OGCC Secretary Update

Mick Thomas

Division Administrator – Minerals, Public Trust, and Oil & Gas

Secretary to the Oil & Gas Conservation Commission

This update was sent to the Commission on Saturday, June 13.

Current Items:
Pipeline / Gathering Line
Class II Application
COVID-19 Response
News Article(s) of Interest

Pipeline / Gathering Line
No major update on the Pipeline / Gathering Line infrastructure. I spoke with the operator this week and learned a short segment still needs to be installed, but the main lines linking the wells to the plant have been finished and tested.

Class II Application
On Wednesday the EPA provided comments on SROG’s UIC application and requested additional information. The Operator is working with the Idaho Geological Survey to provide the request information. As a reminder, per Idaho Code the IGS is the lead state agency in the dissemination of geologic and mineral data for Idaho and has a strong understanding of the regional geology in the Payette Field. https://legislature.idaho.gov/statutesrules/idstat/Title47/T47CH2/SECT47-201/

COVID-19 Response
As of this email we have moved into stage four of the Governors rebound Idaho plan. https://rebound.idaho.gov/stages-of-reopening/
Many of the Division staff are returning to the office in the next few weeks. As of July 1st we plan on everyone either being back in the office or having a telecommuting arrangement in place that provides a hybrid office / remote work schedule.

News Article(s) of Interest
US shale producers begin restoring output as oil prices turn higher
https://www.reuters.com/article/us-global-oil-shale-resumption/u-s-shale-producers-begin-restoring-output-as-oil-prices-turn-higher-idUSKBN2392UG?il=0

US EPA moves to curb a state’s ability to deny permits for energy projects
https://www.reuters.com/article/usa-epa-water-energy/us-epa-moves-to-curb-state-powers-to-deny-permits-for-energy-projects-idUSL1N2DE0ZE

Renewable energy overtakes coal, still lags far behind oil and natural gas
https://www.forbes.com/sites/rrapier/2020/05/31/renewables-overtake-coal-but-lag-far-behind-oil-and-natural-gas/#5d1499633ffd

Current Prices

Utah Sweet Crude $27.04 bbl. 6/11
WTI $36.50 bbl. 6/11
Natural Gas $1.75 mcf. 6/12
NGL $4.60 mmbtu. 6/10