MDN’s Energy Stories of Interest: Fri, Jul 25, 2025 [FREE ACCESS]

MARCELLUS/UTICA REGION: McCormick touts Pa. summit as key to US energy and tech leadership; OTHER U.S. REGIONS: Texas must balance speedy data center buildout with risk of stranded costs; Halliburton CEO warns of ‘softer’ OFS market; Chevron alerts Texas to 575 layoffs at Hess’ Houston office; Poll finds NJ residents prioritize energy security over radical climate policies; NATIONAL: Natural gas price volatility fell over the first half of 2025; EPA Administrator Zeldin is the most important man in Washington; Wells Fargo charged with complicity by climate crazies; Data center developers increasingly exploring off-grid options for power generation; Gas boom grows, solar boom slows amid a failing energy transition; INTERNATIONAL: Oil rallies on trade talk momentum; China’s fossil fuel imports from US tank before trade talks; Green hydrogen retreat poses threat to emissions targets.

MARCELLUS/UTICA REGION

McCormick touts Pa. summit as key to US energy and tech leadership
Pittsburgh (PA) Business Times/Paul Gough
In his first Senate floor speech on Thursday, U.S. Sen. Dave McCormick highlighted the Pennsylvania Energy & Innovation Summit, emphasizing its role in showcasing the state’s potential to lead in energy and technology for national prosperity. Held in Pittsburgh, the summit attracted prominent figures, including President Donald J. Trump, Cabinet secretaries, labor leaders, and CEOs from major energy, technology, and investment firms. McCormick described Pennsylvania as a critical hub for energy and AI, noting that the summit secured investment pledges ranging from $90 billion to $108 billion for projects like power plants, AI data centers, and the conversion of a coal-fired plant to natural gas. These investments, including significant commitments from companies like EQT and GE Vernova, underscore the need for bold, bipartisan leadership to address national challenges. McCormick stressed that embracing AI and achieving energy dominance requires innovative coalitions to drive economic growth and maintain U.S. competitiveness. [MDN: This is what real leadership looks like. Can you imagine if PA had kept the complete dud Bob Casey Jr.? What a complete loser he was. PA made the right choice with McCormick, and now, the state is reaping the fantastic rewards of selecting him. Now if could just get rid of Shapiro in the next election…]

OTHER U.S. REGIONS

Texas must balance speedy data center buildout with risk of stranded costs
Utility Dive/Robert Walton
Texas is grappling with a rapid data center buildout, projected to drive over 100 GW of load growth by 2030, prompting stakeholders to address the balance between swift development and the risk of stranded transmission costs, as discussed in a Utility Dive article. The Electric Reliability Council of Texas (ERCOT) anticipates significant grid demand from data centers, fueled by cryptocurrency mining and AI growth. Senate Bill 6 (SB 6) proposes reforms to ensure grid reliability, including cost allocation for transmission upgrades. Stakeholders like Clif Lange from South Texas Electric Cooperative argue that all loads, including those with behind-the-meter generation, should contribute to transmission costs to prevent unfair burden on other consumers. Concerns persist about speculative data center projects inflating demand forecasts, potentially leading to overbuilt infrastructure. ERCOT and the Public Utility Commission of Texas are refining cost allocation and interconnection processes to mitigate risks while supporting economic growth. [MDN: No doubt it is a fine balancing act to ensure we continue to build out for data centers, but not unduly burden local ratepayers. The data centers themselves need to shoulder the cost. Texas will figure it out and show the rest of the country how it’s done.]

Halliburton CEO warns of ‘softer’ OFS market
Rigzone/Andreas Exarheas
Halliburton’s Chairman, President, and CEO Jeff Miller announced a softer-than-expected oilfield services market in the company’s Q2 2025 results, projecting near- to medium-term challenges. Despite this, Halliburton reported a net income of $472 million ($0.55 per diluted share), up from $204 million in Q1, with total revenue at $5.5 billion, a slight increase from $5.4 billion in Q1. Operating income rose to $727 million from $431 million. The Completion and Production segment saw a 2% revenue increase to $3.2 billion, driven by improved pressure pumping and completion tool sales, though operating income fell 3% due to lower pricing in U.S. Land. Drilling and Evaluation revenue grew 2% to $2.3 billion, but operating income dropped 11% due to seasonal software sales declines. North America revenue remained flat at $2.3 billion, while international revenue rose 2% to $3.3 billion, with growth in Latin America and Europe/Africa offset by a 4% decline in Middle East/Asia. Miller emphasized Halliburton’s technological and service execution strengths, maintaining confidence in its strategy and shareholder value commitment. [MDN: Seems to us that overall, things are fine on the OFS front. Remember that a lot of Halliburton’s revenues are derived from drilling for oil.]

Chevron alerts Texas to 575 layoffs at Hess’ Houston office
Hart Energy
Following its $53 billion acquisition of Hess Corp., Chevron is reducing the Hess workforce by over one-third, cutting 575 jobs at Hess’s Houston office at 1501 McKinney St., as detailed in a July 21 letter to the Texas Workforce Commission under the WARN Act. The layoffs, set to begin on September 26, are part of a strategic integration to enhance long-term competitiveness, according to Chevron’s general manager for state government affairs, Julie Williams. Hess employed 1,585 people in the U.S. and 212 abroad as of late 2024. Chevron is offering severance pay, health coverage cost assistance, and transition services to affected employees. This follows 200 layoffs in the Permian Basin in July and a plan to cut up to 20% of Chevron’s global workforce by 2026. The acquisition, announced in October 2023, faced delays due to Exxon Mobil’s challenge over Hess’s 30% stake in Guyana’s Stabroek Block, which was resolved on July 18, allowing the deal to close. [MDN: An unfortunate part of M&As. We intensely dislike this aspect of M&As. That’s 575 families thrown into crisis, although one could argue they should have seen this coming over the past year or more. Still, it’s a big blow to the people are represented as nothing more than a number.]

Poll finds NJ residents prioritize energy security over radical climate policies
RealClearEnergy
A recent poll by Independent Women’s Voice reveals that 85% of likely New Jersey voters, including 83% of women, are concerned about rising energy costs due to Governor Phil Murphy’s Energy Master Plan, which mandates 100% clean energy by 2035 through renewables like solar and wind. The plan, estimated to cost $1.4 trillion, has led to a projected 20% utility bill hike, temporarily delayed until after September 30th. With 80% of swing voters worried about energy reliability, the closure of five coal plants and a nuclear facility since 2017 has made New Jersey a net-energy importer, relying heavily on natural gas (49%) and nuclear (42%), with renewables at just 8%. Critics warn that replacing reliable power with renewables risks grid instability, especially with rising electricity demands. Voters, particularly swing voters and women, are increasingly skeptical of Murphy’s policies, favoring reliable energy solutions like small modular reactors over costly, less dependable climate initiatives. [MDN: We keep hoping voters will wake up and toss these radical jerks out of office—for good. NJ electric bills doubling may help that happen.]

NATIONAL

Natural gas price volatility fell over the first half of 2025
U.S. Energy Information Administration – Today in Energy
The average historical volatility of the Henry Hub front-month futures price, a key U.S. natural gas benchmark, decreased from 81% in Q4 2024 to 69% by mid-2025, reflecting a return to typical seasonal patterns and greater market stability as storage inventories normalized near the five-year average. After extreme inventory fluctuations since 2022, recent quarters showed more consistent price movements, supported by record storage injections. A polar vortex in January 2025 drove high consumption, causing a significant storage withdrawal and spiking 30-day volatility to 102% on February 3, the highest since March 2023. By Q2 2025, robust weekly injections exceeding 100 Bcf for seven consecutive weeks—the longest streak since 2014—pushed inventories 6% above the five-year average, easing supply concerns and reducing volatility. Historical volatility, measuring daily price changes relative to past averages, highlights how supply, demand, and inventory shifts influence market uncertainty. [MDN: High volatility implies larger and more frequent price swings, while low volatility suggests more stable prices. The price of natgas has been more stable recently—fewer wild price swings.]

EPA Administrator Zeldin is the most important man in Washington
Institute for Energy Research/Thomas J. Pyle
The article highlights EPA Administrator Lee Zeldin’s pivotal role in advancing President Trump’s energy abundance agenda following the passage of the One Big Beautiful Bill on July 24, 2025. Zeldin’s EPA is undertaking significant deregulatory actions, including proposing the repeal of Biden-era greenhouse gas (GHG) emissions standards and mercury and air toxics regulations that burden energy producers, particularly coal and natural gas plants. These rules, criticized for ignoring technical feasibility and cost, threatened to force plant closures and divert investment from reliable energy sources. The EPA’s “Powering the Great American Comeback” Initiative aims to balance environmental protection with economic growth, recognizing that overly restrictive regulations hinder innovation in cleaner energy technologies. The article calls for eliminating the 2009 Endangerment Finding, which labels GHG emissions as harmful, to prevent future regulatory overreach. Zeldin’s approach marks a shift from Biden’s anti-energy policies, promoting energy freedom and economic prosperity. [MDN: Aside from Trump himself, we could not agree more with this article that Zeldin is the most important guy in the swamp. He is doing the unbelievable—reforming and remaking the out-of-control EPA. That agency has (for years) been the left’s favorite tool to control the country. No more. Zeldin is permanently remaking the agency so that the left can never abuse its powers again.]

Wells Fargo charged with complicity by climate crazies
CounterCurrents/Phil Pasquini
On July 23, climate crisis activists, joined by Standing Rock and Cheyenne River Grassroots tribal members, protested at Wells Fargo’s San Francisco headquarters and other offices nationwide, demanding the bank divest from environmentally and socially harmful investments. They blocked entryways, occupied a plaza, and painted a mural to highlight Wells Fargo’s funding of the Dakota Access Pipeline, fossil fuels, private prisons, Palantir’s surveillance programs for ICE deportations, and Israel’s actions in Gaza, as well as its proposal to privatize the US Postal Service’s delivery system. Indigenous activists emphasized “Mni Wiconi” (Water is Life), stressing the pipeline’s threat to their water resources. Speakers, including Sharif Zakout, linked Indigenous and Palestinian struggles, condemning profit-driven climate destruction. The protest referenced a UN court ruling on climate change’s legal implications. Over a dozen activists were arrested for chaining themselves together, while a SLAPP lawsuit against Greenpeace for pipeline protests was criticized as an attack on free speech. [MDN: An article written by climate crazies for climate crazies. We bring you this blurb to say that if these people want to make silly a–es of themselves (which they excel at doing) by preening around and chanting, fine. That’s free speech. But the minute you “block access” to anything, you’ve crossed a line and you NEED to go to jail.]

Data center developers increasingly exploring off-grid options for power generation
RBN Energy/Lisa Shidler
The article discusses the growing energy demands of data centers, driven by the rise of AI, and explores whether these facilities should rely on the regional electric grid or generate power on-site. Data centers, consuming up to 50 times more energy per square foot than typical commercial buildings, traditionally prefer grid connections for reliability, scalability, and access to renewable energy credits, with 98% currently grid-connected. However, grid connection delays, which can take 5-10 years, are pushing developers toward off-grid solutions like microgrids or fully on-site generation using natural gas turbines or fuel cells. While off-grid options offer faster deployment and greater control, they risk higher disruption compared to the grid’s redundancy. Notable off-grid projects include xAI’s Memphis facility, Stargate in Abilene, TX, and others in Ohio and Texas. Despite grid reliability, the article highlights that speed and control are driving interest in off-grid power, with 30% of new data centers expected to adopt it by 2030. [MDN: A good primer for understanding the issues for data centers in connecting to the grid vs. off-grid alternatives.]

Gas boom grows, solar boom slows amid a failing energy transition
Forbes/David Blackmon
The article discusses the shifting energy landscape in the U.S. under Donald Trump’s second presidency, highlighting a boom in natural gas generation driven by AI data centers’ demand for reliable, affordable power. Federal policy changes, including the One Big Beautiful Bill Act (OBBBA), are phasing out tax breaks and subsidies for renewables, stalling the solar industry as manufacturers like Bila Solar suspend expansion plans and projects face cancellations. Natural gas is favored for its abundance, low cost, and ability to provide constant power, with turbine manufacturers like GE Vernova expanding production to meet demand despite long backlogs. While Energy Secretary Chris Wright sees a commercial future for solar without subsidies, the industry struggles to adapt. Meanwhile, natural gas faces challenges in rapidly scaling infrastructure to sustain its growth, particularly in states less receptive to fossil fuels, amid past reliability issues like Texas’ 2021 freeze-ups. [MDN: We’ll bottom-line it for you: Energy sanity has returned under Donald J. Trump.]

INTERNATIONAL

Oil rallies on trade talk momentum
Bloomberg/Mia Gindis, Alex Longley
Oil prices surged as technical buying amplified a rally driven by progress in US-EU trade talks, which are nearing a 15% tariff agreement, lower than the 30% levy previously threatened by President Trump, alleviating investor concerns. West Texas Intermediate rose 1.2% to settle at $66.03 per barrel, breaking through its 50-day moving average, while Brent gained 1% to $69.18. The rally offset earlier declines triggered by the US allowing Chevron to resume oil production in Venezuela, raising fears of oversupply in an already saturated market. Despite halted US imports of Venezuelan crude, down from 300,000 barrels daily in January, energy products from Venezuela still constitute 15% of waterborne deliveries to the US Gulf Coast. Analysts suggest this policy reversal may address supply issues and counter barrels redirected to China. However, global oil markets remain volatile, with tight diesel supplies offset by anticipated OPEC+ production increases. [MDN: The big picture view is that oil continues to trade in a narrow window of the mid $60s to perhaps the low $70s. Which is good.]

China’s fossil fuel imports from US tank before trade talks
Bloomberg
In June, China’s imports of US crude oil, liquefied natural gas, and coal dropped to nearly zero, a significant shift amid resuming US-China trade talks. This decline follows Chinese tariffs of 10-15% imposed since February, a response to the Trump administration’s trade war, making US energy exports less competitive. Last year, China’s US crude purchases were worth $800 million, while coal imports exceeded $90 million, but recent data shows a complete halt in crude imports and minimal coal purchases. China has diversified its energy sources, primarily to Saudi Arabia and Russia, with the US barely ranking among its top suppliers. This shift reflects strategic moves to counter US tariffs and sanctions, alongside economic factors like domestic oversupply and weak demand. As trade negotiations continue, with US Treasury Secretary Scott Bessent set to meet Chinese counterparts, the halt in US energy imports could influence efforts to address the trade gap, though other issues like fentanyl and rare earths dominate discussions. [MDN: We are in an economic war with China, and we need to win it. Apple and other Big Tech companies need to stop using manufacturing facilities in China and relocate them back here at home, or possibly in other countries. It’s time to kick China where it really hurts—in the pocketbook.]

Green hydrogen retreat poses threat to emissions targets
Reuters/P. Lombardi, N. Chestney, R. Alkousaa
Green hydrogen projects worldwide are being canceled or scaled back, threatening global emissions reduction targets as reliance on fossil fuels may persist longer than planned. High costs and insufficient demand have rendered many projects unprofitable, with only about 20% of planned European Union hydrogen projects (12 GW of capacity) expected to be operational by 2030, far below the EU’s 40 GW target. Companies like EDP and Iberdrola have stalled projects due to a lack of buyers, while industries such as steel and transportation find green hydrogen prohibitively expensive compared to natural gas and grey hydrogen. Infrastructure challenges, including storage and transportation difficulties, further hinder progress. Despite government subsidies, the high cost of electrolyzers and energy, coupled with delays in projects like Spain’s hydrogen network, suggest green hydrogen may not be competitive for another decade, jeopardizing the global goal of 450 million metric tons of low-carbon hydrogen capacity by 2050. [MDN: So-called green hydrogen is made from water by passing an electric current through it (with the electric coming from unreliable renewable energy sources like wind and solar). Green hydrogen has been and continues to be a Big Green scam. It only works when heavily subsidized by taxpayers, and governments worldwide are quietly abandoning the scam.]