Pennsylvania Democratic Gov. Tom Wolf released a few more details regarding his plans to tax natural gas production in the state at a flat rate of 5% in addition to a 4.7 cent/Mcf volumetric fee (see Shale Daily, Feb. 11). Wolf's administration said his proposal includes exemptions for gas given away for free; gas from low-producing wells and wells brought back into production after not having produced marketable quantities of gas. Wolf also said his proposal would contain provisions to protect leaseholders from companies looking to pass through additional costs from the tax if it is passed. Wolf did not provide specifics, but he has said the tax structure would be similar to West Virginia's model. That state makes exemptions for gas wells producing less than 5 Mcf/d and oil wells producing less than 0.5 b/d.
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