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Warren Township Oil & Gas

LNG Plant for Wyalusing, PA

A large, proposed plant in Wyalusing Township that would convert natural gas to liquefied natural gas (LNG) cleared a regulatory hurdle on Wednesday, Nov. 7 when the township planning commission recommended that two conditional use permits be approved for the facility. The plant, which New Fortress Energy is proposing to construct along Route 6, would produce 3.5 million gallons of LNG a day, said Brannen McElmurray, head of development for New Fortress Energy.

To put the significance of the plant in perspective, the LNG produced by the plant would produce more power than the recently constructed Panda Liberty power plant in Asylum Township, which can supply the power needs of one million homes. Three and a half million gallons of LNG per day produces 1,000 megawatts of power, and the Panda Liberty power plant produces 829 megawatts of power, according to Jake Suski, a spokesman for New Fortress Energy.

The plant would be located on 265 acres of land, including the land where Bluhm's Gas Sales and the Wyalusing Livestock Market are currently located, and the buildings used by both of those businesses would be torn down to make way for the plant. At the planning commission meeting, several citizens raised safety issues about the numerous trucks that would be arriving at the facility and expressed concern about the visual impact the plant would have. There would be 10 to 15 tractor trailers an hour entering and exiting from the facility, which would be open 24 hours per day, McElmurray said.

Pennsylvania Impact Fee Disbursements for 2018 Reach All-time High

The Pennsylvania Public Utility Commission (PUC) has reported the 2018 impact fees total $251.8 million, the most raised since the fee was collected in 2012. This is an increase of $42 million from last year. The number of wells paying the fee increased to 9,560, up 1,042 wells from last year. Stripper wells, which were not included in past impact fees due to a legal dispute, are now required to pay the fee, following a December 2018 Pennsylvania Supreme Court ruling. This accounted for $8.9 million of the total collected in 2018. Because of the unique circumstances surrounding this issue, and the potential financial impact on municipalities where the disputed wells were located, the commission felt it was important to thoroughly calculate the stripper well collections and allocate the corrected well distributions to the municipalities that did not receive those impact fees during the years the well status had been disputed, the PUC said in a statement.

Of the fees collected, 53.5% will go to the counties and municipalities involved in oil and gas development. Top counties receiving funds are Washington ($8.4M), Susquehanna ($7.2M), Bradford ($6.2M), Greene ($6.0M), and Lycoming ($4.2M). Over 55% of the collected fees came from seven of the top producers (Range Resources Appalachia, LLC, EQT Production Co., Cabot Oil & Gas Corp., Chesapeake Appalachia, LLC, SWN Production Company, LLC., Repsol Oil & Gas USA, LLC, and Seneca Resources Corp.). Of the county fees, top funds usage include: Capital reserve fund; Emergency preparedness/public safety; Public infrastructure construction; and environmental programs. Municipal funds were primarily used for: Public infrastructure construction, Capital reserve fund; emergency preparedness/public safety; and social services.

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