Pennsylvania state Senator Gene Yaw (R-Lycoming County) has introduced legislation that would effectively add a Pugh clause to leases being unitized for development of shale gas. Senate Bill 356, which was introduced by Senator Yaw and several others on January 31, has been referred to the Senate Committee on Environmental Resources & Energy for consideration. A Pugh clause releases the portion of leased acreage that is not included within a production unit. Senate Bill 356 would apply only to units formed after the effective date if the bill were passed and to development of unconventional reservoirs, as defined in the bill.
As indicated in this article from January 29th, Andy Dinniman, state senator for Pennsylvania’s 19th Senatorial District, planned to introduce the Public Notification and Access to Information Act this week. Reportedly, the Act would require the posting of additional information about proposed gas pipeline projects on the Department of Environmental Protection’s website.
A one-year moratorium on hydraulic fracturing in New Jersey ended yesterday, the Star-Ledger reports. Gas resources are projected to be limited in New Jersey, and a New Jersey Department of Environmental Protection spokesman reported that no applications or interest from exploration and production companies had been received. However, anti-fracking advocates have pushed for New Jersey to extend the moratium.
The West Virginia State Journal recently observed that the effect of the Natural Gas Horizontal Well Control Act, passed by the West Virginia Legislature in December 2011, remains unclear. The Act provided a statutory and regulatory framework for natural gas producers, but significant questions remain regarding the true impact of the Act in West Virginia. Although natural gas production and midstream services job opportunities have grown in West Virginia, some question whether West Virginians are filling newly created jobs. The Supreme Court of Appeals of West Virginia has been critical of the Act’s treatment of damages to surface owners, as seen in Martin v. Hamblet (November 2012). Consequently, it is likely that the West Virginia State Legislature will be forced to face further oil and gas issues in the 2013 sessions.
The Pennsylvania House and Senate have announced new chairs for the state House and Senate Environmental Resources and Energy Committees. Rep. Ron Miller (R-York) will replace Rep. Scott Hutchinson as the majority chairman of the House Environmental Resources and Energy Committee, and Sen. Gene Yaw (R-23) will replace Sen. Mary Jo White as the majority chairman of the Senate Environmental Resources and Energy Committee. The committees focus on bills, polices and issues dealing with energy resources and development, including regulations, conservation, strategic reserves and standards, and public lands. The Post-Gazette has more.