Tuesday, April 10, 2012

Energy Boom Comes to Appalachia Ohio


Appalachia has been the "forgotten part of Ohio for the last 50 years," explains Glenn Enslen, Carroll County’s economic development director, in the video above, "but now we're at the forefront of economic development in the state of Ohio." 

Reason? A huge boom has just started for oil and gas development in the Utica Shale area of east-central Ohio. There are thousands of new jobs being created in and around Carroll County, the local Days Inn hotel is booked for the next three years, local landowners and residents are receiving bonus and royalty checks from oil and gas companies, and the local Chevy dealer has seen a huge increase in sales. And it's just getting started. 

HT: Energy Tomorrow via Robert Kuehl

9 Comments:

At 4/10/2012 8:41 AM, Blogger Jon Murphy said...

This is particularly good news for this traditionally coal-mining area as coal has been getting kicked in the teeth.

 
At 4/10/2012 10:57 AM, Blogger Rufus II said...

I think I read that there have been 5 wells "fracked" in the Utica Shale formation, and that they turned out a whopping 51,000 bbls for all of 2011?

I wouldn't break out the champagne just yet.

 
At 4/10/2012 11:42 AM, Blogger Buddy R Pacifico said...

"I think I read that there have been 5 wells "fracked" in the Utica Shale formation, and that they turned out a whopping 51,000 bbls for all of 2011?"

Rufus, I think you are referring to Chesapeake Energy's efforts in the Utica Shale. These are basically natural gas and natrual gas liquid horizontal wells.

The state of Ohio already has 49,000 vertical wells. One of Chesapeakes wells drilled in 2011 is "producing 1.5 billion cubic feet of natural gas, or 2 percent of the state's entire natural gas production".

..."Put another way, that well has 300 times more in daily production than the average well drilled vertically into the ground"

 
At 4/10/2012 11:47 AM, Blogger Benjamin said...

A company named Methanex converts natural gas into methanol, and sells it for $1.35 a gallon. That's now, today, not a theory, not a could be, would be.

Methanol has less energy per gallon than gasoline, but is an octane booster. Indy cars ran on methanol for decades, before converting to ethanol (probably for PR reasons).

 
At 4/10/2012 12:07 PM, Blogger Benjamin said...

Natural gas we have in spades, but the USDA lard brigade keeps going.

USDA approves $5M payment to Kansas biofuel production facility

10 April 2012

The US Department of Agriculture (USDA) has approved a $5-million payment to Western Plains Energy, LLC to support the construction of a biogas anaerobic digester in Oakley, KS. The completed project will utilize waste energy resources from a local cattle feedlot to replace almost 90% of the fossil fuels currently used by Western Plains Energy at its Oakley, KS, ethanol plant, which produces 50 million gallons of ethanol annually.

Western Plains Energy expects to complete construction of the biogas digester in August. It is scheduled to become fully operational in 2013.

Animal waste from a local feedlot will be the primary feedstock that Western Plains will use for the digester. It also will use grain dust as well as waste from a variety of industrial food and municipal facilities. Western Plains expects to be able to produce more than 100 million Btus of renewable energy per hour daily.

The payment comes through the USDA Rural Development’s Repowering Assistance Program, authorized under the 2008 Farm Bill. It allows USDA to make payments to eligible biorefineries to encourage the use of renewable biomass as a replacement fuel source for fossil fuels used to provide process heat or power in the operation of these eligible biorefineries. Biorefineries that were in existence when the Bill was enacted, 18 June 2008, are eligible to apply.
--30--

Imagine that. Some guys running a factory in rural America just get $5 million from taxpayers. "Here, take the money!"

The auto bailout was a bad idea, but taxpayers are getting paid back. On this one, we just give our money away.

Free money! Manna from heaven for rural business guys too stupid to turn a profit without a crutch from Uncle Sam.

 
At 4/10/2012 12:15 PM, Blogger juandos said...

"This is particularly good news for this traditionally coal-mining area as coal has been getting kicked in the teeth"...

Good point regarding the job killing EPA jon murphy...

Consider the following from Cecil Roberts, President of the United Mine Workers: 'Lisa Jackson Shot Us'

 
At 4/10/2012 12:15 PM, Blogger Rufus II said...

Five of those wells were in production in 2011 and generated nearly 2.6 billion cubic feet of natural gas, plus 43,513 barrels of oil.

From Here

Looks like a pretty good nat gas producer, but not much in the oil department.

 
At 4/10/2012 10:27 PM, Blogger Paul said...

"..but taxpayers are getting paid back."

You only think this because you believe everything your boyfriend tells you. Over $7 billion in debt owed by the auto industry to the taxpayers was simply written off. There's $37 billion outstanding. The taxpayers will never recover Obama's bailout of the auto unions.

 
At 4/20/2012 7:14 AM, Blogger Ed said...

www.enterpriseappalachia.com is now live, check it out.

 

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