Sunday, May 31, 2009

Jessup News Post - May 2009

Township Meeting

At a special meeting on 28 April, the township decided to accept a bid for crushing blue stone at the township site and a bid for insurance.

The regular meeting was held on 6 May. There was a brief summary of items from the recent PSATS meeting. Apparently, there is continued pressure from the state to consolidate townships or force more coordination. Most townships officials feel there is good coordination and the state's help is not needed.

Two traffic concerns were discussed. One is a long-standing problem with a resident-business that blocks a local road with stone pallets and trucks. Possible enforcement options were discussed. The second concern was raised by a resident about excessive speeding on a dirt road near homes. Discussion centered on posting a 25 mph limit for that road segment.

The next township meeting will be held on June 3 at 7PM. Additionally, Jessup will host the first quarterly meeting of the NTC on June 18 at 7PM.

Other Meetings

The county gas task force met at 9:30 AM on May28, prior to the economic development board meeting. The meeting centered around items presented by the Central Bradford Progress Authority which supports the task force and the board. Information about the CBPA activities and newsletters can be found at their website.

The discussion continued into the formal board meeting along with a number of other agenda items. The CBPA is gathering information from several sources and direct contacts with gas companies. The material they handed out can be obtained from the Commissioners office. There is a new DEP fact sheet coming out that defines the DEP and Conservation Office roles in monitoring Marcellus wells; for the most part, DEP is in charge of permitting and monitoring.

CBPA is planning to have an "Expo" to foster better understanding of gas company needs and of local sources to supply those needs. A key goal is get more gas related economic activity performed locally by local people. As an example of the problem, some local people obtained water trucks to provide hauling services for well fracing, but their business was not consistent and the gas companies have brought in outfits from other states. The companies have very rigid standards for this and other activities and prefer to deal with a prime supplier who understands the standards and can handle load variations. Hence the need for more specific communications.

A suggestion was made about getting local suppliers to coordinate their activities and offer services through a single Point of Contact to the gas companies to simplify the companies management of suppliers.

There is interest in developing new business opportunities by using some of the gas produced here for local commercial activities. Development of gas-generated electricity is especially attractive and some companies (Claverack was mentioned) are interested in this prospect.

Bob Templeton mentioned that there are two compression sites - one in Springville and one in Rush. It is expected that there will be more activity this year along the route 706 corridor. It also seems that there is no county Geographic Information System (GIS) capability to map well sites, access roads, and pipeline routes, even if provided by the companies. Knowing the location of access roads is important if emergency action is needed; but the planned road routes often change as the well site is developed. Several years ago, the county developed a GIS capability with the help of the Penn State Land Analysis Laboratory. Penn State has a Geospatial Technology program that might be able to help the county .The board asked that the commissioners look into what GIS capability we may still have and what could be obtained.

The CBPA handout included a fact sheet by DEP. There is quite a bit more information from DEP about the Marcellus Shale at this PA DEP website which has a page full of informative links to reports, maps and fact sheets. These range from very brief items to hundred page reports.

Among the better longer items, listed under the FAQs heading, is this new (April 2009) US DOE primer on Marcellus Shale (Gas_Primer_2009.pdf ). I've only skimmed it, but it has a lot of good information.

There are also 1-page maps showing recent well permits and total wells drilled through April 2009. The map of Marcellus wells reveals an interesting line of west-east sites from mid - Tioga County through Bradford County to the heavy heavy concentration of wells in the southwest quarter of Susquehanna County. Through April 2009, there were 497 Marcellus well permits and 1817 non-Marcellus permits issued in the state. That 21% Marcellus permit ratio is quite high and lends credibility to the forecast of substantial activity for the rest of the year into 2010.

Cabot has drilled several horizontal wells which exhibit high pressure and flow. One early well began at 6.4 million cubic feet (mmcf) per day and was producing 4.3 mmcf after 105 days. Two more recent ones showed different decline rates. One well had initial production of 8.3 mmcf and declined to 4.1 mmcf after 60 days; the other began at 8.8 mmcf and declined to 8.0 mmcf after 60 days. More data will be needed to establish confidence in expected decline rates and steady state production; but the initial data is very encouraging.

An interesting observation about the combined gas force - economic board meeting was that there was a good deal of citizen interaction and the focus stayed on useful information. That's a good sign for a starting effort. Currently, the gas force meeting starts at 9:30AM in the small main level conference room. Then the group moves to the large lower conference room for the full economic board meeting at 10AM. Meetings are held on the fourth Thursday of each month.

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