In our weekly tracking of the Enverus rig count, the numbers from the latest report (as of Wednesday) show a new record low of 276 active rigs. Quite disturbing for us is that comparing Wednesday of this week with Wednesday of last week, the Marcellus/Utica rig count is down by a whopping six. Ouch. The rig apocalypse continues.
Read More “Onshore Rig Count Drops Another 3 to New Record Low of 276”
MARCELLUS/UTICA REGION: PA’s gas producers become a political football in new AG report; Crozier Welding, LLC plans $2.5M investment, creation of 15 new jobs in Coshocton; PennEast Pipeline partners still determined to build $1 billion pipeline project; Chesapeake Utilities announces Maryland PSC approval of Elkton Gas acquisition; OTHER U.S. REGIONS: Energy Transfer not yet shutting down Dakota Access crude pipeline as it renews stay request; NATIONAL: Electrification is a misguided approach to tackle climate change; Oil went below $0. Some think it will rebound to $150 one day.; Activists not only slow oil pipelines, but also power lines needed for renewable energy; Undone – U.S. LNG export demand unravels; INTERNATIONAL: OPEC Secretary General: “No objective whatsoever” to drive U.S. shale out of business; False Alarm: Bjorn Lomborg’s $69,000 reveal book; For power generation, U.S. LNG emits significantly less greenhouse gases.
Read More “Shale Energy Stories of Interest: Fri, Jul 10, 2020”
In June 2018, EV Energy Partners (EVEP), the drilling subsidiary of EnerVest, emerged from bankruptcy court a mere two months after entering with $355 million of debt erased and sporting a new name: Harvest Oil & Gas Corp. (see EV Energy Partners Emerges from Bankruptcy with New Name). Harvest’s drilling and assets are focused in Ohio, Pennsylvania, and West Virginia where they own/operate 9,787 conventional wells on 916,832 gross leased acres. The company announced yesterday it’s selling off its Appalachian assets for $20.5 million (and no, that’s not a typo).
Read More “Former EV Energy Partners Sells Appalachian Assets for $20.5M”
In April 2019, Pennsylvania State Rep. Mike Turzai, Speaker of the House (who has since resigned and left), along with a group of conservative Republicans, announced a plan for the future of PA (see PA Republicans Launch “Energize PA” to Counter Wolf’s “Restore PA”). Called Energize PA, the plan as codified in eight bills would “make it easier for companies to get environmental permits, encourage development on abandoned industrial sites, and make it cheaper to run natural gas lines to businesses.” One of the eight bills is House Bill (HB) 1100, a bill offering a tax incentive, a reduction in taxes, IF a company builds a new petrochemical plant in the state–particularly in the northeast “dry gas” area of the state.
Read More “Bill to Bring Cracker-Type Investment to Northeast PA Resurrected”
A small Marcellus-focused drilling company based in western Pennsylvania is once again looking for investors. MDS Energy was established in 2005 by Michael D. Snyder. By 2006 the company offered its first investment partnership. Drilling companies today are as much about investments and finance as they are about sinking holes in the ground. MDS quickly grew and in 2007 founded a sister company to concentrate on oilfield services (drilling, construction, etc.) called First Class Energy. First Class has gone on to drill over 1,000 wells, mostly for MDS competitors since MDS itself has not drilled all that many wells–as of the end of 2017 (going by our Marcellus & Utica Shale Upstream Almanac) MDS had eight permits and had drilled four wells–all in Armstrong County, PA.
Read More “Marcellus Shale Development (MDS) Floats $150M in New Units”
Yesterday the Pennsylvania House of Representatives voted 130 to 71 (with overwhelming bipartisan support) to pass House Bill (HB) 2025 which would block Gov. Wolf’s attempt to force PA into a northeast carbon tax scheme. We’ve written plenty about Wolf’s plan to force the state to join the Regional Greenhouse Gas Initiative, or RGGI (see Gov. Wolf Goes Bonkers: EO Destroying Gas-Fired Elec, Carbon Tax).
Read More “Huge Bipartisan Majority in PA House Votes to Block Carbon Tax”
Shame on Pennsylvania Dept. of Environmental Protection (DEP) Secretary Pat McDonnell for prostituting himself to Gov. Tom Wolf by teasing a forthcoming “report” that says by enacting a jobs-killing carbon tax in the state it will generate 27,000 new jobs, add $1.9 billion to the PA economy, and even save lives. (Maybe the carbon tax can part the Red Sea too?) These are outrageous lies. Perhaps McDonnell should have resigned if Wolf was pressuring him to lie like that. Better to resign with dignity than damage your reputation for becoming known as a paid liar.
Read More “PA DEP Teases Fake Report Claiming Carbon Tax Saves Lives & Money”
There were 9 new permits issued in PA for shale drilling June 29 – July 3. There were no new permits issued in OH for shale drilling during the same time period. There were 2 new permits issued in WV for shale drilling last week.
Read More “Weekly Shale Drilling Permits Issued for PA, OH, WV: Jun 29-Jul 3”
MARCELLUS/UTICA REGION: Scott Stringer burdens New York City taxpayers with his woke ways; OTHER U.S. REGIONS: Associated gas plays lead US production higher despite steady fall in rig count; The challenges posed by shutting down the Dakota Access crude pipeline; NATIONAL: Sec. of Energy: COVID-19 brought oil and gas down, but the Trump administration is powering a comeback; Demand destruction cuts U.S. LNG exports to more than 20-month low; Joe Biden recruits Tom Steyer as his climate change guru; Market rebalance underway after painful shock to the system; INTERNATIONAL: Russia-led Nord Stream 2 gas pipeline could be completed soon.
Read More “Shale Energy Stories of Interest: Thu, Jul 9, 2020”
Can a single pipeline suddenly going offline in the Marcellus/Utica cause the biggest daily drop in natural gas production across the country–ever? Apparently it can. Yesterday TC Energy’s Columbia Gas Transmission subsidiary announced an unplanned outage (for maintenance work) for the Mountaineer XPress pipeline in West Virginia (near Leach, Kentucky). The “force majeure” outage knocked nearly 2 billion cubic feet per day (Bcf/d) of gas flows offline until at least next Monday, July 13.
Read More “Mountaineer XPress Unplanned Maintenance Knocks 2 Bcf/d Offline”
Last November MDN told you that Northeast Natural Energy, a small-to-midsized driller headquartered in Morgantown, WV, had lost an arbitration battle and owed a group of landowners in central Pennsylvania $7.9 million in payments for NOT drilling on their land (see Fed Judge: Northeast Natural Energy Owes $7.9M to PA Landowners). NNE continued to fight the arbitrated settlement–until Monday. Apparently both sides have agreed on a new settlement.
Read More “Northeast Natural Energy Settles $7.9M Lawsuit with PA Landowners”
On Monday MDN brought you the tremendously sad news that Dominion Energy has canceled plans to build the $8 billion Atlantic Coast Pipeline (ACP) from West Virginia through Virginia and into North Carolina (see Dominion Cancels Atlantic Coast Pipe, Sells Pipe Biz for $9.7B). However, there is a silver lining in that news and other news from this week for a somewhat competitive project, Mountain Valley Pipeline (MVP).
Read More “Equitrans’ Mountain Valley Pipeline Becomes Belle of the M-U Ball”
Since early June Chesapeake Utilities, which operates in the Delmarva Peninsula (Delaware, Maryland, Virginia), has been bragging about using chicken poop to create so-called renewable natural gas (see Chesapeake Utilities Turning Chicken Poop into “Renewable” NatGas and Chesapeake Clucking About “Renewable” NatGas from Chicken Poop). They’re at it again, issuing yet another press release to brag about yet another deal to use chicken poop for natgas.
Read More “Chesapeake Utilities Continues Silly Love Affair with Chicken Poop”
Our favorite government agency, the U.S. Energy Information Administration (EIA), issued its monthly Short-Term Energy Outlook (STEO) yesterday. We’re interested mainly in the natural gas numbers. The expert number crunchers at EIA predict the price of Henry Hub traded gas will average $1.93 for all of 2020 (although EIA predicts the price will rise in Q420 to $2.46). The report also says U.S. LNG exports are taking a nosedive this summer. From June through August at least 110 LNG cargoes have been canceled–meaning a decrease in 75% of our LNG exports. That will have a big impact on gas drillers.
Read More “EIA: Gas Price Avg <$2 in 2020, 110 LNG Export Cargoes Canceled"
Environmentalist groups don’t get a pass here on MDN for their so-called good intentions. Groups like the Sierra Club, Food & Water Watch, Environmental Defense Fund, National Resources Defense Council, and others are actually *harming* the environment with their actions to block natural gas and oil pipelines. They are demonstrably making the environment worse! Why does mainstream “media” allow them to get away with harming the very thing they profess to love and want to protect?
Read More “Actions by “Environmentalist” Groups are Harming the Environment”
MARCELLUS/UTICA REGION: Tackling the NY power sector; OTHER U.S. REGIONS: Pending Dakota Access oil pipe shutdown could mean extended well shut-ins; Judge denies initial stay request in Dakota Access shutdown order; NATIONAL: Law firm behind Washington D.C. climate lawsuit received $1.7 million in grant money from activist foundation; Buffett’s return to deal making may signal natural gas price bottom; INTERNATIONAL: Did Chinese agents try to stake out American natural gas plants with drones?
Read More “Shale Energy Stories of Interest: Wed, Jul 8, 2020”