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Marcellus Shale could revive the valley

Huckleberry Finn

Senior Member
15,973
135
10,000 jobs there? No. No plans of a cracker there, and no company there, sorry CHK settle for Canton

Jobs and $$ in the region? yes. yes, and yes. Big $
 

Buckmaster

Senior Member
14,362
191
Portage
Where else is there a trillion dollar start up industry with average pay around $ 73K per year? This industry exceeds the Big 3 in Detroit (...or maybe China).
 

Ohiosam

*Supporting Member*
11,708
191
Mahoning Co.
V&M Star's pipe mill in Youngstown is in the middle of a 1billion dollar expansion. In Wellsville the proposed Baard energy plant to turn coal into liquid fuel has just changed, now they plan turn NG into jet and diesel fuel. It's a 3 billion dollar project. Both of these, especially Baard, are close enough to Steubenville to create jobs there. If this pans out it has the potential to change eastern Ohio, though there is still time for government to screw it up.
 

bowhunter1023

Owner/Operator
Staff member
48,879
274
Appalachia
This is the industry to be in fellas and now is the time. I'm very blessed to be where I am at right now and it excites me to see things growing at a rapid pace. And yes, there are easily 10K jobs out there to be had. No doubt about it. The scale of this kind of development is unbelievable from top to bottom. With some of the reports coming out of Columbiana County from Chesapeake, you will begin to see what is capable. They are spending $50+ million plus per well pad and getting them to pay out in 50 days. With minimal disturbance to the surface to develop 1,000+ acres, there is room to develop this play for years. We are already planning permits for 2015 and the development schedule for our assets has me looking to retire in this business. With the Marcellus and the Utica Shales, this area is in great hands...
 

Buckmaster

Senior Member
14,362
191
Portage
I went to the Portage County Deeds office the other day. There was a room full of young men and women in red shirts all lined up at tables with computers in front of them. It reminded me of a college class room. I asked one fella where he was from. He said, "Oklahoma". I said, "Are you with Chesapeake?" He said, "Yes, we all are." There must have been 40 Chesapeake people in that office pulling property records and doing research that day. Amazing money being spent.

I recently spoke with a young land man from Louisana. I asked him what was the best part of his job was. He replied, "Turning the elderly grandmother living in the trailer on 300 acres into a millionaire overnight."
 

Huckleberry Finn

Senior Member
15,973
135
...Let me take back my questioning, there's no question that natural gas will be the driving force in the economy of Ohio and PA for the next many, many years...if the govt doesn't screw it up (you don't have to look any further than NY). 10k jobs just in Stubenville seemed high, but then again, I'm not an economist. I am, however, very pro drilling!

I'm banking on it. Jesse is. Riverdude and CDJ3 will for sure retire out of it. It's great.
 

Jackalope

Dignitary Member
Staff member
38,841
260
...Let me take back my questioning, there's no question that natural gas will be the driving force in the economy of Ohio and PA for the next many, many years...if the govt doesn't screw it up (you don't have to look any further than NY). 10k jobs just in Stubenville seemed high, but then again, I'm not an economist. I am, however, very pro drilling!

I'm banking on it. Jesse is. Riverdude and CDJ3 will for sure retire out of it. It's great.

And that's a big "IF"... All it takes is the EPA with an Idea and a printer to make regulations... And bam.. Business just got tons harder. The regulations they are pushing on king coal right now is astronomical. And it's all arbitrary BS not backed by science but rather the president's push for "green energy" as in solar and wind. . At the end of the day it doesn't matter.. If the EPA says let it be so, then it is, no congressional vote, no nothing.
 

hickslawns

Dignitary Member
Supporting Member
39,721
248
Ohio
Very true Joe. My family is in the cellular business in SE Kentucky. Used to put up around 20 new towers a year and they were roughly $1mil per tower. In comes the obama administration with ridiculous fees, permits, and obstructions to growth and they average 1 tower a year now. Does it cost the cellular businesses more money in permits? Sure. Does it cost them additional payroll in the form of geologists, and different plant/animal experts? Sure. Does it cost the local economies $19mil/year in growth, taxes, and revenue? Sure. Good thing the government is making a little more money on permits. ha. It is killing many of the small contractors, gas stations, hotels, restaurants, and suppliers in the area. There are NOT many jobs in the area. The added government constraints not only cost the cellular businesses more money which has to be passed onto the customers, but it costs the government more dollars in lost tax revenue than they generate in fees and permits. The government will find a way to screw up the drilling sites for natural gas in the same way. Give them some time. They could screw up a winning lottery ticket.
 

Jackalope

Dignitary Member
Staff member
38,841
260
Very true Joe. My family is in the cellular business in SE Kentucky. Used to put up around 20 new towers a year and they were roughly $1mil per tower. In comes the obama administration with ridiculous fees, permits, and obstructions to growth and they average 1 tower a year now. Does it cost the cellular businesses more money in permits? Sure. Does it cost them additional payroll in the form of geologists, and different plant/animal experts? Sure. Does it cost the local economies $19mil/year in growth, taxes, and revenue? Sure. Good thing the government is making a little more money on permits. ha. It is killing many of the small contractors, gas stations, hotels, restaurants, and suppliers in the area. There are NOT many jobs in the area. The added government constraints not only cost the cellular businesses more money which has to be passed onto the customers, but it costs the government more dollars in lost tax revenue than they generate in fees and permits. The government will find a way to screw up the drilling sites for natural gas in the same way. Give them some time. They could screw up a winning lottery ticket.

It's how they work... The wait until something gets big and then they step in with the big hammer...

Go ahead and start you a natural supplement business. Or herb cure... Make all the false claims you want.. Say that this herb will cure high blood pressure.... They'll let you do it for a while. They'll wait until your successful at it and business in booming.... BAM the FDA will come in, shut you down and seize your business and assets.. No benefit in seizing it early on.. They wait until you have something worth taking. Just how they roll.. It's the same for any booming business... Give it time, uncle sam will get his fingers in the pie.
 

Ohiosam

*Supporting Member*
11,708
191
Mahoning Co.
I don't see the state of Ohio screwing it up, I can see the feds doing it. Look what they just did to coal fired power plants.

I'm on my township zoning board and one of the other members wants to see if we can put any regulations at all on the drilling. I'm 99.9% sure state law doesn't allow that, just an example that some people are going to try to F this up.
 
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Milo

Tatonka guide.
8,184
157
I don't see the state of Ohio screwing it up, I can see the feds doing it. Look what they just did to coal fired power plants.

I'm on my township zoning board and one of the other members wants to see if we can put any regulations at all on the drilling. I'm 99.9% sure state law doesn't allow that, just an example that some people are going to try to F this up.
Yes you can actually. you can require minimum setbacks for drill rigs and driveway access permit fees. Zoning can really mess with things at times.
 

Ohiosam

*Supporting Member*
11,708
191
Mahoning Co.
Yes you can actually. you can require minimum setbacks for drill rigs and driveway access permit fees. Zoning can really mess with things at times.

No we can't do set backs. In the past when ever it's been brought up our legal advisers have told us all gas/oil drilling is regulated by the state and zoning can do nothing. In Ohio township zoning laws are pretty weak(thankfully)

We probably could do the drive way fees, but the township has so few roads(most are county and state) that wouldn't amount to much. Also we couldn't increase it only on the drillers we would have to increase for everyone. Using Jesse's # of $50 million per pad we could charge $100,000 per driveway and they'd pay it in a heartbeat but it would kill every other form of development in the township.
 

rgecko23

*Supporting Member*
7,466
0
Massillon, Ohio
V&M Star's pipe mill in Youngstown is in the middle of a 1billion dollar expansion. In Wellsville the proposed Baard energy plant to turn coal into liquid fuel has just changed, now they plan turn NG into jet and diesel fuel. It's a 3 billion dollar project. Both of these, especially Baard, are close enough to Steubenville to create jobs there. If this pans out it has the potential to change eastern Ohio, though there is still time for government to screw it up.

Those areas need the jobs bad. Most of you know I have a cabin in wellsville, and that area is just run down and really poverty stricken. They definately need the jobs in that area
 

Riverdude

The Happy Hunting Grounds Beyond
Supporting Member
10,254
115
Ashtabula, Ohio
Boys, all I can say is I have been Mud Logging Marcellus here in Washington County PA for over 2 years and I have meet some of the land owners we have drlled on their property. Pretty much they all are racking in millions. This town would be a ghost town if it was not for drilling. Hotels are book solid, car rentals, gas stations, Walmart...ect are making a killing off of us being here. If you considering having property drilled do you home work on mineral rights.
 

bowhunter1023

Owner/Operator
Staff member
48,879
274
Appalachia
Working in Ohio and WV is night and day. Ohio welcomes us with open arms and WV caters to coal. Ohio is smart enough to know what's up and they know companies with production history in WV are gonna love developing not only the minerals, but the economy in Ohio. Drill baby, drill!!!