Shale Energy Stories of Interest: Fri, Jun 12, 2020
MARCELLUS/UTICA REGION: New natural gas service begins in Centre Hall; Delaware River Basin Commission faces pressure to reject PennEast pipeline; NATIONAL: North American 2020 upstream spending down 42%, back to pre-shale era; ‘Sold!’ Auctioneers race to unload oil equipment as U.S. drilling dries up; The unique ways oil companies are looking to avoid bankruptcy; US weekly LNG exports drop to just five cargoes; From standstill, America’s oil frackers plot a slow, careful return; INTERNATIONAL: Can the U.S. Senate stop Germany’s gas pipeline from Russia in a post-coronavirus world?
Read More “Shale Energy Stories of Interest: Fri, Jun 12, 2020”
Enverus (formerly known as Drillinginfo) recently released its latest FundamentalEdge report that explores the ongoing supply response to demand destruction caused by the COVID-19 pandemic. As part of the report, Enverus estimates how much dry gas production each major shale play produced, month by month, from January through May of this year. The numbers show that production from the Marcellus/Utica, which produces the most natural gas of any play, decreased the most of any play–by some 1.5 billion cubic feet per day (Bcf/d) from January to May.
Lots of permitting activity to drill new shale wells last week in both Pennsylvania and West Virginia. There were 27 new permits issued in PA for June 1-5. There were 8 new permits issued in WV for the same time period. The Ohio Dept. of Natural Resources (ODNR) database appears to be working–we queried it for a variety of dates. The last date showing permits was for the week of May 4-8. Since that time no new Utica permits have been issued–or at least none have been recorded in the database. We’ll keep monitoring.
Tri-Point, LLC is an oilfield services company (OFS) specializing in products and services for drillers and pipeline companies. Tri-Point is headquartered in Houston, Texas but has a number of field offices, including an office in Towanda (Bradford County), PA that services the Marcellus industry. Sadly the company is in bankruptcy. We spotted an announcement about a virtual auction later this month to sell off/liquidate all of the company’s assets.
The Federal Energy Regulatory Commission (FERC) has just released a new “instant final rule” that, from what we can tell, pretty much does away with a concept called tolling orders when approving new pipeline projects. A tolling order has been an important tool for FERC in combating frivolous lawsuits filed against every single new pipeline project. A tolling order allows FERC to delay deciding on what is called a rehearing request. Antis can’t trot off to find their favorite Obama judge until FERC either performs a rehearing or rejects a rehearing request. Tolling orders delay that process, allowing pipeline projects to actually get built.
Yesterday MDN brought you the news that Chesapeake Energy’s stock price had risen some 500% over the previous two days (see 
Going back a year (beginning June 2019) MDN has brought you news about Edge Gathering Virtual Pipelines 2 LLC (EDGE), a company that deploys special LNG units to remote Marcellus wells in PA, converting gas from the well into LNG and selling that gas (
In May 2019, Weatherford International, the world’s fourth-largest oilfield services (OFS) company, finally succumbed and announced it was filing for a “prepackaged” bankruptcy (see 
Amid all of the frivolous lawsuits and regulatory actions brought by Big Green, aimed at blocking progress on important projects like the 303-mile Mountain Valley Pipeline (MVP) that runs from West Virginia to southern Virginia (90% complete), progress is still happening for new pipeline projects. One of those new projects is MVP Southgate, a 75-mile extension of MVP that will run from southern Virginia into North Carolina.
The Pennsylvania legislature has taken the next step in overturning a naked power-grab by Gov. Tom Wolf in his bid to force the state to join a carbon tax scheme called the Regional Greenhouse Gas Initiative (RGGI). Yesterday the PA House Environmental Resources and Energy Committee approved House Bill (HB) 2025 aimed at blocking RGGI without a proper vote by the legislature first. HB 2025 now goes to the full House for a vote.
Two weeks ago MDN told you that PricewaterhouseCoopers (PWC), which had been hired to liquidate the assets of Australian company LNG Limited (LNGL), had found a second buyer for the Magnolia LNG export project for $2 million (see 