Facts & Rumors # 544
March 2, 2024
Latest facts and rumors from the Marcellus, Utica, and Permian, Eagle Ford Plays
How Americans Feel About Fossil Fuels.
New Ipsos Poll: 2 in 3 Voters View America on Wrong Track on Energy
Poll finds bipartisan opposition to vehicle mandates; broad support for reliable energy sources, including U.S. oil and natural gas
WASHINGTON, February 27, 2024 – The American Petroleum Institute (API) today released a new national poll conducted by Ipsos demonstrating widespread concern over Washington’s approach on energy policy. Two out of three American voters say the country is on the wrong track on energy policy, and following the administration’s recent pause on LNG export permits, the poll found nine in 10 Americans believe the U.S. should continue to supply natural gas to our allies overseas. With recent reports that the administration plans to impose a de-facto ban on new gas-powered vehicles, the poll found that the majority of Americans (75%) would oppose such regulations restricting consumer choice.
Ahead of the State of the Union address, API President and CEO Mike Sommers urged the administration to harness all of America’s vast energy resources, including oil and natural gas, while advancing much-needed energy infrastructure and abandoning unpopular vehicle mandates that could impact costs and grid reliability.
“While the U.S. continues to lead the world in energy production, it’s clear the American people see that misguided policy choices today can sow the seeds of tomorrow’s energy crisis,” Sommers said. “Whether it’s partisan decisions to restrict American natural gas as a source of strength around the world and good-paying jobs here at home, or regulatory plans to dictate the type of cars consumers can drive—voters on both sides of the aisle know we are on the wrong path on energy policy. With much at stake for our economy and national security, it’s time for Washington to change course and forge a bipartisan path that embraces all reliable and affordable American energy.”
The poll conducted by Ipsos found:
- 2 in 3 voters (67%) believe the country is on the wrong track when it comes to the federal government’s energy policies. (Democrats 40%; Independents 71%, Republicans 88%)
- 75% oppose government regulations that would ban new gasoline, diesel and hybrid vehicles. (Democrats 56%; Independents 80%; Republicans 92%)
- 89% believe the United States should continue to supply natural gas to our European allies and other countries to help bolster our economy and strengthen our national security. (Democrats 87%; Independents 90%; Republicans 93%)
- 82% prefer an energy policy that uses an “all-of-the-above strategy” that includes oil and natural gas as well as renewable energy sources. (Democrats 70%; Independents 83%; Republicans 95%)
- 86% believe producing oil and natural gas here in America helps make our country more secure against actions by countries such as China and Russia. (Democrats 82%; Independents 88%; Republicans 91%)
- 83% support permitting reform to streamline and speed up the federal government’s process for approving energy infrastructure projects in the U.S. (Democrats 88%; Independents 82%; Republicans 81%)
- 88% support the U.S. increasing development of the country’s energy infrastructure. (Democrats 92%; Independents 87%; Republicans 85%)
- 87% support the U.S. increasing its own domestic sources of oil and natural gas rather than relying on other regions in the world. (Democrats 85%; Independents 87%; Republicans 94%)
- 84% believe producing more oil and natural gas here in the U.S. could help lower energy costs for American consumers and small businesses. (Democrats 81%; Independents 80%; Republicans 93%)
API announced its “Lights on Energy” campaign earlier this year to educate voters and policymakers on what’s at stake for Americans with current energy policies and the path toward an affordable, reliable and cleaner future.
EOG Getting Active in OH. Thanks, MDN. EOG Resources, one of the largest oil and gas drillers in the U.S. (with international operations in Trinidad and China), owns a huge 430,000+ acres of leases in the Ohio Utica. EOG calls its position the “Ohio Utica combo play” and now considers it one of the company’s “premium plays.” EOG concentrates on oil drilling in the Utica. As part of the company’s fourth quarter and full-year 2023 update, EOG said it will “step up in activity in the Ohio Utica play” in 2024. During a conference call with analysts, EOG’s COO Jeffrey Leitzell said the company would boost activity in Utica to begin operating one rig full-time.
O&G Does Not Need Gasoline. Why the oil industry may thrive without gasoline. E&E News. Opinion. The oil industry is increasingly turning to a widespread product to help keep crude in the market amid pressure to address climate change: petrochemicals. Petrochemicals are oil-derived compounds used in everything from plastics to medical equipment. And demand for them is expected to skyrocket, with help from renewables and low-carbon energy. The International Energy Agency forecasts that petrochemicals are set to account for more than a third of growth in oil demand through 2030 and more than half starting in 2050.
Manchin Still Pushing for Permitting Reform. Manchin renews push for permitting now he’s not running for president. He says he will spend it on what could be the capstone to his congressional career: energy permitting overhaul. “I am not walking out of here until I give every ounce of effort that I have to get a permitting bill done,” the West Virginia Democrat said Tuesday at the National Association of Regulatory Utility Commissioners winter policy retreat.
Infinity Natural Resources Wins Salt Fork State Park Contract. Thanks, MDN. the Ohio Oil & Gas Land Management Commission (OGLMC) met to award contracts to drill under (not on) several Ohio state parks, including the 20,000-acre Salt Fork State Park in Guernsey County. The big news is that Encino Energy, which has long coveted the Salt Fork State Park property, did NOT win the contract for it! At some point, Encino pulled its proposal for Salt Fork and instead concentrated on several other parcels. The contract for Salt Fork was awarded to Infinity Natural Resources. We have the complete list of who won which contracts and how much they are paying in signing bonuses and royalties.
Coterra Cutting. Thanks, MDN. Our worst fears about the merger between Cabot Oil & Gas and Cimarex Energy to form Coterra Energy have come to pass. We said from the beginning that the new company would use the Marcellus as a “cash cow” to fund more oil drilling. That’s now happening. Yes, the price of natural gas (especially in northeastern Pennsylvania, where Coterra drills) is in the basement. We understand it’s not all that profitable to sink money into more gas production right now. However, Coterra announced on Friday during its fourth quarter and full-year 2023 update that in 2024, the company will slash spending on new drilling in the Marcellus by 55% (dropping $460 million) and that production will drop by an estimated 6% in the Marcellus.
More Possible Trouble for LNG Exports. Brown, Merkley introduce bill to ban LNG exports to China. E&E News. Progressive and moderate senators are teaming up on a new fossil fuel exports bill following significant division within the Democratic caucus over President Joe Biden’s natural gas export review pause. The “Protecting American Households from Rising Energy Costs Act,” led by Sens. Jeff Merkley (D-Ore.) and Sherrod Brown (D-Ohio), seeks to unite Democrats around a common goal: ensuring China and other adversaries aren’t aided by American fossil fuel production.
U.S. LNG #1 to Europe. The United States remained the largest liquefied natural gas supplier to Europe in 2023. EIA. The United States was again the largest supplier of liquefied natural gas (LNG) to Europe (EU-27 and the UK) in 2023, accounting for nearly half of total LNG imports, according to data from CEDIGAZ. Last year marks the third consecutive year in which the United States supplied more LNG to Europe than any other country: 27%, or 2.4 billion cubic feet per day (Bcf/d), of total European LNG imports in 2021; 44% (6.5 Bcf/d) in 2022; and 48% (7.1 Bcf/d) in 2023.
Encino to Drill in OH State Parks. Ohio commission awards bids to frack oil and gas under state parks, wildlife areas. Associated Press. An Ohio commission awarded bids to frack oil and gas under state parks Monday, despite statewide backlash and an ongoing investigation into possibly fraudulent support. The Ohio Oil and Gas Land Management Commission granted the mineral rights to several oil and gas companies, allowing them to frack for oil and gas under land owned by the Ohio Department of Natural Resources and the Ohio Department of Transportation, including state parks and designated wildlife areas. The Texas-based Encino Energy Partners was granted the rights to frack under Valley Run Wildlife Area and Zepernick Wildlife Area. Cincinnati Enquirer also reports.
PA Permits February 19, to February 29, 2024
County Township E&P Companies
1. Bradford Herrick Chesapeake
2. Bradford Troy Repsol
3. Bradford Troy Repsol
4. Bradford Troy Repsol
5. Bradford Troy Repsol
6. Bradford Troy Repsol
7. Lycoming Lycoming Township Beech
8. Westmoreland Bell CNX
OH Permits February 18, to February 24, 2024
County Township E&P Companies
1. Carroll Brown EAP OHIO
2. Carroll Brown EAP OHIO
3. Carroll Brown EAP OHIO
4. Carroll Brown EAP OHIO
5. Carroll Brown EAP OHIO
6. Carroll Monroe EAP OHIO
7. Carroll Monroe EAP OHIO
8. Carroll Monroe EAP OHIO
9. Carroll Monroe EAP OHIO
WV Permits February 12, February 23, 2024
1. Lewis HG Hill
2. Ohio SWN
3. Ohio SWN
4. Monongalia Northeast Nat. En.
5. Monongalia Northeast Nat. En.
6. Monongalia Northeast Nat. En.
7. Wetzel EQT
8. Wetzel EQT
9. Wetzel EQT
10. Wetzel EQT
11. Wetzel EQT
12. Wetzel EQT
