MDN’s Energy Stories of Interest: Mon, Apr 14, 2025 [FREE ACCESS]

MARCELLUS/UTICA REGION: WVU Extension receives grant to provide free training to oil and gas workers; NATIONAL: You can’t LNG your way out of a trade deficit; Goldman says ESG investors should bring oil and gas stocks in from the cold; Renewing the mandate to safeguard the energy grid; Granholm cashes in; INTERNATIONAL: Abu Dhabi’s Adnoc said to weigh bid for $9B Aethon assets; OPEC+ policy shift ‘highly significant’; Back to Russian gas? Trump-wary EU has energy security dilemma; Congress moves to block IMF support for African oil fund restrictions; US wants Ukraine to handover control of key pipeline carrying Russian gas.

MARCELLUS/UTICA REGION

WVU Extension receives grant to provide free training to oil and gas workers
Buckhannon (WV) MyBuckhannon
West Virginia University Extension Safety and Health has received an OSHA Susan Harwood Training grant to offer free hazardous energy (lockout tagout) training to oil and gas workers in the Appalachian Basin, aiming to enhance workplace safety by preventing injuries from unexpected energy releases. The four-hour “Control of Hazardous Energy for Oil and Gas Workers” course, available in-person or virtually, covers identifying and controlling energy risks, types of energy sources, and incident reviews, targeting high-risk workers in the industry. Led by Tiffany Rice, director of the NRC-WVU OSHA Training Institute Education Center, the program includes a game-based learning module by Wellsite LMS to engage trainees with real-life scenarios. WVU Extension seeks to partner with companies, offering to deliver training at their facilities to promote industry best practices and workers’ rights, building on its extensive safety training portfolio, which includes over 40 OSHA courses. [MDN: Sounds like a good program and a good use of taxpayer money. Safety training is important!]

NATIONAL

You can’t LNG your way out of a trade deficit
OilPrice.com
President Donald Trump is pushing U.S. trade partners like Japan, South Korea, and the EU to increase purchases of American energy goods, such as oil, LNG, and coal, to reduce significant U.S. trade deficits. While these countries have expressed willingness to boost imports to appease Trump, such measures are unlikely to eliminate the deficits, as energy is often their only viable import option from the U.S. For instance, the EU is considering more LNG purchases, but even a proposed $350 billion commitment equals over half its annual LNG imports, much of which is already sourced from the U.S. Despite commitments, tariffs remain a threat, as seen with Taiwan, which faced a 32% tariff despite investing in U.S. energy projects. Japan’s potential increase in U.S. oil imports would still fall short of balancing its $68 billion trade surplus. Trade partners face challenges meeting Trump’s demands amid logistical constraints and ongoing tariff uncertainties. [MDN: Although this column was written by a pro-fossil energy writer we like, Tsvetana Paraskova, we’re not sure we agree with her take on using LNG to lower the trade imbalance. She makes some good points. Click to read the full column.]

Goldman says ESG investors should bring oil and gas stocks in from the cold
CNBC
A Goldman Sachs analyst, Michele Della Vigna, argues that oil and gas stocks should be central to ESG (environmental, social, governance) investment portfolios, challenging their traditional exclusion alongside tobacco and weapons companies. Speaking to CNBC, Della Vigna suggests that, similar to shifting sentiments toward defense stocks post the Russia-Ukraine war, sustainable investors should reconsider fossil fuel companies due to their critical role in the energy transition. He cites three reasons: the energy transition will extend longer than anticipated, requiring new oil and gas development into the 2040s; these companies are major investors in low-carbon energy; and excluding them could hinder affordable energy access, risking energy poverty. However, critics like Saxo Bank’s Ida Kassa Johannesen argue that ESG’s core focus on climate change makes oil and gas inclusion unlikely, though some funds might consider companies with significant renewable investments. This perspective comes as European energy majors prioritize fossil fuels for short-term shareholder gains. [MDN: ESG investing is dead. Goldman understands that. So-called investors like Ida Kassa Johannesen don’t get it and will soon be out of a job, in our humble opinion. Saxo Bank is based in Denmark, meaning Johannesen is a deluded Euro weenie.]

Renewing the mandate to safeguard the energy grid
Forbes
The U.S. energy grid faces significant vulnerabilities from cyberattacks, electromagnetic pulses (EMPs), natural disasters, and physical threats, necessitating urgent action to safeguard this critical infrastructure, as outlined in a Forbes article by Chuck Brooks published on April 13, 2025. With the incoming Trump administration prioritizing national security and infrastructure modernization, the article emphasizes the grid’s importance, comprising over 7,000 power plants and extensive transmission lines across three main regions: the Eastern Interconnection, Western Interconnection, and Texas Interconnected System. Threats like cyberattacks exploiting digital systems, EMPs from solar storms or nuclear events, and physical sabotage could disrupt power, impacting all 18 critical infrastructures reliant on electricity. Modernization efforts, including grid hardening, decentralization, and enhanced cybersecurity, are crucial to mitigate these risks. Public awareness of the grid’s fragility underscores the need for investment and leadership to ensure resilience, supporting the administration’s mandate to protect this vital lifeline of modern civilization. [MDN: Good article pointing out the importance of the electric grid and the fact that we need must protect it.]

Granholm cashes in
Sludge
Jennifer Granholm, former U.S. Energy Secretary under Biden, has taken roles with energy firms tied to fossil fuel and utility interests that lobbied her during her tenure, raising concerns about conflicts of interest. She joined the boards of Edison International and Southern California Edison, companies linked to a utility that received over $600 million in Department of Energy (DOE) grants while she was secretary. Additionally, Granholm became a senior counselor at DGA Group, advising energy clients, including those in oil and gas. As Energy Secretary, she oversaw billions in clean energy investments but also approved major fossil fuel projects, like the Willow Project and Cheniere’s gas export terminal, and supported carbon capture technologies, which some critics argue prolong fossil fuel reliance. Her new positions, starting April 1, 2025, have sparked debate over the revolving door between government and industry. [MDN: Jennifer Granholm was THE dumbest person EVER to hold the position Secretary of Energy. Ergo, you should avoid, at all costs, doing business with or investing in Edison International, Southern California Edison, and DGA Group. They have shown their stupidity in hiring her. Is not the Democrat Party grotesquely corrupt? This is evidence of that corruption.]

INTERNATIONAL

Abu Dhabi’s Adnoc said to weigh bid for $9B Aethon assets
Bloomberg/Rigzone
Abu Dhabi National Oil Co. (Adnoc) is exploring a potential $9 billion bid for the natural gas assets of Aethon Energy Management, a US-based energy investment firm focused on Texas and Louisiana, according to sources familiar with the matter. Adnoc is collaborating with advisers to assess the offer, while other bidders are also eyeing Aethon’s natural gas and midstream assets. The deliberations are preliminary, and no agreements have been finalized, with recent market volatility potentially affecting the deal. This move aligns with the UAE’s broader strategy to invest heavily in the US, exemplified by a $1.4 trillion pledge over the next decade to support American energy production and appeal to President Donald Trump’s investment goals. Adnoc has been actively acquiring global assets, including a recent stake in a Texas LNG project and Exxon’s hydrogen initiative, marking its intent to expand its US presence. Aethon, a key player in the Haynesville shale basin, has grown with backing from RedBird Capital and Ontario Teachers’ Pension Plan. [MDN: We’re fine with other countries wanting to invest in the U.S. and our companies. We are NOT fine with those other countries, especially OPEC countries, outright owning a controlling interest in our companies. We should have a requirement that at least 51% of any company be owned by Americans.]

OPEC+ policy shift ‘highly significant’
Rigzone
In a recent report by Standard Chartered Bank, analysts, including Commodities Research Head Paul Horsnell, described OPEC+’s April 3 policy shift as highly significant, particularly the accelerated unwinding of voluntary production cuts. Initially surprising the market, the move was anticipated by the bank due to ongoing issues with compliance among OPEC+ members. The analysts emphasized three key points: the policy targets OPEC+ members to enhance group credibility, not non-OPEC+ producers like U.S. shale; the scale of the acceleration won’t create a Q2 supply surplus, maintaining market tightness; and the decision was independent of external influences, such as U.S. tariff policies, despite their coincidental timing. The report notes that U.S. shale faces challenges from tariffs and other internal factors, not OPEC+ actions. OPEC+ plans a production increase of 411,000 barrels per day in May 2025, with the flexibility to adjust based on market conditions, aiming to stabilize the oil market while ensuring compliance. [MDN: OPEC+ is finally openly admitting what everyone knew for years: There is no honor (or discipline) among thieves. Although they had production quotas, those quotas were routinely ignored by member countries. So the group of thug dictators is going to turn everyone loose to produce what they want to produce, which will inevitably crash the price of oil. At least for a while. So, buckle up. It’s going to be a wild ride.]

Back to Russian gas? Trump-wary EU has energy security dilemma
Reuters
Over three years after Russia’s invasion of Ukraine, Europe’s energy security remains precarious, with reliance on U.S. liquefied natural gas (LNG) exposing new vulnerabilities amid strained U.S.-EU relations under President Donald Trump, who uses energy as a trade bargaining chip. European businesses, particularly in Germany’s chemical sector, are now considering resuming limited Russian gas imports, including from Gazprom, to stabilize prices, which remain high at 35 euros per megawatt hour compared to 20 euros pre-crisis. This shift reverses the EU’s 2022 pledge to phase out Russian energy by 2027, prompted by fears of U.S. LNG becoming a geopolitical tool and potential export curbs if U.S. domestic demand rises. While the EU plans to increase U.S. LNG imports to reduce trade surpluses, executives like those at France’s Engie and TotalEnergies advocate diversifying supply, suggesting Russian gas could meet 20-25% of EU needs if peace is achieved in Ukraine. [MDN: Simply amazing. It’s as if Putin’s illegal invasion of Ukraine and the death of over 100,000 troops and civilians never happened. Germany and other Euro weenies are spineless. No wonder Germany and other European countries are now the equivalent of third-world banana republics.]

Congress moves to block IMF support for African oil fund restrictions
Forbes
U.S. lawmakers, led by Republican Representatives Bill Huizenga and Dan Meuser, have introduced legislation to block International Monetary Fund (IMF) support for Central African countries enforcing regulations that threaten billions in oil and gas investments. The bill targets the Central African Economic and Monetary Community (CEMAC) and the Bank of Central African States (BEAC), which require international oil companies to deposit environmental restoration funds into BEAC-controlled accounts, aiming to bolster regional economies. Critics argue these funds, meant for post-production cleanup, are being misused to prop up local currencies, violating IMF obligations. The legislation, named the CEMAC Act, would bar U.S. Treasury support for IMF proposals involving CEMAC nations until the IMF clarifies that these funds cannot count as foreign exchange reserves. The IMF is monitoring the situation, encouraging negotiations, while CEMAC faces economic fragility, with potential debt crises looming by 2029. [MDN: The African countries want to grab money deposited for one purpose, environmental cleanup in the future, for another purpose, to prop up their failing economies. No thanks. We hope this bill passes and is signed into law by President Trump.]

US wants Ukraine to handover control of key pipeline carrying Russian gas
NDTV
The Trump administration has escalated demands in talks with Ukraine, proposing a deal that would grant the U.S. significant control over Ukraine’s natural resources, including rare earth minerals, oil, gas, and a critical pipeline previously used to transport Russian gas to Europe. Initially floated in February, the U.S. proposal now seeks $500 billion in resources and control of a Gazprom pipeline, described as a “maximalist” shift from earlier terms, according to Reuters. The deal is framed as “payback” for U.S. aid to Ukraine, estimated by Trump at $300-$350 billion. However, the proposal lacks security guarantees for Ukraine, a key concern for President Zelensky, who seeks mutual benefits and modernization through any agreement. Negotiations have grown tense, with Ukraine resisting what some call “colonial-type” demands. Kyiv has hired legal advisors, but prospects for agreement remain dim amid an antagonistic atmosphere. [MDN: As much as it pains us to say this, it’s time to cut off Ukraine aid. All of it. We’ve sunk enough money into a losing war. It’s not our war. Let the Euro weenies fund it. We need to say goodbye to Ukraine and Zelensky.]