Last week, I
attended the Department of Conservation and Natural Resources' (DCNR) Natural Gas Advisory Committee meeting to get a first glimpse of
the highly anticipated Marcellus Monitoring Report. The meeting was divided into two parts, with
the second half devoted to the monitoring report and the first focusing on Governor Tom Corbett's
proposal to allow further leasing of Pennsylvania’s state parks and state forests so long as there is no additional “surface disturbance.”
Here’s why. Well pads are designed for a certain number of wells, and wells can’t be drilled like spokes in a wheel; rather, the direction of their laterals is often determined by geology. These constraints only raised more questions, e.g. can drillers request additional well pads if they’re allowed under the existing lease? Can drillers expand existing pads if that’s needed to make drilling feasible?
All of these
questions raised concerns over the value of these leases. Specifically, given
the restrictions in the governor’s proposal and the limited access drillers
would have, would this lack of competition devalue the leases?
Jennifer Quinn is central Pennsylvania outreach coordinator for PennFuture and is based in Harrisburg. She tweets @QuinnJen1.
