Natural gas prices are at $4.10/MMBtu, up from a low of $3.90 during the last month, but down from a high of $4.49. These are pretty good prices for the industry, and if they stay up here we’ll see additional drilling rigs brought online in spite of the conservative attitude of the industry towards development.
Gas storage levels are at 1,698 Bcf, well below the five-year average. We had one week of warm weather, but the continued cold weather has kept natural gas burn for energy high.
Drilling rigs are at 592, up from 588 last month, but down one from a few weeks ago.
Lithium extraction from fracking wastewater is an exciting new opportunity, but there are always potential obstacles to consider.
Antero’s Q4 2024 earnings call is online.
EQT’s Q4 2024 earnings call is online.
Diversified Energy has announced that it intends to issue 8.5 million common shares of stock.
Twelve Mountain Valley Pipeline protesters appeared in court in Virginia. I admire someone who will stand up for what they believe. I think the protesters’ beliefs are erroneous, but they’re out there doing something. When they come around, if they come around, they’ll still be the ones making things happen.
Natural gas is likely to be the main driver of energy growth in the next few years.
Congress has voted to repeal a fee associated with the release of methane by the oil and gas industry.
Expand Energy (previously SWN and Chesapeake) published its 4Q 2024 report.
Diversified closed on its acquisition of Summit Energy.
The Saudis have decided to increase oil supply. This is unexpected, as they’ve been saying the market is oversupplied.
First Energy plans to convert two West Virginia coal plants over to natural gas, starting in 2030. They are the Harrison plant outside of Lumberport, in Harrison County, and the Fort Martin plant just north of Morgantown, in Monongalia County. Let’s hope the State bureaucracy doesn’t sink these projects.
The West Virginia Senate has a bill up for a vote that would create a serious penalty for not paying royalties. That’s the good news. The bad news is that it only applies to conventional vertical wells. In other words, this bill won’t apply to all the wells that are being drilled right now. Maybe someday they’ll make this applicable to unconventional horizontal wells, too. It’s a step in the right direction, for sure.
Diversified is entering into a joint venture to supply gas for data centers.
Expand Energy (previously CHK and SWN) has announced that they’ve drilled a 5.6 mile (29,687 foot) lateral in West Virginia.