Thursday, December 16, 2010

It's Full Drill Ahead for Cabot Oil

Cabot Oil and Gas Corporation agreed to pay 4.1 million to 19 homes affected by methane contamination.  Most homes will receive twice their home value and no less than 50 thousand.  Cabot also agreed to install whole-house mitigation systems. 

The original proposal was for Pennvest to build an 11.8 million dollar pipeline to link to the PA American Water Company.  Pennvest was going to go after Cabot for the money through the court system.

From the article:

Mr. Hanger said it became clear the waterline would not be built after Republicans won control of both the governorship and the General Assembly during the November elections.

"Cabot's opposition was the opposition of elected members of the General Assembly, whom we respect. Two sit on the Pennvest board and voted against the waterline," he said, naming state Sen. Donald White, R-41, Indiana, and state Rep. Dick Hess, R-78, Bedford.

"It is quite likely that their views will in fact be in the majority come January at Pennvest," he said."
Many Dimock residents in favor of the gas industry claim the homes were contaminated for longer than 10 years.

It does look like the investment of the gas industry to elected officials has paid immediate dividends.

The settlement between Cabot and DEP does not preclude residents from continuing with a lawsuit many families filed against Cabot alleging damage to their health and property because of the company's operations.

Translation, Cabot will tie that up in court for years.

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