Shannon Chollett

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

Secretary to the Oil & Gas Conservation Commission

This update was sent to the Commission on Friday, June 7, 2024.

June 2024 Secretary Update

Current Items:

New Division Administrator Shannon Chollett
2024 First Quarter Commission Report
IDAPA 20.07.02 Rulemaking Update
Docket No. CC-2024-OGR-01-001, Application for Spacing
Field Status / Injection Well Update
News Article(s) of Interest
Current Prices

New Division Administrator Shannon Chollett
Shannon Chollett has accepted the position of Division Administrator for Minerals, Navigable Waters, and Oil & Gas in Boise and his first day was May 28th. Shannon came from Colorado where he worked as the Western Region Orphaned Well Program Supervisor for the Colorado Department of Natural Resources – Energy and Carbon Management Commission.

2024 First Quarter Commission Report
The 2024 First Quarter Commission Report is included as an attachment to the Secretary Update. Please feel free to reach out to me if you have any questions.

IDAPA 20.07.02 Rulemaking Update
Negotiated rulemaking concluded on Friday, May 31st. A third draft was posted to the OGCC web page May 16, 2024. Public comment on the third draft was available to the public at the May 21, 2024 Commission meeting, but no comments were received at that time. The Department is working on completing summaries of the meeting and finalizing the Perspective Analysis Form (PAF) for DFM by June 21, 2024. More information on the details of the meetings, rulemaking, and documents are posted on the rulemaking webpage at: https://ogcc.idaho.gov/rulemaking/docket-20-0702-2401-oil-gas/

Docket No. CC-2024-OGR-01-001, Application for Spacing
On April 29, 2024, Snake River Oil and Gas, LLC filed an Application for Spacing with the Department in the Harmon Field area. This case was referred to the Office of Administrative Hearings (OAH). Information regarding this application can be found on the Docket No. CC-2024-OGR-01-001 hearing webpage.

Field Status / Injection Well Update
All production in western Idaho continues to be shut-in due to low natural gas prices. The Class II injection well permit issued by the EPA took effect December 19, 2022. No construction activities have commenced as of this date. The permit expires December 19, 2024.

News Article(s) of Interest
Oil Falls to Four-month Lows in Oversold Territory

BLM to hold Wyoming’s Smallest Oil & Gas Lease Auction in 15 Years

Bill Introduced to Repeal Biden’s Natural Gas Tax

Current Prices

NW Natural Gas (EIA)	$1.32 / million Btu	6/6/2024	(2% / $0.03 increase since previous month)
NGL (EIA)	$7.03 / million Btu	6/6/2024	(5.9% / $0.44 decrease since previous month)
WTI	$78.96 / bbl	6/5/2024	(2.0% / $1.63 decrease since previous month)