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PA DEP Backs Off Draconian Methane Reg for Conventional Drillers

Both conventional and unconventional (shale) drillers in Pennsylvania were supposed to submit a new annual report to the state Department of Environmental Protection (DEP) on December 10, 2023, detailing volatile organic compound (VOC) and methane emissions from their operations over the previous one-year period. Shortly before that deadline, the DEP suspended the due date and set a new due date of June 1, 2024 (see Due Date for PA DEP Report re Methane Emissions Slips 6 Months). Shale drillers mostly complied (86% filed the report), but conventional drillers did not (less than 1% filed). Conventional drillers sued to block the onerous new reg requiring the report. Read More “PA DEP Backs Off Draconian Methane Reg for Conventional Drillers”

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PA State Senator Introducing Bill to Supercharge State Gas Industry

There’s a reason the Haynesville shale play in Louisiana and East Texas drills more wells than both the Marcellus and Utica shales combined. That reason? Lower taxes and less regulation. Particularly compared with Pennsylvania, where the taxes and “fees” are high and regulations are far too restrictive. Pennsylvania State Senator Doug Mastriano, who ran for governor against Josh Shapiro in 2022, is proposing to correct the situation with a new bill that would suspend the state income tax on shale drillers, among other positive moves. Read More “PA State Senator Introducing Bill to Supercharge State Gas Industry”

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National Rig Count Falls Again, Lowest in 3+ Years; M-U Steady

We’re in full crash mode with the Baker Hughes national rig count. After losing five rigs three weeks ago, and four more two weeks ago, the BH rig count lost another four rigs last week—13 rigs out of circulation in three weeks. The number of rigs nationally now stands at 576, the lowest since Dec. 2021 (over three years ago). The Marcellus/Utica rig count was a combined 34 last week—the same number for six weeks in a row. PA has operated 15 rigs for the past 11 weeks, with the exception of one week, when the number briefly increased to 16 rigs. OH has operated nine rigs for the past eight weeks, and WV has operated 10 rigs for an astonishing 20 weeks in a row, going back to Sep. 13. Read More “National Rig Count Falls Again, Lowest in 3+ Years; M-U Steady”

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Power Generators Oppose PA Gov. Shapiro’s Threats Against PJM

In December, PA’s Democrat Governor, Josh Shapiro, filed a complaint with the Federal Energy Regulatory Commission (FERC) alleging the PJM electric grid is being mismanaged and using inflated numbers that will cause economic pain for the 65 million customers who buy electricity in the PJM region—in particular the residents of PA. What’s causing the high prices in PJM, a region rich in natural gas? The policies of Shapiro and his predecessor in proposing a carbon tax have scared away new gas-fired power plants from building in the Keystone State. As we reported yesterday, Shapiro has increased his menacing and threats against PJM (see PA Gov. Shapiro Gets Uppity with PJM, Threatens to Leave the Grid). Businesses are finally joining the battle, pushing back against Shapiro and his wild claims and menacing. Read More “Power Generators Oppose PA Gov. Shapiro’s Threats Against PJM”

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PA Landowners Get Tax Break for Well Depletion Starting This Year

Pennsylvania mineral rights owners (i.e., landowners) now have a well-deserved tax break thanks to a bill passed by the PA legislature and signed into law last summer (see New PA Bill Gives Shale Landowners Same Tax Breaks as Investors). Under Senate Bill (SB) 654, individual landowners receive the same tax benefits afforded to investors. If a company buys mineral rights and the right to receive royalty payments from oil and gas well production, the company, under IRS rules, gets to claim a simple percentage depletion allowance. Essentially, the company only pays income tax on 85% of the royalties it receives. Under SB 654, that same allowance (beginning with taxes filed in 2025 for 2024) applies to landowners in PA. Read More “PA Landowners Get Tax Break for Well Depletion Starting This Year”

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PA Gov. Shapiro Gets Uppity with PJM, Threatens to Leave the Grid

In December, PA’s Democrat Governor, Josh Shapiro, filed a complaint with the Federal Energy Regulatory Commission (FERC) alleging the PJM electric grid is being mismanaged and using inflated numbers that will cause economic pain for the 65 million customers who buy electricity in the PJM region—in particular the residents of PA. What’s causing the high prices in PJM, a region rich in natural gas? That would be former Gov. Tom Wolf and current Gov. Josh Shapiro insisting the state tax gas-fired power plants via the so-called Regional Greenhouse Gas Initiative (RGGI). Shapiro is blaming the victim (PJM) for his actions. He just increased the volume (as bullies do) by threatening PJM that PA may pull out of the grid and do its own thing…unless PJM finds a way to fix his mess. Read More “PA Gov. Shapiro Gets Uppity with PJM, Threatens to Leave the Grid”

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Infinity Natural Resources Launches IPO, Hopes to Raise ~$250M

MDN reported in October that Marcellus/Utica driller Infinity Natural Resources (INR) intended to file an initial public offering (IPO) with the Securities and Exchange Commission hoping to raise $100 million (see M-U Driller Infinity Natural Resources Files for $100 Million IPO). We further reported in December that INR added seven Big Banks to the existing list of four as underwriters (see Infinity Natural Resources Picks Up Another 7 Banks for Utica IPO). All signs pointed to an imminent launch of the IPO. That day is here. INR announced yesterday that it has launched an offering of 13.25 million shares of stock, hoping to fetch between $18.00 and $21.00 per share. Read More “Infinity Natural Resources Launches IPO, Hopes to Raise ~$250M”

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National Rig Count Whacked, Down 9 in Two Weeks; M-U Count Steady

After losing five rigs two weeks ago, the Baker Hughes national rig count lost another four last week. The number of rigs nationally now stands at 580, the lowest since Dec. 2021 (over three years ago). The Marcellus/Utica rig count was a combined 34 last week—the same number for five weeks in a row. PA has operated 15 rigs for the past ten weeks, with the exception of one week, when the number briefly increased to 16 rigs (the week ending on Dec. 6). OH has operated nine rigs for the past seven weeks, and WV has operated 10 rigs for an astonishing 19 weeks in a row, going back to Sep. 13. Read More “National Rig Count Whacked, Down 9 in Two Weeks; M-U Count Steady”

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PA DEP (Finally) Gets It Right with New Permit Tracking Website

Going back perhaps more than a decade, we have told you about the shortcomings of the Pennsylvania Department of Environmental Protection (DEP) regarding the timely review and issuance of permits used during the drilling process. A Chapter 102 Erosion and Sedimentation Permit or Chapter 105 Water Obstruction and Encroachment General Permit could take two, three, or even six months for approval — instead of the policy-mandated 14 days. Current Gov. Josh Shapiro made it a goal to “fix” the permit issue when he assumed office two years ago. In November, the DEP announced it had eliminated its permit backlog (see PA DEP Claims Permit Backlog for O&G Now Completely Eliminated). The DEP recently released a new tool the public can use to monitor permits filed and issued. It’s quite useful. Read More “PA DEP (Finally) Gets It Right with New Permit Tracking Website”

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PA PUC Votes to Redefine Landlords with Gas as Pipeline Operators

We have news about a disturbing ruling from the Pennsylvania Public Utilities Commission (PUC) issued last Wednesday. By a vote of 3-2 along party lines (Democrats in the majority), the PUC commissioners labeled landlords as “pipeline operators” if they have behind-the-meter gas distribution systems on their properties. The move will require, with limited exceptions, landlords throughout the commonwealth — regardless of size — to comply with federal gas pipeline safety laws, including the regulations of the federal Pipeline Safety and Hazardous Materials Administration (PSHMA), in the same manner as natural gas distribution companies and gas pipeline operators. It’s completely bonkers. Read More “PA PUC Votes to Redefine Landlords with Gas as Pipeline Operators”

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Baker Hughes Nat’l Rig Count Loses 5, M-U Rig Count No Change

After remaining at the same level for five weeks in a row, the Baker Hughes U.S. rig count lost five rigs last week, dropping from 589 to 584. The Marcellus/Utica rig count was a combined 34 last week—the same number for five weeks in a row. PA has operated 15 rigs for the past nine weeks, with the exception of one week, when the number briefly increased to 16 rigs (the week ending on Dec. 6). OH has operated nine rigs for the past six weeks, and WV has operated 10 rigs for an astonishing 18 weeks in a row, going back to Sep. 13. Read More “Baker Hughes Nat’l Rig Count Loses 5, M-U Rig Count No Change”

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What May Be Ahead for M-U in 2025 & 2026: More Pipes, More M&A

The end of the year and the beginning of a new year are times when many publications reflect on what was and what may be. A recent article by Hart Energy’s Oil and Gas Investor magazine tackled the topic of what may lie ahead for the Marcellus/Utica region over the next couple of years. The article looked at two primary issues—the potential for more pipelines getting built within (and out of) our region and the likelihood of more mergers and acquisitions for drillers in our region. Read More “What May Be Ahead for M-U in 2025 & 2026: More Pipes, More M&A”

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No Change in M-U, Nat’l Baker Hughes Rig Counts 2nd Week in a Row

The venerable Baker Hughes national rig count was 589 active rigs last week—which is FIVE weeks in a row. Very unusual. The Marcellus/Utica rig count was a combined 34 last week—the same number for FOUR weeks in a row. The national count remains rangebound between 581 and 589 since June 2024 (except for Sep. 13, when it hit 590 for a single week). The M-U remained static last week, with PA at 15 rigs, OH at 9 rigs, and WV at 10 rigs. Read More “No Change in M-U, Nat’l Baker Hughes Rig Counts 2nd Week in a Row”

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Register Support for M-U Hydrogen Hub at Scoping Hearing or Online

Last August, MDN told you that the Appalachian Regional Clean Hydrogen Hub (ARCH2) officially received its first $30 million from the Bidenistas (see EQT & Others Enter “Phase 1” of Hydrogen Hub; DOE Cuts $30M Check). ARCH2 is getting $925 million from a $7 billion pot. ARCH2, one of seven projects to win approval, was selected specifically because it will use Marcellus/Utica shale gas as the feedstock to create hydrogen (so-called “blue” hydrogen). The project got an official HQ last year at the West Virginia University (WVU) Innovation Corp. center in Morgantown, West Virginia (see ARCH2 Hydrogen Hub Gets an Official Headquarters in Morgantown, WV). Residents from WV, PA, and OH who want to register their concerns, opposition, or (most importantly) support for ARCH2 and the projects that are part of the plan can do so either at an online scoping hearing on Jan. 16 or by submitting comments via email (or in writing) by Mar. 3. Read More “Register Support for M-U Hydrogen Hub at Scoping Hearing or Online”

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PA Gov. Shapiro Blames PJM Grid Operator for High Prices He Caused

In typical sleazy politician fashion, PA’s Democrat Governor, Josh Shapiro, is blaming someone else (the PJM grid operator, in this case) for problems that he and his predecessor have created. Shapiro recently filed a complaint with the Federal Energy Regulatory Commission (FERC) alleging PJM is mismanaging the grid and using inflated numbers that will cause economic pain for the 65 million customers who buy electricity in the PJM region. What’s causing the high prices in PJM, a region rich in natural gas? That would be former Gov. Tom Wolf and current Gov. Josh Shapiro insisting the state tax gas-fired power plants via the so-called Regional Greenhouse Gas Initiative (RGGI). Read More “PA Gov. Shapiro Blames PJM Grid Operator for High Prices He Caused”

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PA’s Incoming Republican AG Puts Anti on Energy Transition Ctte

We’ll be blunt. Incoming Republican Attorney General Dave Sunday is already a disappointment for us. He recently posted details of his transition team to a special website. The co-chair of the transition effort is former RINO Governor Tom Corbett. That’s one strike. While there are several good members on the Energy & Environment Committee, Corbett and Sunday have included a radical anti-fossil fueler from the far-left PennFuture organization on the Energy Committee. How utterly disappointing (and a second strike). Read More “PA’s Incoming Republican AG Puts Anti on Energy Transition Ctte”