Reserved

Natural gas last year expanded its share of the global energy mix even though demand growth was hindered by a weak economy in Europe, according to the International Energy Agency (IEA), which said the United States was a standout among gas-producing countries.

Oil and natural gas severance taxes totaled $34.5 million in Kentucky in 2012 as the industry, which is centered in the eastern part of the state, continued its comeback from the economic crisis of 2008.

Rents and royalties reported on Pennsylvania income tax returns from 2006 to 2010 have increased 61% statewide, and 119% in counties with Marcellus Shale activity, according to a report by the Allegheny Institute for Public Policy (AIPP). Rent and royalty income for landowners and mineral rights owners in the state rose 34% in counties with no Marcellus activity.

Constitution Pipeline Co. LLC has filed with the Federal Energy Regulatory Commission for approval to build a pipeline to carry natural gas from northern Pennsylvania to Northeast markets, and Iroquois Gas Transmission has filed an application to build a key interconnect project. Constitution, owned by subsidiaries of Williams Partners LP, Cabot Oil & Gas Corp., Piedmont Natural Gas Co. and WGL Holdings, expects to complete the122-mile pipeline by spring 2015 (see NGI, June 3). The 30-inch diameter gas line initially would carry up to 650,000 Dth/d from Susquehanna County, PA, interconnecting with the Iroquois and Tennessee Gas Pipeline (TGP) systems in Schoharie County, NY. Constitution reached an agreement with Iroquois to expand the Wright compressor station to eliminate the need for a 32,0000 hp compressor facility in Schoharie County, NY (see NGI, Jan. 21). Iroquois requested that FERC issue its certificate by May 1, 2014 to meet an in-service date of March 31, 2015.

Chesapeake Energy Corp. shareholders on Friday soundly rejected two board members up for reelection and approved three shareholder-initiated resolutions at the company’s annual meeting in Oklahoma City, signaling a turning point for the operator’s corporate governance and likely for the future of CEO Aubrey McClendon.

BP plc’s annual benchmark review of world energy published last week sees continued growth in global natural gas resources, particularly in the United States, while oil worldwide lost market share for the 13th year in a row.

Potential exports of liquefied natural gas (LNG) representing 5-15% of U.S. natural gas production will bring “significantly more” volatility to Henry Hub gas prices, with more exports making for greater volatility, consultancy PIRA Energy Group said in a new report.

It’s been a year since Chesapeake Energy Corp.’s shareholders voted out most of the board of directors, chastised then CEO Aubrey McClendon and drew a line on corporate governance (see Daily GPI, June 11, 2012). Prized assets since have been sold, capital budgets have been cut, offices closed.

Estimated global shale gas and shale oil resources represent 32% of the world’s natural gas and 10% of the world’s crude oil technically recoverable resources, according to an assessment released last week by the U.S. Energy Information Administration (EIA).