What PJM’s Capacity Auction Tells Us About PA’s Energy Future
We spotted an excellent post on the Marcellus Shale Coalition (MSC) website about the recent PJM capacity auction, which we reported on a few weeks ago (see PJM Auction Results: 45% Electricity from Natgas, 5% from Wind/Solar). PJM reported that the price for the vast majority of the grid was $329.17 per megawatt per day (M/M/D), up 22% from one year ago at the same time. The cleared resource mix includes: 45% natural gas, 21% nuclear, 22% coal, 4% hydro, 3% wind, and 1% solar. So much for the myth of “renewables” taking over. MSC went deeper than the numbers and asked the question: What do the results *really* mean for Pennsylvania (and beyond)? Read More “What PJM’s Capacity Auction Tells Us About PA’s Energy Future”
OTHER U.S. REGIONS: New Jersey’s electric bills tripled this summer — and could cost Dems the state; Cheniere signs LNG supply agreement with JERA; Gov. Newsom has no solutions how to run California’s economy without crude oil; NATIONAL: Fading heat, stout production pressure natural gas futures into deeper losses; The US oil shale industry is doing more with less; Crowley shipping appoints new leaders for advanced energy transport and LNG microgrid; As electric truck demand slows, CNG and RNG-powered trucks accelerate; Love’s opens 106th compressed natural gas station; O&G companies experiment with twisty new well designs to boost output; The behavioral economics battle lurking in EPA’s endangerment finding repeal; INTERNATIONAL: Oil price steadies after slide last week; UK’s AI ambitions clash with its climate goals. 
Last week, the Baker Hughes U.S. rig count continued its downward trend, losing another rig to end at 539 active rigs nationwide. The count has been down 14 of the last 15 weeks, with the only slight increase happening a month ago. The Marcellus/Utica count remained the same (after gaining one rig three weeks ago) at a combined 36 active rigs. PA is running 18 active rigs. OH is running 11 rigs. And WV is operating 7 rigs. There were 24 rigs targeting the Marcellus and 12 rigs targeting the Utica last week. 
EOG Resources, one of the largest oil and gas drillers in the U.S. (with international operations in several other countries) announced at the end of May it had made a deal to buy Encino Energy and Encino’s massive Ohio Utica Shale assets for $5.6 billion (see 
George Soros-backed Big Green groups are not happy with New York Governor Kathy Hochul and her concession to Donald Trump to allow new pipeline projects to proceed in the state (see 
We have some disturbing news to share, and not a lot of details (yet). Executive Order 1996-1 in Pennsylvania requires all agencies under the jurisdiction of the Governor to submit for publication (twice a year) an agenda of regulations under development or consideration. The agendas are compiled to provide members of the regulated community and the general public with advanced notice of regulatory activity. The Josh Shapiro administration published such a semi-annual list over the weekend in the Pennsylvania Bulletin. The Department of Environmental Protection (DEP) includes an item in its list of proposed new regulations that “proposes to establish an annual fee for unconventional operations.” 
According to an article on the Fortune magazine website, “AI’s endless thirst for power is driving a natural gas boom in Appalachia—and industry stocks are booming along with it.” It looks like the roles are reversing. For all of oil and gas history, oil has been the belle of the ball, the more sought-after hydrocarbon. A change is happening, at least in places like the Marcellus/Utica, where natural gas is the more sought-after commodity. And because of that, the stock price for companies that focus on gas drilling is soaring. The market capitalization (stock value times the number of outstanding shares) for M-U companies has soared 25% to 75% over the past 12 months. Wow! 
Upper Burrell (Westmoreland County, PA) town supervisors have historically been receptive (or at least tolerant) to the Marcellus Shale industry that has so blessed their town and Westmoreland County. But attitudes seemed to change last December, at least with respect to wastewater injection wells (see 
The two U.S. companies that export ethane, Energy Transfer and Enterprise Products Partners, are both saying that the Trump administration’s temporary block on shipping ethane to China in June gave our export industry a black eye, and China is much less likely to contract for more of our ethane shipments. (Cue the violins.) However, when you consider that China buys half (50%) of our ethane exports, and that ethane exports represent a good chunk of revenue for both companies (both with operations in the Marcellus/Utica), it’s not nothing. 
For the week of July 28 – August 3, the number of permits issued to drill new wells in the Marcellus/Utica more than doubled from the previous week. There were 34 new permits issued across the three M-U states last week, 20 more than the 14 issued two weeks ago. The Keystone State (PA) issued 15 new permits. Both EQT and Range Resources received six permits each for single well pads in Westmoreland and Washington counties, respectively. Expand Energy received three permits for a pad in Bradford County. 
Ascent Resources, founded as American Energy Partners by gas legend Aubrey McClendon, is a privately held company focusing 100% on the Ohio Utica Shale. Ascent, headquartered in Oklahoma City, OK, is Ohio’s largest natural gas producer and one of the largest natural gas producers in the U.S. The company issued its second quarter 2025 update yesterday. Net production for the quarter averaged 2,034 MMcfe/d (2.0 Bcfe/d), consisting of 1,738 MMcf/d of natural gas, 13,033 bbls/d of oil, and 36,385 bbls/d of natural gas liquids (NGLs), putting liquids at 15% of the overall production mix for the quarter. 
Well, isn’t this interesting! Just yesterday we told you that Pennsylvania’s Department of Environmental Protection (DEP) has plugged a little over 300 old orphaned (no current owner) wells over the past three years, but that Ohio’s Department of Natural Resources (ODNR) had plugged over 700 in the same period (see 
In January 2024, MDN told you about a long-closed landfill that seeks to reopen in Liberty and Pine Townships in Mercer County, PA (see 
The parents of four children under the age of 18 (from three families) filed a lawsuit on their kids’ behalf against EQT subsidiaries EQT Production Company and EQT XL Midstream Operating, claiming that emissions from a nearby compressor station and nearby shale wells operated by EQT have led to severe health-related problems for the kids. The families used to live in the rural hamlet of Knob Fork in Wetzel County, WV. They all have since moved. The lawsuit seeks unspecified damages and money for ongoing monitoring of the kids’ health. 