Posts tagged "Energy in Depth – Ohio"
Senator Portman Connects Job Seekers with Oil & Gas Jobs, Training
Monday, April 29th, 2013 | 1 Comment
The summer of 2013 is starting off strong in eastern Ohio. U.S. Senator Rob Portman’s office hosted an energy jobs fair this week in Youngstown, in partnership with the Ohio Oil & Gas Association and the Youngstown/Warren Regional Chamber of Commerce. More than two dozen companies and roughly 15 training centers and universities sent representatives to Youngstown to give Ohioans a chance at the incredible opportunities the oil and gas industry is bringing the state. Several hundred eager applicants pre-registered for the jobs fair, with many additional folks expected to attend.
The morning began with Eric Planey, Vice-President of International Business Attraction at Youngstown/Warren Regional Chamber, who introduced the day’s host, Sen. Portman. The Senator addressed hundreds of attendees, telling them he has faith in the area and the opportunities coming to Ohio because of shale development:
“I believe in the Valley, the Valley is coming back, and oil and gas is going to be a part of it.” –U.S. Senator Rob Portman
Senator Rob Portman addresses the crowd of job seekers early on Monday.
Companies like Chesapeake Energy, MarkWest Energy Partners MS Consultants, V & M Star, and Plumbers and Pipefitters 396 offered “Skilled workforce opportunities,” which include pipeline welders, engineers, maintenance technicians, plant operators, electricians, millwrights, CAD drafters, designers, mechanical estimators, and surveyors.
Meanwhile, “general workforce opportunities” were provided by companies such as Dominion, Halliburton, Ohio Cat, and U.S. Steel. These types of openings include entry level jobs to operate water pumping stations, technical and well operators, drivers, equipment operators, derrickmen, business planners, dispatchers, and sales/operations management.
Lastly, universities and colleges such as Youngstown State University, Stark State College, Eastern Gateway Community College, Zane State College, and Belmont College were giving information on degree programs and workforce training offerings. Technical centers like ITT Technical Institute, Diplomatic Protection Training Institute, New Castle School of Trades, Trumbull Career & Technical Center, and Columbiana County Career and Technical Center were giving information on (and signing applicants up for) technical training programs that prepare individuals for specific oil and gas industry jobs.
Senator Rob Portman speaks with a representative from Eastern Gateway Community College on their shale gas training programs at Monday’s jobs fair.
While Energy In Depth has attended multiple oil and gas job fairs since shale development has begun to revitalize the state, today’s job fair demonstrated once again that elected officials and business development agencies are fully behind the industry. Ohio’s recent economic success is new to many, especially with much of the state being plagued by the recession and economic stagnation. But as a glimmer of hope, shale development is providing thousands of jobs across the state, and companies are looking to invest in the Ohio workforce for generations to come.
Today the job fair saw individuals from all walks of life looking to get their foot in the door. Veterans, students, former steel workers, and many others — all looking for a better opportunity. As production continues to ramp up in the Buckeye State, more opportunities will certainly be available for Ohio’s eager workforce.
Tags: Chesapeake, Economy, Energy In Depth, Energy in Depth - Ohio, eneryg jobs, Hydraulic fracturing, Jobs, jobs fair, Mahoning Valley, natural gas, Ohio, Ohio Oil and Gas Association, Senator Rob Portman, Utica Shale, Youngstown
UPDATE: OSU Student Networking Event Draws Big Names in Shale
Friday, April 26th, 2013 | 1 Comment
UPDATE (4/26/13 9:00 am ET): It appears the Buckeye Shale Energy Organization‘s networking has paid off. At a school of more than 43,000 undergraduate students, the Ohio State University student group was named the 2013 Outstanding New Organization Award. Ohio State facilitates more than 1,000 student groups, and BSEO stood out this year for its achievements in educating fellow students about oil and gas and networking with some of the biggest names in the industry.
BSEO’s President and outgoing senior, Vince Melillo, told Energy In Depth how the award shows the recognition shale is getting throughout the state:
“Members of the BSEO are ecstatic to be recognized by the university. In creating this organization, we realized the potential impact the shale industry would have in our beloved state. It is nice to know that Ohio State acknowledges the same fact.” –Vince Melillo
Last year, Vince wrote a blog post for Energy In Depth on his wish to stay in Ohio by getting a good job in the oil and gas industry. Now, he can say that wish came true. He recently accepted the position of Project Engineer with Marathon here in Ohio:
“Not only was I excited to be offered a job from a renowned company such as Marathon, but I am thrilled to be able to stay in my home state. As we travel in to the future of the shale energy industry in Ohio, I expect more and more students to be able to do the same.” –Vince Melillo
While we can report Ohio has created more than 38,000 jobs related to shale development, Vince’s news shows just how important the industry is to the Buckeye State: He was eager to remain in the state he calls home, and without this industry he likely would have been forced to leave. Now, with the incredible opportunities the oil and gas industry has brought to our state, college graduates and technical students are not only finding good jobs, but they’re finding those jobs in the state they love.
–-Original post from November 9, 2012—
This week EID traveled to Columbus to attend Buckeye Shale Energy Organization’s (BSEO) Second Annual Shale Energy Student-Industry Networking Event. The event was in partnership with Ohio State’s Subsurface Energy Resource Center, Buckeye STEPS, and University Clean Energy Alliance of Ohio. Not a job fair, the event was meant to facilitate dialog between Engineering and Geoscience students from Ohio universities and representatives from Ohio’s oil and gas industry. Students were given the opportunity to network with more than 20 companies that are leading the way in Ohio’s shale industry. Not only were production companies in attendance, but also companies involved in the growing supply chain for the industry.
Yesterday’s event was an example of BSEO’s continued efforts in outreach to the industry, as well as other students. The group, comprised of students in engineering and geology, is led by Dr. Jeff Daniels of OSU’s School of Earth Sciences and aims to educate interested students on the vast opportunities shale development offers and to connect dedicated students with interested employers. At a past meeting, Dr. Daniels also emphasized that while the students are promoting the incredible potential that lies in the Utica Shale, they are also promoting the safe practices used by oil and gas developers to extract those resources.
Dr. Daniels stepped out of the event to chat with EID about the group and its purpose:
I’m the advisor to the Buckeye Shale Energy Organization, which is a group of students primarily engineering students who are interested in shale industry and really working with industry and looking at the various aspects of energy and the environment for the shale—Dr. Jeff Daniels, Ohio State University (:19)
The networking event drew many of Ohio’s oil and gas developers including BP, Halliburton, and Chesapeake and companies involved in Ohio’s shale development including Kokosing, Shaw Environmental, and Excalibur Machine.
BSEO’s co-founder and President Vince Melillo took time away from the event to chat with EID about the group’s unique event and opportunity:
What we’re doing is essentially gathering up people who are from our state who want to stay here and make Ohio into a great oil and gas producer—Vince Melillo, President, Buckeye Shale Energy Organization (:50)
BSEO’s Treasurer and cofounder, Alex Sava, is a fifth-year engineering student interested in the growing shale play. He’s confident he and fellow students will graduate to many opportunities in the oil and gas industry:
I think there are a lot of great opportunities coming from Ohio, western PA, all around here. Students are going to have a lot of job opportunities from these companies—Alex Sava, Buckeye Shale Energy Organization (:20)
Overall, BSEO put on a great event, making themselves known to industry leaders and putting them in a position to hopefully work alongside them soon. These students understand the incredible opportunities coming to Ohio from shale development, and plan to take full advantage.
UPDATE: Shale Development Bringing Investment Across Ohio River Valley
Monday, April 22nd, 2013 | 0 Comments
UPDATE II ( 1:13 p.m. ET; Apr. 22, 2013) – Ohio is getting closer to having a vast network of midstream operations in place. The Utica East Ohio cryogenic plant in Columbiana County is being built at a rapid pace. Until plants like these come online, production at many natural gas wells across the state is being held back.
George Fransisco, executive vice president of M3 Midstream, recently explained how the projects construction will aid in realizing the Utica’s bigger picture:
“A lot of us are working as fast and fierce as we can to get our plants up and running. Once that’s done wells can flow at unrestricted rates, so we’ll see more of what the play entails”–George Fransisco (Cryogenic Processing Plant Takes Shape in Kensington, 4/19/13)
The Kensington plant, part of the $900 million investment by Utica East Ohio, should have their first phase ready to process natural gas liquids by June. Baron John, construction coordinator for the Kensington project, says things are on schedule:
“We’re a little over halfway finished with the first phase. We’re keeping on schedule and want to commission sections of the plant so we can get gas flowing”–John Baron (Cryogenic Processing Plant Takes Shape in Kensington, 4/19/13)
Baron explained 300 to 350 workers are currently on site, backing up the claim that shale development is aiding in a construction industry revitalization. Also a part of the Utica East Ohio project is the fractionation plant 50 miles south in Harrison County, which employs hundreds more construction workers.
The construction is also supporting regional companies. While many of the components are prefabricated offsite, UEO is also using suppliers in Ohio. Pioneer Pipe/Viking Fabricators Inc. out of Marietta supplied structural steel for the project and Exterran‘s new plant in the Mahoning Valley will likely supply additional components.
UPDATE (03/07/13 6:00 am ET): Ohio may be seeing more midstream facilities in the coming year. At a conference last year, information surfaced pointing to Kinder Morgan building a processing plant. According to the Akron Beacon Journal, company spokesman Richard Wheatley said Kinder Morgan is looking at Ohio’s Tuscarawas County for the facility, but nothing has been confirmed. While this is only speculation, it is positive to hear the company is considering Ohio locations. Another company, EV Energy Partners, who are active in the state, mentioned Kinder Morgan’s project during its earnings call last week.
Kinder Morgan is the largest midstream and the third largest energy company in the North America. Between its four publicly traded entities, it owns or operates 75,000 miles of pipeline and 180 terminals, totaling $100 billion.
The proposed Kinder Morgan project would include a natural gas processing plant meant to handle up to 300 million cubic feet of natural gas per day and a fractionation plant to handle up to 48 million barrels of natural gas liquids a day.
Word of the continent’s largest midstream company coming to Ohio is excellent news. Not only would Tuscarawas and the state benefit from job creation, but also facilities allowing producers to continue developing Ohio’s Utica Shale. The project would join five other gas processing plants in the works in eastern Ohio.
–Original post from February 20, 2013–
Communities across Appalachia are seeing new jobs and incredible investment stemming from a new influx of oil and natural gas related operations. As the development of the Marcellus and Utica/Point Pleasant Shale formations continues to expand, new projects – like the recently announced processing and polyethylene manufacturing plants – are coming online to create marketable products from the incredible amount of natural gas being produced in the region.
In Ohio, the construction of a cryogenic plant will begin later in 2013 in Leesville . The plant is expected to bring hundreds of construction jobs and 25 to 30 permanent jobs once it goes online in June of 2014. The plant is part of a project containing another cryogenic plant in Kensington in Columbiana County and a fractionation facility in Scio in Harrison County. The project is a joint venture of M3 Midstream, Access Midstream, and EnerVest Energy Partners. Cryogenic processing facilities subject natural gas to low temperatures and recover more than 90 percent of natural gas liquids (NGLs). Once the Kensington and Leesville facilities have completed that process, the NGLs will be piped to the Scio fractionation facility which should come online in June of this year.
The Leesville facility will be part of the Utica East Ohio Buckeye complex, where the three partners are making an initial investment of $900 million. Ground is expected to be broken in late summer or early fall of this year. The location was chosen because they needed one cryogenic location in the north and one in the south. The plant was originally to be constructed in Scio, but the partners recently signed an agreement with Dominion East Ohio Gas, giving them access to their pipelines. Leesville made sense because the location is close to the pipelines.
George Francisco, executive vice president of M3, explained how the location benefits the companies in a recent interview with the Canton Repository.
It’s strategic for us. It extends our footprint to the south, and it enhances the efficiency of our overall system to have two plants at either end—(Plant construction to create jobs in Leesville, 2/19/13)
The move – and the jobs that come with it – is welcome news to the residents of Leesville, including Mayor Ed Alsept.
I’m all for it. We need growth in this area. If we get 20 to 30 jobs, that’s a good thing. (Plant construction to create jobs in Leesville, 2/19/13)
Not only is the plant bringing jobs to Leesville and Carroll County, but also opportunities for infrastructure. The village is currently trying to build sanitary sewer system. Since the plant would mean more customers for the sewer system, prices should be lower for residents.
I’ve heard they would need infrastructure run up there. I’ve talked with our engineering firm, and we would have the capacity to take that—(Plant construction to create jobs in Leesville, 2/19/13)
Since the plant would mean more customers for the sewer system, prices should be lower for residents in yet another example of the far-reaching benefits shale development is bringing to the area.
It’s good news that we’re getting a Midstream plant in the county, such as water and sewer. These are good-paying jobs, and they should all become local jobs. - Amy Rutledge, director of the Carroll County Chamber of Commerce (Plant construction to create jobs in Leesville,2/19/13)
Just over the river in West Virginia, Appalachian Resins Inc. announced they are seeking to place a polyethylene (PE) manufacturing plant at with a targeted construction date in late 2013. The plant, which will be located south of Wheeling, is being created to take advantage of the resources in the Marcellus and Utica/Point Pleasant formations. Included in their plans is the construction of a small cracker plant, a project that will bring additional construction jobs along with the ability to “crack” ethane, crude and liquids coming from the area’s shale production to extract ethylene.
The Appalachian Resins Inc. project will bring $500 million dollars in investment, with the plant being designed to hold the capacity to produce 500 million pounds of PE per year. This feedstock, the most widely used plastic in the world, is used to create some of the most common, everyday items we use in our lives. Plastic bottles, cling wrap, kitchen utensils and plastic bags – all are polyethylene products.
James Cutler, the company’s CEO, explained how the vast resources in shale formations across the Appalachian Basin have redefined the refining and petrochemical industries to the Marcellus Drilling News:
In the 1960s, the petrochemical industry was an extension of the refining industry, and the decision was made to build petrochemical plants on the Gulf Coast, because that’s where the feedstocks were. But now people don’t know what to do with all this natural gas — there’s no shortage of it. – James Cutler, CEO Appalachian Resins Inc. (“Small” Ethane Cracker Plant Coming to Wheeling, WV, 2/16/13)
In addition to increasing the company’s ability to produce a valuable, widely utilized commodity at lower cost (thanks, of course, to the geological gifts the region offers) the plant will bring hundreds of construction jobs, and create up to 125 full-time jobs to West Virginia. That’s always welcome news to any community.
Along the Ohio River, communities across the banks have new cause to celebrate. And, as we’ve noted here before, we are still only scratching the surface of the incredible potential of these vast natural resources. As Rhonda Reda, Executive Director of the recently noted, the billions of dollars of investments, and the thousands of jobs created are only “a glimpse” of what is to come in the years ahead. As our infrastructure and production continue to expand, so too will our pillar industries. This, of course, bring more investment, and more jobs.
Top Ohio Oil & Gas Regulator Lauds State Regulation
Thursday, April 18th, 2013 | 1 Comment
This week, Rick Simmers, Chief of the Ohio Department of Natural Resources — Division of Oil & Gas Resources, traveled to Washington, DC, to explain to the U.S. House Natural Resources Committee that Ohio’s hydraulic fracturing and Class II injection well program is properly regulated by the state — and has a track record to prove it. As Energy In Depth has extensively covered, Ohio imposes more stringent regulation than even the federal EPA, which has jurisdiction over injection wells. When the state improved their oversight with Senate Bill 315, existing regulation was already lauded by STRONGER, an EPA-supported review group composed of state regulators and other experts.
Simmers told the committee that his inspectors can enforce regulation properly because they live in operating areas and can reach emergencies and inspections quickly. He said Ohio has issued 596 permits for horizontal development in the Utica Shale, and of those, 293 have been drilled and 81 and have been completed. He said their team of fifty field inspectors is doing a great job and can hire more if needed:
“We welcome any review of our program because we’re doing a great job. We are both better suited and better situated to run this program than the federal EPA.” —Rick Simmers (Official testifies on Ohio fracking oversight, 4/17/13)
When the D&L Energy and Hardrock Excavating incidents were brought up during the testimony, Simmers explained they could be used as an example of ODNR doing its job:
“If it was not for the on-the-ground efforts of ODNR’s oil and gas inspectors, this criminal and environmentally threatening illegal activity of dumping oilfield waste directly into the Mahoning River could still be occurring. Only with the proper resources and experienced staff could this type of action have been executed so swiftly.” —Rick Simmers (Official testifies on Ohio fracking oversight, 4/17/13)
Without proper research, some would disagree Ohio is doing a great job. An out-of-state reporter from ShaleReporter.com — part of the Beaver County Times – claimed that Ohio is essentially a disaster zone with little to no regulatory oversight:
“Despite a history marked with fracking catastrophes, Ohio still wants to retain oversight of its hydraulic fracturing and wastewater disposal industry.” –Rachel Morgan (Ohio tells feds: Stay off fracking, 4/18/13)
Ohio has no history of “fracking catastrophes” — convenient how the specific examples of incidents from fracking were omitted, isn’t it? — and that’s due to strong state oversight. Morgan instead focuses on the dubious fracking-earthquake nexus that she tried to invent a few months ago, citing a handful of specific events instead of the thousands upon thousands of wells that have operated without incident. But why would an actual reporter bother with such details?
For the sake of discussion, however, let’s now look at just how stringent Ohio’s regulation of oil and gas truly is, contrary to the narrative that ShaleReporter.com wants us all to believe.
Energy In Depth has made many comparisons between ODNR’s regulation and the federal regulation it bests. Since Ohio received primacy of the UIC program in 1983, over 200 million barrels of brine have been processed without a single case of groundwater contamination. Environmentalists recently expressed a desire for oversight by the federal government, which means they are ironically pushing for more lax regulation (albeit with an EPA they feel they can manipulate much more easily). Here are some examples of how ODNR’s rules are more stringent than the federal EPA’s:
|Comparison of Ohio’s Class II Brine Injection Regulations with USEPA Regulations|
|Ohio Division of Oil & Gas Resources Management||United States Environmental Protection Agency|
|Unannounced inspections, on average, every 11-12 weeks.||One inspection done per well each year by EPA consultant.|
|Continuous mechanical integrity monitoring or monthly mini-tests to demonstrate continuous mechanical integrity.||Demonstration of mechanical integrity at least once every five years.|
|Injection volumes greater than 200 barrels per day require a ½-mile area of review of all other wells. Less than 200 barrels per day is a ¼-mile radius.||All Class II wells shall be cased and cemented to prevent movement of fluids into or between underground sources of drinking water.|
|ODNR has the authority to require seismic testing and monitoring.||Federal code does not specifically address seismic testing and monitoring.|
As far as well casing standards, Ohio leads the nation in well construction regulation, boasting 54 standards in place:
It’s encouraging to see Ohio’s top oil and gas regulator lauding the state’s well researched legislation and regulation. Ohio’s laws exceed those of the federal government for a reason. The state needs inspections, safety, and rules to insure our resources are developed properly and our economic revitalization continues, and the data prove that the state is meeting that challenge.
Tags: Bloomberg, Class II injection well program, Energy in Depth - Ohio, EPA, Hydraulic fracturing, Injection Wells, natural gas, ODNR, Ohio, Ohio Department of Natural Resources, Rick Simmers, U.S. House Natural Resources Committee, Utica Shale
Labor, Business, Government Agree on Ohio Shale
Tuesday, April 16th, 2013 | 0 Comments
This week, Energy In Depth attended an event in Canton that would have seemed highly unlikely just one year ago. Labor groups, oil and gas industry representatives, local elected officials from both parties, and multiple chambers of commerce all came together to talk about Utica Shale development, the Keystone XL, and why both are important to Ohioans. The event was aptly titled, “Investing in America: Building Ohio Jobs,” and was hosted by the newly formed Stark County Oil & Gas Partnership and the Ohio Chamber of Commerce. Along with various other speakers, Energy In Depth’s own Shawn Bennett gave the large crowd an update on Utica Shale development and the more than 38,000 jobs the industry created just last year.
Canton Mayor William J. Healy also addressed the crowd to emphasize the incredible partnership that has been created to support Ohio shale. He explained that more than 40 companies have come to Stark County and what he has dubbed the “Utica Capital” because of the oil and gas industry. He said that kind of positive economic growth is new to a region that has been plagued by the nation’s recession:
“Think about what I just said—business, labor, government, industry; here together, collaborating, to benefit our community and our region for the betterment of jobs and our future, and I think we all deserve a hand for that.” —William J. Healy, Mayor, City of Canton (:45)
Energy In Depth had a chance to chat with attendees with a range of backgrounds and interests to see what they think shale can do for the state and our individual communities. First, we spoke to Doug Lane, President of the North Canton Chamber of Commerce to get a sense of what his area expects in the coming years:
“So for each one of our communities in this immediate area, as well as what’s happened to our south and our east, all of us have a different stake in this, but we’re in it together.” —Doug Lane, President, North Canton Chamber (0:57)
Next, we spoke with George Popovich, President of Local 396 Plumbers and Pipefitters out of Youngstown about the work they’ve gotten since shale development came to Ohio:
“There’s going to be work work for 40 years in this industry, we want to get these guys involved in it, so we’re trying to get as much work as we can get.” –George Popovich, Plumbers and Pipefitters Local 396 (0:20)
Members of the Local 396 pose with AFL-CIO’s Sean McGarvey
Also from the labor community, Sean McGarvey — president of the AFL-CIO’s Building and Construction Trades Department — spoke to the crowd about the importance of supporting the oil and gas industry, especially in Ohio. Such a high level labor official emphasizing the importance of Ohio’s shale industry certainly demonstrates that these jobs aren’t something to overlook. He spoke to the Canton Repository about what the industry could mean for the middle class:
“What I think the shale boom means for the United States is … putting a floor under the middle class and stopping the slide. I mean, what’s happening in the country will have such a phenomenal impact on jobs and the middle class, it will not only stop the slide, it will afford the old-time opportunities to move people from poverty into the middle class.” —Sean McGarvey (AFL-CIO Leader McGarvey says drilling means jobs, 4/16/13)
McGarvey elaborated on Ohio’s role when he sat down for the Sunday Shale Show with Energy In Depth, which will be posted this upcoming Sunday here on the EID blog.
As shale development continues to grow in Ohio, it should be lost on nobody that increasingly diverse groups of people are coming together to voice their support for our state’s economic revitalization.
Tags: AFL-CIO, City of Canton, Energy In Depth, Energy in Depth - Ohio, Jobs, Mayor William Healy, natural gas, Ohio, Plumbers and Pipefitters Local 396, Sean McGarvey, Shale, Stark County, Stark County Oil and Gas Partnership, The Sunday Shale Show, Utica, Utica capital
YPE Canton Brings Ohio Shale Community Together
Thursday, April 11th, 2013 | 0 Comments
Young Professionals in Energy (YPE) is a non-profit energy industry networking organization with over 20,000 members worldwide. The group has more than 20 chapters and is the first and only inter-disciplinary networking and volunteer organization for young people in the global energy industry.
Utica Shale development here in Ohio is often compared to our neighbor in the east — Pennsylvania’s Marcellus Shale. Notably, YPE Pittsburgh was founded in the beginning of 2010 to create an environment for professionals in the industry to learn from one another and facilitate relationships to move the industry forward.
As Ohio’s development began to ramp up, we saw there was an opportunity for Ohioans to do the same. One of the newest chapters, YPE Canton, was founded from our desire to integrate and engage both the community and the growing number of energy professionals in the area.
Although I work primarily within the title department at Purple Land Management North, LLC, I am also responsible for maintaining a positive and professional work environment that will facilitate the growth and development of the next generation of Utica land professionals.
Of course, land professionals are not the only folks who are encouraged to join YPE. From engineers and geoscientists to attorneys and investment bankers, anyone who has a direct professional focus on the global energy sector can benefit from YPE.
While networking social events will be a big part of YPE Canton, our group will have a big emphasis on community service and outreach. The group will promote awareness of volunteer opportunities for its members looking to get involved in community projects. Thus far, companies involved in Utica development have been great neighbors to communities in the operating area and YPEC looks to further that effort.
So why, exactly, is YPE locating in Canton? The biggest reason is that many companies involved in the oil and gas industry have made Canton their home in recent years. Like Carroll County and the Mahoning Valley, Canton and all of Stark County have embraced the coming opportunities from shale development — so much that Canton Mayor William Healy has dubbed the city “The Utica Capital.”
Companies like Timken and Chesapeake Energy have accepted the invitation and are playing a pivotal role in the city’s economic revival. Timken broke ground on its $225 million dollar expansion at the Faircrest steel mill not far down the road in Perry Township. Chesapeake chose nearby Louisville for its 291-acre, multi-building Utica headquarters. Canton has also seen a multitude of other energy or service companies like Rettew Associates and Caiman Energy move into the region, invest in the community, and create new local jobs.
This has also helped spur other jobs connected to the energy industry. Law firms have opened offices in Canton to help businesses and landowners adjust to the growing industry. The Canton Regional Chamber of Commerce has held multiple business seminars focusing on shale development, and several groups in the county even created their own organization — the Stark County Oil & Gas Partnership.
Due to these types of investments (and many more), Stark County is bound to see a significant increase in sales tax revenue and drops in unemployment, not unlike other parts of Ohio benefiting from responsible shale development. In 2012, 38,000 jobs were created in Ohio due to shale development, and Canton workers have certainly been among the beneficiaries.
In that sense, YPE’s Canton chapter is a reflection not only of what shale development has meant to this region, but indeed what it will continue to mean for the community for decades to come.
YPE Canton hopes to bring together an industry that will eventually span all of Ohio and benefit all Ohioans. Our Canton group is dedicated to community outreach in an effort to educate and engage both members and non-members through social, educational and civic service oriented events. The YPE Canton chapter welcomes anyone that is passionate about the energy industry and the future of this community.
To become a member, please go to ypenergy.org and click on the “Become a Member” tab, or email firstname.lastname@example.org.
Tags: Canton, EID-Ohio, Energy, Energy In Depth, Energy in Depth - Ohio, Energy jobs, fracking, Hydraulic fracturing, Jobs, natural gas, Ohio, Shale, Utica, Utica Shale, Young Professionals in Energy, YPE, YPE Canton, YPE Pittsburgh, YPEC
Trucking Job Fair Shows Growing Importance of Shale in Ohio
Friday, April 5th, 2013 | 0 Comments
This week, Oilfield Trucking Solutions, an affiliate of Chesapeake Energy Corporation, held a job fair in New Philadelphia in hopes of finding more than 20 qualified workers to drive water trucks in Canton and Wheeling. As many have heard around the Buckeye State, truck drivers are in high demand, and a large part of the 38,000 jobs shale development created in the state last year were in the trucking industry.
Oilfield Trucking Solutions attracted more than 90 applicants to the job fair, meaning more than four applicants showed up for each job available. Indeed, with high unemployment rates throughout the country, many are looking for well-paying jobs, and work connected to the oil and gas industry certainly fits the bill.
Since we all recognize the need to connect the best-qualified workers with available jobs, organizations like the Ohio Oil & Gas Energy Education Program (OOGEEP) are partnering with training centers, universities, and technical schools to help train a workforce for the industry.
Jobs in the trucking industry specifically have a variety of requirements, including commercial driving experience, a Class A license, and the ability to pass background checks and road tests. Finding applicants that can check all those boxes can sometimes be difficult, which is another reason why OOGEEP has committed to helping train the next generation of Ohio’s workforce.
As more jobs become available throughout the industry, whether direct or indirect supply chain jobs, Ohioans need to be prepared to work in a safe and highly regulated industry. Although we’re still in the early stages of Ohio’s shale development, companies like Chesapeake and their affiliates have already hired thousands of Ohioans. Chesapeake alone has hired more than 550 people since the company came here in 2010. The company has paid more than $34 million in wages and spent around $3.3 billion on capital investment.
As companies continue to invest in Ohio’s future, we’ll see more Ohioans getting the jobs they need — and a continued revitalization of Ohio’s economy. The recent job fair is but a snapshot in the broader progress being made, and that’s certainly good news for our state.
Akron Satellite Internet Company Finds Their Niche in Shale Industry
Tuesday, April 2nd, 2013 | 0 Comments
An Akron company has found its niche in the oil and gas industry. Skycasters, a telecommunications company that provides Internet connections in remote areas, has grown its business thanks to increased oil and gas production in Ohio. They offer portable satellite Internet technology to customers like governments, first responders, and other companies requiring a consistent and reliable Internet connection.
According to the Akron Beacon Journal, Brad Grady, an analyst with a satellite industry market and consulting firm in Massachusetts, estimates that the annual oil and gas market for satellite internet services is about $150 million to $170 million. Grady expects that number to grow to a total of $2.7 billion by 2022.
With this forecasted increase, it’s easy to see why Skycasters is focusing on the oil and gas industry. President Mike Kister explained the role of oil and gas in their business:
“It’s a hugely growing part of the business. I’d say [oil and gas] is probably our largest growing sector. It makes up about 40 percent of our business. So it’s very significant for us.” —Mike Kister (Akron satellite Internet provider digs deep into shale energy, 4/1/13)
Skycasters currently has 30 employees, which allows the company to provide personal service to oil and gas companies in Ohio. The Internet provider has spent about $4 million in the last three years upgrading its facilities as the company expands alongside the growth in Ohio shale development.
So why are oil and gas companies so reliant on a strong Internet connection? The companies require connections for things like video surveillance and to provide personal service to off-duty employees. Kister also highlighted some other important facts:
“As it turns out, shale exploration and site preparation…is a very data intensive operation. There are geologists that help guide this process. Twenty years ago, you had to send a geologist on site. … Very inefficient, and you had to have on geologist for every well. Now we can take that data, use satellite and beam it back to headquarters and the geologists then are able to analyze that data from Well A … and then move on and analyze Well B.” —Mike Kister (Akron satellite Internet provider digs deep into shale energy, 4/1/13)
These off site geologists could be analyzing soil, drill speeds, the direction of the drilling, and materials going in and out of the well and the site. That kind of digitization — made possible by companies like Skycaster — also means increased safety. Being able to monitor and respond to events in real-time is obviously preferable to waiting for a phone call!
As production ramps up in Ohio and shale plays around the country, companies like Skycaster will continue to see their businesses grow. That means increased technological development, and it will help safe processes like hydraulic fracturing become even more efficient.
Economists Note Manufacturing Comeback Thanks to Affordable Energy
Saturday, March 30th, 2013 | 0 Comments
Those involved in the oil and gas industry have been touting America’s “manufacturing renaissance” thanks to affordable natural gas for the last couple years. Now, the theory is garnering broad support from business leaders and economists across the country. National Public Radio ran a story this week about the increase in manufacturing resulting from the incredible technology which provides cheap domestic natural gas.
Hydraulic fracturing has helped guarantee factories and plants with the ability to obtain affordable and reliable energy. Industrial production has grown at a five percent annualized rate since the Great Recession ended, which is more than twice as fast as the economy as a whole. According to IHS Global Insight, an estimated $95 billion worth of plants are being built by companies in the chemical manufacturing industry.
Former president of the National Association of Manufacturers, Jerry Jasinowski, probably knows more about the manufacturing than most. Now an economist, Jasinowski touted the incredible growth the nation is seeing:
We are entering a new era—Jerry Jasinowski (Cheap Natural Gas Pumping New Life Into U.S. Factories, 3/28/13)
Since 2010, around 500,000 manufacturing jobs have been created, making a total of 12 million. While that is significantly less than the 15 million the U.S. enjoyed a decade ago, it still proves we’re moving in the right direction. When transportation costs fall as trains and trucks move to compressed natural gas as their fuel source, the manufacturing industry will cut even more costs and create even more jobs.
Jobs won’t only come from direct manufacturing work. Peter Cella, CEO of Chevron Phillips Chemical Co. in Texas explained indirect jobs will be very important to the industry:
For every one direct chemical job in one of our plants, there are six additional indirect or induced jobs to serve that job—Peter Cella (Cheap Natural Gas Pumping New Life Into U.S. Factories, 3/28/13)
Chevron Phillips Chemical Co. has seen the benefits of this “manufacturing renaissance”, they are investing in a $5 billion expansion of its Cedar Bayou Chemical Complex. Also in Texas, Dow Chemical Co. is making billions of dollars of expansions to their facilities. They plan to add 600 new direct jobs, which doesn’t include the plethora of induced work. Earl Shipp who runs Dow’s operations in Texas told NPR how low-cost energy has changed the industry:
We have low-cost, affordable feed stocks again in North America. It’s the start of what some of us in the industry call a renewal of our industry in the United States—Earl Shipp (Cheap Natural Gas Pumping New Life Into U.S. Factories, 3/28/13)
Here in Ohio, we have seen the resurgence of the steel industry and a move away from the “Rust Belt” stigma. As production continues to ramp up in Ohio and more natural gas becomes available to factories across the country, we will see more Ohioans and Americans find jobs they thought would never return.
Exterran Plant To Come Online in Youngstown
Tuesday, March 26th, 2013 | 0 Comments
In 2010, Exterran Energy Solution Inc. announced it would build a new manufacturing plant in Youngstown. Now, after years of planning and construction, the 60,000-square-foot plant is set to go online in April. Michael Grimland, director of manufacturing at Exterran gave more information about the plant at the Ohio Shale Development: Economic Opportunities Forum Energy In Depth covered in Youngstown.
Grimland explained the company could see $15 million in revenue this year from the plant and once the plant is running at full capacity, revenue could be as high as $40 to $60 million. That, to some extent, depends on the type of equipment the market demands. Exterran built the plant to provide needed equipment for the growing oil and gas industry in the Utica and Marcellus, including compressor stations. Grimland explained in the Youngstown Business Journal the purpose of the plant:
We designed and built this facility to be able to handle all of our different products—Michael Grimland (Exterran Plant to Ramp Up Production in April, 3/12/13)
Of course, the plant will require workers. The company has already hired 61 people and plan to reach 80 as the plant comes online. Exterran selected Youngstown to construct the plant because of the available skilled workforce. Grimland explained that workers in the area are supportive of the industry and possess skills such as welding and fitting and design work. That can’t be found in all parts of Ohio. Many in the industry have expressed the need for more skilled workers throughout the state and organizations like OOGEEP are partnering with universities and training centers to make that happen.
Projects like Exterran’s plant are helping Youngstown and Ohio’s revitalization through permanent hiring, tax revenue, and a need for construction work. Energy In Depth has extensively covered the uptick in construction throughout Ohio’s shale region. Stark County has recently seen an increase in commercial construction thanks to shale, Chesapeake is building three new buildings in Louisville, M3 Midstream is building 3 processing plants and 2 cryogenic plants, and MarkWest Energy Partner’s is building a $500 million project in Cadiz. Those are just a few.
From shale development, Ohio has seen companies flock to the state and build offices and plants. As production continues and midstream facilities come online, more construction will be needed and more jobs will come to the state.
Tags: Chesapeake, Construction, EID-Ohio, Energy In Depth, Energy in Depth - Ohio, Energy jobs, Exterran, Exterran Energy Solutions Inc., Jobs, Mahoning Valley, natural gas, Ohio, OOGEEP, Utica Shale, Youngstown