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NY gas driller Norse Energy files for Chapter 11

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ALBANY, N.Y. (AP) — A natural gas drilling company that had counted on tapping the riches of New York’s part of the Marcellus Shale has filed for Chapter 11 bankruptcy protection while the state’s 4-year-old moratorium on hydrofracking remains in place.

Norse Energy Corp., based in Oslo, Norway, announced Friday that its western New York-based U.S. subsidiary had filed a voluntary petition for Chapter 11 reorganization.

Norse has 130,000 acres under lease for gas drilling in New York state. But the state Department of Environmental Conservation has had a moratorium on drilling permits since it launched an environmental impact review in 2008.

The DEC is developing new regulations for fracking, or high-volume hydraulic fracturing, a controversial technology used to free gas from shale.

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