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, December 11.

December 2021 Secretary Update

Current Items:
Field Status
Dutch Lane #1-13 APD Approved
Annual Inspections
Third Quarter 2021 – Quarterly Report
Proposed Legislation Idaho Code 47-3
IOGCC meeting
News Article(s) of Interest
Current Prices

Field Status
In Harmon Field, the Fallon #1-11 well has completed drilling operations. Snake River Oil & Gas has designated this as a Confidential Well per Idaho Code § 47-327.

Dutch Lane #1-13 APD Approved
The permit for the Dutch Lane #1-13 well was approved by the Department November 17, 2021. The proposed well is located approximately one mile southeast of the Fallon #1-11 and is also in Harmon Field. The operator expects to begin moving in and rigging up to commence drilling operations the week of December 4th.

Annual Inspections
Annual inspections on all wells and facilities in Payette County were completed the week of November 28th and the final inspection reports are being compiled. The annual inspection for the Fallon #1-10 was not performed due to pending planned operations by Snake River Oil & Gas. Once those operations are completed, the Department will complete the inspection.

Third Quarter 2021 – Quarterly Report
Attached is the quarterly report for the 3rd quarter of 2021.

Proposed Legislation Idaho Code 47-3
The Department received oral comments from the November 16, OGCC meeting and five written comments on the first draft text. The Department will be reviewing those comments and working on a second draft text during this month of December.

IOGCC meeting
The Annual Interstate Oil and Gas Compact Commission held our annual meeting on November 7th through 9th in Santa Fe New Mexico. James Thum and I attended on behalf of Idaho.
While oil & gas prices have recovered in the past several months, this annual meeting covered a broader array of topics than in years past. The majority of states understand that the U.S. is moving toward a more diverse energy industry and are working with operators, NGO’s, federal partners, and other states to best serve the changing regulatory needs of the industry.
Below is a link to all of the presentations held during the meeting if you would like to review.
Annual Conference Presentations | Interstate Oil and Gas Compact Commission (ok.gov)

News Article(s) of Interest
Exxon Mobil plans to go net-zero in the Permian Basin
https://energynews.us/digests/exxon-mobil-plans-to-go-net-zero-in-the-permian-basin/

Nations power grid needs expansion to meet anticipated renewable energy production
Renewable Energy Is Great—but the Grid Can Slow It Down | WIRED

Idaho moves ahead on plan to appraise federal land for taxes
https://apnews.com/article/technology-business-legislature-idaho-property-taxes-31b0872bf817f38989955776598b01e0

Current Prices

Utah Sweet Crude	$61.64 bbl.	12/10/21	(11.4% / $7.87 decrease since last report)
WTI	$71.94 bbl.	12/10/21	(11.6% / $9.40 decrease since last report)
Natural Gas	$3.79 mmbtu.	12/08/21	(32.2% / $1.80 decrease since last report)
NGL	$9.20 mmbtu.	12/08/21	(23.7% / $2.86 decrease since last report)

(green indicates prices increase since last update, red indicates decline)