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Mike the Loser, Dallas the Winner

September 13, 2013


With the denial of the Trinity East Energy leases recently, many in Dallas City Hall were not happy with the outcome. Dallas mayor Mike Rawlings came into the chambers that morning mad as hell. He already knew that he would most likely lose with a thin majority to approve the Trinity East Energy special use permits. In the afternoon session, his attitude got worse. When it came time for a vote, a  much larger majority overruled Mike’s attempts to placate the gas industry and put Dallas residents in harm’s way. Dallas residents have wone every single time that the gas industry has tried to win on drilling inside Dallas city limits. Mike lost that vote, Dallas won, again. Currently, there are no gas lease applications at Dallas City Hall waiting for approval. The Dallas Planning Commission is almost finished writing a tougher gas ordinance and the gas industry is not happy either.

ThiS video below were shot just this week by Texas Sharon, in the Eagle Ford Shale area of Central Texas.

This is what Dallas missed out on having in their backyard. Thank god that the Mayor of Dallas lost that vote. Dallas residents won, again.



One Comment leave one →
  1. September 13, 2013 12:00 pm

    Yes! Dallas citizens prevailed over city government and our shadow government, the Dallas Citizens Council, which has tried backroom dealing and underhanded tactics since before most of us even knew anything about gas drilling.

    The gas industry people are throwing a hissy fit over being denied the right to drill in Dallas. Considering that the Society of Petroleum Engineers, who are the EXPERTS on this subject, have stated three weeks ago that there is no viable quantity of gas to be produced in Dallas it makes you wonder what is the real motivation for trying to drill here. I have a theory.

    Trinity East is a small company with limited resources. They managed to con a few million dollars from some investors in the hope that they would win the right to drill in Dallas, and that some major gas company would then buy them like ExxonMobil bought XTO Energy making the TE owners billionaires and letting somebody else worry about drilling and producing gas in Dallas.

    The kicker is that Dallas City Council hired an outside, independent oil and gas attorney to advise them on the prospects of being sued by TE if TE was denied permits to drill. That independent oil and gas attorney was paid a handsome fee for his advice. He told the Dallas City Council that there is a chance that TE would sue, that if they did sue there was a 50% chance of TE winning, and that if TE did win, then their likely maximum recovery would be about $2 Million. It would cost them more than that to sue, and win or lose, it would exacerbate the losses TE has already taken in Dallas.

    These are oil and gas guys. They KNEW there was no gas to be found here. They KNEW that their leases prohibited drilling on park land and in floodplains before they signed them. They KNEW they needed amendments to existing city ordinances before being allowed to drill. They KNEW that the ordinance process is a police power than cannot be contracted away. They KNEW that there was a chance that Dallas City Council would NOT approve allowing drilling in parks and floodplains. They KNEW all of this because Chairman Thomas Blanton and President Steve Fort are attorneys with a lot of experience in oil and gas matters. Yet, they took a major gamble on a long shot and lost anyway.

    Before making the statement that TE would sue Dallas for “$100 Million” the Mayor already KNEW that TE was unlikely to recover more than $2 Million, and that the negative publicity, time and effort, as well as capital resources necessary to pursue legal action, would be detrimental to TE and to the oil and gas industry as a whole.

    There is just no explaining greed and how it motivates men to do dumb things in pursuit of their own self interest.

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