MDN’s Energy Stories of Interest: Fri, Dec 19, 2025 [FREE ACCESS]

MARCELLUS/UTICA REGION: Cold weather leads to lower Northeast natural gas outflows; OTHER U.S. REGIONS: Ithaca halts net-zero code changes following state’s all-electric delay; NATIONAL: U.S. natural gas settles lower in volatile session; What if the chart of US oil production is wrong?; BKV announces $100 million share repurchase program; Wind turbine eagle-kill secrecy may soon end; State AGs ask DOJ to probe Chinese ties to anti-energy activism; Top 5 American energy developments in 2025; INTERNATIONAL: Oil edged higher for a second day; EIA sees 2.2 million barrel per day glut in 2025; Why Canada’s hottest shale play is catching the eye of US producers; German energy demand seen sliding to historic low.

MARCELLUS/UTICA REGION

Cold weather leads to lower Northeast natural gas outflows
RBN Energy
During the week ending December 16, a severe cold snap and early-season snowstorm across the Northeast triggered a surge in residential and commercial gas demand, peaking at 19.5 Bcf/d. This heightened consumption coincided with a significant drop in dry gas production due to freezing temperatures, particularly in West Virginia, creating a tighter regional market. Consequently, net outflows to the Southeast and Gulf corridors decreased substantially, while flows to the Midwest remained stable. To bridge the supply gap, net inflows from Canada increased slightly, helping to balance the region’s energy needs during the unseasonably harsh weather conditions. [MDN: Interesting how the flow of M-U molecules works. Click to view a chart showing Northeast Outflows from our region.]

OTHER U.S. REGIONS

Ithaca halts net-zero code changes following state’s all-electric delay
Ithaca (NY) Times
The Ithaca Common Council has officially opposed NYSEG’s proposed rate increases, citing the financial burden on residents already facing high inflation and utility costs. Simultaneously, the city has paused its local net-zero energy code amendments following the state’s passage of the All-Electric Building Act. This strategic halt aims to avoid legal vulnerabilities and confusion, as the new state law aligns with many of Ithaca’s decarbonization goals. While the city remains committed to its Green New Deal, officials believe streamlining local mandates with state regulations is the most effective path forward for ensuring sustainable development without redundant or conflicting requirements. [MDN: Wow! Even the nut jobs in Planet Ithaca have hit the cold, hard wall of reality with net-zero nonsense and are now backpedalling. Miracles never cease!]

NATIONAL

U.S. natural gas settles lower in volatile session
Wall Street Journal
U.S. natural gas futures give up early gains and settle lower in volatile trade. The EIA reported a 167 Bcf drop in natural gas inventories, close to market expectations, which reduced the surplus over the five-year average to 32 Bcf from 103 Bcf the previous week. “Based on early expectations for next week’s report, inventories have a strong chance of falling behind the five-year average,” Andy Huenefeld of Pinebrook Energy Advisors says in a note. But smaller storage draws are likely for the last two weeks of December, and “inventories will likely be able to build back their cushion to the five-year average.” Nymex natural gas settles down 2.9% at $3.908/mmBtu. [MDN: We slipped back below $4 again. Bummer. At least we’re in the high $3s.]

What if the chart of US oil production is wrong?
InvestingLive
The article explores skepticism regarding the US Energy Information Administration’s estimate of 13.862 million barrels of daily oil production. Anonymous Dallas Fed energy survey respondents suggest these figures may be overstated, as production continues rising despite falling drilling activity and prices. If the data is incorrect, it would be a “gamechanger,” potentially eliminating the forecast 2026 oil surplus and explaining current price resilience. However, the survey also highlights industry warnings that declining prices and rig counts could soon lead to a production drop, challenging the narrative of a lasting global oil glut. [MDN: Lefty organizations like the International Energy Agency (IEA) are nonstop blowing the trumpet that we have an oil “glut” and that demand for oil is decreasing and we’re heading for a crash in the oil market. Don’t believe it. It’s just as likely that we are heading for a shortage of oil.]

BKV announces $100 million share repurchase program
BKV Corporation
BKV Corporation (NYSE: BKV) has announced that its Board of Directors authorized a two-year share repurchase program to buy back up to $100 million of its outstanding common stock. Repurchases may occur through various methods, including open market transactions and private negotiations, funded by available cash or existing lending agreements. CEO Chris Kalnin stated the initiative reflects confidence in BKV’s business strength and closed-loop energy strategy. While intended to drive shareholder value, the program is discretionary and can be modified or suspended at any time based on market conditions, liquidity priorities, and regulatory requirements. [MDN: BKV has major assets in the Marcellus and the Barnett shale plays. Repurchasing outstanding shares of stock reduces the total number of stock shares, thereby increasing the value of each remaining share. Essentially, it’s putting more money in the pockets of investors, making the company a more attractive investment.]

Wind turbine eagle-kill secrecy may soon end
Committee For A Constructive Tomorrow (CFACT)
The Albany County Conservancy (ACC) has filed a Freedom of Information Act (FOIA) lawsuit against the U.S. Fish and Wildlife Service (FWS) to expose eagle mortality rates at Wyoming wind energy projects. After receiving only a fraction of requested records, the ACC alleges the government is improperly using “confidential business information” exemptions to hide the true scale of bird deaths. This data is critical because local studies suggest wind turbines kill more golden eagles than all other human causes combined. Ultimately, the lawsuit seeks to challenge federal permitting programs and ensure transparency regarding the ecological impact of wind energy. [MDN: Bird kills, including eagles, is one of the many dirty secrets being kept by the environmental left. Time to expose their dirty laundry for the public to see.]

State AGs ask DOJ to probe Chinese ties to anti-energy activism
Energy in Depth – Climate & Environment
A coalition of twenty-six state attorneys general is urging the Justice Department to investigate the Center for Climate Integrity and Energy Foundation China for potential violations of the Foreign Agents Registration Act. The AGs allege these groups operate as unregistered agents for foreign interests, particularly China, using climate litigation to undermine U.S. energy production. The article highlights concerns over “dark money” influence, noting that these organizations receive significant funding from foreign billionaires and entities with CCP ties. This push for transparency suggests that climate “lawfare” is not just environmental activism, but a national security issue involving coordinated foreign interference in domestic policy. [MDN: We have made this very point FOR YEARS—that some of our Big Green groups receive financial backing from the ChiComs and other nefarious countries, like Russia. It’s time to investigate and bring this out in the open, and prosecute violators of our laws.]

Top 5 American energy developments in 2025
Forbes
In 2025, U.S. energy policy shifted decisively toward conventional sources under the Trump administration, prioritizing energy security and economic efficiency over Biden-era “green transitions.” Key developments included (1) a day-one “National Energy Emergency” declaration to boost hydrocarbons and (2) the “One Big Beautiful Bill,” which eliminated electric vehicle and clean energy tax credits. Also, (3) offshore drilling expanded significantly with a massive new leasing program in the “Gulf of America,” while (4) the lifting of the LNG export pause catalyzed a surge in global shipments. Finally, (5) the administration accelerated nuclear energy infrastructure to compete with China, framing energy dominance as a vital tool for geopolitical leverage. [MDN: An interesting list. It’s that time of year for the top X lists to come out.]

INTERNATIONAL

Oil edged higher for a second day
Bloomberg
Oil prices edged higher for a second consecutive day as escalating geopolitical tensions in Russia and Venezuela offset a broader bearish outlook driven by global oversupply. West Texas Intermediate settled above $56 following news of a U.S. naval blockade of sanctioned tankers in Venezuela and the preparation of fresh sanctions against Russia’s energy sector. While these conflicts threaten to tighten supplies and increase volatility ahead of the Christmas holiday, crude remains on track for its worst annual loss since 2018. Despite the recent price bounce, underlying market weakness persists as global production continues to outpace demand and storage facilities near capacity. [MDN: WTI for January delivery, which expires later this week, added 0.4% to settle at $56.15 a barrel. Brent for February settlement rose 0.2% to settle at $59.82 a barrel. We’re inching back toward the $60s range.]

EIA sees 2.2 million barrel per day glut in 2025
Rigzone
According to the EIA’s December outlook, global petroleum and liquid fuels production is set to significantly outpace consumption through 2026. In 2025, production will average 106.18 million barrels per day (b/d), creating a 2.24 million b/d surplus that will persist into 2026. While demand growth is driven primarily by non-OECD nations like China, India, and regions in Africa and the Middle East, supply is surging even faster. This production boost is led by OPEC+ and non-OPEC contributors including the U.S., Brazil, Guyana, and Canada, with South American offshore projects exceeding expectations and ensuring a well-supplied global market. [MDN: As we point out in another blurb from today, What if the chart of US oil production is wrong? What if EIA’s numbers are off-base and we’re really heading into a shortage rather than a glut? Some people in the industry are seriously asking that question.]

Why Canada’s hottest shale play is catching the eye of US producers
Reuters
U.S. oil and gas producers are increasingly targeting Canada’s Montney basin as a primary growth engine due to depleting drilling prospects in U.S. shale fields like the Permian. This massive, relatively untapped formation spanning British Columbia and Alberta offers significantly cheaper land—sometimes one-sixth the price of Permian acreage. American firms are seeking fresh inventory to support Canada’s emerging liquefied natural gas export industry. This shift marks a reversal of a decade-long trend of foreign divestment, with analysts noting that the widening cost gap between U.S. and Canadian assets has made northern expansion a strategic necessity for sustainable production. [MDN: Yeah, well, you think it’s hard to build a new gas pipeline in the U.S.? Try building one in Canada! Our advice to U.S. firms—don’t blow your money chasing pipe dreams north of the border. Give Canada a pass.]

German energy demand seen sliding to historic low
Bloomberg
Germany’s energy consumption fell to its lowest level in 2025 since reunification, decreasing by 0.1% to 10,553 petajoules amid a persistent economic slump. According to AG Energiebilanzen, this decline was driven by significant production drops in energy-intensive sectors, particularly the chemical industry, which fueled a 2.2% reduction in mineral oil use. While colder weather slightly bolstered heating demand, preventing a sharper 1.2% slide, fossil fuels like lignite saw substantial declines. Conversely, renewable energy and natural gas usage rose by 3.6%. Despite falling energy prices, the overall outlook remains fragile as economists warn that Germany’s era of robust growth has concluded. [MDN: This is very bad for Germany. Lower energy usage means the politicians (and the idiots who elected them) have finally destroyed the great German economy with Big Green madness and attacks on fossil energy. What a shame. Germany, RIP.]