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Babst Calland: Energy Transfer Partners Approves Construction of New Marcellus/Utica Pipeline

By Michael T. Altvater Energy Transfer Partners, L.P.’s board of directors has approved the construction of a new pipeline to transport gas to markets in the United States and Canada. The pipeline’s capacity is proposed to transport 2.2 billion cubic feet per day and may be expanded up...

Babst Calland: Pennsylvania House and Senate Pass Budget Without Marcellus Gas Severance Tax

By Matthew L. Lambach Marcellus Drilling News reports that the Pennsylvania House and Senate passed a budget that did not include a Marcellus Shale severance tax. Governor Tom Corbett withheld his signature while he continues to work with lawmakers on pension reform. Copyright 2014 • Babst...

Babst Calland: Warren Resources to Acquire Marcellus Assets

By Scott K. McKernan Warren Resources has executed a purchase and sale agreement to acquire Marcellus shale assets from Citrus Energy Corporation and two other working interest owners, reports Shale Energy Insider. The acquired assets, located in Wyoming County, Pennsylvania, are all held by production...

Rice Energy to Acquire Wells and Acreage in Greene County, Pa.

By Scott K. McKernan The Pittsburgh Business Times reports that Rice Energy Inc. is acquiring 12 wells and 22,000 net acres in Greene County, Pennsylvania from Chesapeake Energy Inc. Seven of the wells are currently producing and the five other wells are being developed, according to a statement by...

Pennsylvania’s Landlord and Tenant Act Is not Applicable to Oil and Gas Leases

By Alana E. Fortna In a recent opinion, the Pennsylvania Superior Court addressed whether Pennsylvania’s Landlord and Tenant Act of 1951 (the “Act”), and the applicable statute of frauds contained therein, applies to oil and gas leases.  In Nolt v. TS Calkins & Associates, LP...

Babst Calland: Pennsylvania’s Natural Gas Production Hits New High in First Half of Year

By Elena L. Rorabaugh As reported in the Pittsburgh Business Times , Pennsylvania’s reported natural gas production in the first six months of 2014 reached 1.9 trillion cubic feet. Production is up from 1.7 trillion cubic feet reported over the second half of 2013 and 1.4 trillion over the first...

Babst Calland: Public Utility Commission Appeals Pennsylvania Act 13 Ruling

By Lawrence H. Baumiller ‘ The Pennsylvania Public Utility Commission appealed the Commonwealth Court’s July 17, 2014 Opinion and Order in the Act 13 case, which resolved a number of issues remanded by the Supreme Court [ enhanced opinion available to lexis.com subwscribers ]. Review...

Babst Calland: Kiskiminetas Township, Pa., Approves Oil and Gas Ordinance

By Matthew L. Lambach The Pittsburgh Tribune-Review reports that the Kiskiminetas Township supervisors unanimously enacted an ordinance that will allow for oil and natural gas exploration. The ordinance allows for “reasonable development of land for oil and gas drilling while providing adequate...

Babst Calland: Colleges in Western Pennsylvania Offer Programs Geared Toward Energy Industry

By Matthew L. Lambach The Pittsburgh Tribune Review reports that colleges located in Western Pennsylvania are creating programs to prepare students for jobs in the energy industry. For example, Kennedy Township’s Rosedale Technical Institute (soon to be re-named Rosedale Technical College) currently...

Babst Calland: Drilling Severance Tax Bill Proposed In The Pennsylvania House

By Elena L. Rorabaugh A bill that would amend taxation on oil and gas drilling was referred to the Pennsylvania House Committee on Environmental Resources and Energy on Monday. House Bill 2508, which was introduced by Margo Davidson (Democrat, Delaware County) and others, seeks to impose a severance...

Babst Calland: Southwestern Energy to Acquire 413,000 Acres in West Virginia and Pennsylvania from Chesapeake Energy

By Scott K. McKernan Southwestern Energy Co. announced that it has signed a deal to acquire 413,000 net acres in West Virginia and Pennsylvania from Chesapeake Energy Corp. for $5.375 billion, reports the Pittsburgh Business Times . This acquisition includes 256 producing and 179 unoperated or nonproducing...

Babst Calland: Mountaineer Keystone LLC Finalizes Acquisition of PDC Mountaineer LLC

By W. Brian Nickerson As reported by the Pittsburgh Business Times on October 15, 2014, Wexford-based Marcellus driller Mountaineer Keystone LLC has finalized its acquisition of joint-venture partner PDC Mountaineer LLC for a reported sale price of $500 million. PDC Mountaineer was created in 2009...

Babst Calland: Bills Affecting Production Reporting And Lease Termination Pass Pennsylvania House and Senate

By Elena L. Rorabaugh Two bills primarily sponsored by PA Representative Tina Pickett (Republican, Bradford/Sullivan/Susquehanna) have recently passed the State House and Senate. House Bill (HB) 2278 , Unconventional Well Report Act, would require the operator of an unconventional well to file a monthly...

Babst Calland: Recording of Surrender Documents from Oil and Natural Gas Lease Act Signed Into Law

By Matthew L. Lambach On October 22, 2014, Pennsylvania Governor Tom Corbett signed House Bill 402, also known as the Recording of Surrender Documents from Oil and Natural Gas Lease Act, into law. The Act imposes a duty on a lessee to deliver a surrender document to a lessor within 30 days of the...

Babst Calland: Unconventional Well Report Act Signed Into Law in Pennsylvania

By Michael K. Reer On October 22, 2014, Pennsylvania Governor Tom Corbett signed House Bill 2278, The Unconventional Well Report Act, into law. The Act requires operators of unconventional wells to submit monthly production reports to the Department of Environmental Protection. The change is to revise...

Babst Calland: Sunoco Moves Forward With Marcellus/Utica Pipeline

By Elena L. Rorabaugh Fox Business reported that Sunoco Logistics Partners will invest $2.5 billion in the Mariner East 2 pipeline, which will carry natural gas liquids from the Marcellus and Utica Shale plays to an East Coast port. Mariner East 2 will connect processing plants in Pennsylvania, West...

Babst Calland: Labor and Employment Professor’s Study Shows that the Marcellus Shale has Boosted the Construction Industry

By Marc J. Felezzola According to a report in the Pittsburgh Business Times , Robert Bruno , a labor and employment relations professor at the University of Illinois at Urbana-Champaign, has determined that the shale fields in Western Pennsylvania, Eastern Ohio and Northern West Virginia are a strong...

Babst Calland: Pennsylvania High Court Prohibits Tolling of Oil and Gas Leases During Litigation

By Steven B. Silverman [On Feb. 17], the Pennsylvania Supreme Court issued Harrison v. Cabot Oil & Gas Corp. , a significant opinion in which the Court refused to apply equitable tolling principles that other oil and gas jurisdictions have adopted [ enhanced opinion available to lexis.com subscribers...

Steptoe & Johnson PLLC: Ongoing Political And Legal Developments Impact Marcellus Operations In Pennsylvania

While some jurisdictions (Maryland, New Jersey; municipalities in California and Colorado) are still considering whether to permit or ban hydraulic fracturing, operators in Pennsylvania need not be too concerned about a statewide moratorium anytime soon. However, operators should be aware of ongoing...

Steptoe & Johnson PLLC: Pennsylvania DEP Repurposes Rules for Oil and Gas Wells – Industry Concerns Increase

By Gary E. Slagel | As was previously noted on this blog site, the PA Department of Environmental Protection embarked on an effort several years ago to revise its Chapter 78 rules pertaining to the permitting and environmental issues associated with oil and gas operations. These proposed rules were...

Babst Calland: New York Formally Bans High-Volume Hydraulic Fracturing To Develop Marcellus Shale

By Michael C. Murphy | On June 29, 2015, the New York State Department of Environmental Conservation issued its Findings Statement which officially prohibits high-volume hydraulic fracturing to develop natural gas resources in the Marcellus Shale. The issuance of the Findings Statement concludes a...

Ballard Spahr LLP: Penn Study Unlikely To Result In Flood Of Fracking Lawsuits

By Harry Weiss and Philip N. Yannella | A recently released study from scientists at the University of Pennsylvania suggests a link between hydraulic fracturing ("fracking") for gas and oil and cardiac and neurological illnesses. Whether the report triggers a rash of lawsuits is an open...

Babst Calland: Pennsylvania Court Rules That Gas Lease Was Not Forfeited

By Elena L. Rorabaugh The Pennsylvania Superior Court ruled on Friday that an oil and gas lease was not forfeited by the failure of the operators to pay delay rentals lexis.com subscribers may view the enhanced opinion | Lexis Advance ] . In Dewing v. Abarta Oil & Gas Co. , the landowners (the...

Babst Calland: Pa. Commonwealth Court Reverses Controversial Lycoming County Decision

By Robert Max Junker Earlier [Sept. 14], the Pennsylvania Commonwealth Court issued a unanimous decision in the much-anticipated case of Gorsline v. Board of Supervisors of Fairfield Township , reversing the decision of the Court of Common Pleas of Lycoming County [ lexis.com subscribers may view...

Steptoe & Johnson PLLC: West Virginia Governor Signs 3-state Agreement Pledging Support for Ongoing Natural Gas Development in the Appalachian Basin

The Tri-State Shale Summit is a collaborative effort on behalf of Pennsylvania, Ohio, and West Virginia to bring together industry leaders to facilitate a discussion on the opportunities in the Marcellus and Utica Shale region. The Summit features engaging and enlightening panels and keynotes on topics...