I was hoping/thinking there would have been some news by now!
Went to the evening session. About 100 people attended. Understand there was 200+ for the afternoon session. Shell had 20 - 25 people there (mostly from Houston) manning stations addressing the proposed layout of the cracker plant, environmental concerns, project timetable, jobs, etc. There was a heavy presense of Hopewell Police both in and outside the building. Got the impression they expected trouble, but did not witness or hear of anything. All the people I talked with were very much pro NG. This meeting was aimed at alieviating the fears of the residents of Beaver Co. who live near the proposed site. Shell employees were very well schooled to not, in any way, confirm that the project was a go. The only thing they would say is that they are in the final phase (whatever that can mean).
I did speak with a geologist, a local fellow, who confirmed many of the drilling related topics that have been discussed on this site over the years. Our property is in southern Lawrence county and we are signed with Shell, so I was most interested in anything relating to a drilling timetable. Didn't learn any more than what I already knew. However, this geologist did say their breakeven is $4.00 mcbf, that their expectation for the quantity and quality of western PA NG has not changed, lack of pipeline infrastructure has had an effect, and perhaps most importantly that Shell has always been very, very deliberate in their actions and that shouldn't be mistaken for lack of interest.
I uncovered nothing from this meeting that would indicate trouble for the proposed cracker ... IMHO.
What can we make of this effort by Shell to meet the public? Hard to understand why they would go to so much trouble if they aren't sure it's a go? With so much land leased by them in our area approaching or passing the halfway mark to expiration , One would think there would be more drilling activity to lock up leases in anticipation of the cracker. I understand the timeline to plant completion is some years out (If it is greenlighted) and our leases will be expired by then. I read in the NC News that a final decision could still be up to 2 yrs. away. Add up to 5 years for construction (estimate I have seen thrown around) and we're looking at 2020-21 before it's up and running and needing our ethane.
Do you think Shell will excercise their option to renew us for another 5 years at the same terms? I could live with that! Sure wish they were more forthcoming with solid facts that we could base some planning on. After the lease swaps with Hilcorp last year , I thought for sure things would be cooking by now. I guess all we can do is wait them out and pray for good news. There is that Markwest pipeline Cutting through Northern Beaver County. Maybe they will decide to use our land yet for a connection to the Tennessee across from the house. Then there's the Dominion line 1/2 mile down the road too. I wonder if they (Dominion) are planning any more pipes to build up the infrastructure out this way? Lots of possibilities I guess. Interesting to think about but sure would be nice to see a little more action. Please keep us abreast of any new developments. I will do the same.
What is a mcbf?
© 2023 Created by Keith Mauck (Site Publisher). Powered by