Written by:
Chloe Marie – Research Specialist
Jackie Schweichler – Staff Attorney
Chloe Marie – Research Specialist
Jackie Schweichler – Staff Attorney
The following information is an update of recent
local, state, national and international legal developments relevant to shale
gas.
Pipelines: U.S. Supreme
Court Agrees to Hear Appeal in Atlantic Coast Pipeline Case
On October 4, 2019, the Supreme Court of the
United States granted a writ
of certiorari agreeing to hear an appeal of the U.S. Court of
Appeals for the 4th
Circuit’s decision in a case related to the construction of the Atlantic Coast
Pipeline (Cowpasture River Preservation Association v. Forest Service,
No. 18-1587). In this case, the Cowpasture River Preservation Association
(CRPA) asked the Court of Appeals to revoke a Special Use Permit issued by the
U.S. Forest Service in January 2018. The permit allows Atlantic Coast
Pipeline, LLC to use
and occupy National Forest System lands as well as to cross the Appalachian
National Scenic Trail (ANST). CRPA
alleged that the Forest Service did not have statutory authority to grant a
right-of-way across the ANST pursuant to the Mineral Leasing Act and National
Trails System Act, among other things. On December 13, 2018, the Court of
Appeals issued a ruling in favor of CRPA and
vacated the Special Use Permit and remanded the matter to the Forest Service
for further proceedings. On June 25, 2019, the Forest Service filed a petition for
writ of certiorari with the U.S. Supreme
Court asking “Whether the Forest Service has authority to grant rights-of-way
under the Mineral Leasing Act through lands traversed by the Appalachian Trail
within national forests.”
International
Development: Scotland Will Not
Grant Licenses for Unconventional Oil and Gas Development
On
October 3, 2019, the Scottish government announced a finalized policy
under which the government will no longer support unconventional oil and
natural gas development within the country. Going forward, new licenses
will not be issued for unconventional development, including coalbed methane
extraction and hydraulic fracturing. According to the statement, this
decision was partly based on the determination that unconventional oil and gas
development is incompatible with Scotland’s climate change policy.
Scottish Energy Minister Paul Wheelhouse issued a statement affirming that this
policy decision supports the government’s commitment to achieving net-zero
greenhouse gas emissions by 2045. Minister Wheelhouse also stated that a
legislative ban is not currently under consideration but could be considered in
the future.
Production
and Operation: USGS Assessment Shows Increase of Natural Gas Reserves in the
Appalachian Basin
On
October 3, 2019, the U.S. Geological Survey (USGS) released new assessments of undiscovered technically recoverable natural gas
resources in the Marcellus Shale and the Point Pleasant-Utica Shale
formations. The USGS assessment of the Marcellus Shale estimates that the formation contains 96.5 trillion cubic
feet of natural gas and 1.5 billion barrels of natural gas liquids. The Point Pleasant Formation and Utica Shale assessment estimated there to be a total of 117.2 trillion cubic feet
of natural gas and 1.8 billion barrels of oil. Located in the Appalachian
Basin, together the two formations are estimated to have 214 trillion cubic
feet of natural gas resources. The resources referred to in the
assessment are those that are currently unproven, but their existence is based
on geologic evaluations and data. These resources are different from oil
or gas reserves that can be directly produced for profit.
From the National Oil &
Gas Law Experts:
George Bibikos, At the Well Weekly (October 4, 2019)
Chris Baronzzi, New Ohio regulations reduce minimum spacing requirements
for horizontal oil and gas wells (October 11, 2019)
Charles Sartain, Is the Climate Change Debate Over? (October 8, 2019)
Charles Sartain, Not Everybody Can Sue the EPA (October 11, 2019)
John McFarland, Cimarex v. Anadarko - Is a lease held by production if
the lessee does not participate in the well and there is no operating agreement
(October 7, 2019)
Pennsylvania
Legislation
House Bill 1104:
this bill mirrors the PA Resource Manufacturing tax credit to encourage large
manufacturers to invest in PA (passed the House on Sept. 25, 2019, currently in
the Senate and referred to Community, Economic and Recreational Development on
Oct. 8, 2019)
Pennsylvania Actions and
Notices
Department of Environmental
Protection
Applications, Actions and Special Notices (October 12, 2019)
Follow us on Twitter at PSU
Ag & Shale Law (@AgShaleLaw)
to receive ShaleLaw HotLinks:
“N.M. drilling boom squeezes local communities” - E&E Publishings
“Warren’s Fracking Proposal Has Shale Investors Weighing Risk” – Rigzone
“Colorado suit seeks suspension of drilling permits” – Associated Press
“New Mexico governor praises oil industry for opportunities” – Associated Press
“BLM Colo. plan did not fully consider climate – lawsuit” – E&E Publishings
“Trump’s Fast-Tracking of Oil Pipelines Hits Legal Roadblocks” – Inside Climate News
“Royalty owners say they need more transparency from gas companies” – The Stream
“Senators urge ‘conditional’ state approval of proposed natural gas pipeline” – The Stream
“Norway public pension fund severs final link with Canada’s oilsands” – Climate Nexus
“New Permian Oil Pipelines Fail to Deliver Immediate Export Boost” – Shale Smart Brief
“U.S. crude oil exports continued to grow in the first half of 2019” – U.S. EIA
“Legal battle continues over drilling and fracking wastewater well” – Pittsburgh Post-Gazette
“Methane sensors put on planes, trucks in oil production zone” – Associated Press
“Shale Jobs Drying Up in Permian Basin” – Rigzone
“Trump administration promises biofuel boost to farmers, angering Big Oil” – Reuters
Connect with us on Facebook! Every week we will post the CASL Ledger which details all our publications and activities from the week.
“N.M. drilling boom squeezes local communities” - E&E Publishings
“Warren’s Fracking Proposal Has Shale Investors Weighing Risk” – Rigzone
“Colorado suit seeks suspension of drilling permits” – Associated Press
“New Mexico governor praises oil industry for opportunities” – Associated Press
“BLM Colo. plan did not fully consider climate – lawsuit” – E&E Publishings
“Trump’s Fast-Tracking of Oil Pipelines Hits Legal Roadblocks” – Inside Climate News
“Royalty owners say they need more transparency from gas companies” – The Stream
“Senators urge ‘conditional’ state approval of proposed natural gas pipeline” – The Stream
“Norway public pension fund severs final link with Canada’s oilsands” – Climate Nexus
“New Permian Oil Pipelines Fail to Deliver Immediate Export Boost” – Shale Smart Brief
“U.S. crude oil exports continued to grow in the first half of 2019” – U.S. EIA
“Legal battle continues over drilling and fracking wastewater well” – Pittsburgh Post-Gazette
“Methane sensors put on planes, trucks in oil production zone” – Associated Press
“Shale Jobs Drying Up in Permian Basin” – Rigzone
“Trump administration promises biofuel boost to farmers, angering Big Oil” – Reuters
Connect with us on Facebook! Every week we will post the CASL Ledger which details all our publications and activities from the week.
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