MDN’s Energy Stories of Interest: Wed, Jul 16, 2025 [FREE ACCESS]

MARCELLUS/UTICA REGION: What Pennsylvania can learn from Louisiana about energy policy; Wärtsilä engines selected to deliver reliable power for U.S. data center; NATIONAL: Energy leaders warn of power shortfall in AI competition, urge swift action; Sunnova’s Enron-ish ending; Made-for-court climate study completely fails science gold standard; Natural gas – the workhorse of American energy dominance and security; U.S. LNG feedgas demand continues to climb; INTERNATIONAL: Crude falls amid stronger dollar, supply risk doubts; Japan’s ‘largest-ever’ cruise ship, LNG-fueled Asuka III, christened in Yokohama; EU efforts to move away from Russian gas add uncertainty to global LNG market; Why natural gas is still thriving in a world chasing net zero; Energy-hungry India offers opportunities for U.S. oil, natural gas exports.

MARCELLUS/UTICA REGION

What Pennsylvania can learn from Louisiana about energy policy
RealClearEnergy/Elizabeth Stelle
The article argues that Pennsylvania, a major energy producer, can learn from Louisiana’s energy policy to prioritize affordability and reliability over restrictive green mandates. Louisiana’s approach, exemplified by Governor Jeff Landry’s policies, emphasizes energy abundance through fossil fuels, attracting significant investments like Meta’s $10 billion data center due to reliable power and lower costs. In contrast, Pennsylvania faces economic challenges, with high electricity prices and outmigration driven by costly green policies like the Regional Greenhouse Gas Initiative (RGGI) and the Alternative Energy Portfolio Standard (PRESS), which raise utility bills without voter support. The article highlights Louisiana’s rejection of federal overreach and its focus on natural gas, suggesting Pennsylvania could benefit by leveraging its vast Marcellus shale reserves to lower costs, boost jobs, and ensure grid reliability. This pragmatic strategy could help Pennsylvania avoid the pitfalls of states like California, where green mandates have led to soaring electricity rates. [MDN: Good advice. Be more like Louisiana. The problem is, PA has a Democrat governor and Democrat-controlled House.]

Wärtsilä engines selected to deliver reliable power for U.S. data center
Wärtsilä Corporation
Technology group Wärtsilä has secured a contract to supply 282 MW of flexible, natural gas-powered engines for a new data center project in Ohio, USA, with the order booked in Q2 2025. The onsite power facility will utilize fifteen Wärtsilä 18V50SG engines to deliver reliable, efficient, and sustainable power directly to the data center, addressing the growing energy demands of such facilities. Wärtsilä’s modular engine design ensures quick construction and integration, high reliability, fuel efficiency, and resilience to high temperatures, making it ideal for data center applications. The engines also offer lower emissions compared to competing technologies and are designed for future integration with lower-carbon fuels and renewables. Deliveries are scheduled to begin in late 2026 and continue into 2027, with this project pushing Wärtsilä’s total delivered capacity in the U.S. beyond 6,000 MW. [MDN: Please note a previous note here said that Wärtsilä manufactures gas turbines, which was an incorrect statement. Wärtsilä manufactures reciprocating internal combustion engines, which is a different technology from gas turbines. For more details on the difference, see this page.]

NATIONAL

Energy leaders warn of power shortfall in AI competition, urge swift action
Pittsburgh (PA) Business Times/Paul Gough
At the Pennsylvania Energy and Innovation Summit, Anthropic CEO Dario Amodei emphasized that the global race for AI dominance is critical for the future, highlighting the urgent need for sufficient energy to power AI infrastructure. Speaking at Carnegie Mellon University, he stressed securing the AI supply chain, including chips, data centers, and energy production, noting China’s aggressive energy expansion for AI. Amodei urged the U.S. to rapidly build energy capacity within three years to compete, particularly against China. U.S. Energy Secretary Chris Wright compared the effort to the Manhattan Project, calling AI a national priority. BlackRock CEO Larry Fink advocated for natural gas as a short-term energy solution for AI, with nuclear as a long-term goal, while ExxonMobil’s Darren Woods and Bechtel’s Brendan Bechtel pushed for bipartisan permitting reform to expedite power plant construction, warning that delays could hinder progress for a generation. [MDN: It was disappointing that BlackRock’s Fink was there spreading his gospel of “short-term” natural gas. That was the only blunder for yesterday’s big energy event in Pittsburgh. Anywho, a lot of big names saying big things about AI and the need for us to source chips and everything else needed for AI right here at home. Screw the Chinese and everyone else. We need to build this ourselves for security reasons.]

Sunnova’s Enron-ish ending
Master Resources/Robert Bradley Jr
The blog post “Sunnova’s Enronish Ending,” published July?16,?2025, criticizes Sunnova Energy’s collapse as reminiscent of the Enron scandal. It highlights how the company’s flashy dealer summit in San Diego concealed deep financial instability: dealers, including one owed over $680,000, were promised repayment but remained unaware of the firm’s severe liquidity issues and its negotiations with bankers. Within weeks, Sunnova warned it might not survive, and by June, it had filed for Chapter?11, leaving 175 dealers owed roughly $347?million. Former CEO John Berger, described as an “Enron?ex,” defended his transparency at the summit and attributed the firm’s financial cushion to a DOE-guaranteed $2.92?billion loan and a later $185?million from KKR—claims the author deems illusory. By the time Berger was dismissed, dealers faced widespread losses and potential legal battles, as Sunnova warned it would enforce restrictive project-transfer clauses, leaving contractors “playing chess” far too late. [MDN: Sounds like the Solyndra debacle during the Obama years. When will we learn that dumping taxpayer money down solar ratholes doesn’t work?]

Made-for-court climate study completely fails science gold standard
Jason Isaac — American Energy Works
Jason Isaac critiques a recent Nature study used in court to support aggressive climate-change litigation, saying it “completely fails the gold standard.” He argues the study was crafted to influence legal proceedings rather than contribute genuine scientific understanding. Isaac asserts it misrepresents climate risk, employs questionable methods, and exaggerates human influence without adequately accounting for natural variability. He highlights that such court?tailored science undermines public trust, allowing policy and legal strategies to exploit uncertain findings. According to Isaac, scholars and judges should demand higher rigour and transparency; otherwise, courts will rely on faulty evidence to justify sweeping regulatory or judicial decisions. He concludes that this specific study exemplifies the dangers of “manufactured” science designed for legal impact, urging stricter peer review and methodological integrity to prevent the misuse of climate research in court. [MDN: Junk science used by junk judges leads to junk decisions.]

Natural gas – the workhorse of American energy dominance and security
Utility Dive/Brigham McCown
The article from Utility Dive emphasizes natural gas as a cornerstone of American energy dominance and security, serving as a vital export to allies in Europe and Asia, a reliable backup for grid stability during peak demand, and a bridge fuel that supports the integration of renewable energy sources. It argues that restricting natural gas production or access could increase costs, reduce grid reliability, and weaken global competitiveness. The piece advocates for a pragmatic, all-of-the-above energy strategy that prioritizes affordability, reliability, and strategic value, highlighting natural gas’s role in complementing renewables while meeting growing energy demands. This approach is seen as essential for maintaining energy security and economic advantages, particularly in the context of supporting allies and ensuring a stable power supply amidst increasing energy needs. [MDN: Natural gas is the solution to the energy problem. Yes, it can act as a “backup” for unreliable renewables, but natgas is so much more. It can scale in months (or a few years) to meet new demand from data centers and other new customers. Natgas is the answer.]

U.S. LNG feedgas demand continues to climb
RBN Energy/Lisa Shidler
The article from RBN Energy discusses the recent surge in U.S. LNG feedgas demand, which reached a record 16.1 Bcf/d last week, driven by the commissioning of LNG Canada and strong performance at existing U.S. terminals like Sabine Pass, Plaquemines, and Freeport. Despite ongoing maintenance at Cameron and lower flows to Corpus Christi, feedgas demand has risen significantly from 15.3 Bcf/d in early March, with Plaquemines LNG contributing around 1.5 Bcf/d as it commissions its first nine blocks. The U.S. exported 26 LNG cargoes last week, primarily to Europe and Asia, with LNG Canada’s first two cargoes heading to Asia. The article highlights the impact of global gas prices and new export capacity on feedgas demand, noting potential constraints due to pipeline maintenance and regulatory delays, yet anticipates continued growth as new terminals come online. [MDN: It’s notable that feedgas for LNG exports hit a new, all-time high last week of 16.1 Bcf/d. Keep an eye out to watch that number grow.]

INTERNATIONAL

Crude falls amid stronger dollar, supply risk doubts
Bloomberg/Mia Gindis, Paul Burkhardt
Oil prices declined as a stronger U.S. dollar and skepticism over President Trump’s plan to pressure Russia weighed on markets. West Texas Intermediate (WTI) crude fell 0.7% to $66.52, extending earlier losses. Traders were unimpressed by Trump’s proposed 100% tariffs on Russia—contingent on a Ukraine ceasefire deal within 50 days—which excluded energy infrastructure, easing immediate supply concerns. JPMorgan analysts noted that curbing Russian oil exports remains extremely difficult. Oil briefly rose on U.S. Energy Secretary Chris Wright’s comments about replenishing the Strategic Petroleum Reserve but soon resumed falling. Futures were also pressured by position liquidations ahead of contract expiry. Meanwhile, OPEC challenged an IEA report of Saudi overproduction, asserting compliance with quotas. Despite stronger refinery activity in China, traders viewed it as temporary front-loading rather than sustained demand. Overall, oil is down about 7% this year, with ongoing concerns about oversupply outweighing short-term market supports. Brent crude also dropped 0.7% to $68.71. [MDN: The price remains right where we like it, in the $60s.]

Japan’s ‘largest-ever’ cruise ship, LNG-fueled Asuka III, christened in Yokohama
Offshore Energy/Sara Kosmajac
Japan’s newly christened Asuka?III, the country’s largest-ever cruise ship and its first LNG-powered liner, was officially named in a ceremony held in Yokohama. Delivered to NYK Cruises, the vessel marks a significant milestone in Japan’s maritime history as the biggest cruise ship built under the Japanese flag. With liquefied natural gas as its primary fuel, Asuka?III underscores the industry’s shift toward greener operations. The christening ceremony, attended by dignitaries and company officials, highlighted its advanced environmental credentials, including reduced emissions and compliance with stricter maritime regulations. This landmark ship is expected to elevate luxury cruising standards while also advancing sustainable practices within the sector. Asuka?III is poised to embark on its maiden voyage, showcasing Japan’s commitment to cleaner maritime travel and pioneering domestic cruise shipbuilding for the nation. [MDN: Increasingly, new cruise ships use LNG as their fuel. Which only makes sense. Can you imagine trying to power a huge ship with batteries? Insane!]

EU efforts to move away from Russian gas add uncertainty to global LNG market
RBN Energy
The European Union’s efforts to reduce reliance on Russian natural gas, which accounted for 45% of its imports before Russia’s 2022 invasion of Ukraine, have significantly impacted the global LNG market. The EU’s shift, driven by geopolitical tensions and the REPowerEU plan, aiming to phase out Russian gas by 2027, involves diversifying supply through increased LNG imports from multiple sources, reducing supply risk but introducing price volatility tied to global LNG market dynamics. This transition has led to a decline in Russian gas volumes, notably due to damaged Nord Stream pipelines and the end of transit agreements through Ukraine. The EU’s increased LNG import capacity and flexible spot and short-term contracts enhance supply adaptability but expose it to global price indices like Asia’s JKM. This shift could boost U.S. LNG exports, though it introduces demand uncertainty, influencing global LNG market dynamics and requiring strategic planning by European buyers. [MDN: No one said giving up cheap (and dirty) Russian gas would be easy for the EU. The question is whether or not the EU has any spine left and is willing to do the right thing? The EU’s money is funding Russia’s war against Ukraine, yet the EU seems reluctant to give up its cheap Russian gas. No spine.]

Why natural gas is still thriving in a world chasing net zero
Forbes/Robert Rapier
In 2024, global natural gas production and consumption reached record highs, with the U.S. leading as the largest producer and consumer, driven by its shale gas boom and LNG exports, which hit 11 Bcf/d, according to the 2025 Statistical Review of World Energy. Despite global decarbonization efforts, natural gas remains a critical energy source, fueling power plants, homes, and industries while serving as a bridge fuel to replace coal and support intermittent renewables. Non-OECD nations, particularly in Asia, accounted for 74% of the 70 Bcf/d demand growth over the past decade, with China’s consumption doubling to 42 Bcf/d due to industrialization and coal reduction policies. However, challenges like price volatility, infrastructure constraints, and regulatory pressures, especially in Europe, persist. Innovations in carbon capture and hydrogen blending are shaping the future, ensuring natural gas remains a flexible, indispensable part of the global energy mix despite the push for net-zero emissions. [MDN: When will otherwise intelligent people drop this “natgas is a transition to renewables” nincompoopery? Natgas IS the destination!]

Energy-hungry India offers opportunities for U.S. oil, natural gas exports
CME Group/Adila McHich, Paul Wightman
India’s surging energy demand, driven by a 6.2% GDP growth in 2024-2025 and projected to make it the third-largest economy by 2028, presents significant opportunities for U.S. oil and natural gas exports, according to a July 15, 2025, CME Group article. The International Energy Agency forecasts India will lead global oil demand growth by 2030, surpassing China. Indian refiners are increasingly purchasing U.S. crude, with May 2025 volumes hitting 11.2 million barrels, the highest since August 2024. U.S. LNG is also gaining traction, with India aiming to boost annual U.S. energy consumption from $15 billion to $25 billion, leveraging stable supplies from terminals like Sabine Pass and Cove Point. This shift, driven by energy security and economic diplomacy, could enhance NYMEX WTI and Henry Hub benchmarks, though falling WTI prices and OPEC+ supply increases pose challenges. [MDN: Interesting article. Did you know that not long ago, India passed China as the world’s most populous country? And it’s a democracy, at least in name. It would be great to lock in more gas exports to India. Already, half of the LNG exported from Cove Point (Maryland), which are M-U molecules, goes to India.]