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, March 6.

Current Items:
Field Status
Quarterly Update (attached)
News Article(s) of Interest
Current Prices

Field Status
Currently five wells in Willow Field are producing, One well in Harmon Field (the Barlow #1-14) is producing. Average daily production for western Idaho during January 2021 is approximately 4 million cubic feet of gas per day (MMCFGD), 61 barrels of condensate per day (BCPD) and 9 barrels of water per day (BWPD).

Due to the mid-February cold snap that affected the eastern and southern part of the US, spot market natural gas prices soared to historical levels for a week before settling back to more seasonal norms. SROG notified the Department ahead of the demand to say they would try to increase production volumes from the wells to take advantage of the potential additional revenue. As a result, the Kauffman #1-34 which had been shut-in due to high amounts of produced water, was also turned on for approximately 5 days, then shut-in again.

Per IDAPA 20.07.02.500.02, SROG requested an Extension of Active Status for two wells that have not produced in the past 24 months. The requested extensions were submitted in February for the Kauffman #1-34 and the Fallon #1-10 wells and are pending Department approval.

Quarterly Update (attached)
The 2020 4th Quarter Report to the OGCC has been completed. Production data has been validated and is posted on the Commission website. The Department is waiting for revised Sales reports for December 2020 and will submit a revised report to the Commission if there are material changes to the reported numbers in the current report. Most of the January 2021 reports, due March 14, 2021 have been submitted and are being reviewed.

News Article(s) of Interest
Last year, the American Geosciences Institute (AGI) commenced a monthly survey of geoscientists to determine what impacts COVID-19 were having on students, employees and companies. The first studies of the results of the survey data have now been published and can be found on the
AGI web page here:
https://www.americangeosciences.org/geoscience-currents/covid-19-impacts-geoscience-business-operations-2020

American Petroleum Institute Considers Support of Government-Imposed Carbon Pricing:
https://www.rigzone.com/news/api_mulls_embrace_of_carbon_pricing-2-mar-2021-164767-article/?utm_campaign=WEEKLY_2021_03_05&utm_source=GLOBAL_ENG&utm_medium=EM_NW_F5

US Rig Count Rises in January for Sixth Straight Month:
https://www.reuters.com/article/us-usa-rigs-baker-hughes/u-s-oil-and-gas-rig-count-rises-in-january-for-sixth-month-baker-hughes-idUSKBN29Y2MF

Oil industry launches campaign against Biden’s leasing plan (attached E&E leasing plan)

Current Prices

Utah Sweet Crude	$54.53 bbl.	03/05/21
WTI	$66.26 bbl.	03/05/21
Natural Gas	$2.75 mmbtu.	03/05/21
NGL	$8.03 mmbtu.	03/03/21