OTHER U.S. REGIONS: Tellurian hires former McDermott COO; Tennessee plans to boycott banks, financial institutions that divest from fossil fuels; NATIONAL: The US cannot make enough fuel; Shale pioneer Harold Hamm slams Biden’s “failed” energy policies; House Democrats’ gas price gouging bill panned as ‘socialism’; INTERNATIONAL: Oil rallies to March highs as fuel markets intensify.
Read More “Other Stories of Interest: Tue, May 17, 2022”
Pennsylvania, Ohio, and West Virginia are all scrambling to form working groups or other alliances in an attempt to be THE state chosen for one of four regional hydrogen hubs funded by the recently passed so-called Biden infrastructure bill (see WV, OH, PA Compete Against Each Other to Attract $2B Hydrogen Hub). The new law provides $8 billion for four regional hydrogen hubs. It’s a safe bet one of those hubs will be located in either PA, OH, or WV. Unfortunately, the three states that should be cooperating to attract the hub are instead going their own way, attempting to do it without cooperation. The latest example is an announcement this morning by Gov. Wolf.
Read More “PA Gov. Wolf Announces “Aggressive Push” to Get Hydrogen Hub”
On May 12, the New York State Public Service Commission (PSC) voted to adopt two orders aimed at eventually phasing out the use of natural gas in homes and businesses across the state. At least that’s our take on the complex, gobbledegook orders issued (we have copies of both orders below). The PSC issued one order to LDCs (local distribution companies, otherwise known as local natural gas utilities) requiring them to file complicated reports outlining their natural gas infrastructure (pipelines) and efforts they deploy to encourage customers to use less natural gas, in line with the law passed two years ago by Cuomo to phase out the use of all fossil fuels. The second order issued by the PSC controls how utilities can and can’t enforce moratoria on new gas customer hookups.
Read More “NY PSC Adopts Rules to Phase Out Use of NatGas Statewide”
In March the U.S. Securities and Exchange Commission (SEC), corrupted by the Bidenistas, said it will begin to force all 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). Companies will have to pretend they care about supposed man-caused global warming and cook up hokey methods for evaluating how much carbon dioxide not just their own company, but their customers “emit” into the air when using a company’s products (so-called Scope 3 emissions). It’s an attempt to totally control businesses without actually owning them (Communism, or owning the means of production, without actually calling it that). A column in RealClearEnergy outlines how the SEC’s regulation “misses the mark” and “represents a cost burden as opposed to a solution that would reduce global emissions to the benefit of society.”
Read More “SEC’s Climate Disclosure Rule a Cost Burden that “Misses the Mark””
Vaclav Smil is a Distinguished Professor Emeritus at the University of Manitoba. Smil is the author of over forty books on topics including energy, environmental and population change, food production and nutrition, technical innovation, risk assessment, and public policy. His newest book, titled How the World Really Works, contains some startling information. Modern societies would be impossible without mass-scale production of many man-made materials. Four materials rank highest on the scale of necessity, forming what Smil calls the four pillars of modern civilization: cement, steel, plastics, and ammonia. All four require fossil fuels or the don’t exist.
Read More “Without Fossil Fuels, Half the World’s Population Will Starve”
We always wait a few days into a new week before grabbing new shale well permits data to give the folks at the various state agencies time to update their systems for the previous week. Last Wednesday we told you that Pennsylvania had issued 11 new permits, Ohio issued none, and West Virginia issued just one (see 12 New Shale Well Permits Issued for PA-OH-WV May 2-8). In rechecking today, we discovered PA actually issued 13 new permits and OH issued 11 permits during that period (both states updated their data since last Wednesday). WV remained at one new permit. We include the revised and corrected reports below.
Read More “Corrected: 25 New Shale Well Permits Issued for PA-OH-WV May 2-8”
Below is the list of events we are aware of that will be of interest to those with an interest in the Marcellus/Utica shale region for 2022. Some events are in the region (PA, OH, WV). Some are not (TX, OK, CO). Some are virtual/online, but most have returned to in-person. All of them are of potential interest to the MDN audience.
Read More “Calendar of Events 2022 – Marcellus/Utica & Beyond”
MARCELLUS/UTICA REGION: Shale Academy shows off career options; OTHER U.S. REGIONS: Vermont becomes latest blue state to reject natural gas building restrictions; NATIONAL: Does Biden want higher gas prices?; Surging natural gas prices squeeze U.S. industrial sector; INTERNATIONAL: Aramco overtakes Apple.
Read More “Other Stories of Interest: Mon, May 16, 2022”
Epsilon Energy concentrates most of its effort on developing Marcellus Shale wells in Susquehanna County, PA. Epsilon doesn’t typically do its own drilling. The company joint venture partners with (gives money to) other companies, like Chesapeake Energy, and the other company typically does the drilling. Usually. Epsilon issued its first quarter 2022 update earlier this week. The company’s Marcellus net gas production was 2.4 Bcf (billion cubic feet) in 1Q22.
Read More “Epsilon Energy 1Q22 – Production Even, Revenue Up 61%”
We don’t normally recommend books to read–especially those we haven’t read yet ourselves. Today we’re making an exception. Last week we received an email about a new book published on Amazon by Chris Bentley, the former President and CEO of Bellatorum Resources, an investment management firm that formerly specialized in Texas oil and gas royalties and mineral rights. Bentley recently published a book called Burning Bellatorum: The Story of a Forty Million Dollar Fraud and its Priceless Lessons for Investors and Entrepreneurs, detailing the $40 million fraud he committed while running his company. Since there are a number of companies that buy royalties and mineral rights in our region, we thought this information might be of interest to MDN readers.
Read More “How O&G Royalties/Mineral Rights Co. Committed $40M Fraud”
Every “game” comes to an end when play must stop and a winner, and a loser, are declared. If you watch basketball you know that the final couple of minutes can last what seems like a lifetime. One team, up by 2 or 3 points, gains possession of the ball and they are in the lead. What do they do? Play keep-away. Run the clock down so the opponent can’t score to tie or pull ahead. What does the opponent do? Try to foul the person with the ball, or call for a time-out, in order to stop the clock and (hopefully) when the ball is thrown in and play resumes, regain possession and score. In a sense, that’s what is happening with the 94% complete Mountain Valley Pipeline (MVP) project, a 303-mile pipeline from West Virginia to southern Virginia. Right now anti-American Big Green groups have possession of the ball (having co-opted leftist judges) and they are ahead by one point, hoping to end the game by running out the clock. Will they succeed?
Read More “Climate Cultists Running Out the Clock on Mountain Valley Pipeline”
Despite screaming and howling at the moon by leftist Big Green groups, including the Sierra Club and Public Citizen, the Federal Energy Regulatory Commission (FERC) last week issued orders allowing two huge new LNG export facilities extra time to complete building those projects. On May 6, FERC issued a 31-month time extension to Cheniere Energy to build its third train (“Stage 3”) project at the existing Corpus Christi Liquefaction facility. FERC issued a three-year time extension to Energy Transfer’s Lake Charles LNG project. Both facilities have the potential to be fed, in part, by Marcellus/Utica molecules.
Read More “FERC Gives 2 Gulf Coast LNG Export Projects More Time to Build”
For how many years now have we had to suffer through insufferable “reporting” that tells us the day of Big Oil is over. That woke investors have turned their backs on oil and gas companies and that no new investment in O&G will happen ever again. Now that oil and natgas prices are through the roof and oil and gas companies are turning in record profits with gobs of free cash flow, buying back shares and issuing dividends–guess what has happened? Wall Street investors have turned their backs on high-flying, woke Big Tech companies and instead are investing where the money is–in oil and gas. We love it!
Read More “Investment Script Flips – Big Tech Stocks Down, Big O&G Stocks Up”
The Enverus rig count, as of Wednesday, stood at 806, up by three from the week before. We are only 32 rigs away from the pre-pandemic high of 838 rigs. Last week the Marcellus operated 45 rigs (up by one), while the Utica operated 11 rigs (same as the week before), for a total of 56 active rigs in the M-U. Our chief rival, the Louisiana and Texas Haynesville, operated 71 rigs last week, picking up two rigs from the week before.
Read More “Enverus Rig Count @ 806 (+3); Marcellus @ 45 (+1), Utica @ 11 (+0)”
MARCELLUS/UTICA REGION: Oil, gas education program recognized for excellence; OTHER U.S. REGIONS: ExxonMobil books 2 MTPA of LNG from Venture Global; NATIONAL: US weekly LNG exports decrease by four LNGCs; Natural gas consumed by U.S. electric power sector sets January record in 2022; Democrats are playing politics on oil and gas prices; Environmental group targets Biden energy diplomat over ties to gas industry; INTERNATIONAL: Historic price spikes lead to record LNG imports into Europe.
Read More “Other Stories of Interest: Fri, May 13, 2022”
Ascent Resources, originally founded as American Energy Partners by gas legend Aubrey McClendon, is a privately-held company that focuses 100% on the Ohio Utica Shale. Ascent is Ohio’s largest natural gas producer and the 8th largest natural gas producer in the U.S. The company issued its first quarter update earlier this week. Ascent averaged production of 2.0 Bcfe/d for the quarter, a 9% increase over 1Q21. Nearly all of Ascent’s production (93%) was natural gas, while the rest was oil and NGLs. Ascent generated -$2 million of free cash flow (yes, negative free cash flow) and lost $1.5 billion during 1Q based on bad bets on derivatives/hedging.
Read More “Ascent 1Q – Drills 17 Ohio Wells, Loses $1.5B on Bad Derivatives”