 2014

State funds expansion of Buckeye Transfer operations
 

The Ohio Rail Development Commission has approved a $350,000 loan to Buckeye Transfer Realty LLC to fund the expansion of the company’s trans-loading operation in Columbiana County. Hannah News Service reports the money will be used to pay for 980 feet of additional track to allow the company to handle more sand used in hydraulic fracturing operations by the oil and natural gas industry as well as hydrochloric acid used in fracking. A Buckeye Transfer official said the track has already been installed and the first cars were placed on it on July 16.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Jul 25, 2014

Couple offers mineral rights for “friendly” development in Utica play
 

A couple who owns 35 acres at Tappan Lake in Harrison County, Ohio, has offered a 20% interest in their mineral rights for possible oil and gas development to the Muskingum Watershed Conservancy District. The Akron Beacon-Journal reports the donation is being made with the expectation that the district will try to include the mineral rights in any lease negotiations with drillers for adjacent MWCD property. The request reportedly was prompted by an appreciation of the district's ability to negotiate environmentally friendly leases. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio   |  Permalink

 

Jul 25, 2014

Gov. Corbett still thinks Shell will build cracker in Beaver County, Pa.
 

Pennsylvania Gov. Tom Corbett said this week he remains bullish on the prospects for an ethane cracker that may be developed by Royal Dutch Shell in western Pennsylvania, reports the Pittsburgh Business Times. Corbett stated that, although he has yet to hear from Shell about whether it will build the plant in Beaver County, ongoing site development there is encouraging. Shell announced in March 2012 it had signed a land-option agreement for the right to purchase industrial parcels in Beaver County with the intent of building a cracker plant to process ethane from the Utica and Marcellus shale plays. For more, read the full story.
 


 
Posted by M. Warnock in  Pennsylvania   |  Permalink

 

Jul 25, 2014

Marathon Oil produces new video on fracking
 

A new video from Marathon Oil Corp. offers an easy-to-understand overview of horizontal hydraulic fracturing. The video explains the techniques used to extract oil and natural gas from shale formations, detailing the process from site preparation through drilling, production and land restoration after wells are retired. For more, watch the video.
 


 
Posted by M. Warnock in  United States   |  Permalink

 

Jul 24, 2014

Companies sue over Broadview Heights’ drilling ban
 

Two oil and gas companies with wells in Broadview Heights, Ohio have sued the Cuyahoga County city over its prohibition against future wells, reports the Plain Dealer in Cleveland. The newspaper says Bass Energy Company Inc. of Fairlawn and Ohio Valley Energy of Austintown contend the State of Ohio, not Broadview Heights, has the sole authority to permit or deny drilling and regulate wells. Mothers Against Drilling in Our Neighborhoods, the nonprofit citizens group that initiated the campaign to ban drilling, has filed a motion to intervene in the lawsuit. For more, read the full story.
 


 
Posted by M. Warnock in  Ohio  Oil & Gas Litigation   |  Permalink

 

Jul 24, 2014

Energy 11, LP to raise money to invest in oil and gas development
 

The Star-Telegram in Fort Worth reports that Energy 11 LP, a newly formed partnership, plans to offer 95 million common units of stock for $20 each, and 5.26 million units for $19 each.  According to the company's prospectus filed with the SEC, after the closing of the initial offering of common units, Energy 11 will enter into a management services agreement with E11 Management, LLC which is  labeled in the prospectus as "an indirect, wholly-owned subsidiary of American Energy Partners, L.P."  The company then plans to use the money raised to acquire interests in oil and natural gas fields, including ones in west Texas, Oklahoma, Pennsylvania and West Virginia. For more, read the full story.
 


 
Posted by M. Warnock in  Pennsylvania  West Virginia   |  Permalink

 

 

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