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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, August 7.
August 2021 Secretary Update
Current Items:
Proposed Legislation Idaho Code 47-3
Commission Leadership
Field Status
Injection Well Update
News Article(s) of Interest
Current Prices
Proposed Legislation Idaho Code 47-3
At the OGCC regular meeting this past week, the OGCC voted unanimously to recommend that the Department begin the statutory revision process. In response the Department is developing a timeline to evaluate potential revisions. We hope to have a page on the OGCC website dedicated to this in the coming week.
Commission Leadership
Our annual election for the Chair and Vice-chair occurs each August. This past week the Commission chose to retain Betty Coppersmith as Chairman, and elected Ray Hinchcliff as Vice-chairman. The Vice-chair position was previously held by County Commissioner Marc Shigeta who will remain on the OGCC as a Commissioner. Both votes were unanimous.
Field Status
The PUC and possibly the BLM are planning to be in the field for inspections in late August. The Department plans to provide our inspections during that time as well.
Injection Well Update
The operator has shared there is a delay in the Class II review process. This is a result of an EPA request of the Idaho State Historic Preservation Office. The EPA is seeking confirmation from SHPO that the current DJS #2-14 well area does not have historical significance. Guidelines for significance can be found on SHPO’s website –
News Article(s) of Interest
Shrinking crude reserve and limited capacity in the northwest push Idaho gas prices 61 cents above the national average.
(Also see attached “gas price excerpt”).
COMMENT: As some of you know I moved my oldest daughter from the St. Louis area back to Boise last weekend. Gas in STL was ~$2.75 / gallon. We saw a significant increase crossing from Nebraska into Wyoming.
The Oil and Gas Leasing Pause Has Minimal Impact
https://www.nrdc.org/experts/josh-axelrod/report-oil-and-gas-leasing-pause-has-minimal-impact
BLM Seeks Agency Remand in Oil and Gas Lease Sales (see attached “BLM Seeks…”).
Renewables overtake coal, but natural gas still dominates as the nation’s power generator
https://whyy.org/articles/renewables-overtake-coal-but-natural-gas-still-dominates-as-the-nations-power-generator/
Current Prices
| Utah Sweet Crude | $61.26 bbl. | 08/03/21 |
| WTI | $67.97 bbl. | 08/06/21 |
| Natural Gas | $4.12 mmbtu. | 08/04/21 |
| NGL | $9.64 mmbtu. | 08/04/21 |
(green indicates prices increase since last update, red indicates decline)
May Monthly Report
The May 2021 monthly report is now available. Please see the Monthly and Annual Reports page for more information.
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 Thursday, July 8.
July 2021 Secretary Update
Current Items:
August OGCC meeting
Field Status
Injection Well Update
News Article(s) of Interest
Current Prices
August OGCC Meeting
The next regularly scheduled meeting of the OGCC is scheduled for Wednesday, August 4, 2021 @ 1:00pm (MT). More information can be found on the Commission Meetings page on the OGCC website. https://ogcc.idaho.gov/commission-meetings/
Field Status
Annual fall inspections will be scheduled in September/October to take advantage of cooler temperatures. The operator continues to provide timely production reports to the Department. The latest reports are available on the OGCC website.
https://ogcc.idaho.gov/monthly-and-annual-reports/
Injection Well Update
The operator continues to work with the EPA to meet permit requirements. The Commission and the Department are ready to offer information to parties if requested.
Most recently the EPA notified the operator that they will coordinate with the State Historical Preservation Office in Idaho to determine if there are potential effects to consider.
News Article(s) of Interest
US LNG – A world of benefits beyond price
https://www.forbes.com/sites/thebakersinstitute/2021/06/24/us-lng-a-world-of-benefits-beyond-price/?sh=557f81a51e9c
Federal judge blocks Biden’s pause on new oil, gas leases
Current Prices
| Utah Sweet Crude | $62.90 bbl. | 07/08/21 |
| WTI | $73.23 bbl. | 07/08/21 |
| Natural Gas | $3.60 mmbtu. | 07/07/21 |
| NGL | $9.37 mmbtu. | 07/07/21 |
(green indicates prices increase since last update, red indicates decline)
April Monthly Report
The April 2021 monthly report is now available. Please see the Monthly and Annual Reports page for more information.
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 Thursday, June 3.
June 2021 Secretary Update
Current Items:
IOGCC Spring Meeting
O&G Reports
Field Status
Injection Well Update
News Article(s) of Interest
Current Prices
IOGCC Spring Meeting
The spring meeting of the IOGCC was held virtually over two weeks in mid-May. The IOGCC passed four Resolutions (see attached IOGCC 2021 resolutions).
Overall production remains flat with some upticks in Oklahoma and Texas. Focus continues to grow on plugging orphaned wells and updating environmental regulations and guidelines.
A couple of interesting twist.
- The IOGCC representative from Texas shared that the February energy emergency was a result of poor reliability of renewables.
- Bitcoin mining is an up-and-coming trend on marginal well sites. There was some discussion on how to regulate these operations.
O&G Reports
See attached quarterly report for January through March.
Purchaser reports were submitted from December 2020 – March 2021. Monthly reports can be viewed on the Monthly and Annual Reports page of the OGCC Website.
Field Status
Production continues in the Payette Field. IDL staff is scheduling summer inspections and all reporting requirements have been fulfilled by the operator.
Injection Well Update
There was an interagency meeting on May 21st where the EPA provided an update on the injection well status. The EPA is working through the permit and has requested some information from the operator. SROG continues to cooperate with the EPA as they work through the final details. The EPA was unable to confirm any timelines but did assure agencies that they would notice us when the public comment period began.
News Article(s) of Interest
Biden’s “30×30” plan stumbles when reviewed. See attached E&E 30×30 popularity.
A natural gas operator begins a different type of extraction – bitcoin. https://www.upr.org/post/natural-gas-operator-begins-different-type-extraction-bitcoin
Current Prices
| Utah Sweet Crude | $59.53 bbl. | 06/02/21 |
| WTI | $69.06 bbl. | 06/03/21 |
| Natural Gas | $2.88 mmbtu. | 05/28/21 |
| NGL | $7.68 mmbtu. | 05/26/21 |
(green indicates prices increase since last update, red indicates decline)
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, May 8.
May 2021 Secretary Update
Current Items:
May OGCC Meeting Rescheduled
IOGCC Spring Meeting
2021 Legislative Session
Field Status
Injection Well Update
News Article(s) of Interest
Current Prices
May OGCC Meeting Rescheduled
The May 5th regular meeting for the OGCC was rescheduled to Tuesday, May 25 at 1:00 pm (MT). More information can be found on the Commission Meetings Page of the OGCC website.
IOGCC Spring Meeting
The Interstate Oil and Gas Compact Commission spring business meeting is virtual this year and begins next week on May 12th. There are assorted sessions on May 12, 13, 17, & 18. As Commissioners you are welcome to register and attend virtually. Mr. James Thum will be representing Idaho at the counsel of regulatory officials on May 12. To register for the conference, please visit:
2021 Legislative Session
As of this update the 2021 Idaho Legislature is in recess, with plans to return on May 12. There are no Oil and Gas items before the legislature this session.
Field Status
The Payette field has been in production since December 2020. Monthly production reports are current, and can be found on the OGCC website at: https://ogcc.idaho.gov/monthly-and-annual-reports/
To date no severance tax revenue has been received by the Department but are pending since the Tax Commission is reporting payments received. Additional information can be found at:
Injection Well Update
Injection well approval has been delayed due to federal Covid-19 guidelines. The IDL is participating in an interagency meeting on May 21, 2021 with the EPA, IDEQ, and IDWR. More information will follow.
News Article(s) of Interest
Biden renames 30×30 plan to America the Beautiful with a goal of setting aside 30% of nations lands and waters by 2030. Multiple attachments:
See E&E Conservation Plan, WGA 30×30, WOTUS in the Crosshairs, EE 30×30
Biden administration supports Trump position on Dakota pipeline.
See E&E Dakota Access Defense
Petroleum Association of Wyoming says federal oil and gas lease ban affects future of production.
Texas Land Commissioner George P. Bush pushing hard against Biden orders.
California fracking ban dies in California legislature.
See E&E California Fracking Ban
Current Prices
| Utah Sweet Crude | $55.41 bbl. | 05/06/21 |
| WTI | $64.83 bbl. | 05/07/21 |
| Natural Gas | $2.97 mmbtu. | 05/04/21 |
| NGL | $68.09 bbl. | 05/04/21 |
(green indicates prices increase since last update, red indicates decline)
Monthly Reports Posted
The December 2020 monthly report has been updated. The January 2021 and February 2021 monthly reports are now available. Please see the Monthly and Annual Reports page for more information.
May OGCC Meeting Rescheduled
The May 5, 2021 OGCC regular meeting has been rescheduled to May 25, 2021. Please see the Commission Meetings page for more information.
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, April 3.
Current Items:
New Commissioner
Kauffman Complaint Dismissed
Field Status
News Article(s) of Interest
Current Prices
New Commissioner
The Governor’s office has appointed Ray Hinchcliff as the newest commissioner to the OGCC. I’ve been able to have some great conversations with Ray over the past few weeks and am impressed with his professional accomplishments, as well as his genuine character. Ray is a Wyoming graduate and has experienced a fine career with Conoco Phillips. He lives in Eastern Idaho and has family here in Boise. We are onboarding Ray this month, and he’s eager to join the Commission for our May 5 meeting.
Kauffman Complaint Dismissed
The hearing officer has formally dismissed docket 2017-OGR-01-002, Kauffman vs. Alta Mesa Idaho. As you may recall this case was put on hold while the complainant pursued other avenues against the now bankrupt Alta Mesa Idaho. Additional information can be found on the administrative hearing page:
Docket No. CC-2017-OGR-01-002 – Kauffman Complaint | Oil & Gas Conservation Commission (idaho.gov)
Field Status
Snake River Oil & Gas continues to bring production online to take advantage of more stable commodity prices. A full report will be posted to the Commission website soon. Transportation reports show 1,965 bbls of NGL were sent out via rail in February 2021.
News Article(s) of Interest
13 states urge court to halt Biden’s oil leasing freeze. see E&E 13 states
North Dakota top oil and gas regulator is watching, planning comments for Interior’s review of oil and gas.
https://www.willistonherald.com/news/oil_and_energy/north-dakota-top-oil-and-gas-regulator-is-watching-planning-comments-for-interiors-review-of/article_ac508490-8b57-11eb-95c2-4f251efae37c.html
(Note: Lynn has been and continues to be a big help in steering the direction of Idaho’s O&G regulations. His thoughts on a split estate work around are a solid game plan for all sub-surface estates.)
There’s room for natural gas in a low-carbon world
https://www.scientificamerican.com/article/can-natural-gas-be-part-of-a-low-carbon-future/
Current Prices
| Utah Sweet Crude | $49.86 bbl. | 03/31/21 |
| WTI | $61.25 bbl. | 04/01/21 |
| Natural Gas | $2.49 mmbtu. | 03/31/21 |
| NGL | $7.51 mmbtu. | 03/31/21 |
(green indicates prices increase since last update, red indicates decline)
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, 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 |