Anti-Drilling/Fossil Fuel | BP | Chevron | ConocoPhillips | Energy Companies | Exxon Mobil | Industrywide Issues | Shell | Taxation
Senate Democrats Attack Big Oil Again, Propose Huge New Taxes
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.
Read More “Senate Democrats Attack Big Oil Again, Propose Huge New Taxes”
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.
NATIONAL: U.S. natgas futures jump 5% on colder forecasts for late December; Oil posts largest weekly loss since April; Continental Resources announces new CEO; Biden adviser calls investor refusal to ramp up shale drilling ‘un-American’; Why U.S. electricity is becoming even more natural gas dominant; INTERNATIONAL: UK’s PM bans fracking but green lights new coal production; Hydrogen 11 times more expensive than gas.
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).
It’s been a tough year for many people–for just about every human on planet earth. Russia’s illegal invasion of Ukraine and the fallout with Europe cutting back on purchases of Russian oil and natural gas have rippled across the planet, causing high energy prices and a recession. Energy consulting firm Wood Mackenzie (WoodMac) has put together analysis in a new report that looks for the proverbial silver lining in all the bad news. WoodMac has appropriately named this report, “The Silver Linings Playbook.” In it (full copy below), WoodMac lists five key developments that, despite the setbacks of the past year, are “laying the foundations for the delivery of more reliable, affordable and sustainable energy.” Interestingly, all five of the developments deal with using more fossil energy.
Last week (Nov. 28-Dec. 4), the number of permits issued to drill new shale wells rose slightly to 21 from the prior week’s 17. The big surprise is why. Pennsylvania only handed out five new permits. Ohio issued even fewer–just three. It was West Virginia with 12 new permits that saved the day.
Well, that didn’t take long! Yesterday MDN told you that the Attorney Generals from 13 states had recently filed a protest with the Federal Energy Regulatory Commission (FERC) seeking to block Vanguard, a MAJOR investor (with $7.2 trillion of assets under management), from buying stocks in electric utility companies. Why? Because Vanguard is (among other things) a member of the radicalized Net Zero Asset Managers group–a group whose mission is to force companies to abandon the use of fossil energy. And just like that, Vanguard quit its membership in the Net Zero nutters group. It seems Vanguard values profits over pretentious virtue signaling, after all.
Gas-focused drillers in the U.S. tracked by RBN Energy (most of them with major operations in the Marcellus/Utica region) had a stellar third quarter financially. The group of 11 publicly-traded drillers that RBN tracks tripled their earnings on average, and cash flows were up 150% over the same quarter last year. EQT Corp., now helmed by Toby Rice, was the most profitable company on the list, earning $2.6 billion in Q3 while generating $3.1 billion in cash flow. What about the others?
Once a month, the analysts at the U.S. Energy Information Administration (EIA) issue the agency’s Short-Term Energy Outlook (STEO), their best guess about where energy prices and production will go in the next 12 months or so. We sometimes poke some good-natured fun at the EIA because one month their predictions go up, the next month down, etc. What about the latest STEO, published on Tuesday? EIA predicts average natural gas production will be just above 100 Bcf/d in 2023 (after predicting last month it would average below 100 Bcf/d). As for the commodity price of gas, EIA says the Henry Hub spot price will average right around $6/MMBtu in 1Q23.