Electrical Generation | Guernsey County | Industrywide Issues | Luzerne County | M&A | Ohio | Pennsylvania
Talen Energy Buys 2 M-U Gas-Powered Plants in PA, OH for $3.8B
Talen Energy, a leading energy producer in the U.S., which owns and operates approximately 10.7 gigawatts (GW) of power infrastructure, has announced the acquisition of two gas-fired power plants: one located near Wilkes-Barre in northeastern Pennsylvania, and the other in Guernsey County, in eastern Ohio, for $3.8 billion. The PA plant is fed by Marcellus molecules, and the OH plant is fed by Utica molecules. We have followed both projects from inception through commissioning and operation. Read More “Talen Energy Buys 2 M-U Gas-Powered Plants in PA, OH for $3.8B”
The media fuss is hard to miss about today’s Pennsylvania Energy and Innovation Summit being held at Carnegie Mellon University in Pittsburgh. PA Senator Dave McCormick organized the event. Among the attendees will be President Trump, several cabinet secretaries, and other White House officials. Much of the buzz is around $90 billion in AI and energy investments expected to be announced. In preparation for the big event, a roundtable was held yesterday at CNX headquarters in Washington County, PA, to discuss clearing away permitting obstacles and red tape to help PA realize some (if not most) of that $90 billion in investments. 
The Baker Hughes U.S. rig count has been hemorrhaging for 11 consecutive weeks. Last week, the U.S. rig count declined by another two rigs to its lowest level since October 2021, ending the week at 537 active rigs. You have to go back to the dark days of the pandemic, July 2020, for the previous 11+ consecutive weeks of decline in the rig count. The Marcellus/Utica stayed even (after falling by one two weeks ago) at a combined 35 active rigs. There were 23 rigs targeting the Marcellus and 12 rigs targeting the Utica last week. 
For the week of June 30 – July 6, the number of permits issued to drill new wells in the Marcellus/Utica decreased from the previous week, likely due to the July 4th holiday. There were 21 new permits issued across the three M-U states last week, down six from 27 issued two weeks ago. The Keystone State (PA) issued 13 new permits. EQT and its recently acquired Olympus Energy received a combined five permits scattered across three counties: Allegheny, Greene, and Washington. Snyder Brothers received four permits in Armstrong County. BKV scored three permits in Wyoming County. Range Resources received a single permit in Washington County. 
Chesapeake Utilities Corporation, not to be confused with the former Chesapeake Energy Corporation (which is now Expand Energy), announced that its Ohio subsidiary, Aspire Energy Express, LLC, has entered into an agreement with American Electric Power (AEP) to construct and operate an intrastate natural gas pipeline in central Ohio to feed Marcellus/Utica gas to a new fuel-cell facility, which will provide on-site electric power to a data center. The pipeline is expected to cost approximately $10 million to construct. 
Fox Tank Company, a Texas-based provider of steel storage tanks and pressurized separation vessels for the oil and gas industry, has opened a new manufacturing facility in Coshocton County, OH, at the former site of Crozier Welding. Fox has pledged to invest $7.9 million and create 89 new jobs at the facility. Fox chose the site due to its proximity to the growing Marcellus and Utica Shale drilling for oil and gas, as well as its proximity to the company’s existing customers. 
The number crunchers at the U.S. Energy Information Administration (EIA) analyzed proved reserves data for 2023 (the most recent year available) and determined that proved reserves of U.S. natural gas decreased 12.6% year over year, from 691.0 trillion cubic feet (Tcf) to 603.6 Tcf. This was the first annual decrease in U.S. natural gas reserves since 2020. Looking at the numbers for Pennsylvania, Ohio, and West Virginia, natural gas proved reserves decreased by 4% (PA), 13% (OH), and 6% (WV) from 2022 to 2023. The report shows that Marcellus gas reserves dropped 5.9% in 2023. 
It’s bloody. It’s brutal. Last week, for the ninth consecutive week, the Baker Hughes U.S. rig count declined (by seven rigs) to its lowest level since October 2021, ending the week at 547 active rigs. The national rig count continues in a free fall. For the fifth week in a row, the Marcellus/Utica count remained the same, at a combined 36 active rigs. The Pennsylvania Marcellus operated 18 rigs. The Ohio Utica operated 11 rigs. And West Virginia operated seven rigs. So, at least there’s some good news with respect to the M-U. 
Infinity Natural Resources (INR), headquartered in Morgantown, WV, focuses 100% on the Marcellus/Utica. The company went public earlier this year with a $265 million ($20/share) initial public offering, giving INR a $1.18 billion market capitalization (see 
This is an unfortunate part of mergers and acquisitions. The Houston Chronicle is reporting that a WARN notice (Worker Adjustment and Retraining Notification) filed by Encino Energy indicates that 121 Encino workers will be laid off on or around August 17. No reason is given, however, EOG Resources is in the process of buying out and merging in Encino’s Ohio Utica assets (see