Other Stories of Interest: Tue, Aug 20, 2024
OTHER U.S. REGIONS: Endeavor Energy founder passes away; NATIONAL: BMI reveals latest Henry Hub gas price projections; The Heritage Foundation talks oil prices; Storing solidified natural gas in seawater; Harris-Walz are oblivious that US economy cannot exist without crude oil; INTERNATIONAL: Oil falls amid softening demand outlook; Asia Pacific’s record coal use makes Western sacrifice pointless.
Read More “Other Stories of Interest: Tue, Aug 20, 2024”
In May 2023, the Dept. of Transportation’s Pipeline and Hazardous Materials Safety Administration (PHMSA) issued a proposed new rule that would slap onerous and very expensive new requirements on pretty much all natural gas pipelines in the country, including 2.7 million miles of gas transmission, distribution, and gathering pipelines; 400+ underground natural gas storage facilities; and 165 liquefied natural gas facilities (see 
Have you ever noticed how anti-drilling leftists demand the right to mouth off whenever and wherever they want? If you deny them that opportunity, they get grumpy, fast. Last Friday, representatives from the U.S. Dept. of Energy and private company Allegheny Science and Technology (coordinating the Appalachian Regional Clean Hydrogen Hub, or ARCH2) held a virtual briefing about the ARCH2 project. So-called concerns and questions were not addressed until 40 minutes into the briefing, and then, only about 10 of the hundreds of questions antis flooded the call with got addressed. That ticked off the antis.
Add Virginia to the list of states refusing to invest in companies and investment funds that push so-called ESG investing. Virginia Attorney General Jason Miyares issued an official Attorney General’s Opinion on the permissibility of basing Virginia Retirement System (VRS) investment decisions on environmental, social, and governance (ESG) criteria. The Opinion confirms that the VRS Board of Trustees must prioritize financial returns and the best interests of beneficiaries above ESG policies when making investment decisions. Virginia joins a growing list of states, including West Virginia, Texas, and Tennessee that eschews investing in funds and companies that advocate anti-fossil fuel positions.
According to an analysis by Reuters, U.S. electricity generators consumed a record amount of natural gas in the first four months of the year as prices dropped to the lowest level in real terms for more than half a century. Ultra-low prices encouraged more power production from some of the least-efficient single-cycle gas and steam turbines at the expense of coal. From January through April 2024, natural gas was the #1 source of fuel used to generate electricity with 42% of all electricity generated coming from natgas. Coal was used to produce 15% of all electricity, meaning between the two fossil fuels, 57% of all electricity came from fossil fuels. Further meaning your EV runs on fossil fuels, not “batteries.”
Here’s a sobering fact: A web of red tape and environmentalist lawfare in the courts have derailed six of the last seven proposed interstate pipeline projects that could have delivered Appalachian natural gas to New England, the Southeast, and other regions of critical demand. The only pipeline to survive was the Mountain Valley Pipeline, and it took a literal Act of Congress to get it across the finish line. Here’s another sobering fact: Oil and gas pipeline approvals have dropped by 50% during the Biden-Harris administration (compared to the last three presidents before Biden). The precipitous drop was on purpose.
We are officially range-bound with respect to the Baker Hughes U.S. rig count. The count has gone up and down every few weeks. But since the third week of June, the range has been as low as 581 and as high as 589. And that’s it. Last week, the national rig count lost two rigs and now stands at 586. The Marcellus/Utica also lost one rig and now uses 35 active rigs. Pennsylvania remained the same with 21 active rigs. Ohio lost a rig (second week in a row) and now operates nine active rigs. West Virginia remained the same with five active rigs.
For the week of August 5 – 11, a total of 26 permits were issued to drill new shale wells in Marcellus/Utica, with the vast majority issued in Pennsylvania. The Keystone State had 21 new permits, with an eye-popping 19 going to EQT split between Greene and Washington counties (in the southwestern part of the state), and two issued to Range Resources in Beaver County. Ohio issued five new permits last week, with four going to Ascent Resources in Jefferson County and one to Encino Energy (EAP) in Guernsey County. West Virginia’s online data service is currently out of order, and there is no ETA for when it will be fixed, so we have no permits to report for the Mountain State. 
The 295-mile Portland Natural Gas Transmission System (PNGTS) spans New England from the Canadian border to pipeline connections in New Hampshire, Maine, and Massachusetts. The system began operations in 1999 and is located between three major pipeline networks originating in Canada and the U.S. TC Energy owns 61.7% of PNGTS. The remaining 38.3 percent is owned by Northern New England Investment Company. At least until yesterday, when PNGTS was spun off into its own standalone company, now owned by the evil BlackRock. 
With the presidential election only 80 days from now, the money coming from Washington, D.C. to swing states like Pennsylvania is flowing like a river, as we told you yesterday (see 
At a packed meeting in May, the Indiana Township (Allegheny County, PA) Planning Commission voted unanimously (4-0) to delay a decision on rezoning a 59-acre parcel along Route 910 from office/commercial to light industrial — which would allow gas drilling on the site (see 
Over the past seven-plus years, BKV Corporation (Banpu Kalnin Ventures), the American arm of Banpu (96% owned by Banpu, Thailand’s largest coal mining company), has become one of the top 20 gas-weighted natural gas producers in the U.S. BKV originally entered the American shale sector by investing $500 million in 2016-2017 to buy existing Marcellus wells and acreage in northeast Pennsylvania. Then the company went wandering into other shale plays, including the Barnett (see 
America’s natural gas and oil industry announced “a landmark partnership” in late 2017 called The Environmental Partnership to “accelerate improvements to environmental performance in operations across the country” for lowering methane emissions (see 