Category Archives: Pennsylvania

Marcellus and Utica Shale Gas Production Projected to Continue Rising

Marcellus and Utica Shale Gas Updates It’s no secret that the Marcellus and Utica Shale formations are generating huge economic boons for the states in which they reside. Even as exploration and production increase in both Pennsylvania and Ohio, future projections show that the estimated ultimate recovery (EUR) for the region will outpace recent expansions.

A new study by ICF International projects that between the Marcellus and Utica Shale, natural gas production will expand to 34 billion cubic feet (Bcf) per day by 2035. This is a 36% growth from the 2014 estimations of 25 Bcf.

Since 2009, the production levels in both the Utica and Marcellus Shale have increased at an exponential rate. These natural gas reserves are vital to the future of American energy independence. These formations, along with the Bakken formation in North Dakota, are driving America’s energy sector forward.

As scientists research the full potential of the formations, technological improvements are drastically changing our ability to recover their stored energy. This increased efficiency is a major factor that is driving up the estimated ultimate recovery (EUR) per well.

“The Utica and Marcellus Shale represent some of the most exciting areas of national growth over the next 20 years,” said Glenn Shreffler, executive vice president of engineering at MATCOR. “As production levels grow rapidly, it’s important to plan for the future and build the infrastructure to accommodate the increased capacity.”

“In both regions, as well as the Bakken Formation, corrosion engineering is an important element in public safety and for the protection of significant capital investments. MATCOR’s custom-designed cathodic protection systems ensure that infrastructure is designed to last. We encourage manufacturers in the Marcellus and Utica Shale to build with the future in mind.”

Utica Shale Facts

• The Utica Shale is estimated to be nearly twice as large as it’s more famous neighbor, the Marcellus Shale.
• Through 2015, Ohio is expected to create over 200,000 jobs and add $22 billion to the economy as a result of the Utica Shale.
• The Utica Shale supports 5,000 jobs directly, and almost 13,000 indirectly in the state of Ohio.

Marcellus Shale Facts

• The Marcellus Shale contains an estimated 84 trillion cubic feet of natural gas. Some geologists theorize that it could hold up to 500 trillion cubic feet of natural gas, which would make it the second largest field in the world.
• The Marcellus natural gas developments contributed $1.1 billion in tax revenue for Pennsylvania in 2010.
• Drilling in the Marcellus Formation has only affected .5% of the land mass in Pennsylvania – just 15,400 acres.

MATCOR, established in 1975, is one of the most experienced providers of corrosion technology. Our engineering and cathodic protection solutions are best in class. Call 800-523-6692 to contact us today.

New Marcellus Shale Pipeline Projects

The Marcellus Shale, an enormous natural gas reserve in Appalachia, is dramatically altering the traditional landscape of America’s natural gas industry.

Stretching across almost 100,000 square miles, the Marcellus Shale is the largest natural gas supply in the U.S. and second in the world. The depth and width of the Marcellus Formation vary, but studies indicate the shale’s deepest and thickest points are located in northeastern Pennsylvania, making it a prime area for drilling.

Estimates of the amount of recoverable natural gas in the reserve have varied over the years. According to the U.S. Energy Information Administration (EIA), the Marcellus Shale produced 3.9 trillion cubic feet (Tcf) of recoverable natural gas in 2013– accounting for 18% of the country’s natural gas. In August 2011, the U.S. Geological Survey (USGS) estimated the Marcellus shale will ultimately generate a total of 84 TcF of technically recoverable natural gas, a massive jump from its 2002 prediction of two trillion cubic feet.

Pipelines Under Pressure

As the Marcellus Shale’s natural gas production increases, so does the need for an efficient, modern, sophisticated pipeline system to transport the natural gas to various regions around the country. In 2012, Marcellus’ booming natural gas output caused pipelines to bottleneck. Such high load conditions inflict stress on pipelines essential to the country’s natural gas delivery system.

The following year, pipeline constraints were a major contributing factor to exorbitant natural gas prices in the Northeast region. The rest of the country was not exposed to the increased costs due to adequate pipelines with few constraints.

To help alleviate stress on current infrastructures, The Federal Energy Regulatory Commission (FERC) approved three pipeline projects in February 2014. The projects include Texas Eastern’s TEAM 2014 Project, Williams’ Constitution Pipeline, and Iroquois Pipeline’s Wright Interconnect Project. All three projects have in-service dates slated for 2015-2016.

Texas Eastern’s TEAM 2014 Project

Spectra Energy’s Texas Eastern Appalachia to Market Expansion 2014 (TEAM 2014) Project will add approximately 33.6 miles of 36 inch diameter pipeline loop to the existing Texas Eastern Transmission, increasing the existing system’s capacity by approximately 600 million cubic feet per day (MMcf/d). Once complete, the Texas Eastern system will deliver natural gas from Appalachia to the Northeast, Southeast, Midwest and Gulf Coast regions. The technologically advanced TEAM 2014 Project will be optimized for bidirectional flow.

Williams’ Constitutional Pipeline

The Constitution Pipeline is expected to measure 124 miles and have a diameter of 30 inches. The pipeline will transport natural gas from the Marcellus shale in northern Pennsylvania to areas in the northeastern U.S. It will have the capacity to transport 650 MMcf/d, fulfilling the daily needs of 3 million homes. The Constitution will be an “open access pipeline,” allowing local municipalities and public utility services to access the line.

Iroquois Pipeline’s Wright Interconnect Project

Iroquois’ Wright Interconnect Project (WIP) will work in tandem with the Constitutional Pipeline. Unlike the other projects approved by FERC, WIP is not a pipeline. It will update and expand Iroquois’ current compression facilities located in Wright, New York. The terminal will connect the Constitution to the Iroquois and Tennessee Gas Pipelines, facilitating the delivery of natural gas extracted from the Marcellus Play to New York and New England.

The Importance of Cathodic Protection

Propane storage tanks at MarkWest Energy Partners’ Houston fractionation and marketing complex in Washington, Pennsylvania.
Propane storage tanks at MarkWest Energy Partners’ Houston fractionation and marketing complex in Washington, Pennsylvania.

While the Marcellus Formation continues to produce high levels of natural gas, it is imperative that the operators for newly approved pipeline projects, as well as existing pipelines, storage tanks, and associated facilities take appropriate steps to protect their assets. Corrosion of metal surfaces is one of the most common and dangerous threats to midstream infrastructures. Cathodic protection is the most effective method of protecting against corrosion.

According to John Rothermel, Vice President of Sales at MATCOR, the leading cathodic protection company with expertise in protecting oil and gas pipelines from corrosion, the companies behind the Marcellus pipeline projects can’t afford not to protect their assets.
“As long as the Marcellus Shale continues to produce such unprecedented amounts of natural gas, the midstream infrastructure needed to get product to market will likely be running at full capacity, making it essential that these facilities operate reliably, efficiently and safely,” Rothermel said. “Designing and installing cathodic protection of pipelines into these projects helps to protect the significant investments being made, and helps to ensure these assets last well into the future.”

“Giant Marcellus shale coming of age” The Bismarck Tribune, March 20, 2014

Following our success in 2013, MATCOR is expanding by hiring new talent for cathodic protection, corrosion engineering jobs.

MATCOR is a full service provider of customized cathodic protection systems to the oil & MATCOR_Vertical_webgas, power, water/wastewater and other infrastructures industries.  Cathodic Protection is a technique used to control the corrosion of a metal surface by making it the cathode of an electrochemical cell.  MATCOR has an array of proprietary cathodic protection products and systems combined with high-quality corrosion engineering services, and installation and maintenance services.

In business for over 40 years, MATCOR is considered the technology leader in cathodic protection and corrosion engineering.  MATCOR is headquartered in Chalfont, PA, has a major service operation in Houston, TX, provides turnkey services throughout the United States, and has a growing list of international distributors.  MATCOR has been named to the Inc. 5,000 list of fastest growing companies in 2011, 2012 and 2013. Because of strong continued growth, MATCOR is seeking talented new team members to fill cathodic protection and corrosion engineering jobs.

MATCOR employees and culture are driven by three core principles. Whether a technician, engineer or manager, these principles guide us toward positive relationships with our clients and positive outcomes to every project we undertake.  These core values are:  We Respect Others, We Honor our Commitments and We Act in a Safe and Responsible Way.

“Our cathodic protection and corrosion engineering job openings, from technician to management positions, offer you the opportunity to grow with our team of seasoned cathodic protection experts and become part of a unique culture,” said Doug Fastuca, president of MATCOR, “As we are experiencing tremendous growth and request for our products and service offerings, this is an excellent time to join MATCOR.  In addition to competitive benefits, you can become NACE certified and enjoy other advanced educational opportunities.”

Our ideal job candidates will possess these values and hold a positive attitude.  This is a rapidly growing company with many new career opportunities.  Your cathodic protection, corrosion engineering and management job opportunity is here, today!

View the open position here:

Marcellus Shale Production Data Hints at Growing Cathodic Protection Needs

Production from the Marcellus Shale natural gas reserves is expected to exceed 13 billion cubic feet per day this December, nearly seven times the 2 billion cubic feet per day it produced during the same period in 2010, according to a recent report.

The report on Marcellus Shale production data, by the U.S. Energy Information Administration, said the figure would equal about 18 percent of total U.S. natural gas production during the month.

One of the Marcellus Shale companies that’s taking advantage of the natural gas boom is Cabot Oil & Gas Co., based in Houston, which claimed 15 of the 20 highest-producing natural-gas wells in the area during the first half of the year.

According to Dan O. Dinges, Cabot’s chief executive officer, 10 wells from a single well pad in Auburn Township produced enough natural gas in 30 days to meet the average monthly demand of the entire city of Philadelphia.

Cabot plans to increase its Marcellus Shale drill rigs from six to seven in 2013, with each rig capable of drilling 20 wells during the course of the year.

The sharp rise in natural gas reserves production hints at the growing need for Marcellus Shale companies to incorporate pipeline corrosion control equipment like cathodic protection rectifiers into their gas delivery infrastructure, according to Chris Sheldon, who works as utilities practice lead for MATCOR, a Pennsylvania-based cathodic protection company.

“Marcellus Shale companies are experiencing a tremendous upswing in natural gas production and are building new drill rigs and digging new wells to take advantage of the vast natural resource at their feet,” Sheldon said. “That means a lot of new pipes are going to be laid. And more pipes means more opportunities for corrosion.”

“At MATCOR, we’re here to help Marcellus Shale companies, as well as other pipeline companies and natural gas producers, with a full line of advanced cathodic protection equipment, systems and services designed to help them meet their corrosion control needs.”

Further Reading

A Marcellus Natural-Gas Bonanza,” The Philadelphia Inquirer, December 10, 2013.

MATCOR Offers Take on Natural Gas Liquids Production and NGL Transportation

“There is much discussion about the abundance of natural gas deposits in Marcellus Shale, and there is tremendous focus in extracting this precious resource. However, the industry’s ability to get this product to the end user is impacted by the infrastructure that currently exists.

“While rail is a means to transport natural gas, MATCOR is working with a growing number of midstream companies in expanding transmission and distribution piping networks. The key is to get product to market in a cost-effective and safe manor, and MATCOR’s cathodic protection products and services help ensure any new pipeline, regardless of the product it delivers, is in compliance and protected from corrosion.”

John Rothermel, PE

Vice President of Sales, MATCOR

Pipelines Planned for NGL Transportation Through Central Pennsylvania

At least one company is looking to take advantage of the rapid growth of natural gas liquids production from two of the largest shale regions in the nation.

Sunoco Logistics, a Philadelphia-based company that transports, terminals, and stores crude oil and refined petroleum products, recently announced that it was surveying land for a new pipeline, dubbed Mariner II East, that would connect production of natural gas liquids (NGL) from the Marcellus and Utica  shale regions of Pennsylvania, Ohio, and West Virginia to one of the company’s oil and diesel tank farms outside of Mechanicsburg.

The company also has plans to convert its existing Mariner East I pipeline, which used to carry oil and diesel fuel west, so that it carries propane and ethane east to its facility in Marcus Hook, which had also been idled.

The company bought the refinery from the former Sunoco Co. earlier this year for $60 million and is spending an unspecified amount of money to upgrade it and bring it back online as a natural gas liquids production refinery.

Sunoco Logistics is betting on the continued growth of natural gas production, of which NGLs like propane and ethane are byproducts. Natural gas production has increased in recent years thanks to hydraulic fracking, which has resulted in a larger supply that has driven prices down and has therefore, like a circle, created bigger demand for natural gas.

As a result of this process, NGL production has climbed during the last four years from 50 million to 70 million barrels per month. But, without greater avenues for NGL transportation, the increased production is moot.

Sunoco Logistics says that its plan to build a new NGL transportation pipeline, and convert an old pipeline for NGL transportation, will help create a northeast NGL hub in Marcus Hook that will help meet the demands of NGL producers and local and overseas consumers.

The Mariner East projects are only a few of the pipelines being planned by Sunoco Logistics. The company has roughly a dozen oil and gas projects on the books over the next 12 months at a cost of $1.3 billion, four times what it spent on capital expenditures each of the last four years.

MATCOR offers cathodic protection safety products and services to companies like Sunoco Logistics, which require cathodic protection equipment to maximize safety, efficiency, and capital investment in their pipeline projects.

Further Reading

Sunoco Logistics Plans Marcellus, Utica Pipeline Through Susquehanna Valley,” The Patriot News, Nov. 21, 2013.

EQT to Sell Unit to its Midstream Partnership for $540 Million

Natural Gas Company EQT said it will sell its Sunrise Pipeline Unit to EQT Midstream Partners LP for $507.5 million in cash, and $32.5 million of common and general partnership units.

EQT Midstream, controlled by EQT Corp, provides transportation and storage services to EQT, as well as to other companies.

Sunrise Pipeline LLC’s assets include a 41.5 mile pipeline between West Virginia and Pennsylvania, a compression station and an interconnect with the Texas Eastern pipeline in Greene County, OH.

As it adds more capacity to the compressor station, EQT Midstream has also signed an agreement with another producer for about a quarter of the capacity on the Sunrise system. That arrangement is scheduled to begin in December 2014 and when it does, EQT Midstream will pay another $110 million to EQT Corp.

Just over a year ago, EQT Corp. spun out EQT Midstream in a $262.5 million initial public offering. The rationale was to get more money for its exploration and production activities by selling off assets


About MATCOR & its Blog: Cathodically Protected

MATCOR is a leading provider of ISO 9001:2008-certified cathodic protection management and mixed metal oxide anodes. Our cathodic protection contractors and services carry an unmatched 10 year guarantee. MATCOR offers the latest insights on the cathodic and anodic protection industry.


MATCOR’s Official Ribbon-Cutting Conducted By Pennsylvania Lieutenant Governor James Cawley

Celebrating the completion of a new manufacturing and headquarters building by hosting an Open House.

MATCORMATCOR, Inc. the trusted full-service provider of proprietary cathodic protection products, systems, and corrosion engineering solutions celebrated the completion of its state-of-the-art manufacturing plant and headquarters by hosting an Open House on May 29, 2013. The festivities were held at the company’s new corporate headquarters in Chalfont, PA.

The new 47,000 square foot building represents MATCOR’s continued growth and success. With this expansion MATCOR continues to grow its manufacturing capabilities in PA to better meet client’s needs, while improving the facilities and the work environment for its colleagues, and by creating jobs and community development within MATCOR’s local geography.

The official ribbon-cutting was conducted by Pennsylvania Lieutenant Governor James Cawley, a former Commissioner of Bucks County.   “We are honored to have Lieutenant Governor Cawley here to celebrate this important company milestone”, said Jeff Stello, President & CEO.  “His participation is extremely relevant because the Lieutenant Governor helped guide the Marcellus Shale Commission for safe and reliable development of shale gas in the Commonwealth”, added Stello. MATCOR is deeply involved in the Marcellus Shale by providing its expertise and Pennsylvania-manufactured corrosion-prevention solutions to the oil and gas industry operating throughout Pennsylvania.

For the 100 plus guests, MATCOR provided food and refreshments, tours of the manufacturing facilities, and an opportunity for customers and vendors to meet employees from all departments and across the MATCOR team. Visitors commented on the welcoming and professional feel of the new office space. During the plant tours, visitors were impressed by the manufacturing operation, MATCOR’s focus on quality and safety, and the innovative automated manufacturing processes.

Attendees included customers from throughout the region, along with notable public officials from the Commonwealth, local municipalities and counties, and other regional businesses leaders.


MATCOR is a leading provider of ISO 9001:2008-certified cathodic protection products. Learn more about our services and cathodic protection installation that carry a 10 year guarantee. MATCOR offers the latest insights on anodes for cathodic protectioncathodic protection equipment and more.

Gas pipeline connections start on Transco expansion

Written By Renée Kiriluk-Hill/Hunterdon Democrat at

Steps have been completed as work proceeds on the Transco pipeline expansion project in Franklin and Union townships in Hunterdon County.

In this area Williams Co. has completed pre-construction surveys, cleared and graded land, trenched — moving topsoil to separate mounds in agricultural areas — strung pipe near the trench.

According to the company, once pipe sections are welded together they are “placed on temporary supports along the edge of the trench. All welds are then visually and radiographically inspected. Line pipe, normally mill-coated or yard-coated prior to stringing, requires a coating at the welded joints. Prior to the final inspection, the entire pipeline coating is electronically inspected to locate and repair any coating faults or voids” before the pipe is placed in the trench and backfilling begins.

That is followed by testing the pipeline and restoration of the work area.

The pipeline is intended to supply the New York-area market with natural gas from the Marcellus Shale, primarily in Pennsylvania


Marcellus Shale Gas Impact Fee Proceeds Above $400M

HARRISBURG – Gov. Tom Corbett has announced that the Marcellus Shale Impact Fee, part of Act 13, signed into law in February of 2012, has brought in more than $400 million dollars in its first two years.

“Act 13 is a law that has helped bring Pennsylvania forward both economically and environmentally,” Corbett said. “In addition to enacting some of the most rigorous environmental standards in the nation, we’ve brought in more than $400 million for our communities directly impacted by unconventional drilling, along with other environmental efforts across the state.”

“As this industry grows, benefitting all Pennsylvanians with thousands of new jobs, lower energy prices, and increased energy independence, Act 13 has played a key part in our role making sure that it grows safely and responsibly,” Corbett said.

Collections for 2012 were due to the Pennsylvania Public Utility Commission (PUC) by April 1.

Nearly $198 million is expected to come into the state from the 2012 collections. This is in addition to the $204 million collected during the first round of collections. The 2012 amounts were released yesterday.

The collections this year are slightly lower than last year due mainly to the lower price of natural gas.

Information on the amount of money expected for 2012, as well as the amount of money collected to date, can be found on the Act 13 page on the PUC’s website,


Major expansion of natural gas pipeline

$44 million project would put 5.6-mile line through Bucks County, PA.

One of MATCOR’s key clients Texas Eastern Transmission LP, is seeking federal approval of a $5.3-million expansion of its pipeline and compressor station system to distribute Marcellus shale gas produced locally by Chevron and EQT.

A subsidiary of Spectra Energy Transmission, of Houston, Texas, Texas Eastern wants to gain Federal Energy Regulatory Commission (FERC) approval in November this year and put the new pipelines into service by November 2014, according to a pre-application filing recently submitted to FERC.

The project involves installing a total of 33.6 miles of new pipeline in five counties in the state; upgrading four compressor stations in the state and other work at 41 company facilities between Pennsylvania and Mississippi.  MATCOR has the ability to provide its SPL Mixed Metal Oxide Linear Anode to cathodically protect this pipeline expansion.

“Texas Eastern’s (pipeline) runs from the Gulf of Mexico to Lambertville, N.J. This is an expansion of that system,” said Spectra spokeswoman Marylee Hanley.

Texas Eastern has agreements with Chevron and EQT to charge them for the work, which would provide both producers with the capacity to transport 300,000 additional Btu/d.

These two shippers are major producers in the Marcellus shale play need the project to ensure that pipeline capacity exists to transport their gas to markets as the production comes on line. The shippers have agreed to pay negotiated rates for the pipeline service, according to Texas Eastern’s FERC filing.

“We are an open access pipeline, which means we are required to provide service to our customers,” Hanley said.

The new pipelines would be installed adjacent to existing pipelines in existing rights of way, and all the compressor station work would be done on the stations’ existing property, she said.

Specifically, the project would transport 300,000 Btu/d of gas from western Pennsylvania to the eastern end of the system in Lambertville, N.J., and Staten Island, N.Y.; 50,000 Btu/d from western Pennsylvania to the Lebanon, Ohio, hub and 250,000 Btu/d of of gas from western Pennsylvania to markets in Mississippi and Louisiana.

In addition to providing access to markets for the producers, the project would promote commodity price competition and reduce price volatility by introducing new supply sources from the Appalachian production area, particularly the prolific Marcellus shale, to these market areas, Texas Eastern said. The project would also provide gas to developing markets in the Gulf Coast Region and improve the company’s transportation security, flexibility and reliability, according to the filing