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DECLARE YOUR OWN ENERGY INDEPENDENCE Thrifty's unique transparent pricing and commitment to service and pure HD5 propane has aroused the wrath of the industry. Thrifty has also dared to speak out concerning the state of the propane industry: where it seems that too few have profited too much for too long from prices that are too high for product of uncertain quality. Over the years we have observed hints and shadows of cozy arrangements by which the market in the "dump ground states" has been parceled out by the refineries to specific marketers in particular territories. This looks like nothing less than a feudal system of control, in which the market is rigorously controlled through territory and customers are bought and sold within each territory like serfs. We have challenged this system, and our challenges continue with our lawsuit against the National Propane Gas Association, and our challenges to rate tariffs before the Federal Energy Regulatory Commission. Thrifty stands for a free market where propane users make free decisions. Thrifty Propane has no territories: it will sell to anyone, whether they own their own tank, or desire to lease a tank from us. We even sell tanks with a 10 year guarantee. We have such confidence in the quality of our service, the quality of our pure HD5 propane, and the fairness of our pricing that we know people purchase from us because they have chosen to do so. The testimonials we receive make that abundantly clear. Don't stay mired in a bad bargain, declare your own energy independence with Thrifty Propane, the premium propane company.
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HYDRO-FRACTURING IN THE MARCELLUS FORMATION In the last newsletter, we discussed the Marcellus Formation,an ancient layer of gas-bearing shale stretching from central New York State to Pennsylvania, Ohio, West Virginia and Tennessee. To get the natural gas found in tiny droplets within hard shale to flow to the surface, a method, called "hydro-fracturing," is used to break up the shale deep underground. This method was first developed in Texas in the late 1940s to extend production of wells that were beginning to play out. In the earliest method, brine was injected into the well at pressure to break up the rock beneath so that oil trapped in the formation could flow up to the surface. The first use of horizontal hydro-fracturing was developed by drillers in the Barnett formation in Texas, working with Halliburton, the dominant field-service provider. Horizontal drilling was refined, greater pressures were used and formulas for the "slick water" fracturing fluid developed. This formula included sand, to hold open the fractures, surfactants and gels to help the fluid move more easily into the formation, and a host of other chemicals to protect the drilling pipe and the machinery. In 2002, Range Resources applied these hydro-fracturing methods to the first exploration of the Marcellus Formation in Washington County, Pennsylvania. Today, hundreds of wells in Pennsylvania have been drilled using hydro-fracturing or "fracing." The representative fracing involves the pumping of the fracturing fluid at 15,000 pounds per square inch through a perforated pipe up to 1500 feet long, 8,000 feet below the surface. This takes approximately 2 million gallons of water, which is combined with sand and chemical cocktail that includes surfactants, gels, benzene and other chemicals. This fluid is returned to the surface once the process is completed, where it is stored in retention ponds on the "well pad," which is generally 2 to 5 acres, until it is trucked off for recycling or filtered on site. After this process is complete, the natural gas comes to the well head, pushed up by the pressure below ground.
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BP DISASTER UPDATE The BP disaster story is not over, while the failed "blow-out preventer" has been raised and stowed as evidence at NASA, and the relief well nears its goal, political wrangling and liability contests continue. The disaster dominated the Southern Governors' Conference, as the new CEO of BP, Robert Dudley, assured the governors that BP remained committed to the clean-up and compensation to those injured in the disaster. Meanwhile, the hearings into the disaster continued, in which testimony was offered that indicated BP took fatal short-cuts in the hours before the explosion. These short-cuts were taken to save money, since the well was running over-budget. On another front, BP is fighting legislation that proposes to ban firms with 10 or more fatalities within two years from drilling in the Gulf. While the United States struggles with its policy decisions in the wake of the disaster, Petrobras, Brazil's major oil company, has issued the "world's largest stock offering" to raise $64 Billion for off-shore drilling in Brazilian waters. The United States is not the only oil-thirsty nation, and we have a duty now, with the terrible lessons learned, to show leadership in this critical arena.
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