PA PUC Chairman Cautions AI Data Centers Must be “Well Planned”
The current king of U.S. data centers is Virginia. As we wrote about earlier this month, Pennsylvania has the opportunity to grab that title away from Virginia, IF PA doesn’t screw it up (see PA’s $92 Billion Race for America’s Data Centers – NatGas the Key). The one thing PA has that VA doesn’t is abundant Marcellus gas supplies, giving the state a key advantage. A number of data center projects for PA have been announced, and many more are in the works. However, the state is struggling to find a way to encourage these projects without negatively impacting residents. The Chairman of the state’s Public Utility Commission (PUC), Steve DeFrank, has some advice. Read More “PA PUC Chairman Cautions AI Data Centers Must be “Well Planned””
Proposed Ohio legislation, Senate Bill (SB) 294, seeks to redefine “clean energy” to include natural gas, a fossil fuel, and, according to lefties, a major contributor to mythical global warming. At the same time, the bill would declare renewable sources like wind and solar “unreliable.” SB 294 would compel the Ohio Power Siting Board to favor energy projects it deems both clean and reliable, effectively prioritizing natural gas power plants. The bill’s sponsors argue this leverages Ohio’s substantial shale gas reserves and provides a cleaner alternative to coal. 
Here’s a neat company we haven’t written about in 4 1/2 years: 
Kentucky has experienced rapid economic growth in recent years, similar to other southern states. Data centers are looking to Kentucky for future expansion. Last fall, Louisville Gas and Electric Company (LG&E) and Kentucky Utilities Company (KU), both part of PPL Corporation, forecasted in their Integrated Resource Plan (IRP) the need for additional power generation due to the expected influx of data centers and economic development across their service territories (see 
A new Fairleigh Dickinson University (FDU) Poll found that New Jersey voters support the construction of new natural gas power plants by a 3-to-1 margin (64% in favor), viewing them as a bridge solution to quickly lower energy prices until renewable options are ready (which will be never). Yes, in deeply blue N.J., both Republicans AND Democrats favor building more gas-fired power plants. The support is partisan, with Republicans overwhelmingly backing new construction (89%) compared to Democrats, who are less enthusiastic but still favor the plants (46% support vs. 33% oppose). 
Pennsylvania Governor Josh Shapiro oscillates between acting like an adult and a petulant child regarding rising electricity costs in his state, costs that are due in part to his own policies (see 
MARCELLUS/UTICA REGION: Pennsylvania needs every tool to meet growing energy demand; Appalachian Catholics and labour align to tackle environmental issues; OTHER U.S. REGIONS: LADWP says it will shift its largest gas power plant to hydrogen; NATIONAL: U.S. natural gas futures fall in volatile trade; Energy CEOs ‘optimistic about growth’; Bill Gates calls for climate fight to shift focus; DOE grid policy & data centers – new thinking ahead?; INTERNATIONAL: Oil rally fades on oversupply fears; Oil giants join OPEC in boosting output; European gas edges higher as traders eye fragile supply balance. 
We’ve noticed something that, in our opinion, is very unusual. In reviewing the most recent NYMEX natural gas futures prices and comparing spot (physical) prices at various trading hubs in the northeast, we discovered that over the past week, the spot price in the Marcellus/Utica has risen by roughly $1.00 per MMBtu. Current spot prices in the M-U are now within 25 cents of the Henry Hub spot price, the “benchmark” for all natural gas prices nationwide. 
Vallourec Star, a steel pipe manufacturer in Youngstown, OH, serving the shale and other industries, was approved yesterday by the Ohio Tax Credit Authority for a seven-year job creation tax credit. It means the company will create 40 new full-time positions. The tax credit supports Vallourec Star’s plan to expand its current operations to manufacture a new line of high-quality steel pipe. 
The Pennsylvania Independent Oil & Gas Association (PIOGA) has approved a resolution to become the sole, controlling member of the Pennsylvania Independent Petroleum Producers Association, Inc. (PIPP), effectively making PIPP a subsidiary. This unification, approved by both boards in October, aims to strengthen the unified voice of the state’s oil and natural gas industry. According to PIOGA Board Chairman Michael Hillebrand and PIOGA President Dan Weaver, the move ensures independent producers speak with “one voice, one vision, and one future,” allowing the associations to operate more efficiently and amplify their advocacy efforts in Harrisburg and beyond. 
Diversified Energy (DEC) has achieved the Gold Standard Reporting certification, the highest level awarded by the UN’s Oil & Gas Methane Partnership 2.0 (OGMP 2.0). Diversified says this recognition validates the company’s commitment to significantly reducing methane emissions and providing transparent, measurement-based reporting, which the UN’s IMEO views as the industry standard. Given that the UN (United Nations) seeks to destroy fossil energy, we find it odd that the organization hands out awards to oil and gas companies. 
For over 30 years, the Henry Hub in Louisiana has served as the key anchor for natural gas pricing in the contiguous United States. Its role, however, has dramatically evolved over the last decade, primarily due to the rapid growth of U.S. LNG exports. Henry Hub has shifted from being a benchmark for U.S. natural gas to the primary index for global LNG cargo pricing. Consequently, the volume of physical gas exchanged at the hub is at its highest, and Henry Hub prices are now considered a premium compared to other domestic markets. 
Last week, the Baker Hughes U.S. national rig count added rigs for a second consecutive week, bringing the national count up by two to 550. Despite last week’s rig increase, the total count was still down 35 rigs, or 6% below this time last year. Rigs in the Marcellus/Utica remained the same last week at a combined 37 rigs, the same number for four weeks in a row. Pennsylvania remained unchanged at 17 active rigs. Ohio was the same at 13 rigs. And West Virginia maintained its 7 rigs, which it has operated since May 30. The Marcellus had 23 rigs and the Utica 14.