ODNR Drops “Market Enhancement” Clause in Forced Pooling Orders
Ohio mineral rights owner Gateway Royalty researched unitization (aka force pooling) in the state and discovered a disturbing change introduced in existing unitization beginning three years ago. Since February 13, 2018, a “market enhancement” clause has been included in Ohio Dept. of Natural Resources’ (ODNR) forced pooling unitization orders, which allows the unit operator to deduct post-production costs from the royalties owed to mineral owners. These post-production costs are sometimes as much as 95% of the gross sale price. Gateway called attention to the practice and ODNR has since backed down and no longer includes the market enhancement clause in new unitization orders.
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The New York State Dept. of Environmental Conservation (DEC), completely corrupted by radicals under the thumb of outgoing Gov. Andrew Cuomo, has struck again. The DEC has filed a letter with the Federal Energy Regulatory Commission (FERC) blasting a plan to boost capacity at two existing compressor stations along the Iroquois Gas Transmission System pipeline. DEC says more natural gas flowing along the pipeline (desperately needed in both New York City and in New England) will cause more mythical global warming and therefore FERC should reject the request. How sad. How intellectually bankrupt.
Mariner East 2 (ME2) Pipeline is the gift that keeps on giving…for the Pennsylvania Dept. of Environmental Protection (DEP). The DEP keeps assessing fines for alleged construction violations that happened a year or more ago. This time the DEP has fined ME2 for supposed violations happening in early 2020 in four Pennsylvania counties: Blair, Cumberland, Juniata, and Lebanon. The problems were “inadvertent returns” of drilling mud in several swamps (“wetlands”) and creeks. Yes, ME2 is once again up Snitz Creek…
The Federal Energy Regulatory Commission (FERC) has disregarded the petulant demands of anti-fossil fuel fanatics and has given its permission to Mountain Valley Pipeline (MVP) project to switch the method it uses to cross 136 streams and 47 wetlands. For roughly 70 miles of the pipeline’s 303-mile route, MVP asked FERC in early February to change the method of installation from open trench to trenchless, drilling under the body of water using horizontal directional drilling (see 
In a second victory for Mountain Valley Pipeline (MVP) over the past week, a federal judge rejected a request by a Virginia landowner for emergency power to block construction of MVP across the landowner’s property on Bent Mountain. Last week we told you the landowner claimed blasting and construction for the pipeline on his property could “explode the headwaters of Bottom Creek.” We noted the same landowner has been suing to block MVP on his property since at least early 2019. The judge told him that her court was not the proper jurisdiction to resolve the dispute.
In February of this year, PTT Global Chemical adamantly claimed a final investment decision (FID) to build the $10 billion ethane cracker plant project in Belmont County, OH would happen by “middle of 2021” (see 
When CNX Resources issued its second quarter update in July, the company revealed that it is not only “net carbon zero” right now, it has been that way–actually net carbon negative, pulling more CO2 out of the atmosphere than it puts in–since 2016 (see 
A new report (full copy below) commissioned by the American Petroleum Institute (API) and undertaken by PricewaterhouseCoopers (PwC) has found the oil and natural gas industries directly or indirectly supported over 188,000 jobs in Pennsylvania in 2019, or 6.1% of the total share of commonwealth employment. Furthermore, the oil and gas industries produced $14.2 billion in labor income, which was 7.9% of the state total share, and had a statewide economic impact of $31.9 billion, for 9.7% of the state total share. The percentages for the impact of oil and gas on the West Virginia economy are similar.
In February 2020 we told you about a mob of anti-fossil fuelers attempting to block the final few feet of construction for a 6.8-mile natural gas pipeline stretching from Brownsville to North Brooklyn in New York City (see 
In an effort to flow more Marcellus natural gas to a starving New York City, Kinder Morgan cut a deal with utility company Consolidated Edison in 2019 to provide more gas by beefing up capacity along its Tennessee Gas Pipeline (TGP) that feeds NYC, allowing Con Ed to avoid cutting customers off from natgas hookups (see 
Somehow the U.S. Environmental Protection Agency (EPA) thinks it can tell the Federal Energy Regulatory Commission (FERC) what it can and can’t do with respect to evaluating pipeline projects. EPA is “advising” FERC to begin incorporating the “social cost of carbon” into its environmental reviews, taking an added look at the climate change impacts of natural gas infrastructure projects. Who the heck does the EPA think it is? Climate God?
The latest weekly Enverus U.S. rig count shows total rigs in use hitting a new post-pandemic high. For the week ending August 12, the rig count stood at 617, up 14 rigs from the previous week. That’s the highest rig count since April 2020. The Marcellus play lost another rig from the previous week (second week in a row), while the Utica stayed even. Collectively the M-U is currently running 44 rigs, down one rig from the previous week.
The price of gasoline at the pump in the U.S. is up a full dollar over the past year. Even half-with-it politicians like Joe Biden knows high pump prices equal rebellion at the ballot box. Biden killed the Keystone XL pipeline on his first day in office. Then he blocked new drilling on federal lands. Biden’s disastrous picks to run Interior, Energy, EPA, and FERC are killing the fossil fuel industry here at home. Oil production is tanking. So how does old dementia Joe propose to “fix” high prices at the pump? How will he fix the mess he’s made? Biden goes begging, hat in hand, to the vicious tyrants that run OPEC+ (America’s enemies), begging them to pump more oil to drive down gas prices. What a pathetic dope. Not even the weak, genuflecting American Petroleum Institute (API) can stomach Biden’s OPEC+ begging.