S&P Global’s 2023 Energy Outlook – “The End of the Beginning”
S&P Global Commodity Insights issued its latest 2023 Energy Outlook yesterday. The analysis is quite interesting, with ten “key themes” that will most affect world energy (and oil/natgas prices) next year. The number one key theme may surprise you: “China’s COVID policy is the most important fundamental factor for energy markets.” If not for China shutting down entire regions in an effort to stamp out COVID spread, S&P says the price for commodities like oil and natural gas would have continued to be high this year. If China’s demand comes roaring back in 2023, watch out! Prices will be “well supported,” according to S&P. More like “through the roof.” If COVID continues and China’s demand stays low, look for prices to remain lower too.
Read More “S&P Global’s 2023 Energy Outlook – “The End of the Beginning””
Each year oil and gas supermajor BP (formerly British Petroleum), one of the largest oil companies in the world, publishes an annual Statistical Review of World Energy. We typically bring you a copy with analysis, as we did for the 71st annual edition published in July of this year, covering 2021 (see 
MARCELLUS/UTICA REGION: Adam Jones named Steel Nation Chief Financial Officer; Manchin leaves door open to becoming independent; NATIONAL: Too soon to celebrate comfortable winter propane market conditions?; INTERNATIONAL: Aramco in talks with investors on $110B gas project.
Late last week, the Pennsylvania Dept. of Environmental Protection (DEP) slapped Equitrans with three orders related to the Rager Mountain Gas Storage Reservoir in Cambria County, PA. The George L Reade 1 storage well located in the Rager Storage Reservoir vented natural gas uncontrolled into the atmosphere from Sunday, November 6, 2022, until the evening of Saturday, November 19, 2022, when it was plugged. The DEP has been onsite during the entire event (and since). An investigation by the DEP has found all but one of the 12 storage wells at the Rager field are leaking methane to one degree or another. The DEP has closed down all injections into the field, although withdrawals from the field (in order to prevent customers from going without) have continued.
CNX Resources President and CEO Nick DeIuliis has done it again. This morning CNX launched “Appalachia First,” the company’s vision for the future which draws on CNX’s regional leadership, core operational strengths, and an innovative business model. What is Appalachia First? In a nutshell, the strategy as outlined by CNX is to extract and KEEPING/USING natural gas right in our own region, making the Marcellus/Utica (i.e. Appalachia) the economic and jobs hub of the entire country. It’s brilliant!
According to the U.S. Energy Information Administration (EIA), U.S. dry natural gas production increased during 2022 and averaged more than 100 billion cubic feet per day (Bcf/d) in both October and November–exceeding pre-pandemic monthly production records from 2019. EIA forecasts that U.S. production of dry natural gas will average about 100.0 Bcf/d from December through March, down slightly (about 0.5 Bcf/d) from November, but still at record-high levels.
What can we say? Once again, the Democrat Party is trying to demonize fossil fuels and is going after “Big Oil,” proposing insanely high new taxes on a handful of oil companies because, for a single year (2022), they have actually made some money. All money and profits belong to the government in the left’s twisted worldview. A cabal of seven Senators led by Sen. Robert Menendez from New Jersey has launched this latest attack against our industry.
We’ve heard the peak oil theory peddled countless times since we began publishing Marcellus Drilling News in January 2009. Every single time predictions that the world (or the U.S.) has reached its limit and will now begin using less oil have been astoundingly wrong. Yet every few months, you’ll read another “expert” or guru announce this it…we’ve finally reached peak oil. Have we? NO. Not even close. When will we? We’ve got an answer.
Since the so-called Biden infrastructure bill became law late last year with $8 billion earmarked for so-called clean hydrogen hubs to be funded around the country, we’ve made the strong and loud point that unless the Marcellus/Utica states of Pennsylvania, Ohio, and West Virginia join forces and submit a joint proposal to site one of the 6-10 regional hubs here, we risk losing out to other regional coalitions. It seems someone is finally listening. Until now, each M-U state has proffered its own plan/application for a hydrogen hub (see 
As we highlight in today’s lead story, Ohio has thrown its support behind the ARCH2 (Appalachian Regional Clean Hydrogen Hub) application to site a regional hydrogen hub in West Virginia (see Finally! Ohio Joins Effort to Locate Hydrogen Hub in West Virginia). We have taken various stabs at explaining hydrogen energy and how hydrogen hubs work. However, Pittsburgh Business Times ace reporter Paul Gough has done a masterful job of writing an “explainer” article (with graphics) that outlines the role hydrogen hubs will (if built) play in our energy future.
In March, MDN told you that the Deputy Chief Administrative Law Judge of the Pennsylvania Public Utility Commission (PUC) issued a ruling against the now completed Mariner East 2 pipeline project, assessing a $51,000 fine on the project for work done near an apartment complex (see 
Two days ago, MDN told you about Ohio House Bill (HB) 507, a “poultry” bill that (at the last minute) was amended by the Ohio Senate to redesignate natural gas as a “green” energy source and also a measure expanding drilling on and under state-owned land (see 
It appears that Williams (pipeline company) and Coterra Energy (driller), along with end-customer Dominion Energy (local gas utility) have developed their own “responsible gas” certification scheme apart from the three such schemes widely used by many Marcellus/Utica drillers currently. In an announcement yesterday, Williams said the deal struck with Coterra and Dominion establishes “the industry’s first next generation natural gas certification process across all segments of the value chain from production through gathering and transmission with deliveries through 2023.”
On Wednesday, Congressional House Committee on Natural Resources Ranking Member Bruce Westerman (Republican from Arkansas) and U.S. Reps. Tom Tiffany (Republican from Wisconsin) and Pete Stauber (Republican from Minnesota) sent a letter signed by 24 House members to both the House and Senate Appropriations (i.e. spending money) committees. The letter requests that any year-end funding package prohibits federal funding for the listing of the northern long-eared bat as endangered under the Endangered Species Act (ESA).