Other Stories of Interest: Tue, Jun 11, 2024
MARCELLUS/UTICA REGION: VNG fuels workforce development with $620,000 investment; NATIONAL: Climate activists arrested at Citi’s NYC headquarters; NERC reports some regions at risk for energy shortfalls; Democrats scapegoating Big Oil for political gain; Steamy weather heats up natural-gas prices; Natgas prices erase early gains as weather forecasts shift cooler; INTERNATIONAL: Oil recoups losses as it rises near $78 a barrel; New Zealand set to scrap oil, gas exploration ban; LNG regasification set to dominate China midstream projects; Industry body issues message for UK politicians; Europe’s shift from Russian gas to pricey LNG.
Read More “Other Stories of Interest: Tue, Jun 11, 2024”
Williams’ Regional Energy Access Expansion (REAE) project involves expanding the mighty Transco pipeline in Pennsylvania and New Jersey to deliver an extra 829 MMcf/d of Marcellus gas to PA, NJ, and Maryland. Part of the project was completed and went online last year (see 
For all of the griping and complaining and moaning from the radical left (and uppity Virginia horse farmers) about the Mountain Valley Pipeline (MVP) being unnecessary and a blight against humanity, wonder of wonders, customers are WAITING for the gas that will flow through MVP! In fact, the CEO of Roanoke Gas Co. says “We were out of gas literally.” Roanoke Gas desperately needs the new supplies that will flow through MVP. In addition, Summit View Business Park in Franklin County will receive gas from MVP, which will boost the park’s efforts to market its 13 available sites.
The price of natural gas traded at the Henry Hub (HH) in Southern Louisiana is THE benchmark price used for the entire industry in the U.S. All other prices are compared to the HH. The HH serves as the official delivery location for futures contracts on the New York Mercantile Exchange (NYMEX). The hub is owned by Sabine Pipe Line LLC and has access to many of the major gas markets in the United States, hence its use as the benchmark. A major trading hub in the Marcellus/Utica, Columbia Gas, tended to follow the HH, rising when HH went up and falling when HH lost value. It’s never a one-to-one correlation, but it’s close. That is, until the past year, when, according to analysts with Argus Media, the Columbia Gas trading hub became “untethered” from the HH.
Last Thursday, MDN brought you the news that U.S. Senator Shelley Moore Capito (from West Virginia) and Congressman Troy Balderson (from Ohio) introduced a resolution to block the EPA’s latest attack against the natural gas industry (see 
Well, the bottom dropped out of the rig count last week once again. The national combined oil and gas rig count dropped by six to 594, the lowest it has been since January 2022. The Marcellus/Utica did not go unscathed either, losing two rigs. Pennsylvania lost one rig and now operates 21 rigs. Ohio remained steady with ten active rigs. However, West Virginia lost another rig and now only has five active rigs. One year ago this week, WV operated 13 active rigs. Yuck.
We’ve been tracking the up down up down up down situation at Freeport LNG since it came online in 2019. Freeport was mostly offline this year following an episode of cold temps in January (see 
Two weeks ago, 18 new permits were issued to drill in the Marcellus/Utica region. Last week, May 27 – June 2, the number increased dramatically by 72% to 31 new permits. Most of the new permits came from two drillers. Range Resources scored the most with 11 new permits spread over two pads in Washington County, PA. EQT received nine new permits for a single pad in Wetzel County, WV. Chesapeake Energy received five new permits, all in Bradford County, PA. In fact, the rest of the new permits were all in PA, which handed out 22 new permits last week — a huge increase over the typical numbers for PA over the past few months.
We have been tracking and reporting on the drama surrounding Austin Master Services (AMS), a radiological waste management solutions company in Martins Ferry (Belmont County), Ohio, located close to the Ohio River, since the Ohio Attorney General lodged charges against the company back in March (
Cecil Township in Washington County, PA, has seen a fair bit of Marcellus shale drilling over the years. The Board of Supervisors adopted a shale drilling ordinance back in 2011. They are considering an update. Unfortunately, the update they are considering is akin to jumping off a cliff. The town follows state guidelines that new shale wells must be drilled at least 500 feet from homes and 2,500 feet from schools and hospitals. The supervisors are seriously considering an amendment to raise the setback to 2,500 feet (half a mile!) from all structures. In other words, it would ban new drilling in 99% of the town.
The merger of EQT Corporation and Equitrans Midstream into a single company took one giant leap forward in May when the Hart-Scott-Rodino (HSR) Antitrust Act waiting period expired and the federal government (by not objecting) blessed the re-union (see 
Patience is a rare commodity these days. We live in a day and age of instant gratification. Our food is made and delivered in minutes. The latest gizmo we want can be on our doorstep the next day (or, in some cases, the same day) from Amazon and any number of other retailers. Entertainment and distractions are everywhere! Just lift your eyes from your own phone and observe everyone else around you staring at their phones. So perhaps it is no surprise that some people feel lied to because the mighty Shell ethane cracker plant in Beaver County, PA, hasn’t instantly delivered the promised thousands of extra jobs and dozens of relocated companies.
Last August, MDN told you about a new Cambridge University study published in the journal Science exposing the sale of carbon credits as a scam (see