Pipeline Giant Williams Getting New President/CEO
Williams is arguably the biggest and most important pipeline company in the Marcellus/Utica. Williams is the owner of the 10,000+ mile Transco pipeline that carries M-U molecules to the South and Southwest. It owns a major gathering system in northeastern Pennsylvania. Williams continues to innovate, replacing compressor stations along its pipelines with more efficient, lower emissions technology. Much of the credit for these accomplishments goes to the company’s CEO, Alan Armstrong, who began his tenure with Williams some 40 years ago as an engineer. Armstrong announced he is leaving the day-to-day responsibility of running the company, stepping down (or is it up?) from CEO to become the chairman of the board. Read More “Pipeline Giant Williams Getting New President/CEO”
In his first two days in office, Joe Biden declared war on the oil and gas industry. One of the first things he did was to revive an interagency working group on the “social cost” of greenhouse gas emissions and directed the issuance of an “interim” cost (see 
MARCELLUS/UTICA REGION: PA DEP issues RFP for abandoned O&G well plugging services; OTHER U.S. REGIONS: Equinor weighs killing NY wind farm after White House visit; CIP to invest $500 million in BKV CCUS projects; Colorado Supreme Court allows Boulder to sue Exxon, Suncor over climate change; NATIONAL: Oil prices rise on eased trade tensions; Why is the USA natural gas price rising?; Trump proposes slashing DOE budget by $19.3B; JP Morgan says oil demand in early May ‘indicates tepid YoY growth’; Natgas price heats up as futures rally on warmer weather outlook; INTERNATIONAL: Shell profit beats expectations, buybacks kept steady; BP-Shell megadeal would create European rival to Exxon Mobil; After Spain’s blackout, questions about renewable energy are back; Ukrainian parliament ratifies natural resources deal with USA; US, Russia explore ways to restore Russian gas flows to Europe, sources say. 
For the week of April 28 – May 4, the number of permits issued to drill new wells in the Marcellus/Utica was down two from the previous week. Last week, 22 new permits were issued in the M-U. In the Keystone State (PA), 10 new permits were issued. The top permittee was NFG’s Seneca Resources, which had four permits in Tioga County. PennEnergy Resource received two permits in Butler County. Expand Energy (SWN) received two permits in Lycoming County. Finally, both Coterra Energy and EQT (Rice Drilling) received a single permit, in Susquehanna and Washington counties, respectively. 
We’re catching up on two weeks of changes in the rig count, and wow! Things changed. And NOT in a good way. The national count lost nine rigs over the past two weeks, going from 587 on April 25 to 584 on May 2 and then down to 578 on May 9. But it was the Marcellus/Utica that caught our attention. Two weeks ago, for the May 2 Baker Hughes rig count, Ohio dropped three rigs in a single week, going from 12 on April 25 to nine on May 2. The Ohio count remained at nine on May 9. Consequently, the combined M-U count went from 38 two weeks ago to 35 and has remained at that level. Both Pennsylvania and West Virginia kept their same counts of 18 and 8, respectively. 
Coterra Energy, formed by the merger of Cabot Oil & Gas (drills for natural gas in the Marcellus) and Cimarex Energy (drills for oil in the Permian and Anadarko basins), issued its first quarter 2025 update last week. There was a lot of news coming from the update. However, two things stood out for us: (1) Coterra confirmed that talks to revive the Constitution Pipeline project are underway now, and (2) the company is drilling again in the PA Marcellus and may add another $50 million to 2025’s planned $300 million budget for the Marcellus. 
A few weeks ago, MDN told you that EQT Corporation, the second-largest natural gas producer in the country (and the largest producer in the Marcellus/Utica) is buying out and merging in Olympus Energy for $1.8 billion (see 
In November 2023, CNX Resources CEO Nick DeIuliis signed a voluntary deal with Pennsylvania Gov. Josh Shapiro to expand drilling setbacks and several other regulatory steps not mandated for shale drillers under PA law (see 
During last week’s first quarter update from Williams, management announced a new project called the Transco Power Express expansion. The project will expand Transco capacity by a whopping 950 MMcf/d (nearly a full Bcf) to flow more Marcellus/Utica molecules to the power-hungry Virginia market. The Virginia market is power hungry because of the data centers already built there, and the many more planned for the state. The Power Express project, if built, is expected to go online in the third quarter of 2030 (five years from now). 
A brief note to let our valued subscribers know that MDN will not be published from Thursday, May 1, to Friday, May 9. We will return with full-strength MDN on Monday, May 12. MDN editor Jim Willis and his wife are traveling to South Carolina to watch their youngest son graduate with a PhD! We are enormously proud of his achievements. Following graduation, the family will travel to Myrtle Beach for some R&R.
Last Thursday, West Virginia Governor Pat Morrisey signed Senate Bill (SB) 627 into law. SB 627 removes the previous ban on leasing “pore spaces” under state-owned parks. However, the bill explicitly prohibits any surface disturbance on state park land for drilling or injection. All lease revenues generated must be used exclusively for improvements and maintenance at the location where the leased pore space is situated. 
In January, MDN reported that the PJM Interconnection electrical grid operator, covering Pennsylvania (along with all or parts of 12 other states and the District of Columbia), had caved to the political demands of PA Gov. Josh Shapiro to artificially cap the prices of the next capacity auction scheduled for July 2025 (see 
Houston, we have a problem. Artificial Intelligence (AI) and the data centers (banks of hundreds or thousands of computers) that support AI are being planned right now. All those data centers need reliable power supplies. Unreliable solar and wind are not up to the task, so the companies building those data centers (like Google, Microsoft, Amazon, Facebook, Apple, and others) are turning to natural gas. Which we love! But here’s the problem: the turbines needed to generate the electricity (turbines that burn natural gas) are now on backorder… until 2028 or later.