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, December 8, 2023.

December 2023 Secretary Update

Current Items:

Third Quarter Commission Report
Docket No. CC-2023-OGR-01-001, Application for Integration
Field Status
News Article(s) of Interest
Current Prices

Third Quarter Commission Report
The Quarterly Report to the Commission for the 3rd quarter 2023 is included as an attachment to the Secretary Update. Please feel free to reach out to James Thum or me with any questions you have. We’re happy to discuss.

Docket No. CC-2023-OGR-01-001, Application for Integration
The Department issued its order for the Integration application from Snake River Oil & Gas, LLC that was submitted on January 23, 2023. More information for this application and hearings can be found on the Docket No. CC-2023-OGR-01-001 hearing webpage.

Field Status
Snake River continues to perform a modified gas lift workover on the Kauffman #1-9 LT zone in an attempt to bring this well back to production prior to the January 31, 2024 plugging deadline. Initial attempts to swab liquids from the well bore were unsuccessful and the operator is assessing the next steps. Production in western Idaho was curtailed during the 3rd quarter due to lower product prices, but recent increases have allow Snake River to ramp up production to take advantage of higher prices.

News Article(s) of Interest
Saudi Arabia may wage oil market share war against US: https://markets.businessinsider.com/news/commodities/oil-outlook-saudi-arabia-opec-production-us-share-crude-supply-2023-12

BLM re-starts oil and gas lease auctions in Wyoming: https://www.reuters.com/business/energy/us-kicks-off-spate-oil-gas-auctions-just-cop28-gets-underway-2023-11-28/

New Google geothermal project kicks off in Nevada: https://apnews.com/article/geothermal-energy-heat-renewable-power-climate-5c97f86e62263d3a63d7c92c40f1330d

Current Prices

NW Natural Gas (EIA)	$3.58 MMBtu.	12/08/23	(32.5% / $0.88 increase since last month)
NGL (EIA)	$6.92 MMBtu.	12/08/23	(0.4% / $0.03 decrease since last month)
WTI	$69.78 bbl.	12/08/23	(7.9% / $5.96 decrease since last month)