Mick Thomas

Division Administrator – Minerals, Navigable Waters, and Oil & Gas

Secretary to the Oil & Gas Conservation Commission

This update was sent to the Commission on Friday, May 5, 2023.

May 2023 Secretary Update

Current Items:
OGCC Regular Meeting
Docket No. CC-2023-OGR-01-001, Application for Integration
Payette County Commission Meeting
Oil and Gas Townhall
Updated OGCC Website
IOGCC Business Meeting
Injection Well Update
Field Status
News Article(s) of Interest
Current Prices

OGCC Regular Meeting
The next regular meeting of the OGCC will be held on Tuesday, May 16, 2023 @ 1:30pm (MT). The meeting will be held at the State Capitol.

Docket No. CC-2023-OGR-01-001, Application for Integration
The Department received an Application for Integration from Snake River Oil & Gas, LLC on January 23, 2023. The Department held a prehearing conference on May 2. During this conference parties asked for the ability to submit prehearing motions. This request was granted, and dates were set for the process. Once those motions are resolved we will schedule the Evidentiary Hearing. More information for this application and hearing can be found on the Docket No. CC-2023-OGR-01-001 hearing webpage.

Payette County Commission Meeting
The April 10 oil and gas presentation to the Payette County Commissioners went well. The County Commission is currently seeking opinion from experts outside the IDL in order to resolve questions.

Oil and Gas Townhall
The Townhall held on April 12 was a success, with a filled room of over 50 Payette County residents as well as the operator and Fruitland City Administrator. Those residents who spoke asked questions about oil & gas operations and the changes in the revised statute. Folks also asked about the differences between the state lease and the standard lease offered by the operator in integrations.

Updated OGCC Website
On May 2, a new version of the OGCC website was released. IDL Staff worked to get the new version more ADA compliant and include better graphics.

IOGCC Business Meeting
Occurs May 22-24, 2023 in Oklahoma City. A tentative schedule can be found here. James Thum will represent the Department in person while I zoom into the CRO and final business meeting.

Injection Well Update
On November 3, 2022 EPA Region 10 issued a Class II Disposal Well Permit to Snake River Oil and Gas, LLC and approved an associated Aquifer Exemption for the Willow Sand in Willow Field. The permit took effect December 19, 2022 at 12:01 AM. Snake River has been in communication with EPA regarding the reservoir testing process as part of bringing the injection well online.

(Note: There is no update from the last Secretary Report. James Thum met with Bob Hatfield last week who provided the same information listed above from the April update.)

Field Status
The operator has installed produced water storage tanks at the Fallon #1-10 and Dutch Lane #1-13 well locations. The department has inspected both installations to ensure they meet the requirements of IDAPA 20.07.02. Spring maintenance is ongoing for many of the facilities in both Harmon and Willow fields.

News Article(s) of Interest
US rig count stable in April: https://www.ogj.com/drilling-production/article/14293089/baker-hughes-canadian-rig-count-falls-below-100

US Natural gas output sets new record in February: https://www.reuters.com/article/usa-oil-output/update-2-u-s-crude-output-fell-in-february-to-lowest-since-december-2022-eia-idUSL1N36V2DX

Current Prices

NW Natural Gas (EIA)	$1.28 MMBtu.	05/05/23	(64.5% / $2.33 decrease since last month)
NGL (EIA)	$6.49 MMBtu.	05/04/23	(11.8% / $0.87 decrease since last month)
WTI	$68.60 bbl.	05/03/23	(14.9% / $12.01 decrease since last month)