Other Stories of Interest: Thu, Apr 28, 2022
MARCELLUS/UTICA REGION: WV fossil fuel leaders acknowledge limits to support Europe via energy exports; OTHER U.S. REGIONS: Virginia Natural Gas incorporates aerial drones to inspect natural gas infrastructure; Connecticut utility regulators end state’s natural gas expansion plan launched in 2013; Energy Dept OKs expanded LNG exports from Texas, Louisiana; NATIONAL: Investors at 3 major banks defeat climate resolutions.
Read More “Other Stories of Interest: Thu, Apr 28, 2022”
Nicor Gas, a local distribution company (LDC), otherwise known as a natural gas utility company, is headquartered in Naperville, Illinois–a suburb of Chicago. Nicor Gas is the largest natural gas distribution company in Illinois, serving more than two million customers in a service territory that encompasses most of the northern third of Illinois, excluding the city of Chicago. Two days ago Nicor announced it had signed a deal with ENGIE Energy Marketing NA to buy “responsibly sourced” natural gas for its customers.
In 2018, CNX Resources announced it had signed a long-term contract with Evolution Well Services to use Evolution’s 100% natural gas-fueled electric pressure pumping equipment (see 
Yesterday MDN highlighted a newly published Cleveland State University study commissioned (and paid for) by the nonprofit JobsOhio (see 
At the end of the day, Joe Manchin, U.S. Senator from West Virginia, is still a Democrat and beholden to his party’s radical leftwing. We had hoped he was a different kind of Democrat, but alas, perhaps not. Bloomberg (often a fake news source) is reporting that Manchin is reaching out to Republicans in the Senate to gauge interest in spending a half-trillion dollars ($550 billion to be exact) on “climate and energy spending”–resurrected pieces of what had been Biden’s failed Build Back Better Act. The aim is to salvage something of Joe Biden’s tattered reputation ahead of the 2022 elections in November, so Dems are not completely obliterated (as we hope they are and deserve to be) this fall. No thanks, Sen. Manchin. We’re not interested in tacking on another 4-5% to the inflation numbers that are already at historic highs, which is exactly what such a bill would do.
Three Democrat Federal Energy Regulatory Commission (FERC) commissioners voted to adopt and immediately begin using new guidelines for approving pipeline projects by taking into account mythical global warming factors back in February (see 
The world can’t get enough LNG (liquefied natural gas), specifically American LNG. The U.S. has seven active LNG export terminals, another 18 FERC-approved export terminal projects (four under construction), and six or more proposed but not yet approved projects. The world needs our natural gas/LNG, we have the ability to provide it, let’s build! Chop chop!! But wait a minute–it’s not that easy (nothing ever is). There are two big reasons why more LNG export facilities are not proceeding to final investment decisions (FIDs) and beginning to build, even with the world begging for our LNG.
Last week Pennsylvania issued 22 new shale well permits, up ten from the prior week. EQT led the way with five permits, all in Greene County. Both LOLA Energy and Snyder Brothers had four permits each, LOLA in Butler County and Snyder in Armstrong. For the second week in a row, Ohio had no new shale permits issued last week. Bummer. West Virginia had eight permits, up from two in the prior week. Arsenal Resources had the most with four permits in Taylor County, while Southwestern Energy had three permits–one in Ohio County and two in Brooke County.
Over the past decade or more landowners have been approached about leasing their property and/or mineral rights–for shale drilling, pipelines, solar and wind farms, etc. Here’s a new one to add to the list: pore rights. Pore space is the underground space where carbon dioxide that’s captured from various processes can be injected and stored, keeping it locked away underground where it theoretically won’t damage Mom Earth. The whole concept of storing CO2 underground would be funny if it were not so sad that grownups are actually doing this. But we digress. Leasing pore rights may be the next big thing for landowners and mineral rights owners in the Marcellus/Utica region as carbon capture and storage takes off. However, who owns pore rights? Landowners or mineral rights owners?
When you only have one main pipeline flowing natural gas from the prolific Marcellus Shale to your region, as does Boston, if that pipe has an outage for any reason, as the Algonquin Gas Transmission (AGT) has had, you’re in trouble. AGT declared a force majeure (an unforeseen act of God) on the 26-inch line of its J System in Massachusetts. The outage in one particular section of the pipeline means “slashing nominations downstream of Trapelo to zero for the foreseeable future.” Ouch. Guess what’s happening to the price of natural gas at the Algonquin Citygates natgas trading hub? Through the roof.
The Acting Deputy Secretary for Oil and Gas Management at the Pennsylvania Dept. of Environmental Protection (DEP), Kurt Klapkowski, spoke to the DEP’s Oil and Gas Technical Advisory Board (TAB) yesterday, updating the board on his program’s finances (lack thereof). As part of his comments, Klapkowski observed that each year the number of new shale wells drilled in PA decreases. He offered some reasons why that may be happening. We have a few reasons to add that Klapkowski overlooked.
Pennsylvania has already received the first $25 million payment from the so-called infrastructure bill, a down payment on what will eventually be ~$400 million over the next 15 years to plug abandoned and orphaned oil and gas wells across the state (see 
National Grid is desperately trying not to run out of natural gas for its customers in Brooklyn and Queens (on Long Island). For several years the company has fought a battle to run a tiny pipeline to its Greenpoint, Brooklyn facility, to provide extra natural gas. That project is being investigated by the Biden administration on charges of racism (see 
You know how Big Banks have gone woke left, threatening to defund, divest, and refuse to loan money to oil and natural gas companies due to pressure from a small, vocal minority on the environmental left? Big Banks are now facing their worst nightmare: The oil and gas industry is making enough money, generating enough free cash flow, that it can walk away from loans from Big Banks. Goodbye and good riddance.