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Marcellus shale

What They’re Saying: Engineering Experts, Economists Confirm Fracturing’s Long, Clear Record of Environmental Safety

Experts say FRAC Act “will have a far-reaching effect on all Americans,” Will “curtail” job-creating domestic energy production

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Read All About It: The Facts About Hydraulic Fracturing’s Record of Safety Continue to Mount

The positive and overwhelming economic and energy security benefits enabled by hydraulic fracturing – a tightly regulated 60-year old energy stimulation technology – continue to be realized across the nation. These benefits – affordable supplies of reliable homegrown energy and thousands of good-paying jobs – are a reality in major energy-producing states, particularly North Dakota and Texas.

And while New York was the birthplace of natural gas production, a de facto ban on Marcellus Shale production through the use of 21st century horizontal drilling technology continues to deny landowners their right to responsibly develop privately-owned, clean-burning, job-creating resources.

Facts are stubborn things, as they say. So for your edification, here are a few about fracturing.

In a Fort Worth Business Press column today, Bruce Vincent, chairman of the Independent Petroleum Association of American (IPAA) and president of Swift Energy, underscores the critical role that fracture stimulation has played, and continues to play, in safely producing homegrown, job-creating energy oil and natural gas resources over the past 60 years. Here are key excerpts from Vincent’s column, which speaks directly to the devastating consequences that bills like the FRAC Act would introduce to American consumers:

This process is tightly regulated by energy-producing states, and is subject to a host of federal laws and regulations as well. In fact, federal law mandates that these fluids – which as stated, are made up of more than 99.5 percent water and sand – be disclosed at every single well-site. Many states even provide these lists online.

In commercial use since 1949, hydraulic fracturing has been – and continues to be – the linchpin to American oil and natural gas production. With surgical-like precision, using high-pressure fluids made up of more than 99.5 percent water and sand, with a small percentage of everyday additives used to kill bacteria and reduce wellbore friction, fracturing stimulates oil and gas production thousands of feet below ground, allowing increased amounts of energy to be produced.

But is it safe, and what steps do producers take to ensure groundwater protection? The short answer: yes, and many.

Unfortunately, some members of Congress believe that they know better than Texas, and that Washington bureaucrats ought to regulate fracturing, rather than individual energy-producing states who understand the geology best and have amassed an impressive track record of overseeing this critical technology. These advocates say their legislation is about disclosure of fracturing fluids. At its core, though, these efforts are aimed at stopping fracturing altogether, which would significantly blunt the positive economic growth and job creation in Texas, as well as in other energy-producing states, and ultimately, increase the cost of energy for America.

More than 1,500 miles away from Ft. Worth, in bucolic Syracuse, NY, folks are also talking about fracturing’s long and clear record of environmental safety and effectiveness. In yesterday’s Syracuse Post-Standard, Alfred Station, NY-native Chris Kulander – who holds a Ph.D. in geophysics with a focus on petroleum seismology – write this about fracture stimulation, and the benefits this proven technology stands to help generate through responsibly developing New York’s portion of the Marcellus Shale:

No evidence directly connects injection of fracking fluid into shale with aquifer contamination. In 2004, the U.S. Environmental Protection Agency released a study finding no confirmed instances of drinking water contamination by fracking fluids in the ground. This finding is not surprising, as fracking fluid is pumped through heavy steel pipe surrounded by a concrete liner to formations thousands of feet below aquifers.

Fracking has made production from the Marcellus Shale possible and created thousands of jobs.

An unfortunate push exists in New York to ban all fracking, purportedly until the technology can be “proven” safe, and to require federal oversight of fracking.

While a responsive state regulatory framework and vigorous, impartial enforcement of those regulations are necessary, draconian measures such as rolling moratoriums or federal oversight of fracking are not. New York is well able to regulate fracking while at the same time allowing development of natural gas and enjoying the jobs and revenue it brings.

ICYMI – GasLand debunked (again) in Okla. Paper

With so much talk in Washington these days from politicians about “plans” aimed at redirecting our struggling economy and putting Americans back to work, not as much attention has been paid to the incredible economic force that America’s oil and natural gas producers continue to bring to bear in so many regions across the country.

Unfortunately though, some leaders in Washington are working to advance misguided policies that seek to severely undercut producers’ ability to safely deliver the energy resources needed to fuel our economy. Naturally, the less energy produced, the fewer jobs created – and tougher it is to make good on the promise of America’s homegrown (and growing) energy potential.

Consider the potential consequences of the FRAC Act, which could strip energy-producing states of their ability to determine the regulatory landscape associated with hydraulic fracturing – a 60-year old technology that’s used to enhance energy production in 90 percent of the nation’s oil and natural gas wells.

While some opponents of responsible American energy production contend that Washington ought to step in and brush aside the authority and expertise of the states in this area, Energy In Depth continues to provide the facts, history and data needed to better understand and appreciate the record of achievement to which state officials continue to lay claim after 60 years of successful oversight.

In today’s Bismark Tribune, EID’s Lee Fuller shares some additional insight on this record:

Here are the actual facts: Fracturing has been used safely in the United States for more than 60 years, and has never in that time been directly regulated by the EPA. For decades, that responsibility has remained with states, which continue to compile a remarkable record of oversight and enforcement.

How good? In 60 years, not a single case of groundwater contamination has been credibly tied to hydraulic fracturing. Don’t believe us? Just ask the EPA — it confirmed as much to the U.S. Senate earlier this year.

Rep. Earl Pomeroy said recently that the “regulation of hydraulic fracturing is best left to the states,” and that new efforts to turn that authority over to the federal government “will do nothing to protect drinking water and will only serve to slow down development resulting in the loss of thousands of jobs and more imported oil.”

Sen. Byron Dorgan confirms that “hydraulic fracturing is not a problem,” noting there have been “many studies” that “show that it does not contaminate groundwater,” including one by the EPA in 2004.

Thanks to the Bakken Shale, North Dakota’s unemployment rate is currently at 3.6 percent. Compare that to the national rate of 9.5 percent. And what about the North Dakota budget? Thanks to the Bakken, it currently enjoys a surplus of $500 million.

Here’s what others are saying about oil and natural gas production enabled by tightly-regulated fracture stimulation technology:

ON FRACTURING’S RECORD OF SAFETY, ENVIRONMENTAL BENEFITS

ON JOB CREATION, ECONOMIC GROWTH

 

ON EXANDED SUPPLIES OF AFFORDABLE, RELIABLE ENERGY

ICYMI: Hydraulic Fracturing a Key Cog in Delivering Jobs, Revenue and Clean-Energy Future for America

With so much talk in Washington these days from politicians about “plans” aimed at redirecting our struggling economy and putting Americans back to work, not as much attention has been paid to the incredible economic force that America’s oil and natural gas producers continue to bring to bear in so many regions across the country.

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C…BS Evening News Whiffs on Hydraulic Fracturing Facts

Recent national news segment on hydraulic fracturing swings and misses on technology’s 60-year old record of safety, effectiveness, transparency

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A Picture’s Worth a Thousand Words – And Hundreds of Thousands of Jobs

The responsible development of clean-burning natural gas from the Marcellus Shale formation – enabled by hydraulic fracture stimulation technologies, coupled with advancements in horizontal drilling – continues to be an boon throughout much of Appalachia, where small, rural communities and towns have not experienced genuine, lasting economic growth and prosperity for quite some time. But that’s all changing now thanks to these technologies, which can safely and effectively reach the Marcellus’ abundant, homegrown, job-creating natural gas reserves.

And while some continue to oppose this environmentally-proven and tightly regulated development, and the tens of thousands of good-paying jobs this production is helping to create at a time when economic opportunity is dire, it’s clear that folks throughout the Rust Belt agree that this is a good thing, and that it can – and must – be done responsibly.

Energy production companies, including Chesapeake Energy, continue to hire throughout the region, holding forums for those interested in joining our fight for a more secure energy future and more stable energy prices for American families, seniors and consumers.

Under the headline “Hundreds Want Gas Drilling Jobs,” the Wheeling Intelligencer reports that “For neighbors Shawn Long and Eric Westbrook of Middlebourne, who arrived before 10 a.m. and waited more than an hour to get through the door, the chance for new employment in the Ohio Valley is welcome.”

One attendee at the recent Chesapeake Energy open house said that “This is a great opportunity for around here,” adding that “this (the gas industry) is one of the only things around here. It’s a good thing they (Chesapeake) are here.” Another individual seeking employment noted that “It’s this or the coal mine. I’ve got two kids and a wife I have to take care of,” add that “Any new full-time employment in this area is great.”

We report, you decide — as they say.


Hundreds in WV, Throughout the
Rust Belt Want Gas Drilling Jobs …
… While a Few Use Distortions to Stop Responsible Gas Development, Job Growth
(Hundreds Want Gas Drilling Jobs; Wheeling Intelligencer, 8/19/10) (“Protest” in Pittsburgh, Pa.; 8/18/10)

From La., to N.D., to Pa., Hydraulic Fracturing Continues to Positively, and Safely, Impact the Economy

In 1949, the average cost for a gallon of gasoline was 17 cents. That same year, the First Polaroid Camera was sold for $89.95. And while the Polaroid has certainly had a lasting impact on American society, it was in 1949 when hydraulic fracturing first came into commercial use.

This energy stimulation technology has been safely used to help produce homegrown oil and natural gas more than 1.1 million times. And because of the industry’s commitment to ensure environmental safety, along with commonsense laws and regulations overseeing the process, hydraulic fracturing has never caused groundwater contamination. But despite this remarkable track record of putting the nation on stronger path toward energy security, a host of claims surrounding fracturing continue to persist.

Energy In Depth’s Lee Fuller helped separate the fact from fiction in a Detroit Free Press letter this week:

Fracturing is not new and is not “exempt from federal water laws,” as Olson claims. Shale gas development is regulated under the federal Clean Water Act, Safe Drinking Water Act, the Community “Right to Know” Act, the Superfund law and by the Occupational Safety and Health Administration (OSHA).

While Olson claims that “Most states, like Michigan, have not evaluated the impacts” of this technology, your readers should know Harold Fitch, director of the Geological Survey (OGS) office at Michigan’s Department of Environmental Quality — which regulates every aspect of oil and gas production, including fracturing — has said that “there is no indication that hydraulic fracturing has ever caused damage to ground water or other resources in Michigan.” Fitch notes that “OGS has never received a complaint or allegation that hydraulic fracturing has impacted groundwater in any way.”

Fracturing fluids are made up of more than 99.5% water and sand. A small percentage of fluids used to reduce friction and kill bacteria that are commonly found under one’s kitchen sink, are added. Not only is a list of these fluids mandated by federal law to be available at every well site, many organizations — including Energy In Depth — list them online.

And here’s just a quick snapshot of positive economic benefits that hydraulic fracturing is helping to bring to energy-producing regions of the country that are in desperate need of good-paying jobs and stable energy costs, as well as the commitment from the industry to be good neighbors and stewards of the environment:

Let’s Talk About Cleavage

Or why the foliation perpendicular to stress in the context of subsurface ductile deformation matters in the debate over shale and hydraulic fracturing 

We’ve spent some time over the past couple months taking a critical look at some of the key assertions made in the HBO documentary GasLand, putting forth in that time two separate rebuttal documents that we believe address in a substantive way a number of the misconceptions upon which the film, and its broader political message, is based.

But one of the issues we haven’t tackled yet is the suggestion that fissures made in the process of fracturing a shale formation are so long, and so upwardly vertical, that they have the potential to create conduits (or cleavages) through which fracturing-related fluids can travel to water-bearing formations thousands of feet above – including the water table. In his brief explanation of what the fracturing process is all about, GasLand director Josh Fox includes the following image in his film:

 

According to Fox, the fracturing process “is like a mini-earthquake,” and “blasts a mix of water and chemicals 8,000 feet into the ground.” At least he gets the depth right. But according to New York Department of Environmental Conservation (page 127 of this document), “No blast or explosion is created by the hydraulic fracturing process. The proppant holds the fractures open, allowing hydrocarbons to flow into the wellbore after injected fluids are recovered.” Guess there’s no need to call in the bomb squad after all.

But basic mechanics aside, the message the director is attempting to advance through the image above is simple: Hydraulic fracturing completely decimates the shale formation, creates massive gaps in the underlying rock, and produces vertical chasms that travel all the way up to the surface. Within that context, it becomes a lot easier to understand how the technology could lead to the drinking water contamination – as long as pathways and pressure exist, who can say for sure what’s actually happening down there, or up here?

Serious geologists have known since time immemorial that such a phenomenon is a virtual impossibility – and so has the EPA, which wrote in 1995 that “given the horizontal and vertical distance between the drinking water well and the closest methane production wells, the possibility of contamination of endangerment of USDWs [underground sources of drinking water] in the area is extremely remote.” And that letter, keep in mind, was in reference to a coalbed methane well – which reside thousands of feet closer to the water table than shale wells.

But thanks to the good folks over at Pinnacle Technologies, we now have some solid data to express this separation in quantitative terms. As reported by Pinnacle general manager Kevin Fisher in July’s edition of the American Oil & Gas Reporter, the following graphs plots actual field data from tens of thousands of fracturing operations conducted over the past decade – this first one, in the Barnett Shale, which shows quite clearly that even the most shallow fissures created through the hydraulic fracturing process remain separated from the water table by more than 3,500 feet:

 

But that’s just the Barnett, right? Everyone knows there’s no problem out there. Isn’t the real area of concern the Mighty Marcellus – where activists continue to claim that gas, chemicals, salt, metals, and Lord knows what else regularly get dredged up from the depths and beamed into every well, sink and stream in sight? Well, Pinnacle ran the numbers on the Marcellus as well, and although the data set isn’t quite as robust as what you’d find in the Barnett (remember: we’ve been developing that one a bit longer), the story in Pennsylvania, West Virginia and Ohio is remarkably similar. To wit:

 

Here we see an even greater separation between fractures in the underlying rock and sources of potable water above – with the closest the two shall ever meet clocking in at roughly 4,300 feet.

In other words, the deepest formations holding drinking water and the most shallow depth in which you’ll find a fracture in the Marcellus Shale are still separated by the equivalent of three-and-a-half Empire State Buildings – or three Petronas Towers, for our Malaysian friends. And by the way: they’re not exactly separated by air either. Between the two, you’ll find millions of tons of solid, impermeable rock – rock that has for literally hundreds of millions of years acted as an immutable barrier preventing salty water below from communicating with fresh water above.

But just to be sure we got this right, we sent these graphs and data up to Williamsville, N.Y. so that Ph.D. geologist Michael P. Joy might give them a gander and share some technical insights into what makes this phenomenon possible. Below is a (small) excerpt from the email he sent us in reply:

The hydraulic fracturing process creates fractures that are very small, usually an 1/8th inch or less in width. There is not enough pressure that could be exerted on the column of water to create a fracture matrix long enough to reach anywhere close to near surface aquifers. … The gas and water in these deep shale formations exist in hydrostatic equilibrium; the pressure acting down on the formation fluid is equal to the pressure being exerted from the bottom upward and the formation fluids act under the immutable laws of physics and stay in place.

Right. Exactly what he said.


Syracuse Resident on Hydraulic Fracturing: “I just really wish we could have an honest debate here”

Earlier this week, EPA found itself in the unenviable position of having to scramble for an alternate location for hosting its previously scheduled public information session on the shale gas stimulation technique known as hydraulic fracturing.

Of course, it was pure coincidence that the agency settled on the one city in the state whose newspaper ran four separate letters to the editor late last week targeting with misinformation the technology in question.

Syracuse, of course, is the city we’re talking about, and even though New York State has more than 13,000 oil and natural gas wells in operation today – the vast majority of which have been fractured – activists continue to spread misleading information about the 60-year-old technology, and the many state and federal regulations in place to ensure that this process is conducted in a safe and environmentally sound manner.

Last week the readers of Syracuse’s Post-Standard witnessed this effort first hand and in full-force – four letters in a single day. Luckily however, there are folks out there who know the truth, speak the truth and are willing to set the record straight on a technology been deployed over 1.1 million different times without a single confirmed case of groundwater contamination.

Which brings us to the first letter from last week’s Aug. 6 Post-Standard:

“Here are some of the exemptions from the United States federal laws that the natural gas industry can ignore due to the “Cheney loophole” in the Federal Energy Act of 2005: Exemptions of the gas (and oil) industry: 1) the Safe Drinking Water Act, 2) the Clean Water Act, 3) the Clean Air Act, 4) the Comprehensive Environmental Response, Compensation and Liability Act, 5) waste management laws, 6) public right to know provisions of the emergency planning and community right to know act.” – David Kauber, Aurora

Funny thing about these claims? Not a single one is backed up by fact. And no, just because Josh Fox says it’s true, doesn’t mean it is. Local resident Andy Leahy sums it up best in today’s Post-Standard:

“I’m going to have to leave aside the preposterous claims that the oil and gas industry is exempt from the Clean Water Act, the Clean Air Act, the Superfund law and so on… The history of the Safe Drinking Water Act, on the other hand, carries a slightly more interesting “kernel of truth,” from which the activists have sprouted their claims. For more than two decades since passage in 1974, no one in authority on any state or federal level interpreted underground injection control as encompassing oil and gas well “stimulation,” or fracturing, as had long been routinely deployed during development of these resources… in the late 1990s there was a very effective lawsuit brought by an environmental group having to do with hydraulic fracturing for coalbed methane in Alabama.”

Mr. Leahy goes on to write:

“The Energy Policy Act of 2005, among many other things, rendered this Alabama legal decision ineffective by clarifying congressional intent within SDWA. It said clearly that hydraulic fracturing was not meant, and was never meant, by Congress to be covered under the federal underground injection control program. So that’s the exemption, the so-called “Halliburton loophole.” It just confirmed the status quo, which is that the states remain the primary regulators of oil and gas exploration activity.”

You can imagine the substance of the other three letters – which you can read here if you’d like. But to save you the time, effort and tears, we’ll leave you with this little nugget:

We are a well-informed, intelligent, educated people who are well aware of what we have to lose if the gas companies are allowed to frack within the aquifers of our state. We know that we are exempt from the Clean Water and Clean Air Acts.” – Beverly Ann Scholl, Skaneateles

Sorry, Ms. Scholl, educated people support their arguments with facts, not fiction.

No Place Like Dome?

Budget, air conditioning (?) play role in EPA decision to move Binghamton HF forum to Syracuse – but tight logistics force agency to postpone event ‘til next month

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House Call on the FRAC Act

Sen. Casey asks Colo. congresswoman to help him make the case for jobs-killing anti-HF bill in Philadelphia paper – EID takes a closer look

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You Sent Out the Wrong List?

AP story on “potentially harmful” chemicals used in fracturing process runs everywhere in Pennsylvania – two days later, we learn DEP sent AP the wrong list (!)

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Hydraulic Fracturing Continues to Help Create Tens of Thousands of American Jobs, Economic Opportunity

Last week was quite a week for shale gas production enabled by hydraulic fracturing, a 60-year old tightly regulated technology used to stimulate oil and gas production in 9 out of 10 wells nationwide.

There was plenty of positive and welcomed economic news. An updated Penn State University economic impact study released last Tuesday finds that the development of the Marcellus Shale’s clean-burning natural gas reserves, through the use of fracturing, has the potential to add an additional 212,000 new jobs to the state’s employment rolls over the next decade. Energy In Depth’s executive director, Lee Fuller, said this about the study:

“The release of this report from Penn State today serves to reinforce that status in a modern context, and also make clear to those who oppose this critical work on political or ideological grounds that, at least on practical economic grounds, that opposition could lead to fewer jobs, greater dependence, and a lot less revenue for the state.”

But Appalachia isn’t the only region of the country that is booming thanks to fracturing. The Shreveport Times reports this under the headline “Haynesville Shale spares local economy”:

The huge amounts of money injected into the local economy via the Haynesville Shale activity has spared northwest Louisiana from the worst effects of the national slowdown, according to an economist whose second-year study of the industry was released Tuesday.

In the report, Dr. Loren C. Scott pointed out that the seven firms participating in his study “pumped an amazing $7 billion into the state’s economy” in just one year. That sizeable injection of new money into the state can be equated to tossing a boulder into a pond.

Scott’s study serves as tangible evidence to the “tremendous economic benefits of natural gas extraction operations in northwest Louisiana,” said Don Briggs, Louisiana Oil and Gas Association president.

And in a report yesterday from KENS 5-TV, “Texas oil and gas boom paying dividends for San Antonio,” thanks to 21st century fracture stimulation technologies. This from the region’s CBS affiliate:

A huge, underground oil and gas field is promising big results, and that’s having an economic impact on San Antonio.

“I wish I had a crystal ball.” No one knows, no one knows. They just pick up the phone and start ordering equipment,” said Chase Hooker, Director of new business development for APPCO; a company that makes equipment called Frac-Sanders.

These huge, $250,000 machines deliver a special sand mixture to a well. The “frac” sand helps force fossil fuels out of the ground. Despite making a dozen of these 25-ton machines a month, APPCO is back-ordered through 2011.

Unfortunately, some in Washington – despite this overwhelmingly positive economic news in an otherwise struggling national economy – believe that the energy-producing states should be stripped of their proven ability to effectively regulate fracturing.

Last week, Colorado Rep. Dianna DeGette, an advocate for burdensome, duplicative and potentially devastating federal regulations on American energy production, offered and withdrew an amendment at a House Energy and Commerce Committee mark-up that would have stripped energy-producing states of their ability to effectively regulate fracturing. Like her bill, the FRAC Act, Ms. DeGette’s amendment would give the federal government – for the first time ever – authority to oversee this critical and heavily regulated practice.

Thankfully the amendment was withdrawn amidst pressure from Energy In Depth, the U.S. Chamber of Commerce, the National Association of Manufacturers and scores of Democrats and Republicans on the panel.

EID’s Fuller wrote this in a letter to members of the committee leading up to the hearing:

The fact is, hydraulic fracturing has been ably and aggressively regulated by the states almost since the moment of its invention, with regulators compiling an impressive record of enforcement and oversight during that time. It’s a record that continues to be acknowledged by regulators and lawmakers on the federal level as well, most recently by EPA’s director of drinking water protection, who told a reporter in February that there existed “no evidence” that “states aren’t doing a good job already” when it comes to regulating fracturing activities.

But it’s not just America’s energy producers and job-creators speaking out about fracturing’s long and clear record of effectiveness and safety. Major newspapers are speaking out, too. Today’s Investor’s Businesses Daily writes this in an editorial:

Environmentalists, aided and abetted by Democratic Sen. Bob Casey of Pennsylvania, now want to stop us from unlocking our vast reserves of natural gas locked up in shale using a technique called hydraulic fracturing or “fracking.” The technique involves injecting liquids under pressure, 95% of which is water, into the shale rock to release the trapped gas.

Casey has introduced legislation to remove fracking’s long-standing exemption in the Safe Drinking Water Act that allows energy companies to use the process. He claims the process endangers America’s drinking water, though fracking is done thousands of feet below the groundwater table and there’s never been a case of groundwater contamination caused by fracking.

“This 60-year-old technique has been responsible for 7 billion barrels of oil and 600 trillion cubic feet of natural gas,” according to Sen. James Inhofe, ranking member of the Environment and Public Works Committee. “In hydraulic fracturing’s 60-year-history, there has not been a single documented case of contamination.”

Kanjorski: Jobs, Revenue and Opportunity from Marcellus Shale “A Big F’n Deal” for PA

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ICYMI – ND governor to EPA: “We can regulate fracturing very well, thank you very much”

“Environmentally sound” natural gas production bringing “a lot of jobs to the area”

Gov. Hoeven tells EPA that N.D. can handle fracturing
By Rebecca Beitsch
Bismarck Tribune
May 16, 2010

Gov. John Hoeven has had a series of meetings with Environmental Protection Agency leaders as the agency moves forward with a process that could end in its regulation of an oil drilling process known as fracturing.

The EPA is now studying the effect the process has on ground and drinking water and could potentially use the authority granted in the Clean Water Act to take over the permitting process from the states.

Fracturing, or “fracking,” involves pumping water and sand at high pressures to two miles beneath the surface using a series of pipes. The microseismic stimulations from the process loosen up oil tucked into crevices of the Bakken formation. But the concern lies in both in the process’ interaction with groundwater and what happens to the wastewater once the process is completed.

The message Hoeven wants to send to the EPA is “we can regulate fracturing very well, thank you very much.”

Lynn Helms, director of the Department of Mineral Resources, said he is opposed to the potential regulations, not because they would drastically change the process, but rather because he believes drilling through fracking would have to be abandoned until the new regulations were in place.

“I don’t expect more stringent rules, but I do expect a two- to three-year stoppage in North Dakota while the rules get put in place, and that’s a lot of unemployed people,” Helms said.

Helms said fracking is environmentally sound because of all the safeguards in place.

* * * * *

Life on a Drilling Rig
By Ryan Coyle
WNEP-TV
May 19, 2010

Natural gas drilling is changing the landscape of the northern tier in many ways.

At 4:30 p.m. most people are wrapping up the work day. Rick Woodbeck of Towanda is just getting started. Woodbeck is a natural gas driller with Chesapeake Energy. A roughneck, as they are called. He drills into the Marcellus shale gas deposits miles below the surface of the earth.

“I was in the Army National Guard and I came back from Iraq. Instead of going to sit behind a desk I decided to try something different and I had a friend who was on a rig. He told me about it and got me an interview. A couple weeks later I started out on a drilling rig,” Woodbeck said.

Woodbeck has been working on gas rigs for nearly three-and-a-half years and when the opportunity came to work close to home with Chesapeake, he couldn’t turn it down.

“I feel pretty good working at home. Still being able to see friends and be with my wife or family. So it’s a pretty good feeling,” the roughneck said.

“The pay is good. It’s better than probably most jobs you’re going to find in the area,” Woodbeck added. That’s one of the reasons why he is happy to see drilling coming to the northern tier.

“I believe it’s a good thing. The economy is not doing well right now. It did bring a lot of jobs to the area. Restaurants are doing better. Just the local economy is overall better,” Woodbeck said.

Not only that, he is seeing more people from the area getting these types of jobs. Six guys on his crew work the rig and four are from Pennsylvania. “There’s more jobs. I see more and more local guys on the rigs,” said Woodbeck.

Syracuse Profs Say Hydraulic Fracturing is a “safe method to capture a huge supply of underground natural gas”

When it comes to the facts surrounding the 60-year old energy stimulation technology called hydraulic fracturing, which has been safely used more than 1.1 million times throughout the United States, several top New York academics believe that the facts – based on science and not fear or hyperbole – speak for themselves.

In yesterday’s Syracuse Post-Standard, under the headline “Scientists say Hydrofracking benefits outweigh risks”, a trio of Syracuse University experts echoed the fact that anti-shale gas production advocates – who “rely on fear ” – “are exaggerating the risk” of fracturing, and that “many of those concerns have been sensationalized” and “overblown.”

This from the article:

The debate should be about the science, he contends, as do two retired SU professors, Bryce Hand and Joe Robinson — who have defended high-volume hydraulic fracturing as a safe method to capture a huge supply of underground natural gas in the Marcellus Shale formation.

But opponents of hydrofracking have “dispensed with science and rely on fear” to turn the public against drilling, Siegel said.

The voices of scientists are being drowned out, the professors said.

“What I’m finding is that no matter how you make the argument about shale bed methane to the local community, they refuse to understand it or refuse to even consider it,” said Siegel, a 62-year-old Syracuse resident.

And speaking of the facts, Pennsylvania Congressman Bill Shuster – a member of the House Energy and Mineral Resources panel – took to the pages of the Johnston Tribune-Democrat today to highlight the overwhelmingly positive economic impact that the safe, responsible development of the Marcellus Shale is having throughout the Commonwealth. Under the headline “Marcellus Shale: Reigniting state’s energy potential,” the congressman writes this:

There is enormous economic potential for Pennsylvania to take advantage of this reserve as new drilling techniques have unlocked vast resources previously impossible to reach.

Natural gas drilling in the Marcellus Shale will generate $14 billion and has the potential to create 98,000 jobs in 2010 alone, and bring in $800 million in state and local tax revenue.

From steel to rail, other industries are already responding to the needs of the growing gas industry. This will lead to more jobs and economic growth throughout the state.

It is important that we recognize the enormous potential shale gas holds for Pennsylvania and encourage this growing industry with smart policies that encourage economic development.

The congressman also underscores how effectively the state regulates this production, especially as it relates to fracturing:

Natural gas drilling is effectively regulated at the state level by the Department of Environmental Protection. I believe the state continues to be in the best position to manage and regulate the industry.

The federal government is considering regulation of a critical drilling technique called hydraulic fracturing, which is necessary to recover gas from the Marcellus Shale.

Hydraulic fracturing has been used safely for 60 years; more than 1 million wells have been hydraulically fractured and there has never been a single documented case of groundwater contamination.

The practice is regulated effectively at the state level and there is simply no need for the federal government to step in with unduly burdensome regulations.

While Sen. Bob Casey (D-Pa.) believes that unelected Washington bureaucrats are best suited to regulate fracturing, a chorus of key congressional supporters have recently weighed-in, sending a loud and clear message that energy-producing states are best able, equipped and situated to oversee this critical technology.

In fact, a bipartisan group lawmakers who serve on the powerful House Energy & Commerce Committee – led by Reps. Sullivan (R-Okla.), Ross (D-Ark.) – wrote Henry Waxman and Ed Markey, leaders of the panel, last week, urging them to reject a one-size-fits-all Washington takeover of fracturing regulations.

Following the release of the bipartisan letter, Congressman Sullivan said this:

“In 2004, the EPA concluded that hydraulic fracturing poses no threat to groundwater. In fact, in the past 60 years, close to one million wells have been hydraulically fractured in the United States with no known harm to water supplies. I firmly believe that  putting hydraulic fracturing under the grip of the EPA as some in Congress seek to do, would be a mistake and a bureaucratic nightmare that would lead to delays in recoverable domestic natural gas extraction and would hurt job growth in Oklahoma our nation.”

Congressman Mike Ross added this:

“Natural gas is one of our cleanest and most abundant energy resources in America. This industry also employs nearly 4 million Americans, including about 40,000 Arkansas families. Hydraulic fracturing is an important technology that allows us to safely recover natural gas from shale formations like the Fayetteville Shale in Arkansas, reducing our dependence on foreign energy sources. It is absolutely critical we have the most recent and relevant scientific data before making any decisions, which will most likely have a far-reaching impact on Americans’ access to natural gas.”

And in a separate letter last week, Wisconsin Congressman James Sensenbrenner – the top Republican on the House Energy Independence Committee and former Science panel chairman – told EPA administrator Lisa Jackson this:

“EPA can help promote our nation’s energy independence by making it easier for the U.S. to rely on our domestic resources. We should let states regulate fracking guidelines instead of establishing federal mandates, or a government takeover of yet another industry.”

Gas Odyssey: Clean-Burning American Energy Creating Thousands of Jobs, Untold Economic Opportunity

Francis Ford Coppola served as executive director of the Golden Globe-nominated The Odyssey in 1997. Back in 1968, Stanley Kubrick directed the Oscar award-winning 2001: A Space Odyssey. Both were decent movies. Both did decent at the box office. But the truth is, neither of these puppies can hold a candle to the recently released Gas Odyssey film pulled together by young documentarian Aaron Price.

What do we know about movies, you ask? Absolutely nothing. But here’s what we do know: Price’s story about a community rallying together to support the responsible conversion of clean-burning natural gas resources into jobs, revenue and opportunity for the future is as genuine John Wayne. And if you haven’t seen the trailer for it yet, well, you don’t know what you’re missing out on, friend.

The responsible development of the Marcellus Shale – considered to be the world’s second largest natural gas reserve in the world – is generating untold amounts of economic activity and job creation. At the same time, this safe, heavily-regulated production – enabled by advancements in horizontal drilling technologies coupled with the 60-year old energy stimulation process called hydraulic fracturing – is unlocking enormous amounts of clean-burning, American natural gas.

Price highlights this once-in-a-lifetime economic transformation that is rejuvenating and bringing hope to communities that have historically been down on their luck. Throughout the 117 minute documentary, Price captures the stories of family farmers, school administrators, small businesses owners and landowners whose lives, and lives of those who make up their communities, have been positively and directly affected by this production.

But this film doesn’t tell just one story – it tells two. See, in Pennsylvania, private landowners are permitted to produce shale gas on their land. However, in New York – just a couple miles away across the state border – the government in Albany has a de facto moratorium in place preventing the responsible development of Marcellus shale gas, and its associated economic benefits, from moving forward.

Here are just a few of the key firsthand accounts that Price captures:

Stephen Herz of Windsor NY, who’s owned a family horse for 60 years:

“Broome County is in a dire position, and quite franking, allowing responsible natural gas drill is a clear light at the end of this tunnel. … The natural gas opportunity is this community’s salvation … This opportunity will filter down through our community, creating jobs, creating revenue, and giving our citizens reason to hope and reason for a bright future here in Broome County. … If the gas industry isn’t allowed to responsibly thrive in Broome County, you might just as well place a closed sign on this community.”

James Worden, also of Windsor, says this, speaking on behalf of more 3,000 upstate New Yorkers:

“They tell me that they are losing their jobs, and other hardships they suffer.”

Julie Lewis, of the Joint Landowners Coalition of New York, says this, nothing the “astounding” potential economic benefits:

“We have not seen contamination by frac fluid, but that’s what everyone keeps talking about.”

Jon Dietz, truck driver in Montrose, PA, tells Price this:

“In my opinion, there’s nothing detrimental to our area with what’s going on right now. It’s bringing jobs, it’s bringing money. And its’ improving everything. This was a dead community. Our last factory closed years ago.”

Price talks to Derek Matolka, who’s enrolled in Lackawanna College’s natural gas technology program, and commutes from Vestal, NY:

“I wasn’t sure what I wanted to do before, but I’m excited about this program and to join the gas industry following graduation.”

Broome County executive, Barbara Fiala, a tireless advocate for economic opportunity and job creation, adds this:

“Nothing would compare to what gas drilling would mean to the community,” in terms of jobs and positive economic impact.

No Joy in Mudville?

Faced with Opportunity to Get the Fact Straight on HF in Letter to EPA, Casey Strikes Out Again

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What’s Been Around Longer: Hydraulic Fracturing, Medicare or Hemingway’s The Old Man and the Sea?

It seems to have become fashionable in some anti-energy circles these days to refer to hydraulic fracturing as a “new” technology – it’s a parallel reality that seems to be growing in population by the day. The truth is, however, that fracturing has been around for decades — more than six of them, in fact. And while this critical tool stimulates oil and gas production in 9 out of 10 wells nationwide, and has been safely used over 1.1 million times, it has never been proven to contaminate groundwater. Not once in 60 years.

A recent Abington (PA) Journal Correspondent highlights fracturing’s long and productive history of safely accessing and producing homegrown energy. This from the article entitled “DEP: Fracking used since 1948 in Pa.”:

Despite controversy over hydraulic fracturing in natural gas drilling operations, the process isn’t particularly unique, according to Scott Perry, deputy director of the Department of Environmental Protection Bureau of Oil and Gas. Fracking has been used by the oil and gas industry since 1948, and in the drilling in Pennsylvania since then.

He said … that there has never been a case of fracking fluid causing direct contamination of groundwater. The fluid makes up one half to one percent of the total volume of a fracking operation, said Perry, with the remainder being comprised of sand and water.

And thanks to this time-tested technology, the United States now has nearly 100 years supply of clean-burning, job-creating natural gas. Bloomberg reports this week that US energy secretary Steven Chu believes that “New natural-gas drilling technologies may have doubled U.S. reserves of the fuel.”

And in a Harrisonburg (VA) Daily News Record op-ed today, David Banks writes this about safe, environmentally responsible shale gas production enable by hydraulic fracturing under the headline “Drilling A Resource, Not A Risk”:

Yet environmental lobbies are trying to ban production, both here and elsewhere, claiming that a process being used to recover the natural gas poses a risk to drinking water resources.

Known as hydraulic fracturing, the process involves injecting a mixture of water, chemicals and sand under high pressure to break through the shale and reach the natural gas. It has been used safely in oil and natural gas production for the past 60 years, and has never resulted in any confirmed cases of groundwater pollution. Fact is, groundwater is separated from the gas-bearing shale by hundreds of feet of thick rock.

Although geologists have known about Marcellus Shale gas for decades, its recovery only became economically feasible a few years ago after a technique was found for drilling horizontally into the rock, which enables a single well to reach more natural gas.

That technique, developed to gain access to natural gas in the Barnett Shale in northern Texas, is now being used in shale-gas production around the country. As a result, experts say, the gas that can be unlocked from these formations will last more than 100 years.

Help keep the commonsense and effective hydraulic fracturing regulations in place with the states by telling Congress to kill the FRAC Act so that this misguided bill doesn’t kill good-paying American jobs.

Rep. George’s Fact-Free Fact-Finding Mission

Chair of PA House Environment Committee Travels Across the State to Learn  More About Hydraulic Fracturing, Comes Up Empty

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An Army of One

PA DEP all alone in continuing to insinuate that natural gas exploration had something to do with Dunkard Creek — while EPA, WV agencies say otherwise

PA DEP Attempts to Blame Dunkard Creek on Natural Gas

ICYMI — Reuters, PA Newspapers: “Hydraulic fracturing operations, natural gas boom brings riches to a rural town”

“A huge opportunity”; “Has transformed the lives of some local farmers”; “It’s just the tip of the iceberg”; “Increased job opportunities”; “This is all good news for the area”; “The economic impact will be wonderful”

Small, rural PA towns “getting rich from the rush to develop the Marcellus Shale”

Natural gas boom brings riches to a rural town
Reuters
Jon Hurdle
April 5, 2010

At a windswept rail yard at Wellsboro in northern Pennsylvania, dozens of railcars wait to load thousands of tons of sand onto trucks that will take the cargo to natural gas rigs across the state.

The freight railroad, which runs 35 miles north to Corning, New York, had its busiest year in more than two decades in 2009, fueled by demand from a booming natural gas industry, which uses sand in hydraulic fracturing operations.

“This is a huge opportunity for us to operate at these levels,” said Bill Myles, manager of the railroad’s operations. The company has just spent $1.5 million on four powerful new locomotives, is laying new track and has hired new workers.

Like many rural towns, Wellsboro is getting rich from the rush to develop the Marcellus Shale, a formation stretching from New York to West Virginia that contains enough natural gas to satisfy U.S. demand for 20 years or more, experts say.

It is expected to become the most productive of America’s shale gas fields.

The boom has also transformed the lives of some local farmers who, after struggling financially for years, now find themselves with six- or seven-figure checks from the gas companies in return for leasing their land for drilling.

“Some of them have had tears in their eyes, thinking they may have to give up the farm,” said Gooch. “The gas checks have allowed them to stay on their land.”

And with the expected growth in the area’s gas industry, Bob Chesko said: “It’s just the tip of the iceberg. Some say it’s going to be a 20-year project.”

Business has picked up at gas stations, auto repair shops, restaurants, realtors, and even the local movie theater, said Coolidge, adding, “I have seen so many businesses that it has touched in a positive way.”

Gas boom sparking rail revival
Sunbury (PA) Daily Item
Diane Petryk
April 2, 2010

Those who can operate trains, repair locomotives, and maintain railroad tracks may find increased job opportunities in the Valley soon. Lycoming Valley Railroad Co. is seeing an upsurge in demand for transportation of supplies needed by contractors serving Marcellus Shale drillers.

The processing of drilling through the shale to extract natural gas, known as hydrofracking, requires lots of special sand and lots of pipe and it makes lots of wastewater. The sand and the pipe have to be brought in, sometimes from as far as Saskatchewan, and the water has to be carted away. Trucks do some of the work, but trains are seeing an increase in business as well.

Lycoming Valley Railroad Co.’s first quarter this year showed a 40 percent increase over the same time period last year, said chairman and CEO Richard Robey. The firm, based at 356 Priestley Ave. in Northumberland, hired two more workers and is looking for two more now. That’s just to start.

Wildcat is a Colorado-based company, Hunter said, but it has plans to hire from the local job market.

“We managed to get through the recession without any layoffs,” Robey said. “Today we have 16 new customers involved in supplying the Marcellus Shale gas industry.”

That industry started up in earnest in Pennsylvania in 2008, Hunter said. “It’s impact on local areas is dramatic,” he said. “I live in Williamsport and the changes in Williamsport are dramatic.”

Rebirth of the railroad?
Sayre (PA) Morning Times
Steve Reilly
April 3, 2010

Now, for the first time after decades of decline, activity on the Lehigh Railway is growing again. New locomotives are being purchased, and employees are being hired to keep up with new demand created by the natural gas industry.

According to Jim Raffa, vice president of sales for the Lehigh Valley Railway, the railroad is once again assuming a position of prominence in the region’s economy, transporting many of the things needed to tap into the of the area’s newest economic hope — the sand, pipes, and other bulk materials needed to drill for natural gas in the Marcellus Shale.

“This is a phenomenon up in this area, it really is,” Raffa said. “There’s a lot of railroads that are seeing economic downturns, whereas for us, it’s been growth.”

According to Raffa, the increased business from the Marcellus Shale industry has already led the railway to hire new employees, with more hires expected.

“We have also recently purchased another locomotive to handle the increased business,” he added, “(and) we expect to purchase two more within the next year.”

“To have a functioning railroad that’s doing well is only going to produce better-paying, higher-paying types of jobs.”

“This is all good news for the area,” he said. “It’s definitely coming back”

“I think the economic impact will be wonderful for the Valley, especially at a time when everybody knows that the economy’s bad,” said Sayre Mayor Denny Thomas.

ICYMI — Top PA oil, gas regulator, energy senator: Hydraulic fracturing “not a threat to water supplies”

DEP Official: “There Has Never Been Any Evidence” Tying Hydraulic Fracturing to Water Contamination
Scranton Times Tribune
Laura Legere
April 2, 2010

[Scott Perry, director of the Department of Environmental Protection's Bureau of Oil and Gas Management] also insisted that even though the department is proposing to strengthen its disclosure requirements, hydraulic fracturing is not a threat to water supplies.

“There has never been any evidence of fracking ever causing direct contamination of fresh groundwater in Pennsylvania or anywhere else,” he said.

“If I honestly thought that fracking was causing a direct communication with groundwater resources, I wouldn’t be talking about how we have a chemical list. That is the ultimate half-measure. I would be saying, ‘This cannot occur.’”

Gas drilling, DEP given a bad rap
Centre Daily Times
Sen. Mary Jo White, Environmental Resources & Energy Committee chair
March 30, 2010

“There is also no evidence that fracking a deep well, as is done to access Marcellus Shale gas, is contributing to aquifer depletion or degrading water quality. Most gas is more than a mile below the surface, maintaining several thousand feet between the shale and the aquifer.

“DEP, along with 18 other states, certified to the Ground Water Protection Council last year that they have no instances of fracking resulting in any water quality problems in which this activity is occurring. President Obama’s EPA drinking-water quality chief recently provided similar testimony before Congress.”

Locomotive Breath

US Shale Gas Revolution, Enabled by Hydraulic Fracturing, Generating Jobs, Reviving Old Train Towns – Exactly What Jethro Tull Had in Mind

We all know that safe, responsible, well-regulated natural gas production from dense, shale rock formations is helping to drive down energy prices and foreign dependence, and creating a heck of a lot of good-paying jobs, too. Hydraulic fracturing – a 60-year old energy stimulation technique used in 9 out of 10 wells nationwide – is the technological linchpin to unlocking the nearly 100 years of clean-burning, homegrown natural gas supplies. The fluids used in the fracturing process are made up of more than 99.5 percent water and sand. And as gas production continues to expand throughout Pennsylvania’s Marcellus shale – considered to be the world’s second largest natural gas reservoir – the demand for sand and freight rail to move equipment continues to increase.

 

 

 

Yesterday’s Williamsport (PA) Sun-Gazette reports this under the headline “Marcellus Shale exploration credited in need for new locomotives”:

The Wellsboro and Corning Railroad took delivery of four SD 40-2 locomotives last month, and the burgeoning Marcellus Shale natural gas industry is the main reason the powerful locomotives are needed.

According to Tom Myles IV, chief financial officer of the Myles Group, owners of the railroad, “The additional power is necessary to support the demands of the growing gas related industries in Pennsylvania. Because the need for transportation of gas-related products is so great, we have added the locomotives to increase the ability to run longer, more economical and environmentally sound trains.”

The Wilkes-Barre (PA) Times Leader reports this recently in a story entitled “Old Duryea railroad yard taking on new life; Rail cars of sand to be used in Marcellus Shale natural gas extraction get a home”:

Investment spurred by Marcellus Shale natural gas exploration has transformed an antiquated, weed-ridden rail yard just north of Pittston into a state-of-the-art transloading terminal teeming with rail and trucking activity on an almost daily basis.

Over the last year, Reading & Northern Railroad Co. sunk $100,000 into Pittston Yard, laying new track to accommodate 100 new rail cars and constructing a facility to store and hold up to 800 cars of sand to be used in hydraulic fracturing, or “fracking,” operations at Marcellus Shale drill sites throughout Northeastern Pennsylvania, said Reading & Northern President Warren A. Michel.

“The reason for our success is that we are the largest facility in the region capable of handling hundreds of rail cars of sand. We now have 130 (sand) rail cars at the yard and we’ll be expanding substantially over the next six months,” Michel said.

The company rewarded its full-time employees for their work on the project and throughout last year with an extra week of paid vacation this year and a paid trip to their choice of either Disney World; Branson, Mo.; Williamsburg, Va.; London; or a cruise.

Because of a number of factors including the Marcellus Shale drilling industry, Reading & Northern has hired 10 new employees over the last two months.

And last week, the Philadelphia Inquirer reports that “Marcellus Shale sends short-line railroad booming.” This from the Inquirer’s Andrew Maykuth:

Nobody knew there was gold in the sand.

When A.T. “Tom” Myles approached officials in this town three years ago about taking over the ailing Wellsboro & Corning Railroad, he thought the 35-mile short line had potential for transporting lumber to market from northern Pennsylvania.

But that was before the Marcellus Shale natural-gas boom took off and exploration companies were clambering to import sand into Pennsylvania – millions of pounds of special sand used to develop gas wells.

“I didn’t even know about the sand when I came in here. I just wanted the railway,” said Myles, 65, a fourth-generation railroader from Exton. He is chief executive of the Myles Group, a collection of companies his family owns and operates from Chester County.

Maykuth notes that the uptick in freight rail demand from the Marcellus shale is creating jobs:

In the two years since Myles took over the Wellsboro & Corning line, cargo traffic has nearly tripled, to 849 railcars last year, the most in its modern history. In a recession, Myles has hired 10 people to transfer sand from the cars into trucks.

He anticipates that business will nearly double this year, to 1,600 railcars. Almost all of that is sand used in hydraulic fracturing, the process that shatters the dense Marcellus Shale under high pressure to unlock its stores of natural gas.

The gas industry’s huge appetite for what is known as “frack sand” has spurred a rebirth for the struggling railroad, whose previous operator gave up just before the gas boom.

Michael Ming, president of Research Partnership to Secure Energy for America, tells CNN that “We’ve basically won the lottery,” when it comes to American shale gas. He’s right – we have. More affordable, cleaner energy; less dependence on unstable regions of the world to fuel our economy; and tens of thousands of good-paying jobs – who’d be against that? We could think of a few folks who continue to distort facts and lodge baseless attacks on American energy producers, especially as it relates to fracturing technologies. But here are the facts.

Donald Siegel, a Syracuse earth sciences professor who holds a PhD in hydrogeology, writes this in yesterday’s Binghamton (NY) Press & Sun-Bulletin in a column entitled “Unfounded fears obscure facts; Public needs to understand science behind shale’s potential”:

The long-term history of gas production and the science behind it show that recent public fears of hydro-fracking are misplaced.

The water in rock thousands of feet deep is disconnected from our lakes, rivers and shallow aquifers. Hydro-fracking cannot break through these thousands of feet of rock all the way up to reach shallow aquifers.

Organic compounds in hydro-frack, flow-back water naturally biodegrade, are miniscule when measured, and trivial when considered in the context of how much raw boat fuel discharges every year in New York waters from inefficient outboard motors.

And Scott Cline, a petroleum engineering PhD, writes this in recent Binghamton (NY) Press & Sun-Bulletin op-ed under the headline “Hydraulic Fracturing Fluid Will Not Contaminate NY Drinking Water”:

The rare cases of increased water well methane that everyone gets excited about are not related to the horizontal drilling and fracture stimulation specifically. Rarely, naturally occurring very shallow gas zones create problems when cementing surface casing in any type of well whether vertical or horizontal which can lead to the shallow gas zone bleeding into aquifers. This is rare, can be fixed with re-cementing and the methane and water turbulence will dissipate over time. DEC will require strict surface casing procedures and certification. Absolutely no frac fluid is entering the USDW from the fracture process.

Not Very Brotherly

EID Fact Checks Philadelphia’s Anti-Natural Gas, Anti-Hydraulic Fracturing Resolution

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It Was the Best of Times, It Was the Worst of Times

While Upstate NY Continues to Suffer Economic Hardships, PA Neighbors Say “Shale Yes”; Reap Jobs, Revenues and Opportunity Because of It

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Left, Right and Center: Members of Congress Say Hydraulic Fracturing is Safe, Helping to Create “Tremendous Economic Opportunity”

Congressman Chris Carney understands full-well how critical well-regulated, 21st century shale gas production – enabled by the 60-year old energy technology called hydraulic fracturing – is for his northeastern Pennsylvania congressional district, for his state and for the nation’s long-term security. Congressman Carney, vice-chairman of the Transportation & Infrastructure’s economic development panel – released a statement following EPA’s recent announcement to move forward with a new, comprehensive hydraulic fracturing study. The second-term congressman said this in a statement, which was highlighted by the Pocono (PA) News:

“The Marcellus Shale has presented our region with a tremendous economic opportunity and we must take every step necessary to ensure that the health of our families is not compromised as a result.”

And on the Senate side of the Capitol, long-time Democrat-turned Republican-turned Democrat Arlen Specter had this to say about EPA’s recent announcement:

“In Pennsylvania, the Marcellus Shale has the potential to create nearly 200,000 jobs and generate nearly $15 billion in the next decade – but the gas must be extracted in a way that does not endanger our water supply, the most precious natural resource of all. I look forward to this study’s progress and the lessons it will give us for how to best manage this important activity.”

Oklahoman senator James Inhofe, the top Republican on the Senate Environment and Public Works panel, weighed in on EPA’s announcement last week, as well. Sen. Inhofe – a fierce HF defender – said this in a statement:

“The first use of hydraulic fracturing occurred near Duncan, Oklahoma in 1949. Since that time, hydraulic fracturing has become an essential production method in the completion of up to 80 percent of today’s natural gas wells. It has been used safely for decades and has helped strengthen America’s energy security and created millions of good-paying jobs.

Others are also saying that safe, responsible, well-regulated hydraulic fracturing is the linchpin to economic competitiveness, stable energy prices and American energy security. Energy In Depth’s executive director, Lee Fuller, echoed these facts in a statement, too:

“Fracturing has a long and clear record of safely leveraging otherwise unreachable homegrown, clean-burning, job-creating energy reserves. Today, the responsible development of America’s shale gas resources represents a crucial turning point for our nation’s long-term energy security. Hydraulic fracturing is the tool that can safely make this possible, and can continue to help lead us on a path toward stronger energy independence and economic competitiveness.”

And just today, the Wilkes-Barre (PA) Times Leader, under the headline “Some colleges add programs to train workers,” reports this:

The landscape of the state’s northern tier is changing as natural gas drillers set up shop from the Poconos west to Tioga County.

The burgeoning industry also is bringing change to the curricula at some local colleges hoping to capitalize on the need for a skilled and trained work force.

[Larry D. Milliken, director of energy programs at Lackawanna College] sees great potential for the field and the creation of jobs, as companies look to tap into the gas supplies within the Marcellus Shale, a layer of gas-laden rock about a mile underground across most of Pennsylvania.

“I’m not sure most people realize the magnitude of what the Marcellus can mean and do for the state. … It’s going to be a huge game changer in Pennsylvania.”

Debunked: Day After Washington, DC GasLand Premier, Scientists from PA, NY Deliver Major Blows to Film’s Premise

Last night, the anti-American natural gas film GasLand premiered in Washington, DC. The event was as well-attended as it was light on actual facts regarding hydraulic fracturing, the 60-year old energy production technology that has been safely used in more than 1 millions wells across the United States. Despite claims, this critical technology has never contaminated groundwater – a fact confirmed by Steve Heare, director of EPA’s Drinking Water Protection Division just weeks ago.

The movie – which is supported by a host of mainstream organizations (sarcasm people) such as the Damascus Citizens, Earth Justice, Environmental Working Group, National Resources Defense Council, Oil and Gas Accountability Project – was on the receiving end of a minute-by-minute Energy In Depth fact-check last night via Twitter.

And today, experts and scientists from just about every university in Pittsburgh (except Point Park) and a petroleum engineer with a PhD weigh-in on effective, environmentally sound, well-regulated natural gas production through the use of hydraulic fracturing.

The Pittsburgh Tribune-Review’s Rick Stouffer reports this under the headline “Gas companies eager to tap Marcellus Shale”:

This rush to develop the Marcellus region, which has an abundance of the fossil fuel 6,000 feet below much of the state, could lead to an influx of new companies in Western Pennsylvania to take advantage of low-cost energy and a boom in blue-collar jobs, the experts said.

“This region will become self-sufficient in terms of energy. There’s enough natural gas in the Marcellus to power this state for 180 years,” said Kent Moors, director of Duquesne University’s Energy Policy Research Group.

Carnegie Mellon’s Lester Lave says a “blue-collar boom” in western Pennsylvania is on the way, thanks to fracturing:

“Short term, there will be fair number of jobs developed in this area to drill the wells,” said Lester Lave, a Carnegie Mellon University professor and co-director of the university’s Electricity Industry Center.

Long term, Lave believes the lure of cheap, close-by natural gas could make this region the place to relocate for those needing cheap power to operate.

“You could have a blue-collar boom here. Cheap gas really could stimulate industry, everything from glass making, to fertilizer, to power plants — a lot of industries run on cheap fuel,” Lave said.
A Penn State University study last year projected that Marcellus-related activity by 2020 could translate into $13.5 billion of economic impact and nearly 175,000 related jobs.

Prof. Lave adds that fracturing does not affect groundwater “because it’s performed well below the water table”:

“I don’t think fracking bothers the water table because it’s performed well below the water table,” Lave said. “Companies use a lot of water to frack, but Pennsylvania has been blessed with a lot of water, so I don’t think we will run into a lot of water problems.”

And in a Binghamton, NY Press & Sun Bulletin column today, Scott Cline – a PhD in petroleum engineering – writes this under the headline “The Coming Age of Natural Gas”:

Heretofore unimagined technologies have now thrust themselves upon human history that will permit the safe extraction of this relatively clean domestic energy resource from the tight grip of the earth. The sheer abundance will also provide long-term downward price pressure on energy making the structural shift even more compelling. Miraculously America sits atop much of those resources and the fruits of that extraction will once again help propel America to energy prosperity and security. Dominant global competitive advantage, jobs, tax revenue and prosperity may result for many generations to come.

Dr. Cline adds writes this about unsubstantiated claims regarding the environmental impacts of shale gas development, like the ones featured in GasLand:

Fears of environmental ruin, undrinkable water, pollution and the like are largely unfounded, exaggerated and commingled with uninformed concerns about processes not unique to shale gas development. Horizontal drilling and [fracture] stimulation is safe.

While the public still debates and frets, industry has been busy and is already quickly approaching near 100% reuse and recycling of waste water through high technology filtering and treatment technologies using relatively little energy.

All Wet: Pitt. Professor’s Claims on Shale Gas, Water Use Don’t Quite Reflect Reality

Pitt. Professor’s Claims on Shale Gas, Water Use Don’t Quite Reflect Reality

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Return to Sender

McMahon Letter to Gov. Paterson Decrying Hydraulic Fracturing Short on Facts, Long on Hysteria

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WHAT THEY’RE SAYING: America’s Shale Gas, with Help from Hydraulic Fracturing, Turning “Rags into Riches”

Experts Fact Check Recent Round of Scurrilous Claims Targeting Fracturing

EID’s Lee Fuller: “Plain Dealer readers should also be aware that earlier this week, a top EPA drinking-water official stated the same thing — suggesting further that states, and not the federal government, are best positioned to regulate this critical technology in a way that balances the imperative of responsible energy exploration with the safeguarding of our environment. … The fluids used in the process are made of 99.5 percent water and sand — with the slight remainder comprised of household materials you’re just as likely to find in the kitchen cupboard and beneath the kitchen sink.” (Cleveland Plain Dealer, 2/20/10)

EID’s Jeff Eshelman: “Pennsylvania saw an increase of nearly 50,000 jobs last year alone thanks to safe, responsible, well-regulated natural gas production in the Marcellus Shale. Unfortunately, when it comes to hydraulic fracturing – the 60-year old energy production technology used in nine out of 10 wells in America – the congressman’s claims are simply unsupported by the facts. Fracturing has never been regulated by the federal government. … Instead, ground water protection has been effectively regulated by the state government. The bipartisan 2005 energy bill – which was supported by then-Sen. Barack Obama – simply clarified Congress’ intent of the Safe Drinking Water Act. So how could something earn an exemption, or a “loophole,” from a law that it was never regulated by?” (The Daily Local, 2/27/10)

LOGA’s Don Briggs: “For decades this process has been effectively regulated by the states. In 2009, the Groundwater Protection Council released a study on the regulation of oil and gas field activities saying, “The regulation of oil and gas field activities, including hydraulic fracturing, is best accomplished at the state level where regional and local conditions are best understood. …” If hydraulic fracturing were to be regulated by the EPA, President Obama could easily shut down the development of the Haynesville Shale, resulting in the loss of thousands of jobs and billions of dollars in investment.” (The Daily Advertiser, 2/21/10)

Okla. Independent Petroleum Assoc.’s Mike Terry: “The major components of hydraulic fracturing fluid are well-known, with water and sand accounting for up to 99 percent of the solution. The remaining additives are the same compounds found in soaps, detergents, cosmetics, medications and chemicals commonly found in households. … Hydraulic fracturing has been used commercially since 1949, and there have been no known cases of drinking water contamination. … Increased regulations will lead to a decrease in competition.” (The Oklahoman, 2/23/10)

Chesapeake’s Aubrey McClendon: “McClendon defended the process, saying that … Chesapeake Energy has employed hydraulic fracturing more than 25,000 times since the company started in 1989, including 1,000 wells drilled inside Fort Worth’s city limits, with no ill effects on groundwater.” (Harvard University Gazette, 2/25/10)

Institute for Energy Research: “Hydraulic fracturing has been in use for more than 60 years and has been deployed more than a million times without contaminating drinking water. This is possible for a few reasons. Energy-producing states heavily regulate the practice, employing teams of qualified professionals that monitor, inspect, and enforce state law to ensure the public’s safety. In addition, the fracturing of these wells occurs 6,000 to 9,000 feet below our feet and thousands of layers of impermeable rock.” (Boston Globe, 2/19/10)

Lenape Resources’ John Holko: “According to Penn State University, more than 48,000 high-wage jobs were created in Pennsylvania in 2009 alone as a direct result of Marcellus exploration. Total economic output tied to this work topped $3.8 billion. And more than $400 million was sent to state and local governments in the form of taxes and revenues — again, just in a single year.” (Times Union, 2/11/10)

Newspapers Speak Out: Waxman’s Latest “Inquiry” on Hydraulic Fracturing Could be a “Witch Hunt”

The Oklahoman: “Yet they seem to have bought into the fear-mongering extant over fracturing. The technique involves injecting water, sand and chemicals into shale formations. This cracks open the shale and facilitates natural gas production. … This could be a responsible, objective examination. Or it could be a witch hunt. The Environmental Protection Agency, which said six years ago that hydraulic fracturing doesn’t threaten the water supply, wants to spend more than $4 million to study fracturing. … If America is to move toward greater energy independence, natural gas is a key component. And hydraulic fracturing is a key method for making that happen.” (Editorial, 2/23/10)

Washington Examiner’s Mark Tapscott: “Already the initial drilling of Marcellus Shale in Pennsylvania is causing an economic boom in small Pennsylvania towns that have been in dire economic straits for decades. Public support for expanding Marcellus Shale exploration and production is growing there, as well as in New York. But that’s exactly why environmentalists and their liberal Democrat allies in Congress, the media, the non-profit advocacy communities, and the universities are targeting hydraulic fracturing for elimination, seeking to turn it into the next hook for nationwide environmental fear-mongering. They claim – with virtually no credible evidence to back it up – that hydraulic fracturing represents a dire threat to the drinking water millions of Americans in places like New York City and Philadelphia must depend upon every day.” (Editorial, 2/20/10)

The Washington Observer-Reporter: “Natural gas drilling in the Marcellus Shale could provide an economic shot in the arm for this region and Pennsylvania as a whole. … Natural gas has potential as an energy source and a jobs-provider, no doubt about it.” (Editorial, 3/2/10)

Washington Post: “The resurgence of gas comes through the discovery of massive deposits in Appalachian shale formations and elsewhere — a reserve that offers the prospect of stable domestic supplies and relatively low prices.” (Editorial, 2/28/10)

Academics Confirm Critical Role that Hydraulic Fracturing Will Play in Long-Term U.S. Energy Security

Univ. of Mich.-Flint Prof. Mark Perry: “Thanks to a breakthrough in drilling technology, involving the use of three-dimensional seismic imaging and hydraulic fracturing of shale rock, huge amounts of natural gas are being produced in New York, Pennsylvania, Texas, Louisiana and other states. Instead of declining, domestic natural gas production is booming to record-high levels. … But these exciting energy developments may not last if natural gas companies are burdened by excessive regulation and heavy taxes. Environmental groups are lobbying Congress to shift regulation of hydraulic fracturing from state governments to the Environmental Protection Agency, claiming that the process poses a risk to groundwater supplies. But the fact is, hydraulic fracturing is done about 1,000 feet below underground aquifers and separated from the water supply by thick rock.” (Investor’s Business Daily, 2/19/10) 

Members of Congress, State Legislators Continue to Weigh-In: Fracutring is Safe, Effectively Regulated by States

Congressman John Fleming (LA): 

Okla. state Rep. Mike Thompson: “Hydraulic fracturing is a safe and successful drilling method in which water, sand and chemicals are injected at high speeds into a well to fracture rock and free up natural gas. This is a method that has increasingly been used in many shale formations across the country and has led to the discovery of increased levels of domestic natural gas. … The Interstate Oil and Gas Compact Commission conducted a survey that found there were no known cases of groundwater contamination associated with hydraulic fracturing.” (The Oklahoman, 2/27/10)

Rust Belt No More: Shale Gas Exploration Powers Economic Growth in OH, PA

Manufacturing Jobs Coming to Ohio: 

Tens of Thousands of Jobs Being Created in Pennsylvania:


State Regulators Speak Out: List of Chemicals “Available on DEP’s Website”

PA DEP Water Management Chief: “Our job is to produce gas and protect the future,” said John Hines, deputy secretary for water management from DEP. He explained the Marcellus shale gas reserve could potentially hold “enough gas to fully supply the nation for 10 or more years.” Hines added producing that gas could create new wealth as well as new jobs, “but not at the sacrifice of our water resources.” … During his testimony, Hines attempted to dispel rumors that certain “secret” chemicals were used in the fracing process. He said that DEP distributed a list to the public of all the chemicals that were used. Hines said the Material Safety Data Sheets were also distributed to local emergency responders. The list is available on DEP’s Web site.” (Clearfield Progress, 2/19/10)

ICYMI: Fmr. chief counsel for PA DEP, current Chief VP: Marcellus shale “a valuable resource for the commonwealth”

Terry Bossert
Click HERE to view this video on Energy In Depth’s YouTube page.

Dimock, PA resident Ted Jules:

READ MORE

Marcellus Development, Hydraulic Fracturing Helping to Deliver Positive Economic News, Jobs to Appalachia

The production of clean-burning, American shale gas, enabled by the 60-year old critical energy technology called hydraulic fracturing, is not only helping to drive down energy prices for families and small businesses that are struggling through this economic downturn, but this safe and effectively-regulated homegrown energy production continues to represent a shining light of economic activity in an otherwise downtrodden economy.

Last week, we blogged about the nearly 350 jobs directly tied to responsible natural gas production from the Marcellus shale that are now en route to the struggling Ohio river valley. And this week comes word of yet another round of uplifting economic news from northeastern Ohio.

The Associated Press pipes in the good news via an item filed today:

An oil-and-gas pipe maker says it plans to open a new facility close to the Marcellus Shale natural gas reserve beneath Appalachia. TMK IPSCO said Tuesday it has signed a lease on a building where it plans to produce up to 100,000 tons of threaded pipe annually. The building is in Brookfield, Ohio, about 60 miles northwest of Pittsburgh. TMK IPSCO said it expects to begin operations there in the coming months. The company says up to 120 people could eventually be employed there. President and CEO Vicki Avril says the new facility is in direct response to the growing demand for infrastructure at Marcellus Shale well sites.

In Trumbull County, where the unemployment rate was recently as high as almost 14 percent, this uptick in economic activity is a welcome development to most, but not necessarily to all. Truth is, some folks continue to oppose the production of clean-burning, American natural gas on the grounds that hydraulic fracturing is not adequately regulated by the states. But these arguments continue to fall on the opposite side of the facts, especially as it relates to hydraulic fracturing’s long, clear and unmistakable record of safety.

Energy In Depth’s Lee Fuller appeared in two major, regional papers in just the past few days, responding to mischaracterizations about fracturing.

In the Cleveland Plain Dealer, Fuller writes:

Readers should also be aware that earlier this week, a top EPA drinking-water official stated the same thing — suggesting further that states, and not the federal government, are best positioned to regulate this critical technology in a way that balances the imperative of responsible energy exploration with the safeguarding of our environment.

And in the Wilkes-Barre (PA) Times Leader, Fuller notes:

Your readers should know that a top EPA official responsible for drinking water regulation recently said that “State regulators are doing a good job overseeing hydrofracking and there’s no evidence the process causes water contamination.”

Geoff Styles, an environmental consultant with an MBA and a chemical engineering degree to boot, blogs on Energy Collective about hydraulic fracturing, dispelling baseless attacks on this critical, safe and effective 60-year energy technology. In his post, Styles writes:

The key fact from the perspective of fracking safety is that the deepest of these aquifers lies no more than about 500 ft. below the surface, and typically less than a couple of hundred feet down. By contrast, the Marcellus Shale is found thousands of feet down–in many areas more than a mile below-ground–with a thickness of 250 feet or less. In addition, the gas-bearing layers are sealed in by impermeable rock, or the gas would eventually have migrated somewhere else. In other words, the shale gas reservoirs are isolated by geology and depth from the shallower layers where our underground drinking water is found.

Closing strongly, Styles adds:

The real choice here isn’t between energy and drinking water, as critics imply, but between tapping an abundant source of lower-emission domestic energy and what looked like a perpetually-increasing reliance on imported natural gas just a few years ago.

If you’re like us, and support producing more job-creating energy here at home – and agree with the EPA’s top drinking water regulator that states are effectively regulating fracturing – then send Washington the message to call off the unnecessary attacks on fracturing.

EMPTY NEST

Local PA Audubon Society Chief Grouses over Responsible Shale Gas Exploration – His Cardinal Sin? No Facts

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GUEST BLOG: An Open Letter to the Citizens of New York State

By Jerry R. Simmons

 

To my friends in New York: With all of the recent discussion about development of the Marcellus Shale gas, and the idea that this will lead to dire environmental consequences in your state, realize the true discussion should be about energy consumption versus production in the Northeast. And the question you should be asking is, where is the origin of the energy you are consuming … your state … another state … a foreign country? Where do you want to spend your energy dollars – boosting New York State’s economy or that of Texas?

 

We will get to the environment question in a minute. But first let’s take a look at sources of electricity generation in New York State. My assumption is all of you use electricity in some form: at home, work, school etc.; for lighting, heat, traffic signals, phones, TV, cooking, computers, life support; and on and on and on — a form of energy which is familiar to all of us.

Take a look at the electric energy generated in your state and where it comes from.

The following information is from the Energy Information Administration (EIA) Annual Electric Power Generation by Primary Energy Source Report for 2007, the most recent year reported. We also assume that most of this generated electricity is utilized in-state, though some obviously moves across state lines in both directions. The EIA information goes back years, and the 2007 numbers are representative of the trend of the past decade. The percent numbers total more than 100%, but .5%, as pumped storage, is a negative number that makes the total = 100%.

Energy Source                         2007 Megawatt-hours            % of Total

Natural Gas                               45,633,631                                     31.3

Nuclear                                     42,452,854                                     29.1

Hydroelectric                             25,252,555                                     17.3

Coal                                          21,405,542                                       14.7

Petroleum                                   8,195,109                                         5.6

Other: Renewable*                     2,775,054                                         1.9

Other**                                       932,292                                             .6

* Includes: biogenic municipal solid waste, wood, black liquor, other wood waste, landfill gas, sludge waste, Ag byproducts, other biomass, geothermal, solar thermal, photovoltaic and wind.

** Includes: non-biogenic municipal solid waste, batteries, chemicals, hydrogen, pitch, purchased steam, sulfur, tire-derived fuels and miscellaneous technologies.

I can hear you asking: what’s the point? Well, let’s see. The number one source for electric power generation in New York State is natural gas … natural gas that has been produced outside the state of New York. According to the New York State Department of Environmental Conservation (DEC), geologists estimate that the entire Marcellus Shale formation contains between 168 trillion to 516 trillion cubic feet of natural gas throughout its entire extent. Other experts have estimated as high as 1,300 trillion cubic feet (tcf). Although it’s not yet known how much gas will be commercially recoverable from the Marcellus in New York, the state ranks about third in the amount of acreage underlain by the formation. To put this into context, New York State uses about 1.1 trillion cubic feet of natural gas a year.

Yet there is currently a raging debate in New York about the safety of developing a significant source of natural gas within your state.

You, no doubt, have heard that there are hundreds, if not thousands, of drinking water contamination cases across the country. A claim of contamination is not proof of contamination.

In every instance, state and federal regulatory agencies investigate the claim and utilize the power of state and federal laws to ensure any problem has been addressed and is not a risk to human health and the environment. Numerous studies have been conducted. To date, the processes of horizontal drilling and hydraulic fracturing have not been proved to have resulted in contaminating an underground source of drinking water.

Make no mistake, oil and gas drilling and production are industrial operations and accidents can and do occur. The question is, just like with any other industrial operation, are sufficient safeguards already in place to protect health and the environment?

New Yorkers: ask those of us living in the states where thousands of gas wells have been drilled, if we are being harmed by the development of the resource. Ask us if our water is safe to drink. Ask us if our children live normal healthy lives or are somehow adversely affected by natural gas. Ask us if our rivers, streams, forests, farms, ranches or urban areas have been decimated by the drilling and production of natural gas. Ask how many of us have heard of, or been adversely affected by, the drilling, fracturing and completion of a natural gas well. Ask us “regular Americans” — not representatives of some group that is anti-development, or paid consultants involved in law suits.

Let’s be honest. Looking at the numbers from EIA, are you guys building any new nuclear plants? Didn’t think so. How about new dams for hydro? Nope? Well, shucks. Want more coal and oil-fired plants? You’ve got lots of coal close by.

Ahh …  renewables!

You could burn a bunch more trees (I mean a big bunch). Put up more wind and solar, right? Let’s be generous and say the entire 2% of renewable electricity generated currently in New York is all wind and solar. Can you double the number of windmills and solar panels? Heck let’s quadruple the number of windmills and solar panels in place today. How long will that take? You are now at 8% of your electric generation needs, and I hope the sun shines and the wind blows non-stop — otherwise you will need a back up for that 8% (most likely using fossil fuels) or a mega storage system that does not yet exist.

As you can see, in electricity generation alone, New Yorkers manage to use more than a little fossil fuel energy. Think of your total energy usage when you include transportation fuels, industrial processes, etc., that are not electric. By the way, if everyone in New York had electric cars, about 50% of the electricity used to recharge their batteries would come from fossil fuels.

In the end, as its citizens debate development of New York shale gas, it might be prudent and practical to cut through the environmental scare rhetoric and renewable energy dreams not yet achievable, to consider the following: Do you want to have responsible development of an available and valuable New York natural resource; collect the associated taxes; employ New York people and keep the lights on if there’s a disruption in supply?

Or, if you prefer, your state can continue to use gas from elsewhere and let others benefit from the production revenue, employment and taxes.  We don’t really care what you decide. We have been supplying your energy needs for decades and those northeast dollars sure do bolster our economies in the “Oil Patch.”

Mr. Simmons is the executive director of the Tulsa, Oklahoma-based National Association of Royalty Owners, Inc. (NARO). Visit www.naro-us.org to learn more.

Marcellus Shale-Related Jobs Headed to Ohio by the Hundreds

Good news for southeastern Ohio’s struggling economy: 350 good-paying jobs – directly tied to the safe, responsible development of the Marcellus shale – are coming to the region.

The Youngstown Vindicator went with the headline “The area could use some good news, and it got it” in an editorial today hailing the expansion of V&M Star Steel, which will initially produce 350,000 tons of steel tubing a year in support of Marcellus shale gas development in Pennsylvania, West Virginia and Ohio.

This from the editorial:

“The area could use some good news, and it got it …The facility will provide new, well paying jobs to 350 people. They will be producing oil-country tubular goods, a product that has a bright future as long as there is a need to extract energy from the ground. And as much as everyone talks about new, green sources of power, we’ll be running on fossil fuels for some time to come.”

According the Youngstown-Warren Regional Chamber of Commerce, this expansion is a “defining moment” and “a pivotal step in the rebirth of the Mahoning Valley’s economy.”

V&M Star President Roger Lindgren told WYTV News that “We are ideally situated to serve the Marcellus Shale,” in a segment entitled “Steel Is Back.”

Lindgren adds this: “We are going to build a state of the art mill here in Youngstown and Girard to supply the growing market for the smaller OD [outside diameter] pipe used for the shale drilling. It will be high-grade pipe for the very challenging requirements of shale drilling.”

U.S. Congressman Tim Ryan (D-OH), a member of the powerful Energy and Water Development appropriations panel, called the shale-gas related economic development “a game-changer.”

Here are several local news articles about this announcement:

V&M Star to Officially Expand, Create 350 Jobs
WYTV, 2/16/10

“For a French company to recognize this as a place they want to make a $650 million investment, is a game-changer for us,” said Congressman Tim Ryan (D-OH).

The mill should be fully running by the end of 2012. About 350 jobs will be created once production begins.

“It’s jobs, first and foremost,” said Ryan. “There are people, families who are going to go work, get off the unemployment line, make a good living. These wages, benefits, vacations. These are well-paying jobs.”

Youngstown area to get 350 more jobs when new steel tube plant opens
Cleveland Plain Dealer, 2/15/10

In addition to the manufacturing jobs, which are expected to pay more than $50,000 per year, many indirect jobs will be created in other areas like construction, shipping and the service industry.

“We’re talking about thousands of jobs that are going to be created here,” said U.S. Rep. Tim Ryan, a Democrat whose district includes the region. “It’s going to be transformational for the Mahoning Valley.”

Williams, Melfi: Success shows value of regional cooperation
Youngstown Vindicator, 2/16/10

The expansion will create 400 construction jobs. When the plant opens, there will be 230 employees working directly for V&M and 120 specialized service providers who’ll work at the plant.

“I hope that we all recognize that when we work together and do things together and check our egos at the door in the best interests of our community, great things happen,” said U.S. Rep. Tim Ryan of Niles, D-17th, whose office was involved heavily in the negotiations.

V&M announces $650M Youngstown expansion
Salem News, 2/16/10

U.S. Rep. Timothy J. Ryan, D-Niles, said the announcement marks another turning point away from the Mahoning Valley’s image as a Rust Belt area. “Today’s unprecedented announcement by Vallourec is a watershed event for the Mahoning Valley,” he said in a statement.

“This $650 million investment will result in 350 new jobs, and sends a clear message that we have a world-class work force and a globally competitive business climate.

“Simply put, this is the game-changer for the Mahoning Valley.”

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NY Economic Development Leaders Talk Responsible Shale Gas Development, Job Potentials

Earlier this week, hundreds of concerned New Yorkers made the trek to Albany to tell state leaders the time is now to move forward with responsible, 21st century shale gas production in the state. Cold weather and a driving rain didn’t deter the scores of landowners, county and state legislators and everyday working families who are committed to strengthening New York’s economy.

And building on Monday’s groundswell of support, yesterday the Greater Binghamton Chamber of Commerce met to discuss the economic potentials presented by responsibly developing natural gas in the Marcellus shale. The economic impact – as we’ve both written and reported – would be staggering. Here are a few highlights from the event that were covered by the local media.

WICZ-TV reports this under the headline “Marcellus Shale Could Be a Gold Mine”:

Natural Gas supporters say the Southern Tier is sitting on a gold mine … in the form of the Marcellus Shale.

“In terms of the world, resources for oil or natural gas, this is second only to the middle east,” said Rayola Dougher, Senior Economic Advisor for the American Petroleum Institute. The formation is 10 times larger than the Barnett Shale in Texas. Supporters say drilling there increased jobs in the area by about 100,000… and they insist those jobs won’t go away after the wells are drilled.

“With more money coming into the community, more people will be eating out, going out for entertainment and recreation,” said Terry Stark of Broome-Tioga Workforce. “Jobs are leaving our area, our children are leaving our area. We need to bring this opportunity here and really capitalize on it.”

WBNG-TV went with the headline “Gas Drilling Could Mean Economic Opportunity.” Key excerpts from their report:

If New York State gives companies the green light to begin drilling, the natural gas industry could help bring about an economic revival in Broome County. The Greater Binghamton Chamber of Commerce examined the possibilities today during an economic development forum.

A panel of gas drilling experts say hundreds of jobs would stimulate Broome’s economy, but that’s only if New York State allows natural gas drilling to move forward.

“The Marcellus Shale is going to be a real game changer in the United States and especially for this region of the country. It’s going to mean economic growth, it’s going to mean new jobs, it’s going to attract manufacturing jobs to the area,” said Rayola Dougher, Senior Economic Advisor from the American Petroleum Institute.

Panelists claim more than 1,000 local jobs will be created in Greater Binghamton.

The Binghamton Press & Bulletin reports this under the headline “Chamber forum argues in favor of gas drilling”:

The panel — made up of representatives from county government and work force development, the American Petroleum Institute and Chesapeake Energy — touted new jobs, both direct and indirect, and other economic benefits that would come from any local drilling for natural gas in the Marcellus Shale.

“The Greater Binghamton Chamber of Commerce strongly supports natural gas exploration as long as adequate policies are developed to protect our environment and infrastructure,” said Lou Santoni, president and CEO of the chamber, which presented the forum, held Tuesday at the Binghamton Regency Hotel and Conference Center. “We believe that the county and DEC are ready to do that.”

“This is a major job creation opportunity and probably the largest job creation catalyst by one industry,” Deputy County Executive Darcy Fauci said.

And News 10 Now reports this a segmented entitled “Business-friendly forum supports gas drilling”:

“I’d like to see this get moving,” said Chris Ostrowsky, a Conklin landowner. “New York is in dire need of something to go on here and it’s right under our feet, literally.”

A series of speakers at Tuesday’s forum said this is the area’s best hope for a bright economic tomorrow.

“We’re talking billions of dollars of economic activity, you’re talking millions in state and local revenue. I think it’s going to transform the region,” said Rayola Dougher, a senior economic advisor with the American Petroleum Institute, an industry trade group.

STAFFIN’ UP: PA Gas Producers Welcome Guv’s New Regs, Battalion of Bureaucrats

In a press release yesterday, Pennsylvania Gov. Ed Rendell announced a host of new regulations for Marcellus shale gas development. He is also directing the Department of Environmental Protection (DEP) to hire 68 (we’re not sure where he got this number either) new employees to oversee and enforce shale gas and environmental regulations and laws, according to the statement.

Safe, responsible shale gas production helped create 50,000 jobs in Pennsylvania last year alone, and Rendell highlights this significant economic impact:

“As I’ve said all along, we want to encourage the development of this resource because it’s a tremendous economic opportunity for the state, but we will not allow that to happen at the expense of our environment.”

Here are the specific new regulations that Rendell laid out:

• Require the casings of Marcellus Shale and other high-pressure wells to be tested and constructed with specific, oilfield-grade cement;
• Clarify the drilling industry’s responsibility to restore or replace water supplies affected by drilling;
• Establish procedures for operators to identify and correct gas migration problems without waiting for direction from DEP;
• Require drilling operators to notify DEP and local emergency responders immediately of gas migration problems;
• Require well operators to inspect every existing well quarterly to ensure each well is structurally sound, and report the results of those inspections to DEP annually; and
• Require well operators to notify DEP immediately if problems such as over-pressurized wells and defective casings are found during inspections.

The governor’s announcement was welcomed with opened arms from the Marcellus Shale Coalition (MSC). In a release, MSC President and Executive Director Kathryn Klaber says:

“The Marcellus Shale Coalition has consistently supported the hiring of additional DEP staff to monitor natural gas wells in the commonwealth, as reflected in its proactive endorsement of permit fee increases in 2009 to add and train new inspectors. Our support continues with today’s announcement of an additional 68 DEP staff dedicated to the oil and gas program. This sustainable approach is working and will help to ensure the continued responsible development of the Marcellus Shale in Pennsylvania.”

MSC also underscores the fact that shale gas producers in Pennsylvania have a remarkable environmental safety record, thanks in large part to the sensible state regulations coupled with efforts by the industry to ensure that every aspect of production is done responsibly. This from their release:

•Inspections: A total of 14,000 field inspections, including shallow well locations, were made by DEP in 2009, with enforcement action resulting from Marcellus Shale drilling activity accounting for only 1.1 percent of the state’s total actions. Often times, those findings were easily and quickly corrected.

Only 1.1 percent of the state’s total enforcement actions were associated with Marcellus shale gas production. An awfully insignificant amount of cases by any metric. Agreed? Well, if you were fair-minded, sensible and make informed decisions based on facts, then the answer would most likely be yes.

But if one opposes safe, well-regulated, environmentally-sound shale gas production – which is helping to create tens of thousands of good-paying jobs and delivering affordable energy to struggling families and small businesses – one may choose to disregard such facts and cherry-pick isolated cases to help build a presupposed narrative.

Enter ProPublica, a mouthpiece for out-of-the-mainstream environmental zealots cloaked as “journalists”. Under the headline “Pennsylvania’s Gas Wells Booming–But So Are Spills,” ProPublica’s Sabrina Shankman reports this earlier in the week:

As more gas wells are drilled in Pennsylvania’s Marcellus Shale, more cases of toxic spills are being reported.

Ms. Shankman highlights several uncommon incidents that have occurred in Pennsylvania associated with shale gas production in her “article.” One “spill” that she hand-picked to showcase was caused by vandalism.

Any mention of the fact that 1 percent of the energy-related incidents that occurred in Pennsylvania last year were related to Marcellus shale gas production, helping to provide adequate context for readers? Of course not. How silly would that be?

WHAT THEY’RE SAYING: Safe, Well-Regulated Development of Clean-Burning Shale Gas “The Single Biggest Thing That’s Ever Happened to this Area”

Landowners, Local Leaders Say Fracturing Is Safe, Will Create Jobs, Economic Opportunity

Mike White of the Twin Tiers Landowners Coalition: “Marcellus will be huge. I don’t think people understand how big economically this will be for the area. From what I can see, it’s the single biggest thing that’s ever happened to this area, ever – certainly in our lifetime.” (1/23/10)

Robert Moore of Broome Co., NY: “Natural gas exploration using horizontal wells and a process called hydraulic fracturing, or ‘fracking’, is safe and the economic development benefit would be great. The jobs would be astronomical. Without it, we’re done.” (1/25/10)

Randall Slimak of Chemung Co., NY: “I support natural gas exploration. It’s a source of jobs and revenue.” (1/25/10)

Marie Lusins of the Unatego Area Landowners Assoc.: “People who don’t want drilling don’t have the facts on how safe it is. There never has been one instance in New York of fracking fluid contaminating someone’s water.” (1/26/10)

Steven Palamatier of Chemung Co., NY: “If they don’t pass this law [allowing Marcellus development to take place in New York] hundreds of thousands of jobs will be lost to Pennsylvania.” (1/25/10)

Joe Axtell of Broome Co., NY: “In our area, there used to be tons of dairy farmers. Now, they can’t pay their taxes, and you can count the number of farms on one hand. This would help them, help the state.” (1/25/10)

Douglas Lee of Sullivan Co., NY: “It would be the biggest thing, bigger than casinos. The jobs and money could solve economic problems.” (1/26/10)

NY Assemblyman William Parment (D-North Harmony): “It’s proven and safe.” (1/26/10)

Hydraulic Fracturing “Could Fundamentally Reshape the Whole World Gas Market”

AFP: “If several years ago not a single organisation known to us was forecasting the rapid growth of gas extraction in the United States, today practically all companies are discussing the prospects of shale gas extraction, which could fundamentally reshape the whole world gas market. … The improvements [in extraction techniques] have opened up reserves of gas embedded in shale rock that were previously too costly to extract, leading energy companies to snap up drilling rights in unlikely places such as New York state.” (1/26/10)

Bloomberg: “The sort of technology improvements you as a consumer see in the iPod are also happening in the oil and gas industry to help production,” said Nansen Saleri, chief executive officer at advisory firm Quantum Reservoir Impact in Houston. “It’s a different picture than people were projecting five years ago.” (1/22/10)

Those Who Actually Study This Technology – Not Just Blog About It – Recognize its Safety

PSU Geoscience Prof. and Marcellus Shale Expert Terry Engelder: “The Marcellus Shale lies more than a mile beneath the earth. That’s the equivalent of ‘seven Empire State buildings stacked end on end’ between the shale and the surface. … There is so much rock between where the fractures are taking place and the surface that chances of anything down there disturbing the surface is geographically as close to zero as you can possibly get.” (1/25/10)

Independent Petroleum Association of America: “Industry’s case is well presented at the website, Energy in Depth, sponsored by the Independent Petroleum Association of America. You’ll find there a regulatory timeline, IPAA’s Open Letter to Congress, and some interesting animations which depict the process of drilling and completing a well.” (1/23/10)

Industry Expert: “Lowry, like most who support the practice, argued that ‘fracking’ has never been credibly tied to water pollution. Yet his company – which opened an office in Binghamton – had to shut down that office about a year ago because of a drilling moratorium imposed by the state. ‘It’s about rights being taken away – rights of the people. These people – the landowners – stand to gain something from this, and environmentalists are trying to take away these people’s rights.’” (1/25/10)

Creating Jobs, Economic Activity and Even Saving Schools

Pittsburgh Post-Gazette: “Some experts estimate that development of the natural gas contained in the shale — a geological formation that stretches from West Virginia and eastern Ohio through Western Pennsylvania to the New York state border — could result in a $14 billion boost to Pennsylvania’s economy this year and create more than 176,000 new jobs by 2020.” (1/24/10)

NY’s News 10 Now: “The gas drilling industry hasn’t just helped the fate of the school, it’s also had a positive economic impact on the community. … The community says they’re ready to reap the benefits. ‘Especially with the Marcellus Shale play, we’re really focusing now on showing how Blossburg is a great place to live,’ said Nickerson. ‘I’m sure there’s always somebody somewhere that’s going to find something wrong, but again, the economy, it’s going to be just great for this area.” (1/26/10)

Marcellus Shale Coalition: “[The economic impact] doesn’t stop with the natural gas companies. There are law firms, accounting firms, small town grocers and dry cleaners all starting to realize — in the areas where this is happening — that there is business to be had and economic opportunities throughout the supply chain.” (1/24/10)

PA’s WJAC-TV: “Halliburton is planning to add jobs at its facility in Indiana County. … Officials didn’t have an exact count of how many jobs are available. People packed the Indiana County PA Careerlink office Thursday to learn about the jobs. Halliburton is involved in servicing of gas wells, including Marcellus shale gas wells. Company officials said a wide variety of jobs are available, including jobs for equipment operators. They’re planning several more job fairs in February and March.” (1/21/10)

Newspapers Back Safe, Responsible Shale Gas Production

Houston Chronicle: “When coupled with discoveries of huge new reserves of natural gas across Texas, Arkansas and Louisiana, and in Colorado and Pennsylvania and West Virginia, this latest projected Gulf find makes natural gas a truly abundant fuel for this country. … Domestically produced natural gas, whether from Gulf waters or Texas shale — or for that matter from coal-rich Pennsylvania and West Virginia — can help make that bridge a sturdy and clean one.” (Editorial, 1/12/10)

Washington Examiner: “Key to unlocking energy resources like the Marcellus Shale deposit is a process known as hydraulic fracturing. Drillers inject fluid — 99.5 percent of which is water — into wells to create horizontal fractures, which enable recovery of trillions of cubic feet of natural gas and billions of barrels of oil that would otherwise be inaccessible. Hydraulic fracturing has been widely used for 60 years, especially in Texas, Oklahoma and Louisiana. But now, as energy companies greatly expand the use of hydraulic fracturing in other areas of the nation, environmental extremists see an opportunity to mount a new national scare campaign. … studies by multiple reputable organizations, including the EPA in 2004, concluded that hydraulic fracturing poses no danger to drinking water after being used more than 1.1 million times in the U.S.” (Editorial, 1/20/10)

Top Energy Leaders in Washington Weigh-In

Congressman Cliff Stearns (FL): “Since the 1940s, hydraulic fracturing has helped to produce more than 7 billion barrels of oil and 600 trillion cubic feet of natural gas in the United States. … Hydraulic fracturing is essential to produce more of the oil and natural gas that the U.S. will consume in the next decades ahead. … Without [fracturing] most of our country’s abundant natural gas resources cannot be produced.” (Energy & Commerce Committee remarks, 1/20/10)

Congressman John Shadegg (AZ): “A vast majority of our domestic supply is accessible only through hydraulic fracturing, a technique that has been used to extract gasoline or oil for more than 50 years. The EPA itself found, quote, “no confirmed cases that are linked to fracturing fluid injection into CBM wells or subsequent underground movement of fracturing.” … EPA did not find confirmed evidence that drinking water wells have been contaminated by hydraulic fracturing. … If we ban hydraulic fracturing, either outright or through the unintended consequences of legislation we pass, then all of these numbers that we have been talking about ?? the 100?year supply, the reasonable price that you just talked about ?? you would tell me are gone.” (Energy & Commerce Committee remarks, 1/20/10)

Congressman Gene Green (TX): “With recent advances in technology to extract more natural gas from unconventional gas resources, such as extended reach, horizontal drilling or hydraulic fracturing, we can unlock America’s 100 years’ supply of natural gas. This hydrofracking, U.S.?developed technology, is being exported to Europe and China.” (Energy & Commerce Committee remarks, 1/20/10)

Congressman Fred Upton (MI): “The oil and natural gas industry supports more than 9 million American jobs and adds more than $1 trillion to the national economy. I hope I don’t need to remind our colleagues about the state of our economy, that unemployment is still in double digits nationally and 15 percent in Michigan. … Without that hydraulic fracturing, you wouldn’t be able to get, what, 20 percent, maybe out of these fields?” (Energy & Commerce Committee remarks, 1/20/10)

Congressman Mike Doyle (PA): “Last year alone Pennsylvania could attribute nearly 50,000 jobs to environmentally safe natural gas production.” (Energy & Commerce Committee remarks, 1/20/10)

Congressman Greg Walden (WA): “It looks to me like if we can invest in our own resources using new technologies in environmentally safe ways, we can generate revenues to the government and create jobs in our hometowns. (Energy & Commerce Committee remarks, 1/20/10)

Congressman John Sullivan (OK): “One of the reasons we have gotten so much of that [energy] is because of the drilling techniques, the horizontal drilling and the hydraulic fracking. I read a report, and you guys would know more, but I hear like 60 to 80 percent of the wells drilled in the next 10 years are going to have to use hydraulic fracking, so I think it is horrible, it would be detrimental to this country if they outlaw that practice.” (Energy & Commerce Committee remarks, 1/20/10)

Congressman Steve Scalise (LA): “So this really has nothing to do with safety. It is about a policy decision we are going to make, and do we really want to utilize the resource that this country has and the ability that we have to make our country independent of especially Middle Eastern oil, countries that don’t necessarily want to do good things with the money that they are getting to our country.” (Energy & Commerce Committee remarks, 1/20/10)

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Posts Tagged ‘Marcellus shale’

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What They’re Saying: Engineering Experts, Economists Confirm Fracturing’s Long, Clear Record of Environmental Safety

Tuesday, September 28th, 2010

Experts say FRAC Act “will have a far-reaching effect on all Americans,” Will “curtail” job-creating domestic energy production (more…)

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Read All About It: The Facts About Hydraulic Fracturing’s Record of Safety Continue to Mount

Sunday, September 26th, 2010

The positive and overwhelming economic and energy security benefits enabled by hydraulic fracturing – a tightly regulated 60-year old energy stimulation technology – continue to be realized across the nation. These benefits – affordable supplies of reliable homegrown energy and thousands of good-paying jobs – are a reality in major energy-producing states, particularly North Dakota and Texas.

And while New York was the birthplace of natural gas production, a de facto ban on Marcellus Shale production through the use of 21st century horizontal drilling technology continues to deny landowners their right to responsibly develop privately-owned, clean-burning, job-creating resources.

Facts are stubborn things, as they say. So for your edification, here are a few about fracturing.

In a Fort Worth Business Press column today, Bruce Vincent, chairman of the Independent Petroleum Association of American (IPAA) and president of Swift Energy, underscores the critical role that fracture stimulation has played, and continues to play, in safely producing homegrown, job-creating energy oil and natural gas resources over the past 60 years. Here are key excerpts from Vincent’s column, which speaks directly to the devastating consequences that bills like the FRAC Act would introduce to American consumers:

This process is tightly regulated by energy-producing states, and is subject to a host of federal laws and regulations as well. In fact, federal law mandates that these fluids – which as stated, are made up of more than 99.5 percent water and sand – be disclosed at every single well-site. Many states even provide these lists online.

In commercial use since 1949, hydraulic fracturing has been – and continues to be – the linchpin to American oil and natural gas production. With surgical-like precision, using high-pressure fluids made up of more than 99.5 percent water and sand, with a small percentage of everyday additives used to kill bacteria and reduce wellbore friction, fracturing stimulates oil and gas production thousands of feet below ground, allowing increased amounts of energy to be produced.

But is it safe, and what steps do producers take to ensure groundwater protection? The short answer: yes, and many.

Unfortunately, some members of Congress believe that they know better than Texas, and that Washington bureaucrats ought to regulate fracturing, rather than individual energy-producing states who understand the geology best and have amassed an impressive track record of overseeing this critical technology. These advocates say their legislation is about disclosure of fracturing fluids. At its core, though, these efforts are aimed at stopping fracturing altogether, which would significantly blunt the positive economic growth and job creation in Texas, as well as in other energy-producing states, and ultimately, increase the cost of energy for America.

More than 1,500 miles away from Ft. Worth, in bucolic Syracuse, NY, folks are also talking about fracturing’s long and clear record of environmental safety and effectiveness. In yesterday’s Syracuse Post-Standard, Alfred Station, NY-native Chris Kulander – who holds a Ph.D. in geophysics with a focus on petroleum seismology – write this about fracture stimulation, and the benefits this proven technology stands to help generate through responsibly developing New York’s portion of the Marcellus Shale:

No evidence directly connects injection of fracking fluid into shale with aquifer contamination. In 2004, the U.S. Environmental Protection Agency released a study finding no confirmed instances of drinking water contamination by fracking fluids in the ground. This finding is not surprising, as fracking fluid is pumped through heavy steel pipe surrounded by a concrete liner to formations thousands of feet below aquifers.

Fracking has made production from the Marcellus Shale possible and created thousands of jobs.

An unfortunate push exists in New York to ban all fracking, purportedly until the technology can be “proven” safe, and to require federal oversight of fracking.

While a responsive state regulatory framework and vigorous, impartial enforcement of those regulations are necessary, draconian measures such as rolling moratoriums or federal oversight of fracking are not. New York is well able to regulate fracking while at the same time allowing development of natural gas and enjoying the jobs and revenue it brings.

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ICYMI – GasLand debunked (again) in Okla. Paper

Thursday, September 9th, 2010

With so much talk in Washington these days from politicians about “plans” aimed at redirecting our struggling economy and putting Americans back to work, not as much attention has been paid to the incredible economic force that America’s oil and natural gas producers continue to bring to bear in so many regions across the country.

Unfortunately though, some leaders in Washington are working to advance misguided policies that seek to severely undercut producers’ ability to safely deliver the energy resources needed to fuel our economy. Naturally, the less energy produced, the fewer jobs created – and tougher it is to make good on the promise of America’s homegrown (and growing) energy potential.

Consider the potential consequences of the FRAC Act, which could strip energy-producing states of their ability to determine the regulatory landscape associated with hydraulic fracturing – a 60-year old technology that’s used to enhance energy production in 90 percent of the nation’s oil and natural gas wells.

While some opponents of responsible American energy production contend that Washington ought to step in and brush aside the authority and expertise of the states in this area, Energy In Depth continues to provide the facts, history and data needed to better understand and appreciate the record of achievement to which state officials continue to lay claim after 60 years of successful oversight.

In today’s Bismark Tribune, EID’s Lee Fuller shares some additional insight on this record:

Here are the actual facts: Fracturing has been used safely in the United States for more than 60 years, and has never in that time been directly regulated by the EPA. For decades, that responsibility has remained with states, which continue to compile a remarkable record of oversight and enforcement.

How good? In 60 years, not a single case of groundwater contamination has been credibly tied to hydraulic fracturing. Don’t believe us? Just ask the EPA — it confirmed as much to the U.S. Senate earlier this year.

Rep. Earl Pomeroy said recently that the “regulation of hydraulic fracturing is best left to the states,” and that new efforts to turn that authority over to the federal government “will do nothing to protect drinking water and will only serve to slow down development resulting in the loss of thousands of jobs and more imported oil.”

Sen. Byron Dorgan confirms that “hydraulic fracturing is not a problem,” noting there have been “many studies” that “show that it does not contaminate groundwater,” including one by the EPA in 2004.

Thanks to the Bakken Shale, North Dakota’s unemployment rate is currently at 3.6 percent. Compare that to the national rate of 9.5 percent. And what about the North Dakota budget? Thanks to the Bakken, it currently enjoys a surplus of $500 million.

Here’s what others are saying about oil and natural gas production enabled by tightly-regulated fracture stimulation technology:

ON FRACTURING’S RECORD OF SAFETY, ENVIRONMENTAL BENEFITS

ON JOB CREATION, ECONOMIC GROWTH

 

ON EXANDED SUPPLIES OF AFFORDABLE, RELIABLE ENERGY

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ICYMI: Hydraulic Fracturing a Key Cog in Delivering Jobs, Revenue and Clean-Energy Future for America

Thursday, September 9th, 2010

With so much talk in Washington these days from politicians about “plans” aimed at redirecting our struggling economy and putting Americans back to work, not as much attention has been paid to the incredible economic force that America’s oil and natural gas producers continue to bring to bear in so many regions across the country. (more…)

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C…BS Evening News Whiffs on Hydraulic Fracturing Facts

Wednesday, September 8th, 2010

Recent national news segment on hydraulic fracturing swings and misses on technology’s 60-year old record of safety, effectiveness, transparency (more…)

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A Picture’s Worth a Thousand Words – And Hundreds of Thousands of Jobs

Thursday, August 19th, 2010

The responsible development of clean-burning natural gas from the Marcellus Shale formation – enabled by hydraulic fracture stimulation technologies, coupled with advancements in horizontal drilling – continues to be an boon throughout much of Appalachia, where small, rural communities and towns have not experienced genuine, lasting economic growth and prosperity for quite some time. But that’s all changing now thanks to these technologies, which can safely and effectively reach the Marcellus’ abundant, homegrown, job-creating natural gas reserves.

And while some continue to oppose this environmentally-proven and tightly regulated development, and the tens of thousands of good-paying jobs this production is helping to create at a time when economic opportunity is dire, it’s clear that folks throughout the Rust Belt agree that this is a good thing, and that it can – and must – be done responsibly.

Energy production companies, including Chesapeake Energy, continue to hire throughout the region, holding forums for those interested in joining our fight for a more secure energy future and more stable energy prices for American families, seniors and consumers.

Under the headline “Hundreds Want Gas Drilling Jobs,” the Wheeling Intelligencer reports that “For neighbors Shawn Long and Eric Westbrook of Middlebourne, who arrived before 10 a.m. and waited more than an hour to get through the door, the chance for new employment in the Ohio Valley is welcome.”

One attendee at the recent Chesapeake Energy open house said that “This is a great opportunity for around here,” adding that “this (the gas industry) is one of the only things around here. It’s a good thing they (Chesapeake) are here.” Another individual seeking employment noted that “It’s this or the coal mine. I’ve got two kids and a wife I have to take care of,” add that “Any new full-time employment in this area is great.”

We report, you decide — as they say.


Hundreds in WV, Throughout the
Rust Belt Want Gas Drilling Jobs …
… While a Few Use Distortions to Stop Responsible Gas Development, Job Growth
(Hundreds Want Gas Drilling Jobs; Wheeling Intelligencer, 8/19/10) (“Protest” in Pittsburgh, Pa.; 8/18/10)

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From La., to N.D., to Pa., Hydraulic Fracturing Continues to Positively, and Safely, Impact the Economy

Wednesday, August 18th, 2010

In 1949, the average cost for a gallon of gasoline was 17 cents. That same year, the First Polaroid Camera was sold for $89.95. And while the Polaroid has certainly had a lasting impact on American society, it was in 1949 when hydraulic fracturing first came into commercial use.

This energy stimulation technology has been safely used to help produce homegrown oil and natural gas more than 1.1 million times. And because of the industry’s commitment to ensure environmental safety, along with commonsense laws and regulations overseeing the process, hydraulic fracturing has never caused groundwater contamination. But despite this remarkable track record of putting the nation on stronger path toward energy security, a host of claims surrounding fracturing continue to persist.

Energy In Depth’s Lee Fuller helped separate the fact from fiction in a Detroit Free Press letter this week:

Fracturing is not new and is not “exempt from federal water laws,” as Olson claims. Shale gas development is regulated under the federal Clean Water Act, Safe Drinking Water Act, the Community “Right to Know” Act, the Superfund law and by the Occupational Safety and Health Administration (OSHA).

While Olson claims that “Most states, like Michigan, have not evaluated the impacts” of this technology, your readers should know Harold Fitch, director of the Geological Survey (OGS) office at Michigan’s Department of Environmental Quality — which regulates every aspect of oil and gas production, including fracturing — has said that “there is no indication that hydraulic fracturing has ever caused damage to ground water or other resources in Michigan.” Fitch notes that “OGS has never received a complaint or allegation that hydraulic fracturing has impacted groundwater in any way.”

Fracturing fluids are made up of more than 99.5% water and sand. A small percentage of fluids used to reduce friction and kill bacteria that are commonly found under one’s kitchen sink, are added. Not only is a list of these fluids mandated by federal law to be available at every well site, many organizations — including Energy In Depth — list them online.

And here’s just a quick snapshot of positive economic benefits that hydraulic fracturing is helping to bring to energy-producing regions of the country that are in desperate need of good-paying jobs and stable energy costs, as well as the commitment from the industry to be good neighbors and stewards of the environment:

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Let’s Talk About Cleavage

Wednesday, August 11th, 2010

Or why the foliation perpendicular to stress in the context of subsurface ductile deformation matters in the debate over shale and hydraulic fracturing 

We’ve spent some time over the past couple months taking a critical look at some of the key assertions made in the HBO documentary GasLand, putting forth in that time two separate rebuttal documents that we believe address in a substantive way a number of the misconceptions upon which the film, and its broader political message, is based.

But one of the issues we haven’t tackled yet is the suggestion that fissures made in the process of fracturing a shale formation are so long, and so upwardly vertical, that they have the potential to create conduits (or cleavages) through which fracturing-related fluids can travel to water-bearing formations thousands of feet above – including the water table. In his brief explanation of what the fracturing process is all about, GasLand director Josh Fox includes the following image in his film:

 

According to Fox, the fracturing process “is like a mini-earthquake,” and “blasts a mix of water and chemicals 8,000 feet into the ground.” At least he gets the depth right. But according to New York Department of Environmental Conservation (page 127 of this document), “No blast or explosion is created by the hydraulic fracturing process. The proppant holds the fractures open, allowing hydrocarbons to flow into the wellbore after injected fluids are recovered.” Guess there’s no need to call in the bomb squad after all.

But basic mechanics aside, the message the director is attempting to advance through the image above is simple: Hydraulic fracturing completely decimates the shale formation, creates massive gaps in the underlying rock, and produces vertical chasms that travel all the way up to the surface. Within that context, it becomes a lot easier to understand how the technology could lead to the drinking water contamination – as long as pathways and pressure exist, who can say for sure what’s actually happening down there, or up here?

Serious geologists have known since time immemorial that such a phenomenon is a virtual impossibility – and so has the EPA, which wrote in 1995 that “given the horizontal and vertical distance between the drinking water well and the closest methane production wells, the possibility of contamination of endangerment of USDWs [underground sources of drinking water] in the area is extremely remote.” And that letter, keep in mind, was in reference to a coalbed methane well – which reside thousands of feet closer to the water table than shale wells.

But thanks to the good folks over at Pinnacle Technologies, we now have some solid data to express this separation in quantitative terms. As reported by Pinnacle general manager Kevin Fisher in July’s edition of the American Oil & Gas Reporter, the following graphs plots actual field data from tens of thousands of fracturing operations conducted over the past decade – this first one, in the Barnett Shale, which shows quite clearly that even the most shallow fissures created through the hydraulic fracturing process remain separated from the water table by more than 3,500 feet:

 

But that’s just the Barnett, right? Everyone knows there’s no problem out there. Isn’t the real area of concern the Mighty Marcellus – where activists continue to claim that gas, chemicals, salt, metals, and Lord knows what else regularly get dredged up from the depths and beamed into every well, sink and stream in sight? Well, Pinnacle ran the numbers on the Marcellus as well, and although the data set isn’t quite as robust as what you’d find in the Barnett (remember: we’ve been developing that one a bit longer), the story in Pennsylvania, West Virginia and Ohio is remarkably similar. To wit:

 

Here we see an even greater separation between fractures in the underlying rock and sources of potable water above – with the closest the two shall ever meet clocking in at roughly 4,300 feet.

In other words, the deepest formations holding drinking water and the most shallow depth in which you’ll find a fracture in the Marcellus Shale are still separated by the equivalent of three-and-a-half Empire State Buildings – or three Petronas Towers, for our Malaysian friends. And by the way: they’re not exactly separated by air either. Between the two, you’ll find millions of tons of solid, impermeable rock – rock that has for literally hundreds of millions of years acted as an immutable barrier preventing salty water below from communicating with fresh water above.

But just to be sure we got this right, we sent these graphs and data up to Williamsville, N.Y. so that Ph.D. geologist Michael P. Joy might give them a gander and share some technical insights into what makes this phenomenon possible. Below is a (small) excerpt from the email he sent us in reply:

The hydraulic fracturing process creates fractures that are very small, usually an 1/8th inch or less in width. There is not enough pressure that could be exerted on the column of water to create a fracture matrix long enough to reach anywhere close to near surface aquifers. … The gas and water in these deep shale formations exist in hydrostatic equilibrium; the pressure acting down on the formation fluid is equal to the pressure being exerted from the bottom upward and the formation fluids act under the immutable laws of physics and stay in place.

Right. Exactly what he said.


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Syracuse Resident on Hydraulic Fracturing: “I just really wish we could have an honest debate here”

Tuesday, August 10th, 2010

Earlier this week, EPA found itself in the unenviable position of having to scramble for an alternate location for hosting its previously scheduled public information session on the shale gas stimulation technique known as hydraulic fracturing.

Of course, it was pure coincidence that the agency settled on the one city in the state whose newspaper ran four separate letters to the editor late last week targeting with misinformation the technology in question.

Syracuse, of course, is the city we’re talking about, and even though New York State has more than 13,000 oil and natural gas wells in operation today – the vast majority of which have been fractured – activists continue to spread misleading information about the 60-year-old technology, and the many state and federal regulations in place to ensure that this process is conducted in a safe and environmentally sound manner.

Last week the readers of Syracuse’s Post-Standard witnessed this effort first hand and in full-force – four letters in a single day. Luckily however, there are folks out there who know the truth, speak the truth and are willing to set the record straight on a technology been deployed over 1.1 million different times without a single confirmed case of groundwater contamination.

Which brings us to the first letter from last week’s Aug. 6 Post-Standard:

“Here are some of the exemptions from the United States federal laws that the natural gas industry can ignore due to the “Cheney loophole” in the Federal Energy Act of 2005: Exemptions of the gas (and oil) industry: 1) the Safe Drinking Water Act, 2) the Clean Water Act, 3) the Clean Air Act, 4) the Comprehensive Environmental Response, Compensation and Liability Act, 5) waste management laws, 6) public right to know provisions of the emergency planning and community right to know act.” – David Kauber, Aurora

Funny thing about these claims? Not a single one is backed up by fact. And no, just because Josh Fox says it’s true, doesn’t mean it is. Local resident Andy Leahy sums it up best in today’s Post-Standard:

“I’m going to have to leave aside the preposterous claims that the oil and gas industry is exempt from the Clean Water Act, the Clean Air Act, the Superfund law and so on… The history of the Safe Drinking Water Act, on the other hand, carries a slightly more interesting “kernel of truth,” from which the activists have sprouted their claims. For more than two decades since passage in 1974, no one in authority on any state or federal level interpreted underground injection control as encompassing oil and gas well “stimulation,” or fracturing, as had long been routinely deployed during development of these resources… in the late 1990s there was a very effective lawsuit brought by an environmental group having to do with hydraulic fracturing for coalbed methane in Alabama.”

Mr. Leahy goes on to write:

“The Energy Policy Act of 2005, among many other things, rendered this Alabama legal decision ineffective by clarifying congressional intent within SDWA. It said clearly that hydraulic fracturing was not meant, and was never meant, by Congress to be covered under the federal underground injection control program. So that’s the exemption, the so-called “Halliburton loophole.” It just confirmed the status quo, which is that the states remain the primary regulators of oil and gas exploration activity.”

You can imagine the substance of the other three letters – which you can read here if you’d like. But to save you the time, effort and tears, we’ll leave you with this little nugget:

We are a well-informed, intelligent, educated people who are well aware of what we have to lose if the gas companies are allowed to frack within the aquifers of our state. We know that we are exempt from the Clean Water and Clean Air Acts.” – Beverly Ann Scholl, Skaneateles

Sorry, Ms. Scholl, educated people support their arguments with facts, not fiction.

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No Place Like Dome?

Tuesday, August 10th, 2010

Budget, air conditioning (?) play role in EPA decision to move Binghamton HF forum to Syracuse – but tight logistics force agency to postpone event ‘til next month (more…)

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House Call on the FRAC Act

Thursday, August 5th, 2010

Sen. Casey asks Colo. congresswoman to help him make the case for jobs-killing anti-HF bill in Philadelphia paper – EID takes a closer look (more…)

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You Sent Out the Wrong List?

Thursday, July 1st, 2010

AP story on “potentially harmful” chemicals used in fracturing process runs everywhere in Pennsylvania – two days later, we learn DEP sent AP the wrong list (!) (more…)

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Hydraulic Fracturing Continues to Help Create Tens of Thousands of American Jobs, Economic Opportunity

Wednesday, June 2nd, 2010

Last week was quite a week for shale gas production enabled by hydraulic fracturing, a 60-year old tightly regulated technology used to stimulate oil and gas production in 9 out of 10 wells nationwide.

There was plenty of positive and welcomed economic news. An updated Penn State University economic impact study released last Tuesday finds that the development of the Marcellus Shale’s clean-burning natural gas reserves, through the use of fracturing, has the potential to add an additional 212,000 new jobs to the state’s employment rolls over the next decade. Energy In Depth’s executive director, Lee Fuller, said this about the study:

“The release of this report from Penn State today serves to reinforce that status in a modern context, and also make clear to those who oppose this critical work on political or ideological grounds that, at least on practical economic grounds, that opposition could lead to fewer jobs, greater dependence, and a lot less revenue for the state.”

But Appalachia isn’t the only region of the country that is booming thanks to fracturing. The Shreveport Times reports this under the headline “Haynesville Shale spares local economy”:

The huge amounts of money injected into the local economy via the Haynesville Shale activity has spared northwest Louisiana from the worst effects of the national slowdown, according to an economist whose second-year study of the industry was released Tuesday.

In the report, Dr. Loren C. Scott pointed out that the seven firms participating in his study “pumped an amazing $7 billion into the state’s economy” in just one year. That sizeable injection of new money into the state can be equated to tossing a boulder into a pond.

Scott’s study serves as tangible evidence to the “tremendous economic benefits of natural gas extraction operations in northwest Louisiana,” said Don Briggs, Louisiana Oil and Gas Association president.

And in a report yesterday from KENS 5-TV, “Texas oil and gas boom paying dividends for San Antonio,” thanks to 21st century fracture stimulation technologies. This from the region’s CBS affiliate:

A huge, underground oil and gas field is promising big results, and that’s having an economic impact on San Antonio.

“I wish I had a crystal ball.” No one knows, no one knows. They just pick up the phone and start ordering equipment,” said Chase Hooker, Director of new business development for APPCO; a company that makes equipment called Frac-Sanders.

These huge, $250,000 machines deliver a special sand mixture to a well. The “frac” sand helps force fossil fuels out of the ground. Despite making a dozen of these 25-ton machines a month, APPCO is back-ordered through 2011.

Unfortunately, some in Washington – despite this overwhelmingly positive economic news in an otherwise struggling national economy – believe that the energy-producing states should be stripped of their proven ability to effectively regulate fracturing.

Last week, Colorado Rep. Dianna DeGette, an advocate for burdensome, duplicative and potentially devastating federal regulations on American energy production, offered and withdrew an amendment at a House Energy and Commerce Committee mark-up that would have stripped energy-producing states of their ability to effectively regulate fracturing. Like her bill, the FRAC Act, Ms. DeGette’s amendment would give the federal government – for the first time ever – authority to oversee this critical and heavily regulated practice.

Thankfully the amendment was withdrawn amidst pressure from Energy In Depth, the U.S. Chamber of Commerce, the National Association of Manufacturers and scores of Democrats and Republicans on the panel.

EID’s Fuller wrote this in a letter to members of the committee leading up to the hearing:

The fact is, hydraulic fracturing has been ably and aggressively regulated by the states almost since the moment of its invention, with regulators compiling an impressive record of enforcement and oversight during that time. It’s a record that continues to be acknowledged by regulators and lawmakers on the federal level as well, most recently by EPA’s director of drinking water protection, who told a reporter in February that there existed “no evidence” that “states aren’t doing a good job already” when it comes to regulating fracturing activities.

But it’s not just America’s energy producers and job-creators speaking out about fracturing’s long and clear record of effectiveness and safety. Major newspapers are speaking out, too. Today’s Investor’s Businesses Daily writes this in an editorial:

Environmentalists, aided and abetted by Democratic Sen. Bob Casey of Pennsylvania, now want to stop us from unlocking our vast reserves of natural gas locked up in shale using a technique called hydraulic fracturing or “fracking.” The technique involves injecting liquids under pressure, 95% of which is water, into the shale rock to release the trapped gas.

Casey has introduced legislation to remove fracking’s long-standing exemption in the Safe Drinking Water Act that allows energy companies to use the process. He claims the process endangers America’s drinking water, though fracking is done thousands of feet below the groundwater table and there’s never been a case of groundwater contamination caused by fracking.

“This 60-year-old technique has been responsible for 7 billion barrels of oil and 600 trillion cubic feet of natural gas,” according to Sen. James Inhofe, ranking member of the Environment and Public Works Committee. “In hydraulic fracturing’s 60-year-history, there has not been a single documented case of contamination.”

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Kanjorski: Jobs, Revenue and Opportunity from Marcellus Shale “A Big F’n Deal” for PA

Thursday, May 27th, 2010

(more…)

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ICYMI – ND governor to EPA: “We can regulate fracturing very well, thank you very much”

Thursday, May 20th, 2010

“Environmentally sound” natural gas production bringing “a lot of jobs to the area”

Gov. Hoeven tells EPA that N.D. can handle fracturing
By Rebecca Beitsch
Bismarck Tribune
May 16, 2010

Gov. John Hoeven has had a series of meetings with Environmental Protection Agency leaders as the agency moves forward with a process that could end in its regulation of an oil drilling process known as fracturing.

The EPA is now studying the effect the process has on ground and drinking water and could potentially use the authority granted in the Clean Water Act to take over the permitting process from the states.

Fracturing, or “fracking,” involves pumping water and sand at high pressures to two miles beneath the surface using a series of pipes. The microseismic stimulations from the process loosen up oil tucked into crevices of the Bakken formation. But the concern lies in both in the process’ interaction with groundwater and what happens to the wastewater once the process is completed.

The message Hoeven wants to send to the EPA is “we can regulate fracturing very well, thank you very much.”

Lynn Helms, director of the Department of Mineral Resources, said he is opposed to the potential regulations, not because they would drastically change the process, but rather because he believes drilling through fracking would have to be abandoned until the new regulations were in place.

“I don’t expect more stringent rules, but I do expect a two- to three-year stoppage in North Dakota while the rules get put in place, and that’s a lot of unemployed people,” Helms said.

Helms said fracking is environmentally sound because of all the safeguards in place.

* * * * *

Life on a Drilling Rig
By Ryan Coyle
WNEP-TV
May 19, 2010

Natural gas drilling is changing the landscape of the northern tier in many ways.

At 4:30 p.m. most people are wrapping up the work day. Rick Woodbeck of Towanda is just getting started. Woodbeck is a natural gas driller with Chesapeake Energy. A roughneck, as they are called. He drills into the Marcellus shale gas deposits miles below the surface of the earth.

“I was in the Army National Guard and I came back from Iraq. Instead of going to sit behind a desk I decided to try something different and I had a friend who was on a rig. He told me about it and got me an interview. A couple weeks later I started out on a drilling rig,” Woodbeck said.

Woodbeck has been working on gas rigs for nearly three-and-a-half years and when the opportunity came to work close to home with Chesapeake, he couldn’t turn it down.

“I feel pretty good working at home. Still being able to see friends and be with my wife or family. So it’s a pretty good feeling,” the roughneck said.

“The pay is good. It’s better than probably most jobs you’re going to find in the area,” Woodbeck added. That’s one of the reasons why he is happy to see drilling coming to the northern tier.

“I believe it’s a good thing. The economy is not doing well right now. It did bring a lot of jobs to the area. Restaurants are doing better. Just the local economy is overall better,” Woodbeck said.

Not only that, he is seeing more people from the area getting these types of jobs. Six guys on his crew work the rig and four are from Pennsylvania. “There’s more jobs. I see more and more local guys on the rigs,” said Woodbeck.

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Syracuse Profs Say Hydraulic Fracturing is a “safe method to capture a huge supply of underground natural gas”

Monday, May 3rd, 2010

When it comes to the facts surrounding the 60-year old energy stimulation technology called hydraulic fracturing, which has been safely used more than 1.1 million times throughout the United States, several top New York academics believe that the facts – based on science and not fear or hyperbole – speak for themselves.

In yesterday’s Syracuse Post-Standard, under the headline “Scientists say Hydrofracking benefits outweigh risks”, a trio of Syracuse University experts echoed the fact that anti-shale gas production advocates – who “rely on fear ” – “are exaggerating the risk” of fracturing, and that “many of those concerns have been sensationalized” and “overblown.”

This from the article:

The debate should be about the science, he contends, as do two retired SU professors, Bryce Hand and Joe Robinson — who have defended high-volume hydraulic fracturing as a safe method to capture a huge supply of underground natural gas in the Marcellus Shale formation.

But opponents of hydrofracking have “dispensed with science and rely on fear” to turn the public against drilling, Siegel said.

The voices of scientists are being drowned out, the professors said.

“What I’m finding is that no matter how you make the argument about shale bed methane to the local community, they refuse to understand it or refuse to even consider it,” said Siegel, a 62-year-old Syracuse resident.

And speaking of the facts, Pennsylvania Congressman Bill Shuster – a member of the House Energy and Mineral Resources panel – took to the pages of the Johnston Tribune-Democrat today to highlight the overwhelmingly positive economic impact that the safe, responsible development of the Marcellus Shale is having throughout the Commonwealth. Under the headline “Marcellus Shale: Reigniting state’s energy potential,” the congressman writes this:

There is enormous economic potential for Pennsylvania to take advantage of this reserve as new drilling techniques have unlocked vast resources previously impossible to reach.

Natural gas drilling in the Marcellus Shale will generate $14 billion and has the potential to create 98,000 jobs in 2010 alone, and bring in $800 million in state and local tax revenue.

From steel to rail, other industries are already responding to the needs of the growing gas industry. This will lead to more jobs and economic growth throughout the state.

It is important that we recognize the enormous potential shale gas holds for Pennsylvania and encourage this growing industry with smart policies that encourage economic development.

The congressman also underscores how effectively the state regulates this production, especially as it relates to fracturing:

Natural gas drilling is effectively regulated at the state level by the Department of Environmental Protection. I believe the state continues to be in the best position to manage and regulate the industry.

The federal government is considering regulation of a critical drilling technique called hydraulic fracturing, which is necessary to recover gas from the Marcellus Shale.

Hydraulic fracturing has been used safely for 60 years; more than 1 million wells have been hydraulically fractured and there has never been a single documented case of groundwater contamination.

The practice is regulated effectively at the state level and there is simply no need for the federal government to step in with unduly burdensome regulations.

While Sen. Bob Casey (D-Pa.) believes that unelected Washington bureaucrats are best suited to regulate fracturing, a chorus of key congressional supporters have recently weighed-in, sending a loud and clear message that energy-producing states are best able, equipped and situated to oversee this critical technology.

In fact, a bipartisan group lawmakers who serve on the powerful House Energy & Commerce Committee – led by Reps. Sullivan (R-Okla.), Ross (D-Ark.) – wrote Henry Waxman and Ed Markey, leaders of the panel, last week, urging them to reject a one-size-fits-all Washington takeover of fracturing regulations.

Following the release of the bipartisan letter, Congressman Sullivan said this:

“In 2004, the EPA concluded that hydraulic fracturing poses no threat to groundwater. In fact, in the past 60 years, close to one million wells have been hydraulically fractured in the United States with no known harm to water supplies. I firmly believe that  putting hydraulic fracturing under the grip of the EPA as some in Congress seek to do, would be a mistake and a bureaucratic nightmare that would lead to delays in recoverable domestic natural gas extraction and would hurt job growth in Oklahoma our nation.”

Congressman Mike Ross added this:

“Natural gas is one of our cleanest and most abundant energy resources in America. This industry also employs nearly 4 million Americans, including about 40,000 Arkansas families. Hydraulic fracturing is an important technology that allows us to safely recover natural gas from shale formations like the Fayetteville Shale in Arkansas, reducing our dependence on foreign energy sources. It is absolutely critical we have the most recent and relevant scientific data before making any decisions, which will most likely have a far-reaching impact on Americans’ access to natural gas.”

And in a separate letter last week, Wisconsin Congressman James Sensenbrenner – the top Republican on the House Energy Independence Committee and former Science panel chairman – told EPA administrator Lisa Jackson this:

“EPA can help promote our nation’s energy independence by making it easier for the U.S. to rely on our domestic resources. We should let states regulate fracking guidelines instead of establishing federal mandates, or a government takeover of yet another industry.”

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Gas Odyssey: Clean-Burning American Energy Creating Thousands of Jobs, Untold Economic Opportunity

Friday, April 30th, 2010

Francis Ford Coppola served as executive director of the Golden Globe-nominated The Odyssey in 1997. Back in 1968, Stanley Kubrick directed the Oscar award-winning 2001: A Space Odyssey. Both were decent movies. Both did decent at the box office. But the truth is, neither of these puppies can hold a candle to the recently released Gas Odyssey film pulled together by young documentarian Aaron Price.

What do we know about movies, you ask? Absolutely nothing. But here’s what we do know: Price’s story about a community rallying together to support the responsible conversion of clean-burning natural gas resources into jobs, revenue and opportunity for the future is as genuine John Wayne. And if you haven’t seen the trailer for it yet, well, you don’t know what you’re missing out on, friend.

The responsible development of the Marcellus Shale – considered to be the world’s second largest natural gas reserve in the world – is generating untold amounts of economic activity and job creation. At the same time, this safe, heavily-regulated production – enabled by advancements in horizontal drilling technologies coupled with the 60-year old energy stimulation process called hydraulic fracturing – is unlocking enormous amounts of clean-burning, American natural gas.

Price highlights this once-in-a-lifetime economic transformation that is rejuvenating and bringing hope to communities that have historically been down on their luck. Throughout the 117 minute documentary, Price captures the stories of family farmers, school administrators, small businesses owners and landowners whose lives, and lives of those who make up their communities, have been positively and directly affected by this production.

But this film doesn’t tell just one story – it tells two. See, in Pennsylvania, private landowners are permitted to produce shale gas on their land. However, in New York – just a couple miles away across the state border – the government in Albany has a de facto moratorium in place preventing the responsible development of Marcellus shale gas, and its associated economic benefits, from moving forward.

Here are just a few of the key firsthand accounts that Price captures:

Stephen Herz of Windsor NY, who’s owned a family horse for 60 years:

“Broome County is in a dire position, and quite franking, allowing responsible natural gas drill is a clear light at the end of this tunnel. … The natural gas opportunity is this community’s salvation … This opportunity will filter down through our community, creating jobs, creating revenue, and giving our citizens reason to hope and reason for a bright future here in Broome County. … If the gas industry isn’t allowed to responsibly thrive in Broome County, you might just as well place a closed sign on this community.”

James Worden, also of Windsor, says this, speaking on behalf of more 3,000 upstate New Yorkers:

“They tell me that they are losing their jobs, and other hardships they suffer.”

Julie Lewis, of the Joint Landowners Coalition of New York, says this, nothing the “astounding” potential economic benefits:

“We have not seen contamination by frac fluid, but that’s what everyone keeps talking about.”

Jon Dietz, truck driver in Montrose, PA, tells Price this:

“In my opinion, there’s nothing detrimental to our area with what’s going on right now. It’s bringing jobs, it’s bringing money. And its’ improving everything. This was a dead community. Our last factory closed years ago.”

Price talks to Derek Matolka, who’s enrolled in Lackawanna College’s natural gas technology program, and commutes from Vestal, NY:

“I wasn’t sure what I wanted to do before, but I’m excited about this program and to join the gas industry following graduation.”

Broome County executive, Barbara Fiala, a tireless advocate for economic opportunity and job creation, adds this:

“Nothing would compare to what gas drilling would mean to the community,” in terms of jobs and positive economic impact.

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No Joy in Mudville?

Wednesday, April 28th, 2010

Faced with Opportunity to Get the Fact Straight on HF in Letter to EPA, Casey Strikes Out Again (more…)

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What’s Been Around Longer: Hydraulic Fracturing, Medicare or Hemingway’s The Old Man and the Sea?

Thursday, April 8th, 2010

It seems to have become fashionable in some anti-energy circles these days to refer to hydraulic fracturing as a “new” technology – it’s a parallel reality that seems to be growing in population by the day. The truth is, however, that fracturing has been around for decades — more than six of them, in fact. And while this critical tool stimulates oil and gas production in 9 out of 10 wells nationwide, and has been safely used over 1.1 million times, it has never been proven to contaminate groundwater. Not once in 60 years.

A recent Abington (PA) Journal Correspondent highlights fracturing’s long and productive history of safely accessing and producing homegrown energy. This from the article entitled “DEP: Fracking used since 1948 in Pa.”:

Despite controversy over hydraulic fracturing in natural gas drilling operations, the process isn’t particularly unique, according to Scott Perry, deputy director of the Department of Environmental Protection Bureau of Oil and Gas. Fracking has been used by the oil and gas industry since 1948, and in the drilling in Pennsylvania since then.

He said … that there has never been a case of fracking fluid causing direct contamination of groundwater. The fluid makes up one half to one percent of the total volume of a fracking operation, said Perry, with the remainder being comprised of sand and water.

And thanks to this time-tested technology, the United States now has nearly 100 years supply of clean-burning, job-creating natural gas. Bloomberg reports this week that US energy secretary Steven Chu believes that “New natural-gas drilling technologies may have doubled U.S. reserves of the fuel.”

And in a Harrisonburg (VA) Daily News Record op-ed today, David Banks writes this about safe, environmentally responsible shale gas production enable by hydraulic fracturing under the headline “Drilling A Resource, Not A Risk”:

Yet environmental lobbies are trying to ban production, both here and elsewhere, claiming that a process being used to recover the natural gas poses a risk to drinking water resources.

Known as hydraulic fracturing, the process involves injecting a mixture of water, chemicals and sand under high pressure to break through the shale and reach the natural gas. It has been used safely in oil and natural gas production for the past 60 years, and has never resulted in any confirmed cases of groundwater pollution. Fact is, groundwater is separated from the gas-bearing shale by hundreds of feet of thick rock.

Although geologists have known about Marcellus Shale gas for decades, its recovery only became economically feasible a few years ago after a technique was found for drilling horizontally into the rock, which enables a single well to reach more natural gas.

That technique, developed to gain access to natural gas in the Barnett Shale in northern Texas, is now being used in shale-gas production around the country. As a result, experts say, the gas that can be unlocked from these formations will last more than 100 years.

Help keep the commonsense and effective hydraulic fracturing regulations in place with the states by telling Congress to kill the FRAC Act so that this misguided bill doesn’t kill good-paying American jobs.

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Rep. George’s Fact-Free Fact-Finding Mission

Thursday, April 8th, 2010

Chair of PA House Environment Committee Travels Across the State to Learn  More About Hydraulic Fracturing, Comes Up Empty (more…)

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An Army of One

Wednesday, April 7th, 2010

PA DEP all alone in continuing to insinuate that natural gas exploration had something to do with Dunkard Creek — while EPA, WV agencies say otherwise

PA DEP Attempts to Blame Dunkard Creek on Natural Gas

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ICYMI — Reuters, PA Newspapers: “Hydraulic fracturing operations, natural gas boom brings riches to a rural town”

Monday, April 5th, 2010

“A huge opportunity”; “Has transformed the lives of some local farmers”; “It’s just the tip of the iceberg”; “Increased job opportunities”; “This is all good news for the area”; “The economic impact will be wonderful”

Small, rural PA towns “getting rich from the rush to develop the Marcellus Shale”

Natural gas boom brings riches to a rural town
Reuters
Jon Hurdle
April 5, 2010

At a windswept rail yard at Wellsboro in northern Pennsylvania, dozens of railcars wait to load thousands of tons of sand onto trucks that will take the cargo to natural gas rigs across the state.

The freight railroad, which runs 35 miles north to Corning, New York, had its busiest year in more than two decades in 2009, fueled by demand from a booming natural gas industry, which uses sand in hydraulic fracturing operations.

“This is a huge opportunity for us to operate at these levels,” said Bill Myles, manager of the railroad’s operations. The company has just spent $1.5 million on four powerful new locomotives, is laying new track and has hired new workers.

Like many rural towns, Wellsboro is getting rich from the rush to develop the Marcellus Shale, a formation stretching from New York to West Virginia that contains enough natural gas to satisfy U.S. demand for 20 years or more, experts say.

It is expected to become the most productive of America’s shale gas fields.

The boom has also transformed the lives of some local farmers who, after struggling financially for years, now find themselves with six- or seven-figure checks from the gas companies in return for leasing their land for drilling.

“Some of them have had tears in their eyes, thinking they may have to give up the farm,” said Gooch. “The gas checks have allowed them to stay on their land.”

And with the expected growth in the area’s gas industry, Bob Chesko said: “It’s just the tip of the iceberg. Some say it’s going to be a 20-year project.”

Business has picked up at gas stations, auto repair shops, restaurants, realtors, and even the local movie theater, said Coolidge, adding, “I have seen so many businesses that it has touched in a positive way.”

Gas boom sparking rail revival
Sunbury (PA) Daily Item
Diane Petryk
April 2, 2010

Those who can operate trains, repair locomotives, and maintain railroad tracks may find increased job opportunities in the Valley soon. Lycoming Valley Railroad Co. is seeing an upsurge in demand for transportation of supplies needed by contractors serving Marcellus Shale drillers.

The processing of drilling through the shale to extract natural gas, known as hydrofracking, requires lots of special sand and lots of pipe and it makes lots of wastewater. The sand and the pipe have to be brought in, sometimes from as far as Saskatchewan, and the water has to be carted away. Trucks do some of the work, but trains are seeing an increase in business as well.

Lycoming Valley Railroad Co.’s first quarter this year showed a 40 percent increase over the same time period last year, said chairman and CEO Richard Robey. The firm, based at 356 Priestley Ave. in Northumberland, hired two more workers and is looking for two more now. That’s just to start.

Wildcat is a Colorado-based company, Hunter said, but it has plans to hire from the local job market.

“We managed to get through the recession without any layoffs,” Robey said. “Today we have 16 new customers involved in supplying the Marcellus Shale gas industry.”

That industry started up in earnest in Pennsylvania in 2008, Hunter said. “It’s impact on local areas is dramatic,” he said. “I live in Williamsport and the changes in Williamsport are dramatic.”

Rebirth of the railroad?
Sayre (PA) Morning Times
Steve Reilly
April 3, 2010

Now, for the first time after decades of decline, activity on the Lehigh Railway is growing again. New locomotives are being purchased, and employees are being hired to keep up with new demand created by the natural gas industry.

According to Jim Raffa, vice president of sales for the Lehigh Valley Railway, the railroad is once again assuming a position of prominence in the region’s economy, transporting many of the things needed to tap into the of the area’s newest economic hope — the sand, pipes, and other bulk materials needed to drill for natural gas in the Marcellus Shale.

“This is a phenomenon up in this area, it really is,” Raffa said. “There’s a lot of railroads that are seeing economic downturns, whereas for us, it’s been growth.”

According to Raffa, the increased business from the Marcellus Shale industry has already led the railway to hire new employees, with more hires expected.

“We have also recently purchased another locomotive to handle the increased business,” he added, “(and) we expect to purchase two more within the next year.”

“To have a functioning railroad that’s doing well is only going to produce better-paying, higher-paying types of jobs.”

“This is all good news for the area,” he said. “It’s definitely coming back”

“I think the economic impact will be wonderful for the Valley, especially at a time when everybody knows that the economy’s bad,” said Sayre Mayor Denny Thomas.

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ICYMI — Top PA oil, gas regulator, energy senator: Hydraulic fracturing “not a threat to water supplies”

Friday, April 2nd, 2010

DEP Official: “There Has Never Been Any Evidence” Tying Hydraulic Fracturing to Water Contamination
Scranton Times Tribune
Laura Legere
April 2, 2010

[Scott Perry, director of the Department of Environmental Protection's Bureau of Oil and Gas Management] also insisted that even though the department is proposing to strengthen its disclosure requirements, hydraulic fracturing is not a threat to water supplies.

“There has never been any evidence of fracking ever causing direct contamination of fresh groundwater in Pennsylvania or anywhere else,” he said.

“If I honestly thought that fracking was causing a direct communication with groundwater resources, I wouldn’t be talking about how we have a chemical list. That is the ultimate half-measure. I would be saying, ‘This cannot occur.’”

Gas drilling, DEP given a bad rap
Centre Daily Times
Sen. Mary Jo White, Environmental Resources & Energy Committee chair
March 30, 2010

“There is also no evidence that fracking a deep well, as is done to access Marcellus Shale gas, is contributing to aquifer depletion or degrading water quality. Most gas is more than a mile below the surface, maintaining several thousand feet between the shale and the aquifer.

“DEP, along with 18 other states, certified to the Ground Water Protection Council last year that they have no instances of fracking resulting in any water quality problems in which this activity is occurring. President Obama’s EPA drinking-water quality chief recently provided similar testimony before Congress.”

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Locomotive Breath

Friday, March 26th, 2010

US Shale Gas Revolution, Enabled by Hydraulic Fracturing, Generating Jobs, Reviving Old Train Towns – Exactly What Jethro Tull Had in Mind

We all know that safe, responsible, well-regulated natural gas production from dense, shale rock formations is helping to drive down energy prices and foreign dependence, and creating a heck of a lot of good-paying jobs, too. Hydraulic fracturing – a 60-year old energy stimulation technique used in 9 out of 10 wells nationwide – is the technological linchpin to unlocking the nearly 100 years of clean-burning, homegrown natural gas supplies. The fluids used in the fracturing process are made up of more than 99.5 percent water and sand. And as gas production continues to expand throughout Pennsylvania’s Marcellus shale – considered to be the world’s second largest natural gas reservoir – the demand for sand and freight rail to move equipment continues to increase.

 

 

 

Yesterday’s Williamsport (PA) Sun-Gazette reports this under the headline “Marcellus Shale exploration credited in need for new locomotives”:

The Wellsboro and Corning Railroad took delivery of four SD 40-2 locomotives last month, and the burgeoning Marcellus Shale natural gas industry is the main reason the powerful locomotives are needed.

According to Tom Myles IV, chief financial officer of the Myles Group, owners of the railroad, “The additional power is necessary to support the demands of the growing gas related industries in Pennsylvania. Because the need for transportation of gas-related products is so great, we have added the locomotives to increase the ability to run longer, more economical and environmentally sound trains.”

The Wilkes-Barre (PA) Times Leader reports this recently in a story entitled “Old Duryea railroad yard taking on new life; Rail cars of sand to be used in Marcellus Shale natural gas extraction get a home”:

Investment spurred by Marcellus Shale natural gas exploration has transformed an antiquated, weed-ridden rail yard just north of Pittston into a state-of-the-art transloading terminal teeming with rail and trucking activity on an almost daily basis.

Over the last year, Reading & Northern Railroad Co. sunk $100,000 into Pittston Yard, laying new track to accommodate 100 new rail cars and constructing a facility to store and hold up to 800 cars of sand to be used in hydraulic fracturing, or “fracking,” operations at Marcellus Shale drill sites throughout Northeastern Pennsylvania, said Reading & Northern President Warren A. Michel.

“The reason for our success is that we are the largest facility in the region capable of handling hundreds of rail cars of sand. We now have 130 (sand) rail cars at the yard and we’ll be expanding substantially over the next six months,” Michel said.

The company rewarded its full-time employees for their work on the project and throughout last year with an extra week of paid vacation this year and a paid trip to their choice of either Disney World; Branson, Mo.; Williamsburg, Va.; London; or a cruise.

Because of a number of factors including the Marcellus Shale drilling industry, Reading & Northern has hired 10 new employees over the last two months.

And last week, the Philadelphia Inquirer reports that “Marcellus Shale sends short-line railroad booming.” This from the Inquirer’s Andrew Maykuth:

Nobody knew there was gold in the sand.

When A.T. “Tom” Myles approached officials in this town three years ago about taking over the ailing Wellsboro & Corning Railroad, he thought the 35-mile short line had potential for transporting lumber to market from northern Pennsylvania.

But that was before the Marcellus Shale natural-gas boom took off and exploration companies were clambering to import sand into Pennsylvania – millions of pounds of special sand used to develop gas wells.

“I didn’t even know about the sand when I came in here. I just wanted the railway,” said Myles, 65, a fourth-generation railroader from Exton. He is chief executive of the Myles Group, a collection of companies his family owns and operates from Chester County.

Maykuth notes that the uptick in freight rail demand from the Marcellus shale is creating jobs:

In the two years since Myles took over the Wellsboro & Corning line, cargo traffic has nearly tripled, to 849 railcars last year, the most in its modern history. In a recession, Myles has hired 10 people to transfer sand from the cars into trucks.

He anticipates that business will nearly double this year, to 1,600 railcars. Almost all of that is sand used in hydraulic fracturing, the process that shatters the dense Marcellus Shale under high pressure to unlock its stores of natural gas.

The gas industry’s huge appetite for what is known as “frack sand” has spurred a rebirth for the struggling railroad, whose previous operator gave up just before the gas boom.

Michael Ming, president of Research Partnership to Secure Energy for America, tells CNN that “We’ve basically won the lottery,” when it comes to American shale gas. He’s right – we have. More affordable, cleaner energy; less dependence on unstable regions of the world to fuel our economy; and tens of thousands of good-paying jobs – who’d be against that? We could think of a few folks who continue to distort facts and lodge baseless attacks on American energy producers, especially as it relates to fracturing technologies. But here are the facts.

Donald Siegel, a Syracuse earth sciences professor who holds a PhD in hydrogeology, writes this in yesterday’s Binghamton (NY) Press & Sun-Bulletin in a column entitled “Unfounded fears obscure facts; Public needs to understand science behind shale’s potential”:

The long-term history of gas production and the science behind it show that recent public fears of hydro-fracking are misplaced.

The water in rock thousands of feet deep is disconnected from our lakes, rivers and shallow aquifers. Hydro-fracking cannot break through these thousands of feet of rock all the way up to reach shallow aquifers.

Organic compounds in hydro-frack, flow-back water naturally biodegrade, are miniscule when measured, and trivial when considered in the context of how much raw boat fuel discharges every year in New York waters from inefficient outboard motors.

And Scott Cline, a petroleum engineering PhD, writes this in recent Binghamton (NY) Press & Sun-Bulletin op-ed under the headline “Hydraulic Fracturing Fluid Will Not Contaminate NY Drinking Water”:

The rare cases of increased water well methane that everyone gets excited about are not related to the horizontal drilling and fracture stimulation specifically. Rarely, naturally occurring very shallow gas zones create problems when cementing surface casing in any type of well whether vertical or horizontal which can lead to the shallow gas zone bleeding into aquifers. This is rare, can be fixed with re-cementing and the methane and water turbulence will dissipate over time. DEC will require strict surface casing procedures and certification. Absolutely no frac fluid is entering the USDW from the fracture process.

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Not Very Brotherly

Friday, March 26th, 2010

EID Fact Checks Philadelphia’s Anti-Natural Gas, Anti-Hydraulic Fracturing Resolution (more…)

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It Was the Best of Times, It Was the Worst of Times

Wednesday, March 24th, 2010

While Upstate NY Continues to Suffer Economic Hardships, PA Neighbors Say “Shale Yes”; Reap Jobs, Revenues and Opportunity Because of It (more…)

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Left, Right and Center: Members of Congress Say Hydraulic Fracturing is Safe, Helping to Create “Tremendous Economic Opportunity”

Tuesday, March 23rd, 2010

Congressman Chris Carney understands full-well how critical well-regulated, 21st century shale gas production – enabled by the 60-year old energy technology called hydraulic fracturing – is for his northeastern Pennsylvania congressional district, for his state and for the nation’s long-term security. Congressman Carney, vice-chairman of the Transportation & Infrastructure’s economic development panel – released a statement following EPA’s recent announcement to move forward with a new, comprehensive hydraulic fracturing study. The second-term congressman said this in a statement, which was highlighted by the Pocono (PA) News:

“The Marcellus Shale has presented our region with a tremendous economic opportunity and we must take every step necessary to ensure that the health of our families is not compromised as a result.”

And on the Senate side of the Capitol, long-time Democrat-turned Republican-turned Democrat Arlen Specter had this to say about EPA’s recent announcement:

“In Pennsylvania, the Marcellus Shale has the potential to create nearly 200,000 jobs and generate nearly $15 billion in the next decade – but the gas must be extracted in a way that does not endanger our water supply, the most precious natural resource of all. I look forward to this study’s progress and the lessons it will give us for how to best manage this important activity.”

Oklahoman senator James Inhofe, the top Republican on the Senate Environment and Public Works panel, weighed in on EPA’s announcement last week, as well. Sen. Inhofe – a fierce HF defender – said this in a statement:

“The first use of hydraulic fracturing occurred near Duncan, Oklahoma in 1949. Since that time, hydraulic fracturing has become an essential production method in the completion of up to 80 percent of today’s natural gas wells. It has been used safely for decades and has helped strengthen America’s energy security and created millions of good-paying jobs.

Others are also saying that safe, responsible, well-regulated hydraulic fracturing is the linchpin to economic competitiveness, stable energy prices and American energy security. Energy In Depth’s executive director, Lee Fuller, echoed these facts in a statement, too:

“Fracturing has a long and clear record of safely leveraging otherwise unreachable homegrown, clean-burning, job-creating energy reserves. Today, the responsible development of America’s shale gas resources represents a crucial turning point for our nation’s long-term energy security. Hydraulic fracturing is the tool that can safely make this possible, and can continue to help lead us on a path toward stronger energy independence and economic competitiveness.”

And just today, the Wilkes-Barre (PA) Times Leader, under the headline “Some colleges add programs to train workers,” reports this:

The landscape of the state’s northern tier is changing as natural gas drillers set up shop from the Poconos west to Tioga County.

The burgeoning industry also is bringing change to the curricula at some local colleges hoping to capitalize on the need for a skilled and trained work force.

[Larry D. Milliken, director of energy programs at Lackawanna College] sees great potential for the field and the creation of jobs, as companies look to tap into the gas supplies within the Marcellus Shale, a layer of gas-laden rock about a mile underground across most of Pennsylvania.

“I’m not sure most people realize the magnitude of what the Marcellus can mean and do for the state. … It’s going to be a huge game changer in Pennsylvania.”

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Debunked: Day After Washington, DC GasLand Premier, Scientists from PA, NY Deliver Major Blows to Film’s Premise

Wednesday, March 17th, 2010

Last night, the anti-American natural gas film GasLand premiered in Washington, DC. The event was as well-attended as it was light on actual facts regarding hydraulic fracturing, the 60-year old energy production technology that has been safely used in more than 1 millions wells across the United States. Despite claims, this critical technology has never contaminated groundwater – a fact confirmed by Steve Heare, director of EPA’s Drinking Water Protection Division just weeks ago.

The movie – which is supported by a host of mainstream organizations (sarcasm people) such as the Damascus Citizens, Earth Justice, Environmental Working Group, National Resources Defense Council, Oil and Gas Accountability Project – was on the receiving end of a minute-by-minute Energy In Depth fact-check last night via Twitter.

And today, experts and scientists from just about every university in Pittsburgh (except Point Park) and a petroleum engineer with a PhD weigh-in on effective, environmentally sound, well-regulated natural gas production through the use of hydraulic fracturing.

The Pittsburgh Tribune-Review’s Rick Stouffer reports this under the headline “Gas companies eager to tap Marcellus Shale”:

This rush to develop the Marcellus region, which has an abundance of the fossil fuel 6,000 feet below much of the state, could lead to an influx of new companies in Western Pennsylvania to take advantage of low-cost energy and a boom in blue-collar jobs, the experts said.

“This region will become self-sufficient in terms of energy. There’s enough natural gas in the Marcellus to power this state for 180 years,” said Kent Moors, director of Duquesne University’s Energy Policy Research Group.

Carnegie Mellon’s Lester Lave says a “blue-collar boom” in western Pennsylvania is on the way, thanks to fracturing:

“Short term, there will be fair number of jobs developed in this area to drill the wells,” said Lester Lave, a Carnegie Mellon University professor and co-director of the university’s Electricity Industry Center.

Long term, Lave believes the lure of cheap, close-by natural gas could make this region the place to relocate for those needing cheap power to operate.

“You could have a blue-collar boom here. Cheap gas really could stimulate industry, everything from glass making, to fertilizer, to power plants — a lot of industries run on cheap fuel,” Lave said.
A Penn State University study last year projected that Marcellus-related activity by 2020 could translate into $13.5 billion of economic impact and nearly 175,000 related jobs.

Prof. Lave adds that fracturing does not affect groundwater “because it’s performed well below the water table”:

“I don’t think fracking bothers the water table because it’s performed well below the water table,” Lave said. “Companies use a lot of water to frack, but Pennsylvania has been blessed with a lot of water, so I don’t think we will run into a lot of water problems.”

And in a Binghamton, NY Press & Sun Bulletin column today, Scott Cline – a PhD in petroleum engineering – writes this under the headline “The Coming Age of Natural Gas”:

Heretofore unimagined technologies have now thrust themselves upon human history that will permit the safe extraction of this relatively clean domestic energy resource from the tight grip of the earth. The sheer abundance will also provide long-term downward price pressure on energy making the structural shift even more compelling. Miraculously America sits atop much of those resources and the fruits of that extraction will once again help propel America to energy prosperity and security. Dominant global competitive advantage, jobs, tax revenue and prosperity may result for many generations to come.

Dr. Cline adds writes this about unsubstantiated claims regarding the environmental impacts of shale gas development, like the ones featured in GasLand:

Fears of environmental ruin, undrinkable water, pollution and the like are largely unfounded, exaggerated and commingled with uninformed concerns about processes not unique to shale gas development. Horizontal drilling and [fracture] stimulation is safe.

While the public still debates and frets, industry has been busy and is already quickly approaching near 100% reuse and recycling of waste water through high technology filtering and treatment technologies using relatively little energy.

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All Wet: Pitt. Professor’s Claims on Shale Gas, Water Use Don’t Quite Reflect Reality

Wednesday, March 10th, 2010

Pitt. Professor’s Claims on Shale Gas, Water Use Don’t Quite Reflect Reality (more…)

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Return to Sender

Wednesday, March 10th, 2010

McMahon Letter to Gov. Paterson Decrying Hydraulic Fracturing Short on Facts, Long on Hysteria (more…)

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WHAT THEY’RE SAYING: America’s Shale Gas, with Help from Hydraulic Fracturing, Turning “Rags into Riches”

Tuesday, March 2nd, 2010

Experts Fact Check Recent Round of Scurrilous Claims Targeting Fracturing

EID’s Lee Fuller: “Plain Dealer readers should also be aware that earlier this week, a top EPA drinking-water official stated the same thing — suggesting further that states, and not the federal government, are best positioned to regulate this critical technology in a way that balances the imperative of responsible energy exploration with the safeguarding of our environment. … The fluids used in the process are made of 99.5 percent water and sand — with the slight remainder comprised of household materials you’re just as likely to find in the kitchen cupboard and beneath the kitchen sink.” (Cleveland Plain Dealer, 2/20/10)

EID’s Jeff Eshelman: “Pennsylvania saw an increase of nearly 50,000 jobs last year alone thanks to safe, responsible, well-regulated natural gas production in the Marcellus Shale. Unfortunately, when it comes to hydraulic fracturing – the 60-year old energy production technology used in nine out of 10 wells in America – the congressman’s claims are simply unsupported by the facts. Fracturing has never been regulated by the federal government. … Instead, ground water protection has been effectively regulated by the state government. The bipartisan 2005 energy bill – which was supported by then-Sen. Barack Obama – simply clarified Congress’ intent of the Safe Drinking Water Act. So how could something earn an exemption, or a “loophole,” from a law that it was never regulated by?” (The Daily Local, 2/27/10)

LOGA’s Don Briggs: “For decades this process has been effectively regulated by the states. In 2009, the Groundwater Protection Council released a study on the regulation of oil and gas field activities saying, “The regulation of oil and gas field activities, including hydraulic fracturing, is best accomplished at the state level where regional and local conditions are best understood. …” If hydraulic fracturing were to be regulated by the EPA, President Obama could easily shut down the development of the Haynesville Shale, resulting in the loss of thousands of jobs and billions of dollars in investment.” (The Daily Advertiser, 2/21/10)

Okla. Independent Petroleum Assoc.’s Mike Terry: “The major components of hydraulic fracturing fluid are well-known, with water and sand accounting for up to 99 percent of the solution. The remaining additives are the same compounds found in soaps, detergents, cosmetics, medications and chemicals commonly found in households. … Hydraulic fracturing has been used commercially since 1949, and there have been no known cases of drinking water contamination. … Increased regulations will lead to a decrease in competition.” (The Oklahoman, 2/23/10)

Chesapeake’s Aubrey McClendon: “McClendon defended the process, saying that … Chesapeake Energy has employed hydraulic fracturing more than 25,000 times since the company started in 1989, including 1,000 wells drilled inside Fort Worth’s city limits, with no ill effects on groundwater.” (Harvard University Gazette, 2/25/10)

Institute for Energy Research: “Hydraulic fracturing has been in use for more than 60 years and has been deployed more than a million times without contaminating drinking water. This is possible for a few reasons. Energy-producing states heavily regulate the practice, employing teams of qualified professionals that monitor, inspect, and enforce state law to ensure the public’s safety. In addition, the fracturing of these wells occurs 6,000 to 9,000 feet below our feet and thousands of layers of impermeable rock.” (Boston Globe, 2/19/10)

Lenape Resources’ John Holko: “According to Penn State University, more than 48,000 high-wage jobs were created in Pennsylvania in 2009 alone as a direct result of Marcellus exploration. Total economic output tied to this work topped $3.8 billion. And more than $400 million was sent to state and local governments in the form of taxes and revenues — again, just in a single year.” (Times Union, 2/11/10)

Newspapers Speak Out: Waxman’s Latest “Inquiry” on Hydraulic Fracturing Could be a “Witch Hunt”

The Oklahoman: “Yet they seem to have bought into the fear-mongering extant over fracturing. The technique involves injecting water, sand and chemicals into shale formations. This cracks open the shale and facilitates natural gas production. … This could be a responsible, objective examination. Or it could be a witch hunt. The Environmental Protection Agency, which said six years ago that hydraulic fracturing doesn’t threaten the water supply, wants to spend more than $4 million to study fracturing. … If America is to move toward greater energy independence, natural gas is a key component. And hydraulic fracturing is a key method for making that happen.” (Editorial, 2/23/10)

Washington Examiner’s Mark Tapscott: “Already the initial drilling of Marcellus Shale in Pennsylvania is causing an economic boom in small Pennsylvania towns that have been in dire economic straits for decades. Public support for expanding Marcellus Shale exploration and production is growing there, as well as in New York. But that’s exactly why environmentalists and their liberal Democrat allies in Congress, the media, the non-profit advocacy communities, and the universities are targeting hydraulic fracturing for elimination, seeking to turn it into the next hook for nationwide environmental fear-mongering. They claim – with virtually no credible evidence to back it up – that hydraulic fracturing represents a dire threat to the drinking water millions of Americans in places like New York City and Philadelphia must depend upon every day.” (Editorial, 2/20/10)

The Washington Observer-Reporter: “Natural gas drilling in the Marcellus Shale could provide an economic shot in the arm for this region and Pennsylvania as a whole. … Natural gas has potential as an energy source and a jobs-provider, no doubt about it.” (Editorial, 3/2/10)

Washington Post: “The resurgence of gas comes through the discovery of massive deposits in Appalachian shale formations and elsewhere — a reserve that offers the prospect of stable domestic supplies and relatively low prices.” (Editorial, 2/28/10)

Academics Confirm Critical Role that Hydraulic Fracturing Will Play in Long-Term U.S. Energy Security

Univ. of Mich.-Flint Prof. Mark Perry: “Thanks to a breakthrough in drilling technology, involving the use of three-dimensional seismic imaging and hydraulic fracturing of shale rock, huge amounts of natural gas are being produced in New York, Pennsylvania, Texas, Louisiana and other states. Instead of declining, domestic natural gas production is booming to record-high levels. … But these exciting energy developments may not last if natural gas companies are burdened by excessive regulation and heavy taxes. Environmental groups are lobbying Congress to shift regulation of hydraulic fracturing from state governments to the Environmental Protection Agency, claiming that the process poses a risk to groundwater supplies. But the fact is, hydraulic fracturing is done about 1,000 feet below underground aquifers and separated from the water supply by thick rock.” (Investor’s Business Daily, 2/19/10) 

Members of Congress, State Legislators Continue to Weigh-In: Fracutring is Safe, Effectively Regulated by States

Congressman John Fleming (LA): 

Okla. state Rep. Mike Thompson: “Hydraulic fracturing is a safe and successful drilling method in which water, sand and chemicals are injected at high speeds into a well to fracture rock and free up natural gas. This is a method that has increasingly been used in many shale formations across the country and has led to the discovery of increased levels of domestic natural gas. … The Interstate Oil and Gas Compact Commission conducted a survey that found there were no known cases of groundwater contamination associated with hydraulic fracturing.” (The Oklahoman, 2/27/10)

Rust Belt No More: Shale Gas Exploration Powers Economic Growth in OH, PA

Manufacturing Jobs Coming to Ohio: 

Tens of Thousands of Jobs Being Created in Pennsylvania:


State Regulators Speak Out: List of Chemicals “Available on DEP’s Website”

PA DEP Water Management Chief: “Our job is to produce gas and protect the future,” said John Hines, deputy secretary for water management from DEP. He explained the Marcellus shale gas reserve could potentially hold “enough gas to fully supply the nation for 10 or more years.” Hines added producing that gas could create new wealth as well as new jobs, “but not at the sacrifice of our water resources.” … During his testimony, Hines attempted to dispel rumors that certain “secret” chemicals were used in the fracing process. He said that DEP distributed a list to the public of all the chemicals that were used. Hines said the Material Safety Data Sheets were also distributed to local emergency responders. The list is available on DEP’s Web site.” (Clearfield Progress, 2/19/10)

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ICYMI: Fmr. chief counsel for PA DEP, current Chief VP: Marcellus shale “a valuable resource for the commonwealth”

Wednesday, February 24th, 2010

Terry Bossert
Click HERE to view this video on Energy In Depth’s YouTube page.

Dimock, PA resident Ted Jules:

READ MORE

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Marcellus Development, Hydraulic Fracturing Helping to Deliver Positive Economic News, Jobs to Appalachia

Tuesday, February 23rd, 2010

The production of clean-burning, American shale gas, enabled by the 60-year old critical energy technology called hydraulic fracturing, is not only helping to drive down energy prices for families and small businesses that are struggling through this economic downturn, but this safe and effectively-regulated homegrown energy production continues to represent a shining light of economic activity in an otherwise downtrodden economy.

Last week, we blogged about the nearly 350 jobs directly tied to responsible natural gas production from the Marcellus shale that are now en route to the struggling Ohio river valley. And this week comes word of yet another round of uplifting economic news from northeastern Ohio.

The Associated Press pipes in the good news via an item filed today:

An oil-and-gas pipe maker says it plans to open a new facility close to the Marcellus Shale natural gas reserve beneath Appalachia. TMK IPSCO said Tuesday it has signed a lease on a building where it plans to produce up to 100,000 tons of threaded pipe annually. The building is in Brookfield, Ohio, about 60 miles northwest of Pittsburgh. TMK IPSCO said it expects to begin operations there in the coming months. The company says up to 120 people could eventually be employed there. President and CEO Vicki Avril says the new facility is in direct response to the growing demand for infrastructure at Marcellus Shale well sites.

In Trumbull County, where the unemployment rate was recently as high as almost 14 percent, this uptick in economic activity is a welcome development to most, but not necessarily to all. Truth is, some folks continue to oppose the production of clean-burning, American natural gas on the grounds that hydraulic fracturing is not adequately regulated by the states. But these arguments continue to fall on the opposite side of the facts, especially as it relates to hydraulic fracturing’s long, clear and unmistakable record of safety.

Energy In Depth’s Lee Fuller appeared in two major, regional papers in just the past few days, responding to mischaracterizations about fracturing.

In the Cleveland Plain Dealer, Fuller writes:

Readers should also be aware that earlier this week, a top EPA drinking-water official stated the same thing — suggesting further that states, and not the federal government, are best positioned to regulate this critical technology in a way that balances the imperative of responsible energy exploration with the safeguarding of our environment.

And in the Wilkes-Barre (PA) Times Leader, Fuller notes:

Your readers should know that a top EPA official responsible for drinking water regulation recently said that “State regulators are doing a good job overseeing hydrofracking and there’s no evidence the process causes water contamination.”

Geoff Styles, an environmental consultant with an MBA and a chemical engineering degree to boot, blogs on Energy Collective about hydraulic fracturing, dispelling baseless attacks on this critical, safe and effective 60-year energy technology. In his post, Styles writes:

The key fact from the perspective of fracking safety is that the deepest of these aquifers lies no more than about 500 ft. below the surface, and typically less than a couple of hundred feet down. By contrast, the Marcellus Shale is found thousands of feet down–in many areas more than a mile below-ground–with a thickness of 250 feet or less. In addition, the gas-bearing layers are sealed in by impermeable rock, or the gas would eventually have migrated somewhere else. In other words, the shale gas reservoirs are isolated by geology and depth from the shallower layers where our underground drinking water is found.

Closing strongly, Styles adds:

The real choice here isn’t between energy and drinking water, as critics imply, but between tapping an abundant source of lower-emission domestic energy and what looked like a perpetually-increasing reliance on imported natural gas just a few years ago.

If you’re like us, and support producing more job-creating energy here at home – and agree with the EPA’s top drinking water regulator that states are effectively regulating fracturing – then send Washington the message to call off the unnecessary attacks on fracturing.

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EMPTY NEST

Thursday, February 18th, 2010

Local PA Audubon Society Chief Grouses over Responsible Shale Gas Exploration – His Cardinal Sin? No Facts (more…)

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GUEST BLOG: An Open Letter to the Citizens of New York State

Wednesday, February 17th, 2010
By Jerry R. Simmons

 

To my friends in New York: With all of the recent discussion about development of the Marcellus Shale gas, and the idea that this will lead to dire environmental consequences in your state, realize the true discussion should be about energy consumption versus production in the Northeast. And the question you should be asking is, where is the origin of the energy you are consuming … your state … another state … a foreign country? Where do you want to spend your energy dollars – boosting New York State’s economy or that of Texas?

 

We will get to the environment question in a minute. But first let’s take a look at sources of electricity generation in New York State. My assumption is all of you use electricity in some form: at home, work, school etc.; for lighting, heat, traffic signals, phones, TV, cooking, computers, life support; and on and on and on — a form of energy which is familiar to all of us.

Take a look at the electric energy generated in your state and where it comes from.

The following information is from the Energy Information Administration (EIA) Annual Electric Power Generation by Primary Energy Source Report for 2007, the most recent year reported. We also assume that most of this generated electricity is utilized in-state, though some obviously moves across state lines in both directions. The EIA information goes back years, and the 2007 numbers are representative of the trend of the past decade. The percent numbers total more than 100%, but .5%, as pumped storage, is a negative number that makes the total = 100%.

Energy Source                         2007 Megawatt-hours            % of Total

Natural Gas                               45,633,631                                     31.3

Nuclear                                     42,452,854                                     29.1

Hydroelectric                             25,252,555                                     17.3

Coal                                          21,405,542                                       14.7

Petroleum                                   8,195,109                                         5.6

Other: Renewable*                     2,775,054                                         1.9

Other**                                       932,292                                             .6

* Includes: biogenic municipal solid waste, wood, black liquor, other wood waste, landfill gas, sludge waste, Ag byproducts, other biomass, geothermal, solar thermal, photovoltaic and wind.

** Includes: non-biogenic municipal solid waste, batteries, chemicals, hydrogen, pitch, purchased steam, sulfur, tire-derived fuels and miscellaneous technologies.

I can hear you asking: what’s the point? Well, let’s see. The number one source for electric power generation in New York State is natural gas … natural gas that has been produced outside the state of New York. According to the New York State Department of Environmental Conservation (DEC), geologists estimate that the entire Marcellus Shale formation contains between 168 trillion to 516 trillion cubic feet of natural gas throughout its entire extent. Other experts have estimated as high as 1,300 trillion cubic feet (tcf). Although it’s not yet known how much gas will be commercially recoverable from the Marcellus in New York, the state ranks about third in the amount of acreage underlain by the formation. To put this into context, New York State uses about 1.1 trillion cubic feet of natural gas a year.

Yet there is currently a raging debate in New York about the safety of developing a significant source of natural gas within your state.

You, no doubt, have heard that there are hundreds, if not thousands, of drinking water contamination cases across the country. A claim of contamination is not proof of contamination.

In every instance, state and federal regulatory agencies investigate the claim and utilize the power of state and federal laws to ensure any problem has been addressed and is not a risk to human health and the environment. Numerous studies have been conducted. To date, the processes of horizontal drilling and hydraulic fracturing have not been proved to have resulted in contaminating an underground source of drinking water.

Make no mistake, oil and gas drilling and production are industrial operations and accidents can and do occur. The question is, just like with any other industrial operation, are sufficient safeguards already in place to protect health and the environment?

New Yorkers: ask those of us living in the states where thousands of gas wells have been drilled, if we are being harmed by the development of the resource. Ask us if our water is safe to drink. Ask us if our children live normal healthy lives or are somehow adversely affected by natural gas. Ask us if our rivers, streams, forests, farms, ranches or urban areas have been decimated by the drilling and production of natural gas. Ask how many of us have heard of, or been adversely affected by, the drilling, fracturing and completion of a natural gas well. Ask us “regular Americans” — not representatives of some group that is anti-development, or paid consultants involved in law suits.

Let’s be honest. Looking at the numbers from EIA, are you guys building any new nuclear plants? Didn’t think so. How about new dams for hydro? Nope? Well, shucks. Want more coal and oil-fired plants? You’ve got lots of coal close by.

Ahh …  renewables!

You could burn a bunch more trees (I mean a big bunch). Put up more wind and solar, right? Let’s be generous and say the entire 2% of renewable electricity generated currently in New York is all wind and solar. Can you double the number of windmills and solar panels? Heck let’s quadruple the number of windmills and solar panels in place today. How long will that take? You are now at 8% of your electric generation needs, and I hope the sun shines and the wind blows non-stop — otherwise you will need a back up for that 8% (most likely using fossil fuels) or a mega storage system that does not yet exist.

As you can see, in electricity generation alone, New Yorkers manage to use more than a little fossil fuel energy. Think of your total energy usage when you include transportation fuels, industrial processes, etc., that are not electric. By the way, if everyone in New York had electric cars, about 50% of the electricity used to recharge their batteries would come from fossil fuels.

In the end, as its citizens debate development of New York shale gas, it might be prudent and practical to cut through the environmental scare rhetoric and renewable energy dreams not yet achievable, to consider the following: Do you want to have responsible development of an available and valuable New York natural resource; collect the associated taxes; employ New York people and keep the lights on if there’s a disruption in supply?

Or, if you prefer, your state can continue to use gas from elsewhere and let others benefit from the production revenue, employment and taxes.  We don’t really care what you decide. We have been supplying your energy needs for decades and those northeast dollars sure do bolster our economies in the “Oil Patch.”

Mr. Simmons is the executive director of the Tulsa, Oklahoma-based National Association of Royalty Owners, Inc. (NARO). Visit www.naro-us.org to learn more.

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Marcellus Shale-Related Jobs Headed to Ohio by the Hundreds

Wednesday, February 17th, 2010

Good news for southeastern Ohio’s struggling economy: 350 good-paying jobs – directly tied to the safe, responsible development of the Marcellus shale – are coming to the region.

The Youngstown Vindicator went with the headline “The area could use some good news, and it got it” in an editorial today hailing the expansion of V&M Star Steel, which will initially produce 350,000 tons of steel tubing a year in support of Marcellus shale gas development in Pennsylvania, West Virginia and Ohio.

This from the editorial:

“The area could use some good news, and it got it …The facility will provide new, well paying jobs to 350 people. They will be producing oil-country tubular goods, a product that has a bright future as long as there is a need to extract energy from the ground. And as much as everyone talks about new, green sources of power, we’ll be running on fossil fuels for some time to come.”

According the Youngstown-Warren Regional Chamber of Commerce, this expansion is a “defining moment” and “a pivotal step in the rebirth of the Mahoning Valley’s economy.”

V&M Star President Roger Lindgren told WYTV News that “We are ideally situated to serve the Marcellus Shale,” in a segment entitled “Steel Is Back.”

Lindgren adds this: “We are going to build a state of the art mill here in Youngstown and Girard to supply the growing market for the smaller OD [outside diameter] pipe used for the shale drilling. It will be high-grade pipe for the very challenging requirements of shale drilling.”

U.S. Congressman Tim Ryan (D-OH), a member of the powerful Energy and Water Development appropriations panel, called the shale-gas related economic development “a game-changer.”

Here are several local news articles about this announcement:

V&M Star to Officially Expand, Create 350 Jobs
WYTV, 2/16/10

“For a French company to recognize this as a place they want to make a $650 million investment, is a game-changer for us,” said Congressman Tim Ryan (D-OH).

The mill should be fully running by the end of 2012. About 350 jobs will be created once production begins.

“It’s jobs, first and foremost,” said Ryan. “There are people, families who are going to go work, get off the unemployment line, make a good living. These wages, benefits, vacations. These are well-paying jobs.”

Youngstown area to get 350 more jobs when new steel tube plant opens
Cleveland Plain Dealer, 2/15/10

In addition to the manufacturing jobs, which are expected to pay more than $50,000 per year, many indirect jobs will be created in other areas like construction, shipping and the service industry.

“We’re talking about thousands of jobs that are going to be created here,” said U.S. Rep. Tim Ryan, a Democrat whose district includes the region. “It’s going to be transformational for the Mahoning Valley.”

Williams, Melfi: Success shows value of regional cooperation
Youngstown Vindicator, 2/16/10

The expansion will create 400 construction jobs. When the plant opens, there will be 230 employees working directly for V&M and 120 specialized service providers who’ll work at the plant.

“I hope that we all recognize that when we work together and do things together and check our egos at the door in the best interests of our community, great things happen,” said U.S. Rep. Tim Ryan of Niles, D-17th, whose office was involved heavily in the negotiations.

V&M announces $650M Youngstown expansion
Salem News, 2/16/10

U.S. Rep. Timothy J. Ryan, D-Niles, said the announcement marks another turning point away from the Mahoning Valley’s image as a Rust Belt area. “Today’s unprecedented announcement by Vallourec is a watershed event for the Mahoning Valley,” he said in a statement.

“This $650 million investment will result in 350 new jobs, and sends a clear message that we have a world-class work force and a globally competitive business climate.

“Simply put, this is the game-changer for the Mahoning Valley.”

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Seven Questions for the Mayor of DISH

Friday, February 12th, 2010

In advance of Mayor Tillman’s trip to New York next week, EID poses a series of questions residents should ask while he’s there (more…)

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NY Economic Development Leaders Talk Responsible Shale Gas Development, Job Potentials

Wednesday, January 27th, 2010

Earlier this week, hundreds of concerned New Yorkers made the trek to Albany to tell state leaders the time is now to move forward with responsible, 21st century shale gas production in the state. Cold weather and a driving rain didn’t deter the scores of landowners, county and state legislators and everyday working families who are committed to strengthening New York’s economy.

And building on Monday’s groundswell of support, yesterday the Greater Binghamton Chamber of Commerce met to discuss the economic potentials presented by responsibly developing natural gas in the Marcellus shale. The economic impact – as we’ve both written and reported – would be staggering. Here are a few highlights from the event that were covered by the local media.

WICZ-TV reports this under the headline “Marcellus Shale Could Be a Gold Mine”:

Natural Gas supporters say the Southern Tier is sitting on a gold mine … in the form of the Marcellus Shale.

“In terms of the world, resources for oil or natural gas, this is second only to the middle east,” said Rayola Dougher, Senior Economic Advisor for the American Petroleum Institute. The formation is 10 times larger than the Barnett Shale in Texas. Supporters say drilling there increased jobs in the area by about 100,000… and they insist those jobs won’t go away after the wells are drilled.

“With more money coming into the community, more people will be eating out, going out for entertainment and recreation,” said Terry Stark of Broome-Tioga Workforce. “Jobs are leaving our area, our children are leaving our area. We need to bring this opportunity here and really capitalize on it.”

WBNG-TV went with the headline “Gas Drilling Could Mean Economic Opportunity.” Key excerpts from their report:

If New York State gives companies the green light to begin drilling, the natural gas industry could help bring about an economic revival in Broome County. The Greater Binghamton Chamber of Commerce examined the possibilities today during an economic development forum.

A panel of gas drilling experts say hundreds of jobs would stimulate Broome’s economy, but that’s only if New York State allows natural gas drilling to move forward.

“The Marcellus Shale is going to be a real game changer in the United States and especially for this region of the country. It’s going to mean economic growth, it’s going to mean new jobs, it’s going to attract manufacturing jobs to the area,” said Rayola Dougher, Senior Economic Advisor from the American Petroleum Institute.

Panelists claim more than 1,000 local jobs will be created in Greater Binghamton.

The Binghamton Press & Bulletin reports this under the headline “Chamber forum argues in favor of gas drilling”:

The panel — made up of representatives from county government and work force development, the American Petroleum Institute and Chesapeake Energy — touted new jobs, both direct and indirect, and other economic benefits that would come from any local drilling for natural gas in the Marcellus Shale.

“The Greater Binghamton Chamber of Commerce strongly supports natural gas exploration as long as adequate policies are developed to protect our environment and infrastructure,” said Lou Santoni, president and CEO of the chamber, which presented the forum, held Tuesday at the Binghamton Regency Hotel and Conference Center. “We believe that the county and DEC are ready to do that.”

“This is a major job creation opportunity and probably the largest job creation catalyst by one industry,” Deputy County Executive Darcy Fauci said.

And News 10 Now reports this a segmented entitled “Business-friendly forum supports gas drilling”:

“I’d like to see this get moving,” said Chris Ostrowsky, a Conklin landowner. “New York is in dire need of something to go on here and it’s right under our feet, literally.”

A series of speakers at Tuesday’s forum said this is the area’s best hope for a bright economic tomorrow.

“We’re talking billions of dollars of economic activity, you’re talking millions in state and local revenue. I think it’s going to transform the region,” said Rayola Dougher, a senior economic advisor with the American Petroleum Institute, an industry trade group.

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STAFFIN’ UP: PA Gas Producers Welcome Guv’s New Regs, Battalion of Bureaucrats

Wednesday, January 27th, 2010

In a press release yesterday, Pennsylvania Gov. Ed Rendell announced a host of new regulations for Marcellus shale gas development. He is also directing the Department of Environmental Protection (DEP) to hire 68 (we’re not sure where he got this number either) new employees to oversee and enforce shale gas and environmental regulations and laws, according to the statement.

Safe, responsible shale gas production helped create 50,000 jobs in Pennsylvania last year alone, and Rendell highlights this significant economic impact:

“As I’ve said all along, we want to encourage the development of this resource because it’s a tremendous economic opportunity for the state, but we will not allow that to happen at the expense of our environment.”

Here are the specific new regulations that Rendell laid out:

• Require the casings of Marcellus Shale and other high-pressure wells to be tested and constructed with specific, oilfield-grade cement;
• Clarify the drilling industry’s responsibility to restore or replace water supplies affected by drilling;
• Establish procedures for operators to identify and correct gas migration problems without waiting for direction from DEP;
• Require drilling operators to notify DEP and local emergency responders immediately of gas migration problems;
• Require well operators to inspect every existing well quarterly to ensure each well is structurally sound, and report the results of those inspections to DEP annually; and
• Require well operators to notify DEP immediately if problems such as over-pressurized wells and defective casings are found during inspections.

The governor’s announcement was welcomed with opened arms from the Marcellus Shale Coalition (MSC). In a release, MSC President and Executive Director Kathryn Klaber says:

“The Marcellus Shale Coalition has consistently supported the hiring of additional DEP staff to monitor natural gas wells in the commonwealth, as reflected in its proactive endorsement of permit fee increases in 2009 to add and train new inspectors. Our support continues with today’s announcement of an additional 68 DEP staff dedicated to the oil and gas program. This sustainable approach is working and will help to ensure the continued responsible development of the Marcellus Shale in Pennsylvania.”

MSC also underscores the fact that shale gas producers in Pennsylvania have a remarkable environmental safety record, thanks in large part to the sensible state regulations coupled with efforts by the industry to ensure that every aspect of production is done responsibly. This from their release:

•Inspections: A total of 14,000 field inspections, including shallow well locations, were made by DEP in 2009, with enforcement action resulting from Marcellus Shale drilling activity accounting for only 1.1 percent of the state’s total actions. Often times, those findings were easily and quickly corrected.

Only 1.1 percent of the state’s total enforcement actions were associated with Marcellus shale gas production. An awfully insignificant amount of cases by any metric. Agreed? Well, if you were fair-minded, sensible and make informed decisions based on facts, then the answer would most likely be yes.

But if one opposes safe, well-regulated, environmentally-sound shale gas production – which is helping to create tens of thousands of good-paying jobs and delivering affordable energy to struggling families and small businesses – one may choose to disregard such facts and cherry-pick isolated cases to help build a presupposed narrative.

Enter ProPublica, a mouthpiece for out-of-the-mainstream environmental zealots cloaked as “journalists”. Under the headline “Pennsylvania’s Gas Wells Booming–But So Are Spills,” ProPublica’s Sabrina Shankman reports this earlier in the week:

As more gas wells are drilled in Pennsylvania’s Marcellus Shale, more cases of toxic spills are being reported.

Ms. Shankman highlights several uncommon incidents that have occurred in Pennsylvania associated with shale gas production in her “article.” One “spill” that she hand-picked to showcase was caused by vandalism.

Any mention of the fact that 1 percent of the energy-related incidents that occurred in Pennsylvania last year were related to Marcellus shale gas production, helping to provide adequate context for readers? Of course not. How silly would that be?

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WHAT THEY’RE SAYING: Safe, Well-Regulated Development of Clean-Burning Shale Gas “The Single Biggest Thing That’s Ever Happened to this Area”

Tuesday, January 26th, 2010

Landowners, Local Leaders Say Fracturing Is Safe, Will Create Jobs, Economic Opportunity

Mike White of the Twin Tiers Landowners Coalition: “Marcellus will be huge. I don’t think people understand how big economically this will be for the area. From what I can see, it’s the single biggest thing that’s ever happened to this area, ever – certainly in our lifetime.” (1/23/10)

Robert Moore of Broome Co., NY: “Natural gas exploration using horizontal wells and a process called hydraulic fracturing, or ‘fracking’, is safe and the economic development benefit would be great. The jobs would be astronomical. Without it, we’re done.” (1/25/10)

Randall Slimak of Chemung Co., NY: “I support natural gas exploration. It’s a source of jobs and revenue.” (1/25/10)

Marie Lusins of the Unatego Area Landowners Assoc.: “People who don’t want drilling don’t have the facts on how safe it is. There never has been one instance in New York of fracking fluid contaminating someone’s water.” (1/26/10)

Steven Palamatier of Chemung Co., NY: “If they don’t pass this law [allowing Marcellus development to take place in New York] hundreds of thousands of jobs will be lost to Pennsylvania.” (1/25/10)

Joe Axtell of Broome Co., NY: “In our area, there used to be tons of dairy farmers. Now, they can’t pay their taxes, and you can count the number of farms on one hand. This would help them, help the state.” (1/25/10)

Douglas Lee of Sullivan Co., NY: “It would be the biggest thing, bigger than casinos. The jobs and money could solve economic problems.” (1/26/10)

NY Assemblyman William Parment (D-North Harmony): “It’s proven and safe.” (1/26/10)

Hydraulic Fracturing “Could Fundamentally Reshape the Whole World Gas Market”

AFP: “If several years ago not a single organisation known to us was forecasting the rapid growth of gas extraction in the United States, today practically all companies are discussing the prospects of shale gas extraction, which could fundamentally reshape the whole world gas market. … The improvements [in extraction techniques] have opened up reserves of gas embedded in shale rock that were previously too costly to extract, leading energy companies to snap up drilling rights in unlikely places such as New York state.” (1/26/10)

Bloomberg: “The sort of technology improvements you as a consumer see in the iPod are also happening in the oil and gas industry to help production,” said Nansen Saleri, chief executive officer at advisory firm Quantum Reservoir Impact in Houston. “It’s a different picture than people were projecting five years ago.” (1/22/10)

Those Who Actually Study This Technology – Not Just Blog About It – Recognize its Safety

PSU Geoscience Prof. and Marcellus Shale Expert Terry Engelder: “The Marcellus Shale lies more than a mile beneath the earth. That’s the equivalent of ‘seven Empire State buildings stacked end on end’ between the shale and the surface. … There is so much rock between where the fractures are taking place and the surface that chances of anything down there disturbing the surface is geographically as close to zero as you can possibly get.” (1/25/10)

Independent Petroleum Association of America: “Industry’s case is well presented at the website, Energy in Depth, sponsored by the Independent Petroleum Association of America. You’ll find there a regulatory timeline, IPAA’s Open Letter to Congress, and some interesting animations which depict the process of drilling and completing a well.” (1/23/10)

Industry Expert: “Lowry, like most who support the practice, argued that ‘fracking’ has never been credibly tied to water pollution. Yet his company – which opened an office in Binghamton – had to shut down that office about a year ago because of a drilling moratorium imposed by the state. ‘It’s about rights being taken away – rights of the people. These people – the landowners – stand to gain something from this, and environmentalists are trying to take away these people’s rights.’” (1/25/10)

Creating Jobs, Economic Activity and Even Saving Schools

Pittsburgh Post-Gazette: “Some experts estimate that development of the natural gas contained in the shale — a geological formation that stretches from West Virginia and eastern Ohio through Western Pennsylvania to the New York state border — could result in a $14 billion boost to Pennsylvania’s economy this year and create more than 176,000 new jobs by 2020.” (1/24/10)

NY’s News 10 Now: “The gas drilling industry hasn’t just helped the fate of the school, it’s also had a positive economic impact on the community. … The community says they’re ready to reap the benefits. ‘Especially with the Marcellus Shale play, we’re really focusing now on showing how Blossburg is a great place to live,’ said Nickerson. ‘I’m sure there’s always somebody somewhere that’s going to find something wrong, but again, the economy, it’s going to be just great for this area.” (1/26/10)

Marcellus Shale Coalition: “[The economic impact] doesn’t stop with the natural gas companies. There are law firms, accounting firms, small town grocers and dry cleaners all starting to realize — in the areas where this is happening — that there is business to be had and economic opportunities throughout the supply chain.” (1/24/10)

PA’s WJAC-TV: “Halliburton is planning to add jobs at its facility in Indiana County. … Officials didn’t have an exact count of how many jobs are available. People packed the Indiana County PA Careerlink office Thursday to learn about the jobs. Halliburton is involved in servicing of gas wells, including Marcellus shale gas wells. Company officials said a wide variety of jobs are available, including jobs for equipment operators. They’re planning several more job fairs in February and March.” (1/21/10)

Newspapers Back Safe, Responsible Shale Gas Production

Houston Chronicle: “When coupled with discoveries of huge new reserves of natural gas across Texas, Arkansas and Louisiana, and in Colorado and Pennsylvania and West Virginia, this latest projected Gulf find makes natural gas a truly abundant fuel for this country. … Domestically produced natural gas, whether from Gulf waters or Texas shale — or for that matter from coal-rich Pennsylvania and West Virginia — can help make that bridge a sturdy and clean one.” (Editorial, 1/12/10)

Washington Examiner: “Key to unlocking energy resources like the Marcellus Shale deposit is a process known as hydraulic fracturing. Drillers inject fluid — 99.5 percent of which is water — into wells to create horizontal fractures, which enable recovery of trillions of cubic feet of natural gas and billions of barrels of oil that would otherwise be inaccessible. Hydraulic fracturing has been widely used for 60 years, especially in Texas, Oklahoma and Louisiana. But now, as energy companies greatly expand the use of hydraulic fracturing in other areas of the nation, environmental extremists see an opportunity to mount a new national scare campaign. … studies by multiple reputable organizations, including the EPA in 2004, concluded that hydraulic fracturing poses no danger to drinking water after being used more than 1.1 million times in the U.S.” (Editorial, 1/20/10)

Top Energy Leaders in Washington Weigh-In

Congressman Cliff Stearns (FL): “Since the 1940s, hydraulic fracturing has helped to produce more than 7 billion barrels of oil and 600 trillion cubic feet of natural gas in the United States. … Hydraulic fracturing is essential to produce more of the oil and natural gas that the U.S. will consume in the next decades ahead. … Without [fracturing] most of our country’s abundant natural gas resources cannot be produced.” (Energy & Commerce Committee remarks, 1/20/10)

Congressman John Shadegg (AZ): “A vast majority of our domestic supply is accessible only through hydraulic fracturing, a technique that has been used to extract gasoline or oil for more than 50 years. The EPA itself found, quote, “no confirmed cases that are linked to fracturing fluid injection into CBM wells or subsequent underground movement of fracturing.” … EPA did not find confirmed evidence that drinking water wells have been contaminated by hydraulic fracturing. … If we ban hydraulic fracturing, either outright or through the unintended consequences of legislation we pass, then all of these numbers that we have been talking about ?? the 100?year supply, the reasonable price that you just talked about ?? you would tell me are gone.” (Energy & Commerce Committee remarks, 1/20/10)

Congressman Gene Green (TX): “With recent advances in technology to extract more natural gas from unconventional gas resources, such as extended reach, horizontal drilling or hydraulic fracturing, we can unlock America’s 100 years’ supply of natural gas. This hydrofracking, U.S.?developed technology, is being exported to Europe and China.” (Energy & Commerce Committee remarks, 1/20/10)

Congressman Fred Upton (MI): “The oil and natural gas industry supports more than 9 million American jobs and adds more than $1 trillion to the national economy. I hope I don’t need to remind our colleagues about the state of our economy, that unemployment is still in double digits nationally and 15 percent in Michigan. … Without that hydraulic fracturing, you wouldn’t be able to get, what, 20 percent, maybe out of these fields?” (Energy & Commerce Committee remarks, 1/20/10)

Congressman Mike Doyle (PA): “Last year alone Pennsylvania could attribute nearly 50,000 jobs to environmentally safe natural gas production.” (Energy & Commerce Committee remarks, 1/20/10)

Congressman Greg Walden (WA): “It looks to me like if we can invest in our own resources using new technologies in environmentally safe ways, we can generate revenues to the government and create jobs in our hometowns. (Energy & Commerce Committee remarks, 1/20/10)

Congressman John Sullivan (OK): “One of the reasons we have gotten so much of that [energy] is because of the drilling techniques, the horizontal drilling and the hydraulic fracking. I read a report, and you guys would know more, but I hear like 60 to 80 percent of the wells drilled in the next 10 years are going to have to use hydraulic fracking, so I think it is horrible, it would be detrimental to this country if they outlaw that practice.” (Energy & Commerce Committee remarks, 1/20/10)

Congressman Steve Scalise (LA): “So this really has nothing to do with safety. It is about a policy decision we are going to make, and do we really want to utilize the resource that this country has and the ability that we have to make our country independent of especially Middle Eastern oil, countries that don’t necessarily want to do good things with the money that they are getting to our country.” (Energy & Commerce Committee remarks, 1/20/10)

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