OTHER U.S. REGIONS: Arkansas is getting a first-of-its-kind gas plant; NATIONAL: Oil drops as Fed signals further rate hikes; What’s driving the rally toward $100 oil?; Exxon seeking U.S. subsidies for producing hydrogen from natural gas; INTERNATIONAL: Oil companies cautious about drilling as energy transition looms; French drillers may have stumbled upon a mammoth hydrogen deposit.
Read More “Other Stories of Interest: Thu, Sep 21, 2023”
In April, MDN told you about a radicalized faction within the Pennsylvania Democrat Party trying yet another ploy to block all new Marcellus drilling in the state (see PA House Bill 170 Kills New Marcellus Drilling Using Setbacks). Danielle Friel Otten, a committed anti-fossil fueler representing part of Chester County (Philadelphia area) in the Pennsylvania House, introduced House Bill (HB) 170, which would increase setback distances for shale wells from 500 feet to 2,500 feet — effectively killing any new shale well drilling anywhere in the state. In June, Democrat Party bosses shut down action on HB 170, telling the House to cancel a vote (see PA Dems Abandon Bill to Kill All Marcellus Drilling Using Setbacks). Some Democrats apparently didn’t get the memo. The legislation is back, this time being introduced in the Republican-controlled Senate by far-left Democrats Carolyn Comitta (D-Chester County) and Steven Santarsiero (D-Bucks County).
Read More “PA Dem Senators Intro Bill to Ban New Shale Drilling Using Setbacks”
National Fuel Gas Company (NFG) and its pipeline subsidiary Empire Pipeline have worked on a plan to build the Northern Access Pipeline since 2016. Northern Access is a 97-mile project from McKean County in Pennsylvania into and through Allegany, Cattaraugus, and Erie counties in New York that will flow Marcellus gas into New York State. The project was repeatedly delayed by the radicals of the Andrew Cuomo (now Kathy Hochul) administration. NFG says it still wants to build the project, but needs more time. The Federal Energy Regulatory Commission (FERC) gave NFG an extra 35 months to get the project done in a decision in June 2022. The Sierra Club challenged FERC’s time extension, and in oral arguments yesterday, the U.S. Court of Appeals for the District of Columbia (DC Circuit) pretty much shut down the Sierra Club and its challenge.
Read More “Anti Challenge to Northern Access Pipe Dealt Blow in DC Circuit”
Every time we read about peak oil or gas (demand or supply), or that there are no more good places left to drill for shale and drillers are now left to scrape and claw at less desirable locations, or that the decline curves are killing shale, etc. — we laugh. How many times over the years has MDN told you something along the lines of this: The shale industry is a marvel. It keeps getting better and keeps discovering new shale layers to drill, new techniques to use, and new technologies to employ. In a talk given at the University of Texas, Tim Leach, a board member with ConocoPhillips and a former Permian Basin explorer, made this prediction: Someone out in the shale world is on the verge of the next oil and gas breakthrough. Sound familiar?
Read More “Shale Energy is on the Verge of Next Oil and Gas Breakthrough”
This is how lawless dictators behave. The U.S. Senate, charged with approving the people who run various governmental agencies, including the Dept. of Energy, rejected Jeff Marootian, nominated by Joe Biden to be the assistant secretary of the Dept. of Energy’s Office of Energy Efficiency and Renewable Energy (EERE). Why? Joe Manchin said Marootian wants to ban natural gas stoves by regulating them out of existence. Biden withdrew Marootian’s nomination–and then “quietly” appointed him as principal deputy assistant secretary of the EERE, where he is now the most senior person and the de facto head of the department. Lawless.
Read More “Biden Gives Middle Finger to Senate, Appoints Gas Stove Nazi Anyway”
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 NatGas, Oil Industry Partnership to Accelerate Methane Reductions). The group, which includes most Marcellus/Utica drillers and pipeline companies, just released its fifth annual report (below) demonstrating that the U.S. oil and natural gas industry’s actions in reducing methane emissions are working.
Read More “TEP’s 5th Annual Report on How O&G is Reducing Methane Emissions”
The Bidenistas at the Dept. of Treasury want banks and asset managers to sign on to the lunatic “net-zero” pledge to reduce the mythical increase in global temperatures to no more than 1.5 Celsius by 2050. The way to do it, according to the climate hucksters, is to limit methane and carbon dioxide emissions. In other words, quit burning and using fossil fuels. It’s pure insanity, but this isn’t the first time in world history humans have engaged in mass insanity. Back to center… Yesterday, the Treasury Dept. published?the “Principles for Net-Zero Financing & Investment” report, a document with nine principles (i.e., commandments) that Treasury and the Bidenistas say are voluntary for banks and asset managers to follow. In reality, they are requirements. Banks will disobey at their own peril.
Read More “Treasury Dept Issues 9 Commandments to Banks re Net-Zero Policies”
In May, the Bidenistas at the EPA released a hellscape of new regulations (681 pages) aimed at forcing coal- and natural gas-fired power plants to close (see New Biden EPA Regs a “Death Sentence” for Fossil-Fuel Power Plants). The editors of the Wall Street Journal called the new EPA regulations “An EPA Death Sentence for Fossil-Fuel Power Plants,” with the subtitle “The Biden agency’s new rule means the end of natural gas-fueled electricity.” A new report by the Center of the American Experiment (below) finds that the new EPA rules and subsidies for wind and solar in President Biden’s so-called “Inflation Reduction Act,” (IRA) would cause devastating blackouts in one of the largest regional electric grids in the country — the Midcontinent Independent Systems Operator (MISO) — currently serving 45 million Americans in a geographic footprint stretching from Minnesota to Mississippi.
Read More “Study Finds Massive Blackouts Coming from Biden’s Power Plant Regs”
NATIONAL: Changes in U.S. residential natural gas prices lag spot prices; US pipeline regulator awards $15 million grants to improve safety; INTERNATIONAL: “We need to get on with fracking” – Liz Truss; Who produced the most natural gas in 2022?; Europe remains stuck in Russia’s stronghold.
Read More “Other Stories of Interest: Wed, Sep 20, 2023”
In January, Ohio House Bill (HB) 507 became law with the signature of Gov. Mike DeWine (see OH Gov. Signs Bill Expanding Drilling in State Parks, NatGas “Green”). The new law allows shale drilling under (but not on top of) Ohio state-owned land, including state parks. HB 507 encourages (pushes for) more drilling under state-owned land. The special commission created to award contracts — called the Ohio Oil & Gas Land Management (OGLM) Commission — met yesterday to consider the 12+ “nominations” (requests to drill) received so far. The meeting was beset with silly anti-fossil fuelers (most of them old hippies) behaving like the silly horse’s rear-ends they are. Dressed up, parading around, and singing (ever notice how lefties like to play dress-up?). Aside from the distraction of antis, the topic of discussion that caught our attention was the royalty rate supposedly established by the state legislature that must be used in all contracts. OGML members say the established rate they must use is WAY too low and somehow needs to be changed.
Read More “Ohio Comm. Says 12.5% Royalties for State Land Drilling Too Cheap”
Commonwealth LNG is developing a 9.3 MTPA (million tons per annum) liquefied natural gas (LNG) export terminal project located on the Calcasieu River in the Gulf of Mexico near Cameron, Louisiana. Commonwealth anticipates a final investment decision for the project in the first quarter of 2024, with the first cargo deliveries expected in 2027. According to an announcement yesterday, just over 10% of the gas that will get liquefied and exported will come from EQT Corporation’s Marcellus/Utica operations.
Read More “EQT Signs Deal with Commonwealth LNG in La. to Liquefy 1 MTPA LNG”
The latest monthly U.S. Energy Information Administration (EIA) Drilling Productivity Report (DPR) for September, issued yesterday (below), shows EIA believes shale gas production across the seven major plays tracked in the monthly DPR for October will *decrease* production from the prior month of September–by a large quantity. This is the third month in a row EIA predicts shale gas production will decrease for the combined seven plays. EIA says combined natgas production will slide by 339 MMcf/d (million cubic feet per day)–roughly one-third of a billion cubic feet per day (Bcf/d). The Marcellus/Utica, called “Appalachia” in the report, is predicted to slump by 137 MMcf/d in October compared with September–the biggest slump of any of the seven plays.
Read More “EIA Sep DPR: Shale Gas Production Drops Like a Rock, M-U Leads Drop”
Natural Allies for a Clean Energy Future is a 501(c)(4) advocacy group launched in August 2020 to promote natural gas as the best solution to support so-called renewable energy and the best solution to lower greenhouse gas emissions. The leftist rag, The Guardian, reported that Natural Allies for a Clean Energy Future has budgeted over $10 million for its advocacy efforts. The efforts include convincing younger, liberal, and non-white audiences that natural gas is clean and green. Is it working? Last year, the group recruited former U.S. Senator Mary Landrieu (Democrat from Louisiana) and earlier this year recruited former Congressman Tim Ryan (Democrat from Ohio) to sit on the group’s “leadership council.” Natural Allies has just recruited two more Democrats as reps–former Philadelphia Mayor Michael Nutter and former Florida Congressman Kendrick Meek (both African Americans). Is this Democrats-for-hire? Or do all four of these people really believe in a future with natural gas energy?
Read More “Former Philly Mayor & Fla. Congressman (Dems) Join NatGas Group”
Congress created and chartered the Securities and Exchange Commission (SEC), but the President appoints the person who runs it. The Bidenista currently running the SEC, Gary Gensler, is a real piece of work. He wants to permanently institutionalize requirements requiring publicly traded companies to disclose their so-called greenhouse gas (GHG) emissions and the imaginary climate risks their businesses face (see SEC Votes to Force Public Companies to Disclose Mythical GHG Risks). Such a move would significantly harm the oil and gas industry (see SEC Reg Requiring Disclosure of Climate Change Risk “Kneecaps” O&G). Republicans in both the House and Senate are aggressively pushing back against Gensler’s plan (see Congress Hammers SEC Chairman, Demands Docs Related to ESG Reg). However, Gensler is pushing ahead with his plan and will soon release a new regulation requiring GHG disclosures.
Read More “WSJ Exposes SEC Chairman Gary Gensler as Anti-O&G Climate Zealot”
Methanol is a type of alcohol made primarily from natural gas. It’s a base material in acetic acid and formaldehyde, and in recent years, it is also increasingly being used in ethylene and propylene. Mixing methanol with substances like these enables it to be used as an intermediate material to make literally thousands of methanol and methanol derivative products used in practically every aspect of our lives. Methanol and its derivative products, such as ascetic acid and formaldehyde created via chemical reactions, are used as base materials in acrylic plastic; synthetic fabrics and fibers used to make clothing; adhesives, paint, and plywood used in construction; and as a chemical agent in pharmaceuticals and agrichemicals. Researchers in Japan say they’ve discovered a way to manufacture methanol from natural gas at room temperature in water using a special enzyme that can be easily mass-produced. Translation: It is a really cheap way to create new methanol.
Read More “New Cheap Way to Convert Methane to Methanol in Water at Room Temp”
INTERNATIONAL: Aramco, ExxonMobil chiefs insist oil needed in energy transition; Oil extends rally to near 10 month high; SocGen plans to halt new oil and gas loans in strategy update; Chevron’s strike-hit Australia LNG facility resumes full production.
Read More “Other Stories of Interest: Tue, Sep 19, 2023”