New Hampshire Journal: Will OPEC Production Cuts Drive Up Fuel Costs in New England?
Jeff Eshelman, the president and CEO of the Independent Petroleum Association of America, said OPEC’s decision “emphasizes the importance of supporting U.S. oil production, with our federal government’s policies and with investment from the financial community.”
Eshelman noted that “producing oil is not like turning on a water faucet.”
“It takes months to get production back up,” he said. “If U.S. producers want to produce more oil, it takes six to nine months minimum to ramp up. The timeline for increasing production on federal lands is even longer because of a lengthy bureaucratic permitting process.”
Eshelman pointed to legislative efforts such as the Lower Energy Costs Act, passed by the U.S. House of Representatives in March, which would if signed into law, “expedite the development, importation, and exportation of energy resources” in the United States through a variety of deregulatory and administrative mechanisms.
Midland Reporter-Telegram: Uncertainty, confusion continue to grow around methane tax
The impending methane emissions tax included in last year’s Inflation Reduction Act is causing confusion, uncertainty and a vast array of concerns, particularly for mid-size independent oil and natural gas producers, which are expected to be affected the most.
“Regulators are not well versed in understanding the nature of oil and gas and that leads to challenges, then you get into the dynamics of the industry — the range of very large, publicly traded companies down to the mom-and-pop companies,” said Lee Fuller of the Independent Petroleum Association.
Odessa American: Oilfield facing loss of key tax deductions
IPAA President-CEO Jeff Eshelman said Biden’s oil and natural gas tax ideas “are a direct attack on America’s smaller independent producers who develop most of the nation’s natural gas and oil wells, particularly the small marginal operators.
“Many of these provisions such as the deduction of IDCs are not subsidies but are important tax provisions that promote investment, job creation and growth,” Eshelman said from Washington, D.C. “Repealing this provision and raising taxes on oil and gas taxpayers is a reckless policy proposal.
“IPAA continues fighting to preserve industry tax treatment, particularly IDCs and percentage depletion allowances, and to prevent new taxes that would hinder independents’ ability to operate and produce energy for the American people and our allies.”
S&P Global: Oil producers sound alarms over proposed new direction for public lands management
Mallori Miller, vice president of government relations for the Independent Petroleum Association of America, contends “the administration is making a policy shift of gigantic proportions with this proposed rule by giving conservation equal footing to all other public land uses.”
Currently, wilderness and historic lands must possess a strict set of characteristics to be afforded a conservation designation, Miller said in an email March 31. “There was never a choice between mineral extraction or conservation but now the door is open.”
“This rule is a complete shift of mindset and priority that is not consistent with the way federal land has ever been managed since the 1800s,” she asserted, adding that “this is incredibly concerning for any competing interests.”
San Angelo LIVE: Congressman Pfluger on Supporting the Lower Energy Costs Act
…You know, in fact, I spoke to the president of IPAA [Independent Petroleum Association of America] yesterday. What we just heard was that the independent producers of America support Democrat policies. That couldn’t be further from the truth. I asked them that. They said, ‘No, industry was not consulted.’…
… Today we’re likely going to continue to hear about the ‘Big Oil’ boogeyman that doesn’t actually exist. The truth is, and I’d like to face my Democrat friends and colleagues on the other side of the aisle and tell you what the IPAA told us, and what they continue to tell us.
90% of our energy is produced by small, independent producers, companies that have 10, 20, 30 employees. Big Oil? You’re talking to the people of Texas when you say that.
World Oil: IPAA, Energy Workforce, others urge U.S. Senate to pass Lower Energy Costs Act
Energy groups like The Independent Petroleum Association of America (IPAA) and the Energy Workforce & Technology Council have issued statements in support of H.R. 1 – the Lower Energy Costs Act, which passed in the U.S. House of Representatives with a bipartisan vote of 225-204. Both organizations are urging the full Senate to support the legislation.
IPAA President and CEO, Jeff Eshelman, said, “This bill will allow more investment to be put back in the ground for new American, responsible development across the energy supply chain. This legislation – and its designation as the House’s first bill – is a clear indication of the direction and priority that is set by the new House leadership – congratulations to them for getting this much needed bill through their chamber…
Washington Post: Why Biden’s oil policies upset both oil companies and environmentalists
…The government will offer more acres for lease this year, partly because Sen. Joe Manchin III (D-W.Va.) inserted a provision in last year’s climate and spending bill that requires the Interior Department to sell drilling leases whenever it offers land for renewable energy development. Even still, this year’s offerings mark a decline from the recent past.
The oil industry blames the president for the drop in leasing. “The decline is absolutely a result of Biden’s policies,” Mallori Miller, vice president of government relations at the Independent Petroleum Association of America, told me. …
Politico: Downtown mobilizes to pass GOP energy package
— Beginning tomorrow, the Independent Petroleum Association of America and leaders of its board will head to the Hill to shore up support for the Lower Energy Costs Act, which includes red meat policy items — like boosting fossil fuel production on federal land, prohibiting a ban on fracking and disapproving of Biden’s decision to block the Keystone XL pipeline — alongside reforms to the permitting and environmental review process that have bipartisan backing.
— IPAA will also talk up broader permitting reforms as well as flag its concerns with efforts to clamp down on the industry and tax carbon emissions. The trade group is set to meet with senior leaders, committee chairs and rank-and-file members from both chambers of Congress, according to the group.
Roll Call: With US fossil fuel production up, GOP would step on the gas
Count the American Public Gas Association, the American Petroleum Institute and the Independent Petroleum Association of America as supporters of the bill.
“It provides guidance and assurance that American natural gas and oil is a top priority that will help American consumers at home and our global allies abroad,” Jeff Eshelman, president and CEO of IPAA, said of the legislation.
E&E News: 5 energy issues to watch in Biden’s budget
“My budget cuts wasteful spending by getting rid of special tax breaks for Big Oil companies that made $200 billion in profit last year in the midst of a worldwide recession,” Biden said in a speech Thursday in Philadelphia.
In a statement, Jeff Eshelman, president and CEO of the Independent Petroleum Association of America, said the changes in Biden’s proposed budget to oil and natural gas industry tax provisions “are a direct attack on America’s smaller independent producers who develop most of the nation’s natural gas and oil wells.”
Lee Fuller, officer of environment and general strategy for the Independent Petroleum Association of America (IPAA), told Cowboy State Daily there’s also a question of whether the EPA has authority to deputize citizens to act in the agency’s stead.
Fuller explained that the Clean Air Act delegates authority to manage new sources of pollution to some states, which includes Wyoming. The SERP would create a scenario where states that have primary responsibility for enforcing Clean Air Act standards for these types of sources would be interacting with private-sector data collectors with no way of knowing how accurate that data is. …
Midland Reporter-Telegram: Panel: Industry takes proactive approach to pending regulations
“We try to continually educate Congress and regulators,” Lee Fuller, executive vice president with the Independent Petroleum Association of America, replied.
“We make a tremendous effort to explain the industry,” Fuller continued. “There are ongoing discussions on methane, for example.”
Noting that methane emissions reduction was initially embraced across Europe, he said he wouldn’t be surprised to see the focus turn to water and efforts to recycle produced water and even treat it for use outside the industry. Those efforts have drawn concern over the quality of the water and the chemicals in that water.
“Even drinking water is treated,” Fuller said. “There’s always been a debate over standards for drinking water and I expect that to be the challenge for beneficial reuse.
E&E News: Why Republicans want to kill the compromise methane fee
The American Petroleum Institute and the Independent Petroleum Association of America — two of the most important fossil fuel lobbying groups in the country — back Pfluger’s repeal effort. …
“[The methane fee] is an inappropriate and unworkable methane emissions tax,” said IPAA President and CEO Jeff Eshelman at a February Energy and Commerce hearing. “This tax was included despite not ever being considered in a hearing, receiving expert testimony in favor or opposition, no economic analysis, and no consideration of efficacy.”
Argus Media: US House starts work on permitting package
Oil industry groups back much of the legislation drafted by Republicans. A bill under consideration in the House Committee on Natural Resources would give certainty to industry and “ultimately lead to a more streamlined process” for federal oil and gas development, Independent Petroleum Association of America chief operating officer Dan Naatz said at the hearing.
The Epoch Times: Biden’s Declared War on Oil and Gas Hits Home Hard in West Texas’ Permian Basin
Independent Petroleum Association of America (IPAA) Board chair Steven Pruett, also president/CEO at Elevation Resources in Midland, said local oil and gas producers can no longer rely on banks to get needed loans.
“It’s a whole new game” under the Biden administration, Pruett said in his witness testimony, noting that two to three years ago, there were 20 capital equity groups investing in oil and gas companies with only “five or six” now “that can raise capital.”
Midland Reporter-Telegram: House committee sees first-hand how energy communities matter
[Steve Pruett, chairman and chief executive officer of Elevation Resources and chairman of the board of the Independent Petroleum Association of America] decried the headwinds facing the industry, citing regulatory uncertainty that has constrained capital formation and investment. He stressed the need for permitting reform that speed up permits for infrastructure like pipelines and transmission lines.
He warned that if the administration and the industry remain on their current path, the US, developing countries and US allies will be confronted with $150 oil prices.
“It’s not what we want, but unless those barriers are removed, we won’t be able to grow oil and gas production to meet demand,” he said.
Oil & Gas Journal: Groups question practicality of EPA proposed methane controls
The American Petroleum Institute (API) and the Independent Petroleum Association of America (IPAA) thanked EPA for taking some steps toward flexibility and cost-effectiveness in its supplemental proposed rule but argued there was much more to be done.
“The consequences of this proposal on America’s roughly one million existing oil and natural gas wells will be enormous, putting approximately 10% of American oil and natural gas production at risk,” IPAA warned. …
Bloomberg: Biden Wants Citizens to Police Oil Wells for Methane. Industry Leaders Are Pushing Back
Industry officials say the initiative could encourage activists to trespass on private land, including on farms and near homes with active wells. And they warn that third-party data can be riddled with errors.
Better requirements on the “validity and veracity of the data” are needed to ensure companies don’t have to shut operations over nothing, the Independent Petroleum Association of America and more than a dozen state oil industry groups told the EPA in written comments.
Odessa American: China factor looms large in oil
IPAA President & CEO Jeff Eshelman said from Washington, D.C., that producers “would like to remind President Biden that supporting American energy solutions strengthens our national security.
“The choices our nation makes regarding its energy mix have a huge impact on its economy and its international position,” Eshelman said. “If America does not pursue a thoughtful energy policy, the nation will suffer economically and in national security.
“That is why U.S. oil exports are important. We must be on the global stage to prevent China or any other country from controlling worldwide prices.”
The bill is co-sponsored by 36 Republican senators.
It is endorsed by the National Shooting Sports Foundation (NSSF), National Rifle Association (NRA), Independent Petroleum Association of America (IPAA), National Mining Association (NMA), National Association of Wholesaler-Distributors, and Day 1 Alliance.
The proposals have drawn support from an oil and gas industry that says it is being overwhelmed by a variety of threats from the government and environmental groups.
“Uncertainty breeds inaction,” testified Jeffrey Eshelman, president of the Independent Petroleum Association of America. “We have lawsuits, new permitting regulations, climate disclosures from the Securities and Exchange Commission, electrification proposal for stoves, which have gotten so much attention, delayed lease sales.”
Chuck Yates Needs a Job Podcast: Dan Naatz
Chuck and Dan chat about the political landscape in Washington D.C., what’s happening with energy policy, what the IPAA want to get done, and how we can get things done.
The agency was met with litigation from the Western Energy Alliance (WEA) and Independent Petroleum Association of America (IPAA) in 2016 and 2020.
The WEA and IPAA submitted individual comments to BLM’s proposal. They noted that a Wyoming court in 2016 in part vacated a prior proposal because “the aggregate costs were only offset if the agency included the social benefits of the rule as calculated using the global social cost of methane.’”
IPAA CEO Jeff Eshelman also noted that the proposed ruling “infringes on jurisdiction held by the EPA.”
We had the pleasure of hosting the Independent Petroleum Association of America (IPAA) for an oil and gas focused discussion. Joining us are Steve Pruett, Chairman of the Board, and Dan Naatz, COO and EVP. Steve and Dan are in Houston for NAPE, which almost all of you are probably familiar with, but for those of you who are not, the conference is gathering 8,000 plus people this year to talk oil and gas overall and oil and gas dealmaking in particular. …
Midland Reporter-Telegram: Operators report no issues caused by frigid weather
Steve Pruett, president and chief executive officer of Elevation Resources and chairman of the Independent Petroleum Association of America, commented by email, “the greatest safety concern is ice on the highways and roads, which caught most of us off guard this morning. We expected it on Wednesday, but not this morning. Some oil haulers are not operating, which could cause operators without oil pipeline connections to shut-in oil wells when they run out of storage. We are hopeful the oil gatherers will resume trucking (Tuesday), but Wednesday’s forecast calls for more freezing precipitation.” …
Argus Media: US oil sector seeks flexibility on methane fee
Rather than putting a fee on all methane emissions, the law carves out an exception for methane emissions equivalent to up to 0.2pc of natural gas “sent to sale” from each facility, alongside with a different exception for oil wells. The natural gas sales threshold has puzzled industry officials, who see a mismatch between the $900/t weight-based fee and how producers structure gas sales.
“Natural gas is sold by volume,” the Independent Petroleum Association of America wrote to EPA this month. “To calculate the mass requires a density volume but it is not routinely determined.”
Midland Reporter-Telegram: Energy groups applaud Rep. August Pfluger’s appointment
Pruett said, “With Congressman Pfluger’s appointment, the staff and members of the Independent Petroleum Association of America will elevate our role as a resource to inform the House Energy and Commerce Committee in creating supportive legislation and opposing regulation that impairs our ability to supply reliable and clean oil and natural gas to the world.”
Houston Chronicle: Why Houston businesses are expressing optimism about 2023
Steve Pruett, Chairman, IPAA:
“We have a lot of work to do in Washington on the education front. We have a host of freshmen members, and with Republicans in charge of the House, leadership over those committees will change.
“Hopefully hearings will help get our message out about how disruptive this rapid inflation has been to our industry. …
Washington Examiner: Daily on Energy
PRODUCER GROUP PRESSES HOUSE GOP FOR NEPA REFORMS: Independent oil and gas producers want House Republicans to take up reforms to the National Environmental Policy Act and other environmental laws when they take control of the chamber next month.
The Independent Petroleum Association of America sent a list of legislative and oversight priorities to Leader Kevin McCarthy yesterday, asking for measures to speed up permitting for pipelines to enable continued growth with rising demand
“If natural gas can’t be transported to markets, it won’t be produced,” the group said.
Midland Reporter-Telegram: Energy industry expects numerous challenges at federal level
From possible regulations on air emissions to endangered species to water to possible new taxes on methane or excess profits, the nation’s energy industry is facing numerous challenges from the nation’s capital. …
“We believe the US has great resources and should provide oil and gas to benefit everyone,” IPAA EVP and COO Dan Naatz said. “We have made that commitment and the administration has done all it could to not live up to it.”
CNBC: Biden Interior rule targets methane from public lands drilling
Mallori Miller, vice president of government relations for the Independent Petroleum Association of America, argued that federal methane regulation should be handled by the EPA. “The issue is not as cut and dried as this regulation would make it seem as there are many reasons to vent and flare gas, such as safety concerns and connectivity issues,” Miller said. “Of course, it will always be in the best interest of a producer to capture and sell a commodity on the marketplace when at all possible.”
Reuters: U.S. seeks to limit flaring and methane leaks from public lands drilling.
An oil and gas industry group said federal methane regulation should be handled by the Environmental Protection Agency, which has been crafting its own rules.
“The issue is not as cut and dried as this regulation would make it seem as there are many reasons to vent and flare gas, such as safety concerns and connectivity issues,” Mallori Miller, vice president of government relations for the Independent Petroleum Association of America, said in an email. “Of course, it will always be in the best interest of a producer to capture and sell a commodity on the marketplace when at all possible.”
Wall Street Journal: Energy companies expect more friends in D.C. as new Congress set to begin
Some oil-and-gas industry supporters say the pressure from Republicans in the House could help secure a regular schedule of sales of oil-and-gas drilling leases on federal land and the seabed.
Without such a schedule, many oil producers won’t want to go through the time and expense to put together a bid package, said Daniel Naatz, chief operating officer for the Independent Petroleum Association of America, a trade group for smaller oil developers.
“The process has now gone catawampus,” said Mr. Naatz. “If there’s no guarantee or certainty—not that you’re going to find oil and natural gas, but that the regulators are going to work with you—that throws a huge amount of uncertainty for our members to operate under.”
Wall Street Journal: Biden Announces Restrictions on Methane Emissions at COP27
The American Petroleum Institute, which represents U.S. oil and gas producers, said it is reviewing the proposed rule, adding that federal regulation that built on the industry’s own efforts were helpful in accelerating emissions reductions. The Independent Petroleum Association of America, a Washington, D.C., trade group representing smaller producers, said it is also watching closely, citing “a need to assure that the regulatory structure is cost effective and technologically feasible.”
E&E News: 4 questions answered about Biden’s oil strategy
Shortly before Biden’s remarks Wednesday, the head of the Independent Petroleum Association of America called on the White House to recognize the importance of domestic oil and gas production.
“Any other country in the world would embrace the natural resources that America has underground,” said Jeff Eshelman, IPAA’s chief executive, in an emailed statement. “This administration will not acknowledge our vast reserves and how it helps consumers, our military or economy.”
Forbes: President Biden’s Dangerous Use Of The Strategic Petroleum Reserve
Oil companies in the U.S. are making big profits right now — that is certainly true. And U.S. producers could do more to increase their production levels as Biden says. There are various reasons why they haven’t been doing that, many of which have to do with Biden’s own policies.
Jeff Eshelman, president and CEO of the Independent Petroleum Association of America (IPAA), put it well in a statement: “The Strategic Petroleum Reserve (SPR) is meant to protect consumers against emergency supply disruptions, not politicians during an election year. [Biden’s withdrawal] not only reduces our capacity to protect ourselves in case of a true emergency in the future, but also increases America’s reliance on the politically volatile countries that currently provide most of our oil.”
Wall Street Journal: Biden Says He Will Keep Tapping Oil Reserves
“The Strategic Petroleum Reserve (SPR) is meant to protect consumers against emergency supply disruptions, not politicians during an election year,” Jeff Eshelman, president of the Independent Petroleum Association of America, said in a statement.
Mr. Eshelman, whose group represents thousands of typically smaller and midsize exploration and production companies, said the SPR release is a “short-term fix for prices at best.” “It not only reduces our capacity to protect ourselves in case of a true emergency in the future, but also increases America’s reliance on the politically volatile countries that currently provide most of our oil,” he said.
Odessa American: OPEC’s machinations decried
Citing the Wall Street Journal, IPAA President-CEO Jeff Eshelman said the Biden administration has leased fewer federal acres for oil and natural gas drilling than any administration in its early stages since the end of World War II in 1945.
“The comment period for the new leasing plan is scheduled to close on Friday, months after the Obama administration plan expired, and it will likely be several more months before another off-shore sale can be held,” Eshelman said Wednesday from Washington, D.C.
“Worsening this ‘trickle,’ the Department of the Interior recently again missed the deadline for announcing on-shore lease sales in the third quarter, meaning there will likely not be another sale until at least the end of the year if not 2023.” …
The Independent Petroleum Association of America (IPAA) reached out to the U.S. Department of Interior (DOI) to stress the importance of continuing offshore leasing to help the United States remain in control of its own energy future.
The comments came in response to the Department of Interior’s 2023-2028 “Proposed Program” for the Outer Continental Shelf Oil and Gas Leasing Program (National OCS Program). …
The Independent Petroleum Association of America (IPAA) stated back in Nov. 2021 that it strongly opposed tapping into oil stockpiles to counter gas prices. The group’s concern was that depleting the emergency reserve could put the U.S. at risk if the global or domestic oil supply reaches dangerously low levels before the supply can be brought back up.
The IPAA recommends ramping up domestic natural gas and oil production instead, although oil producers are already dealing with supply-chain issues, limited capital and investor pressure to boost returns.
Odessa American: Oil & gas prices, who knows?
And from Washington, D.C., Independent Petroleum Association of America President-CEO Jeff Eshelman said producers “are price takers, not price makers.
“As we approach winter, an annual season of increased demand, we urge the Biden Administration to remember that prices are controlled by commodity markets, not producers or refiners,” Eshelman said. “IPAA encourages the administration to convene with producers and discuss pathways for adequate supply for Americans and our European allies instead of making political attacks.”
Boston Herald: Woodward: Despite energy crisis, Biden cuts oil, gas leases – report
Jeffrey Eshelman, president and CEO of the Independent Petroleum Association of America, is also concerned.
“The Biden administration’s federal lands policy is undermining U.S. energy production and global energy security,” Eshelman said. “And surprisingly, this administration doesn’t recognize the importance of federal land leasing to America’s revenues.”
Odessa American: Record oil production forecast
Steve Pruett, CEO of Elevation Resources in Midland and vice chairman of the Washington, D.C.-based Independent Petroleum Association of America, said conditions are generally encouraging, but there are serious problems.
“The Permian Basin’s independent oil and gas producers are doing all we can to increase production as we have economic incentives to do so,” Pruett said Wednesday.
“However, headwinds caused by skilled labor shortages, supply chain disruptions, service and tubular goods inflation and adverse federal executive and legislative branches and federal agencies charged with curtailing oil and natural gas development will constrain growth in Permian and domestic production. …
Financial Times: Oil industry condemns first US fee on greenhouse gases
However, Lee Fuller at the Independent Petroleum Association of America, which represents big and small oil and gas producers, said the administration was going after them while turning a blind eye to emissions from agriculture, another significant source of methane.
“This is really just targeting our industry for purposes of targeting our industry — as a way to try to further argue that oil and natural gas is a bad product,” he said.
The legislation will not only provide increased incentives for electric cars, likely shrinking oil demand in the decades to come, but it also includes a tax on the methane emissions that escape during oil and gas drilling and increases royalties on wells located on federal lands and waters.
“The IRA adds costs and regulations to producers when the federal government should be taking actions to support increased American energy production,” Barry Russell, president of the Independent Petroleum Association of America, said in a statement. “This bill will exacerbate supply concerns at a time of high crude and gasoline prices; it will not bring greater stability nor help Americans with inflation.”
Other industry groups, such as the American Exploration and Production Council and the Independent Petroleum Association of America, joined API in opposing the bill.
API, along with nearly 60 other trade groups, sent a letter to House Speaker Nancy Pelosi (D-CA) and Minority Leader Kevin McCarthy (R-CA) voicing their concerns. They expressed issues with the corporate minimum tax increase, the Superfund tax and the methane fee.
Oil & Gas Journal: House Democrats approve budget bill with higher costs for oil, gas
Industry groups criticized the bill in a joint letter Aug. 11 to House Speaker Nancy Pelosi (D-Calif.) and House Republican Leader Kevin McCarthy (R-Calif.). The letter was signed by the American Petroleum Institute, the Independent Petroleum Association of America, the American Fuel and Petrochemical Manufacturers, and dozens of other associations.
The industry letter lamented “considerable tax increases and new government spending” in the bill. It singled out a new minimum tax of 15% on corporations with adjusted income of $1 billion or more; an “$11.7 billion tax on crude oil and petroleum products,” a reference to reinstated and increased Superfund taxes; higher fees on domestic energy production; and a “new $6.3 billion natural gas tax,” a reference to the methane emission fee system
E&E News: Would the climate bill slash methane? It depends
The Independent Petroleum Association of America opposes the fee, calling it a tax that singles out energy producers. But a spokesperson for the group, Jennifer Pett Marsteller, acknowledged that “freezing the application threshold at 25,000 [metric] tons/year should largely exclude smaller producers.”
Investing.com: U.S. Inflation Reduction Act Will Have Mixed Impact On Oil, Gas Markets
Smaller oil and gas companies don’t have money to spend on fanciful initiatives that may not ever be profitable, so they won’t be able to take advantage of these tax breaks the way Big Oil can.
This is relevant to traders and investors because independent oil producers produce 83% of U.S. oil and 90% of U.S. natural gas, according to the Independent Petroleum Association of America. This legislation will make it even more difficult for smaller companies to compete and for new companies to enter the market. U.S. oil production could also suffer.
Bloomberg: Big Oil Sees Upside of Climate Bill As Small Drillers Brace for New Fees, Taxes
Smaller producers see little in the legislation to like, said Dan Naatz, executive VP at the Independent Petroleum Association of America.
The bill will “reduce investment,” and cause “long-lasting changes to the industry and long-lasting changes to the ability of our guys to get out there,” Naatz told Bloomberg.
“The tax changes being proposed will further cut domestic production and endanger domestic refining capacity while increasing demand from the Organization of the Petroleum Exporting Countries,” the Democrats wrote to House Democratic leadership on Sept. 13. Cuellar and Gonzalez also signed the letter, along with Allred; Rep. Sylvia Garcia, D-Houston; and then- Rep. Filemon Vela, D-Brownsville.
Several of the biggest oil and gas industry groups, including the American Gas Association and the Independent Petroleum Association of America, sent a similar letter to congressional leadership about the methane fee the same day.
Newsweek: Schumer-Manchin Bill Fuels Battle Between Oil and Environmental Interests
Drawing on an estimate compiled by industry trade association groups, Senator Lankford said the bill could see the cost of natural gas increase by 17%. In September 2021, in wake of discussions around the Build Back Better Act, 28 trade associations, including the Independent Petroleum Association of America (IPAA), wrote a letter to congressional leadership stating a methane tax in that bill would lead to this 17% spike. An outreach arm of the IPAA made this claim again regarding a similar provision in the new bill.
Hart Energy: Why Savvy Capital Providers Have Oil and Gas on Their Minds
If there were any thoughts about U.S. oil and gas producers shrugging their shoulders, giving up and disappearing sheepishly into the night at the hands of challenges from environmentalists and elected officials, think again.
Speakers and attendees on hand at the International Petroleum Association of America’s (IPAA) annual meeting on July 21 at The Broadmoor said it’s time to tighten their bootstraps and get to work setting the record straight—to the public and investors—about the importance of fossil fuels to modern and future society.
Once a company has a lease in hand, it can take a while to start drilling, since companies have to contract rigs to drill the wells and build a sufficient inventory of permits before rigs are contracted, said Jennifer Pett, a spokesperson for the Independent Petroleum Association of America, a trade group representing oil and natural gas producers.
Because capital investments are involved, companies want to feel confident that their upront outlays will be paid back with sufficient revenues. In a sector with prices as volatile as energy, this sometimes leads them to adopt a wait-and-see attitude rather than jumping right in.
FOX Business: Biden administration report shows massive fossil fuel industry job losses
“The DOE jobs report is not only reflective of the broader pandemic slowdown, but also highlights an Administration that has worked overtime on restricting American natural gas and oil production,” Independent Petroleum Association of America spokesperson Jennifer Marsteller told Fox News Digital in an email.
“We are confident in our sector, and in the work oil and natural gas employees do to bring energy safely and reliably to our country and the world,” she continued. “We urge President Biden to get on board with that same made-in-America pride in our workers.”
Midland Reporter-Telegram: Industry associations urge Biden to visit US oil and gas facilities
As President Joe Biden packs his bags for his trip to Israel, the West Bank and Saudi Arabia, 27 of the nation’s oil and gas associations have sent him an open letter urging him to visit US oil and gas facilities beforehand. Agreed Jeff Eshelman, IPAA’s chief operating officer. “It would also provide an opportunity for the president to educate himself about America’s number one energy source, its positive benefits to communities nationwide and the measures the industry has taken to protect the environment. For some reason, Administration policies do not recognize that renewable and traditional sources can coexist and should be part of an all-of-the-above energy approach. A visit would send a strong signal that he’s willing to listen and learn from the nation’s largest American energy resource base,” Eshelman said in a statement.
E&E News: DOE touts oil industry dialogue without deal on energy prices
While the signatories said Biden’s visit to Saudi Arabia is important, the trade groups added, “U.S. energy reserves — produced to among the highest environmental standards in the world — are the answer in the global quest for reliable energy supplies.”
Jeff Eshelman, chief operating officer with the Independent Petroleum Association of America, said in an emailed statement that a visit to U.S. energy facilities would indicate that Biden is “willing to listen and learn from the nation’s largest American energy resource base.”
Jeffrey Eshelman, Chief Operating Officer of the Independent Petroleum Association of America, told The Daily Caller News Foundation that a ban would only further restrict the supply of fuel, driving up prices and hurting Americans nationwide as roughly “20 percent of the nation’s natural gas and oil production comes from America’s offshore boundaries.” Eshelman pushed back on Biden’s call for more oil drilling and refining as a ban on offshore drilling would reflect his “true policies and progressive Green agenda.”
Eshelman further said that it is an understatement to say that the Biden administration is “out-of-touch with the nation’s pressing issues.” The DCNF reached out to the Department of the Interior for comment, and a spokeswoman for the Interior replied that “the proposed plan hasn’t been published yet.”
Reuters: Greens say vacate 3,500 drilling permits in new climate change lawsuit
The Interior Department declined to comment on Wednesday. But Mallori Miller, vice president of government relations for the Independent Petroleum Association of America, defended the BLM’s environmental review process, saying it “takes years to complete” before a permit is issued and production can begin.
“To allege that over 3,500 (drilling permits) were approved without a close eye on impacts is ludicrous,” Miller said in an email.
PolitiFact: No easy answers on reducing U.S. gas prices, despite political ads’ claims
Sometimes, companies must obtain rights-of-way from landowners near the leased lands. They also work on plans to contract a rig in a way that will be economically advantageous for the companies, among other things. Companies also weigh whether it makes more financial sense to drill quickly, or wait.
Jennifer Pett Marsteller, a spokesperson for the Independent Petroleum Association of America, which represents oil and natural gas producers, said companies “have every incentive to develop the resources they win leases for,” so penalties won’t speed up drilling.
“It’s a much more complicated process than simply having a lease issued and starting drilling,” she said.
Midland Reporter-Telegram: IPAA leader says industry is doing a lot to address energy concerns
Energy-related issues are gaining significant attention in the nation’s capital, and that’s compelling industry associations to increase their vigilance.
“There’s so much going on in D.C.,” observed Dan Naatz, senior vice president, government relations and political affairs with the Independent Petroleum Association of America. There is a lot of rhetoric and talk about obscene profits, price gouging and implementing a profits tax and price controls.
That talk may not be gaining much traction, he said, but if it’s being discussed in Washington, D.C., the IPAA and other associations need to ensure they don’t happen.
Houston Chronicle: U.S. moving to raise rent on non-producing oil and gas leases
Oil and gas companies have long resisted changes to the current system, arguing that the bureaucracy involved in drilling on federal lands is particularly burdensome.
“There’s so many different levels you need to get check-offs on,” said Mallori Miller, vice president of government relations at the Independent Petroleum Association of America. “It can take a number of years for companies to get leases together in a parcel, for it to make economic sense. It’s not as simple as get a lease, go start drilling.”
Oilman Magazine: Petroleum Industry Activity Shows Growth
The Oil and Gas Journal reported the Independent Petroleum Association of America repeatedly tried, without luck, to engage the Biden administration in a discussion of how federal policies and oil and gas companies can together provide energy supplies to the public.
“They’ve had no interest in talking about how we can work together to address these needs,” Dan Naatz, senior vice president at IPAA, said. “It’s frustrating.”
Bloomberg: Methane leaks from small oil wells spur call for stiffer U.S. regulation
The Independent Petroleum Association of America said the group’s assessments of emissions from small wells suggest that most of the leaks come from storage tanks and separator vessels “that can be managed without the expensive leak-detection-and-repair programs demanded by environmental lobbyists.”
“Specifically targeting small American producers with expansive new regulations is the wrong approach when prices at the pump are at record highs and the Biden administration is calling on the industry to expand domestic production,” IPAA spokeswoman Jennifer Pett said by email.
S&P Global: Methane from low-producing US oil, gas sites equal to 88 coal plants: study
“Our assessments of emissions from small wells have suggested that the predominant sources of emissions are storage tanks and perhaps separator vessels that can be managed without the expensive … programs demanded by environmental lobbyists,” Jennifer Pett Marsteller, a spokesperson for the Independent Petroleum Association of America, wrote in an email.
“Targeting small American producers with expansive new regulations is the wrong approach when prices at the pump are at record highs and the Biden administration is calling on the industry to expand domestic production.”
E&E News: How Biden drilling plan affects oil, climate politics
Dan Naatz, executive vice president for the Independent Petroleum Association of America, echoed Macchiarola.
“It’s just another political action by the administration,” Naatz said in an interview.
He added: “Now they’ve come up with a plan they say is going to have a significant impact. When you’re reducing the acreage by 80 percent, you’re increasing royalties by 50 percent, that doesn’t seem to be a formula for robust action on federal lands. Our members are certainly very skeptical. But it doesn’t seem to be a plan that’s going to have a major impact on onshore federal land production.”
NewsWest9: Petroleum expert discusses ending of moratorium on federal land drilling leases (Watch)
“First of all, it’s a long time coming and so we’ll give the administration some credit for at least holding a lease sale,” said Dan Naatz, Executive Vice President of the Independent Petroleum Association of America. “But, if you look back all the way back to candidate Biden, he said that he would stop leasing on federal lands and he did that the first day in office, and there hasn’t had any since they came into office.”
New York Times: Biden Plans to Open More Public Land to Drilling
Those moves drew a tepid reaction from the oil industry.
“It’s a mixed message and strangely incoherent,” said Jeff Eshelman, the chief operating officer of the Independent Petroleum Association of America, an industry group. “This administration has begged for more oil from foreign nations, blames American energy producers for price gouging and sitting on leases. Now, on a late holiday announcement, under pressure, it announces a lease sale with major royalty increases that will add uncertainty to drilling plans for years.”
NBC News: Biden administration to resume leasing for oil and gas drilling on federal lands
Jeffrey Eshelman, chief operating officer at the Independent Petroleum Association of America, accused Biden of putting out a “mixed message” on energy policy.
“This administration has begged for more oil from foreign nations, blames American energy producers for price gouging and sitting on leases,” Eshelman said in a statement. “Now, on a late holiday announcement, under pressure, it announces a lease sale with major royalty increases that will add uncertainty to drilling plans for years.”
The Independent Petroleum Association of America, which represents oil and gas producers, also took issue with Biden’s characterization of oil and gas companies sitting on unused leases.
“Independent oil and natural gas producers do not sit on leases they acquire on onshore and offshore federal lands,” said Dan Naatz, the group’s executive president, who stressed that it’s in a company’s best interest to develop the leases it acquires.
Companies pay rent on federal leases until they are in production, with rental rates that escalate over time, Naatz said.
Although the Biden administration wants to make the public believe exploring for oil and natural gas on federal lands is a simple process, “nothing could be further from the truth,” Naatz said.
“Our industry is heavily regulated, and there are various factors that cause companies to wait to explore and drill wells,” he said. “Because of the uncertainty of operating on federal lands, companies must build sufficient inventory of permits before rigs can be contracted. They must acquire the proper rights of way and ensure they have the proper pipeline infrastructure to ensure the oil and natural gas can be delivered to markets safely and efficiently.”
Independent Petroleum Association of America Executive Vice President Dan Naatz said gas and oil companies are “frustrated” with the Biden administration’s “relentless assault” on American oil and natural gas producers over the past year.
“Increased regulations, talk of taxes, our members get frustrated when the administration, Jen Psaki just seem to say, now that we are facing an energy crisis, go out and produce like the snap of a finger. It is just not possible and as we face this relentless attack, we will have to do a lot of work. And you want to start a dialogue with the administration to address the challenges,” he told host Ainsley Earhardt.
IPAA Executive Vice President Dan Naatz and Western Energy Alliance President Kathleen Sgamma on letter sent to President Biden.
Washington Examiner: Environmentalists want SEC to remove wiggle room from emissions disclosures
Oil and gas trade groups criticized the administration’s treatment of the industry and accusing officials of “maligning our motives” and telling lies about how companies operate.
“The worst mischaracterization of all by you and your administration is when you have said that you are doing nothing to hold back energy production. That is just not true,” industry representatives said in a letter sent to the administration last week and made public yesterday, signed by 10 industry groups, including the Independent Petroleum Association of America and the Western Energy Alliance.
It also includes an exhortation that President Joe Biden “pick up the phone” to Interior Secretary Deb Haaland to urge her to see through the approval of more drilling permits and that he recognize that oil and gas are strategic assets “necessary for providing the United States and its allies with energy security now and for decades.”
Jennifer Pett Marsteller, Independent Petroleum Association of America (IPAA) senior public relations and communications director, told NGI that ramping up production involves more than simply turning on a spigot.
Oil and gas “producers must acquire capital for new drilling investments, and parts and labor are not easy to come by,” she said. “The industry faces the same supply chain and workforce issues that plague many other industries in America.”
The president suggested the onus is on the industry to start drilling. But it’s not as simple as Biden made it seem, because there are some steps before companies begin production.
Companies have to contract rigs to drill the wells, and build a sufficient inventory of permits before rigs are contracted, said Jennifer Pett, a spokesperson for the Independent Petroleum Association of America, a trade group that represents oil and natural gas producers.
“Producers also have to put a drilling plan together, secure rights of way and work with state and private landowners,” Pett said.
National Review: Profits Are Not the Problem for Oil Companies
That’s right, oil companies are having a hard time attracting investors now because they were perceived to have supplied too much oil and made too low profits over the last ten years.
Most of America’s oil drilling is actually done by relatively small, independent firms, not by Big Oil. From the Independent Petroleum Association of America:
The U.S. Internal Revenue Code section 613A(d) defines an independent producer as a producer who does not have more than $5 million in retail sales of oil and gas in a year or who does not refine more than an average of 75,000 barrels per day of crude oil during a given year. There are about 9,000 independent oil and natural gas producers in the United States. …
Newsweek: Have Biden Administration Policies Reduced U.S. Oil Production?
“Our members believe that the administration’s attack on American oil and natural gas, starting with Day 1 has been relentless,” Dan Naatz, executive vice president of the Independent Petroleum Association of America, told Newsweek. “They really had the goal of shackling the industry with increased taxes, increased regulations and limiting access on federal lands both onshore and offshore to allow our members to get out and operate.”
The Independent Petroleum Association of America (IPAA), also stressed the need for domestic production, saying it would benefit both the interests of the U.S. and its allies.
“The United States has shown its global energy dominance over the past decade. Unfortunately, this has been threatened by the current Administration’s policies against domestic natural gas and oil production,” IPAA COO Jeff Eshelman told the Daily Caller News Foundation in a statement. “Make no mistake, natural gas and oil production here at home benefits not only our nation, but also our worldwide allies. For America, it means less reliance on oil imports from unfriendly countries.”
Eshelman added that greater American energy production means “freedom from hostile nations” for people across the world.
The Hill: Working like the devil to lower energy prices
Op-ed by Dan Naatz, IPAA EVP and Kathleen Sgamma, President of the Western Energy Association
Last week, President Biden said he would “work like the devil” to bring down gasoline prices. Somehow, after more than half a year of watching him beg Russia and OPEC to increase their oil production while making it more difficult for American oil and natural gas producers, we’re skeptical. But here are a few simple ideas to help the president channel his inner Lucifer and reduce energy prices.
Washington Post: Opinion: Divestment doesn’t make greener energy
Letter to the editor by Jeff Eshelman, IPAA Chief Operating Officer
Divestment contradicts today’s climate finance trend. Chris Ailman, chief investment officer at CalSTRS pension system, stated the obvious: “Divestment doesn’t reduce greenhouse gases.” He doubled down on the fund’s commitment to finding the right climate solutions through working closer with the industry.
Endowment and pension fund managers have a fiduciary responsibility to make prudent investment choices, not political decisions such as divestment, which has no measurable impact on emissions reduction or environmental progress.
Energy Intelligence: Private Equity Grapples With ‘Impediments’ to Exits
How PE cashes in on its oil patch investments is changing, a fact noted by executives at the Independent Petroleum Association of America’s recent Private Capital Conference. Gone are the days when a PE backer could rely on an IPO or trade sale a few years down the line to cover the costs of its investment in an oil company. “If I’m going to go put $400 million dollars into something and sell it six years from now, I need to make my money along the way. I really can’t count on some massive exit to cover it,” Joseph Small, head of US Oil & Gas Acquisitions and Divestitures (A&D) at CIBC, said.
Politico Pro: Interior eyes 50 percent hike in onshore oil drilling royalty rates
Oil companies have been expecting Interior to raise rates and limit acreage, said Dan Naatz, executive vice president of the Independent Petroleum Association of America, a trade group. But doing so could cut into onshore oil production and end up costing the government money overall, he added.
“It’s not surprising,” Naatz said “But it’s going to have the reverse impact than what they’re saying about increasing royalties. You’re going to drive down production.”
Rigzone: Oil Groups Aren’t Happy with GOM Lease Sale Court Ruling
Responding to the ruling, the Independent Petroleum Association of America’s (IPAA) EVP Dan Naatz told Rigzone, “IPAA is disappointed with the court’s decision and hopes the Biden Administration will appeal this misguided ruling,”.
“Offshore oil and natural gas production plays an important role in America’s energy picture and is done in a safe manner that protects the environment. At a time when the world needs the United States to continue to be an energy superpower … [this] decision only clouds the energy picture at home and abroad,” Naatz added.
Washington Examiner: Oil and gas industry rallies against environmentalist Biden Fed nominee
Oil and gas industry groups are coming out strongly against a top Biden Federal Reserve nominee who has called for the financial sector to pull investment away from fossil fuels.
Forty-one trade associations told Senate Banking Committee leadership on Friday that policies favored by Sarah Bloom Raskin, who is up for vice chairwoman for supervision at the Fed, would “wreak havoc” on the U.S. economy if enacted.
“Oil and natural gas provide the feedstock for thousands of products used every day, from anything with a computer chip to the COVID vaccines that have saved millions of lives across the globe,” the groups wrote Chairman Sherrod Brown and ranking member Pat Toomey. The trade groups include the Independent Petroleum Association of America, the Western Energy Alliance, and the Appalachia-based Marcellus Shale Coalition.
Washington Post: Biden outpaces Trump in issuing drilling permits on public lands
Dan Naatz, executive vice president of the Independent Petroleum Association of America, said in an interview that the administration “should be credited with moving forward with the drilling permits.”
Still, Naatz said, he anticipates challenges ahead for the small and midsize oil and gas companies his group represents, including stricter regulations and a possible hike in federal royalty rates. “But we want to work with them,” he said.
Hart Energy: ‘ESG Now Impacts All Access to Capital,’ Energy Consultant Says
ESG has transcended being a checked box for oil and gas companies. Now investors are looking for improved disclosure of ESG-related issues supported by quantitative data to garner capital, according to Daniel Romito, director of ESG strategy and integration at Pickering Energy Partners.
“ESG now impacts all access to capital…your insurance, your banking and your equity, is all heavily influenced,” Romito said at the Independent Petroleum Association of America’s Private Capital Conference on Jan. 20. “Now, it’s not the end all be all, but it is heavily influenced by your ESG profile.”
Energy Intelligence: Conventional Assets a ‘Honey Hole’ for Private Equity
Conventional oil and natural gas assets are becoming more attractive to privately backed buyers in the US as output continues to decline in unconventional basins, finance executives said Thursday at the Private Capital Conference sponsored by the Independent Petroleum Association of America.
Hart Energy: How Oil and Gas Can Survive the Energy Transition
“We’re no longer an allocation today. We stunk it up. We had a big, huge red problem. We lost a lot of money. We’ve got the green problem … that we’re going to have to deal with,” said Chuck Yates, podcast host and panelist at the International Petroleum Association of America’s recent Private Capital Conference. “If you’re sitting there with an oil and gas company and you want capital, do not sit there and go, well, ‘I’ve got PDP and PV-10 … All those old rules are out the door. You have to walk in to an investor and show how you uniquely can make money.”
Washington Post: A historic push, but an ‘existential’ problem remains
“That’s basically, in my opinion, the story of this first year. It’s an inconsistency within the administration over what its true objectives are,” said Lee Fuller, officer for environment and general strategy at the Independent Petroleum Association of America. “Much of the rhetoric of the administration has been fast-paced moves to get off fossil energy that I just don’t think are realistic.”
Hart Energy: Barry Russell – “A Bridge Between Energy Sector and Education”
What is the ‘why’ behind our outreach to students? It really comes down to ensuring the energy industry attracts the brightest minds over the next decade as the number of jobs in STEM industries, including oil and natural gas and renewables, is expected to grow 50% faster than in non-STEM industries. Our outreach to students empowers them to take control of their future by reassuring them that they belong in our industry while simultaneously introducing them to available careers and encouraging them to reach high to achieve their dreams.
Hart Energy: Nonprofits, Energy Companies Partner to Promote STEM Education
The Independent Petroleum Association of America’s Energy Workforce Education Center considers itself the bridge between education and the energy sector, particularly oil and natural gas, according to Anne Ford, the center’s senior vice president. The energy industry nonprofit started in 2006, partnering with the Petroleum Equipment & Services Association (now called the Energy Workforce & Technology Council), to strengthen students’ STEM skills and spread awareness of the energy industry. Since its beginnings at a Houston area high school, the program has expanded in scope and blossomed to serve nearly 163 schools nationwide, reaching about 20,000 students.
E&E: ‘It’s grotesque’: Inside the Hill methane fight
“We’ve been opposed to it from the get-go,” said Daniel Naatz, senior vice president of government relations for the Independent Petroleum Association of America, echoing every other significant oil and gas group in the country.
That opposition is partly because oil and gas is facing heat on multiple fronts. The reconciliation package could also include a suite of federal oil and gas reforms, including royalty rate hikes and royalties on methane that’s released into the atmosphere through venting or flaring.
But industry groups say they also oppose the methane fee because of how it’s arrived: packaged in the reconciliation deal with little debate or revision.
“There were no hearings on this legislation. The tax-writing committees didn’t look at it. There was no discussion,” Naatz said. “And so, there’s so many questions about even how this would work.”
The Daily Caller: Key Climate Provision In Biden’s Spending Package In Limbo
Leading energy industry groups, meanwhile, have come out in stark opposition to the methane fee in the House-approved version of the bill. In September, the Independent Petroleum Association of America and American Gas Association wrote a letter to Congress along with several other groups, advocating against the methane fee’s inclusion in the legislation.
“New fees or taxes on energy companies will raise costs for customers, creating a burden that will fall most heavily on lower-income Americans,” the letter said. “These major new costs most likely will result in higher bills for natural gas customers, including families, small businesses, and power generators.”
E&E: Industry slams oil and gas reforms in bid to sway Manchin
A coalition of fossil fuel industry groups directly asked Sen. Joe Manchin yesterday to reject proposed increases to royalty rates for oil and gas leasing on federal lands, a potential warning sign for yet another climate provision in the Democrats’ massive social and climate spending package.
Addressed only to the West Virginia Democrat whose swing vote status could make or break the future of the reconciliation bill in the Senate, the letter targeted a larger suite of reforms to the federal oil and gas program contained in H.R. 5376, the House-passed, $1.7 trillion measure. That included banning oil and gas drilling in the Pacific, Atlantic and Eastern Gulf and creating new annual pipeline fees.
“We seek to be constructive partners in the development of thoughtful and balanced national policy to address climate change,” wrote the fossil fuel groups, among them the American Petroleum Institute, National Ocean Industries Association and Independent Petroleum Association of America. “However, punitively targeted provisions … will hinder, not help this effort.”
In a letter to Manchin yesterday, industry groups took issue with the offshore drilling provision and other policies that they said would stifle domestic energy production.
- “Such impacts on domestic production threaten to result in greater reliance on foreign production from nations with weaker environmental standards as compared to production from U.S. federal waters and comparable regions onshore,” the groups wrote.
- The letter was signed by industry heavyweights including the American Petroleum Institute, the Independent Petroleum Association of America and the National Ocean Industries Association.
Forbes: Biden To Tap Into Strategic Petroleum Reserve To Lower Gas Prices
The Independent Petroleum Association of America, an oil and gas industry lobbying group, released a statement last week saying it “strongly opposes” any use of the Strategic Petroleum Reserve to “manipulate gasoline prices,” calling on the president to instead eliminate regulations on the industry.
Capital.com: Oil prices rise despite release of reserves: Here’s why
“Today’s announcement reflects the President’s commitment to do everything in his power to bring down costs for the American people and continue our strong economic recovery,” the White House said in a statement. “At the same time, the Administration remains committed to the President’s ambitious clean energy goals.”
Biden’s announcement goes against domestic oil producers, with the Independent Petroleum Association of America denouncing opening the SPR in this instance as a way to “manipulate” the market.
Washington Examiner: Biden opens Strategic Petroleum Reserve to blunt gas prices
The decision came in spite of opposition from domestic oil producers, with the Independent Petroleum Association of American deriding opening the SPR in this instance as a way to “manipulate” of the market. Industry groups have demanded Biden ease up on policies restricting fossil fuel exploration and encourage production instead.
Resorting to the SPR is something of a turnaround for Biden, who downplayed the effects of opening it in a CNN town hall last month.
“I could go in the petroleum reserve and take out and probably reduce the price of gas — maybe 18 cents or so a gallon. It’s still going to be above $3,” Biden said.
E&E: Energy prices are surging. What can Biden do?
Last week, the Independent Petroleum Association of America, which represents independent oil and natural gas producers, said, “We strongly oppose the use of oil stockpiles to affect gasoline prices.”
“Market interference makes us all more vulnerable and is counterproductive to long term adjustments in the marketplace,” IPAA Chief Operating Officer Jeff Eshelman said in a statement Tuesday. “A better solution is to enhance, not stifle or shut-down, America’s leadership in natural gas and oil production.”
The Independent Petroleum Association of America (IPAA) came out in opposition to a sale from the reserve, saying in a statement it was contrary to the reserve’s real purpose.
“We strongly oppose the use of oil stockpiles to affect gasoline prices. Market interference makes us all more vulnerable and is counterproductive to long term adjustments in the marketplace. A better solution is to enhance, not stifle or shut down, America’s leadership in natural gas and oil production,” the IPAA said.
Independent oil companies are protesting a possible sale of oil from the Strategic Petroleum Reserve that the Biden administration has floated as a response to high gasoline prices. “If the government regularly released SPR oil for sale each time domestic fuel prices rose, we could reduce our ability to address a situation with the potential to seriously injure the U.S. economy,” the Independent Petroleum Association of America said in a press release. Oil producers worry that adding supply to the market now would slow down companies who are still trying to restart the drills they stopped during the pandemic.
E&E News: How EPA methane rule hits energy, from pipelines to politics
Some industry leaders thanked EPA for taking its concerns into account on flaring and small, low-producing operations, often called “stripper wells.” Several groups have asked EPA to wait for the results of an Energy Department study on small wells’ emissions before regulating them.
“The agency has tried to be responsive to our concerns for improved cost-effective monitoring technology and recognizing the importance of addressing small business challenges,” said Barry Russell, president and CEO of the Independent Petroleum Association of America, which represents independent producers.
Wall Street Journal: World Leaders Vow to Cut Methane Emissions
A smaller industry trade group, the Independent Petroleum Association of America, previously raised concerns about the plan, saying rules that effectively require advanced technologies like optical leak-detection systems would be too costly and complicated for low-production oil and gas wells.
The group said Tuesday that it was reviewing the proposed rule but was “encouraged by its initial analysis of EPA’s proposed regulations—the agency has tried to be responsive to our concerns for improved cost-effective monitoring technology and recognizing the importance of addressing small business challenges.”
The Independent Petroleum Association of America (IPAA) said it also supported the proposal and would study its details. “IPAA is encouraged by its initial analysis of EPA’s proposed regulations – the agency has tried to be responsive to our concerns for improved cost-effective monitoring technology and recognizing the importance of addressing small business challenges,” CEO Barry Russell said.
“IPAA will be reviewing the 284-page rule and the regulatory analysis and awaits the findings of the Department of Energy’s study on marginal well emissions that will be completed ahead of the EPA’s comment deadline.”
The American Gas Association (AGA), American Petroleum institute (API), Independent Petroleum Association of America (IPAA), and Interstate Natural Gas Association of America (INGAA) say the focus should be on driving down methane emissions without adding new taxes.
Barry Russell, president and CEO of IPAA, pointed out that natural gas and petroleum account for nearly 70 percent of energy consumption in the U.S.
“These new taxes will not only impose a burden on industry and consumers generally, they are specifically designed to impose a new burden on small businesses. This costly policy will send both jobs and greenhouse gas emissions to other countries,” Russell said.
FOX 34: Arrington leads letter to EPA on postponing emissions guidelines
The study was scheduled to be completed at the end of Sept. 2021, with public release scheduled for Dec. 2021. The Biden administration has stated they hope to see the new regulations in the next few weeks, but Arrington and the other signers are asking for the findings of the study to be considered in any new regulations.
“Since this study will report on the sources of emissions at low production wells, it should be included in developing any emissions guidelines. Proposing Emissions Guidelines to meet an arbitrary political deadline while disregarding important new scientific information would be inappropriate,” said Lee Fuller of the Independent Petroleum Association of America in a news release.
The Daily Caller: America Is Becoming More Dependent On Foreign Oil Under Biden
The Independent Petroleum Association of America (IPAA), another industry group representing energy producers, has pointed to regional hurdles for constructing pipelines to explain why oil and gas imports have recently increased in the U.S.
The group has also argued that California’s denial of fracking permits for climate change reasons has made the state more dependent on foreign energy. California depends on foreign nations — mainly Ecuador, Saudi Arabia, Iraq and Mexico — for a plurality of its oil despite having vast resources of its own.
“As global energy consumption grows, the U.S. natural gas and oil industry, governed by commonsense, effective regulations and public-private partnerships, can ensure that America and nations worldwide will have a reliable energy supply to power their homes, businesses, and critical services,” IPAA COO Jeff Eshelman said in a statement to the DCNF.
CEO Dateline: IPAA retools high school workforce development program
The program is in its second year, but this time around IPAA expanded its scope and is working with renewable energy companies to inform students about a wider range of energy careers, Barry Russell, CEO of IPAA and co-chair of the IPAA Energy Workforce Education Advisory Board, said in a statement.
“We believe that access to this information should be free and encourage a variety of incentives for educators and students to get involved,” Russell said.
“Because of our longstanding relationships with both educators and industry professionals our Foundation is uniquely positioned to help both tomorrow’s energy professionals and our industry, said Barry Russell, Co-Chairman, IPAA Energy Workforce Education Advisory Board and President and CEO, Independent Petroleum Association of America. “Recently, we expanded our scope and began working together with renewable energy companies to provide students with information about all forms of energy and in doing so empowering them to make an informed decision about their bright futures.”
Likewise, in the oil and gas fields around Midland, drilling oil and gas nearby could suddenly become more burdensome and costly should those dry creek beds become federally protected, said Lee Fuller, an officer with the Independent Petroleum Association of America.
“You have to install equipment, berms, liners, to keep oil from spilling into the waterway,” he said. “You’re going to try to live with whatever’s there, but it really changes your timing and your cost. At some point you get into a situation where the jurisdiction threatens your ability to drill.”
“Because of our longstanding relationships with both educators and industry professionals our Foundation is uniquely positioned to help both tomorrow’s energy professionals and our industry, said Barry Russell, Co-Chairman, IPAA Energy Workforce Education Advisory Board and President and CEO, Independent Petroleum Association of America. “Recently, we expanded our scope and began working together with renewable energy companies to provide students with information about all forms of energy and in doing so empowering them to make an informed decision about their bright futures.”
E&E News: Oil lobby targets Democrats in fight against tax plan
Dan Naatz, executive vice president at the Independent Petroleum Association of America, said the group is communicating with lawmakers of both parties on the issue.
“Independent producers across the country are really concerned that the action will decimate American oil and natural gas producers,” he said. “When you talk about taking away intangible drilling costs, percentage depletion and add in a lot of other fees and costs, it really would have a negative effect on the ability of our members both to operate onshore, offshore, on federal land, on private land.”
He said that critics couch the provisions as “giveaways” to the oil and gas industry, but that the provisions are designed to encourage reinvestment. “We’re trying to talk to Democrats who are willing to listen to the consequences of passing these provisions, including significantly reduced American production, unstable consumer prices, loss of manufacturing jobs, the revenue to states,” Naatz said.
He said the focus of those discussions have been Texas Democrats in the House, but also members of Congress in Ohio, Pennsylvania, Colorado and New Mexico, where there is considerable production, along with West Virginia.
“I won’t say that everybody has listened to us and said, ‘You know, we agreed with you,’ but we’re going to continue to advocate because we believe it’s that important for the industry and for the nation,” he said.
Daily Energy Insider: Gas industry groups express concerns to Congress over methane tax proposal
Several gas industry groups, including the Independent Petroleum Association of America (IPAA) and the American Gas Association (AGA), wrote a letter to congressional leaders expressing their concerns about a proposed methane emissions tax in the budget reconciliation legislation being negotiated in Congress.
“The industry is committed to continuing its efforts to minimize methane emissions across the U.S. economy. However, the methane fee framework currently being considered would introduce a regressive tax on low-income and fixed-income Americans, ignore existing and anticipated federal regulations on methane emissions, and lessen available capital for our companies’ ongoing investments in further reducing methane emissions,” said the Sept. 7 letter to U.S. Senate and House leadership that was signed by 27 organizations representing the gas industry, as well as others.
Washington Examiner: Biden details plan to resume oil and gas leasing in response to court ruling
The Biden administration is taking steps beginning this week toward restarting oil and gas leasing on federal lands and waters as it complies with a ruling by a federal judge that found its pause on new auctions to be illegal. Oil and gas industry groups called Interior’s resumption of leasing a positive step but called for the administration to release its delayed report. “America’s oil and natural gas producers have been left in the dark by Interior for most of the year with no idea when leases would resume,” said Dan Naatz, executive vice president of the Independent Petroleum Association of America. “Companies need to know if the administration plans to make substantial changes to regulations that govern development on public lands.”
Rigzone: Oil Groups React to USA Call for OPEC to Do More
We should be focused on growing American energy leadership, not returning to the days of relying on OPEC to meet our supply needs. Also commenting on Sullivan’s statement, the Independent Petroleum Association of America (IPAA) said “under the Obama administration, prolific U.S. shale development helped keep oil prices low – the United States quite literally drilled its way to lower gasoline prices”. “The Biden admin is limiting domestic production while asking other countries to pump more crude,” the IPAA statement added.
Midland Reporter-Telegram: Oil associations, producers defend oil-related tax provision
Included in that act, which was designed to promote clean energy, was a renewed attempt to repeal tax treatments for the oil and gas industry – percentage depletions for oil and gas wells, intangible drilling costs and the enhanced oil recovery credit. Ed Longanecker, president of the Texas Independent Producers and Royalty Owners Association, told the Reporter-Telegram by email, “We are experiencing a more aggressive, politically driven campaign targeting the oil and natural gas industry. Despite an emboldened push by some, who have little to no regard of the ramifications of these poorly conceived policies, we are hopeful that common sense prevails.” Jennifer Pett Marsteller, director of public affairs and communications with the Independent Petroleum Association of America, told the Reporter-Telegram by email she does not know yet whether Senate Democratic leadership will try to bring the Clean Energy for America Act to the floor at some point down the road as a stand alone piece or incorporate it into other legislation.
Washington Examiner: Biden budget would ax more than a dozen fossil fuel tax breaks
Industry groups, however, say removing the tax breaks will hamper domestic production and create challenges for oil and gas companies — especially smaller, independent producers that have limited streams of revenue.
“What is absolutely without a doubt is that passing this budget, regardless of company size or structure, is going to fundamentally disadvantage America’s standing in the global energy space,” said Ryan Ullman, vice president of government relations and political affairs at the Independent Petroleum Association of America. “We are going to produce less oil and gas.”
Lee Fuller, IPAA’s officer of environment and general strategy, added that while larger integrated oil companies have several revenue streams, including refineries and chemicals, smaller producers don’t and thus rely more heavily on the tax breaks that help them recoup their expenses more quickly.
The Ripon Advance: Armstrong bill would authorize $4.7B to clean up orphaned oil, gas wells
U.S. Rep. Kelly Armstrong (R-ND) on May 28 offered a bipartisan bill that aims to provide thousands of jobs in the oil and gas industry by allocating more than $4.7 billion in funding to clean up orphaned oil and gas wells around the country.
The Revive Economic Growth and Reclaim Orphaned Wells (REGROW) Act of 2021, H.R. 3585, which Rep. Armstrong cosponsored with bill sponsor U.S. Rep. Lizzie Fletcher (D-TX), would amend the Energy Policy Act of 2005 to require the U.S. Secretary of the Interior to establish a program to plug, remediate and reclaim orphaned oil and gas wells and surrounding land, according to the text of the bill.
The REGROW Act is endorsed by several groups, including the Environmental Defense Fund, the Independent Petroleum Association of America, the North Dakota Petroleum Council, the Interstate Oil and Gas Compact Commission, and the National Wildlife Federation.
E&E News: 5 Biden spending proposals Congress could get behind
Here are five energy and environmental policy areas expected to become law after appropriators craft the fiscal 2022 bills later this year…
5. Mine, oil well cleanups
Democrats and Republicans might not be on the same page regarding energy extraction efforts, but they are likely to favor Biden’s push to clean up abandoned oil wells and mines. …
Outside groups rarely on the same page — including the Environmental Defense Fund and the Independent Petroleum Association of America — favor recent bipartisan legislation proposed in the Senate to authorize a $4.6 billion cleanup of the nation’s 56,000 abandoned wells. Similar legislation has been introduced in the House.
Washington Examiner: Senate Democrats propose overhauling energy tax code to combat climate change
Senate Democrats are proposing to overhaul the energy tax code in favor of a trio of incentives based on emissions reductions in a move that environmentalists are lauding but Republicans say would disadvantage fossil fuels.
“The provisions of this bill that repeal an array of oil and natural gas tax deductions were written solely to undermine American production,” said Barry Russell, president and CEO of the Independent Petroleum Association of America, which represents independent and small oil and gas producers.
Some industry representatives are hoping the Biden administration will finalize EPA regulations that offer the industry flexibility on the technologies needed to monitor methane emissions and exempt low-producing wells from some requirements. The Obama-era rules had required the industry to use less-effective and more expensive technology to monitor for methane leaks, according to Lee Fuller, executive vice president of the Independent Petroleum Association of America. His members want the EPA to allow companies to use methane-specific sensor technologies that can find emission hot spots faster and more cheaply than optical sensors used under prior rules.
“It’s not whether you regulate, but when you regulate you target those regulations appropriately,” Fuller said.
S&P Global Platts: Listen: Independent US oil, gas drillers fight higher taxes, leasing ban
The White House and Democrats in Congress are looking at a number of ways to increase taxes and federal revenues from the oil and gas industry as part of their climate and clean energy agenda.
They’re looking at higher royalty rates on federal lands and eliminating deductions like intangible drilling costs and percentage depletion.
We spoke with Dan Naatz, executive vice president for the Independent Petroleum Association of America, about how his group is engaging on this issue. We also talked about where he sees the Interior Department’s leasing ban headed and the impact of Congress restoring Obama-era methane emissions.
Associated Press: Louisiana gov urges feds to resume offshore leases in months
When he asked whether the administration will commit to further leasing in the Gulf, Amanda Lefton, head of the Bureau of Offshore Energy Management, said only that an interim report will be out in early summer.
The Independent Petroleum Association of America focused on that exchange. Lepton “would not confirm that leasing will ever resume in the Gulf of Mexico,” its news release said.
“This uncertainty is stifling investment for offshore energy producers, hindering not just future wells but ongoing operations,” said Mallori Miller, the group’s vice president of governmental relations.
The Hill: Interior proposing revocation of Trump-era rollback on bird protections
Meanwhile, some industry players expressed disappointment that the Trump move would be undone.
“This is not a case of punishing ‘bad actors’ but rather a situation where companies are set up for failure,” said a statement from Mallori Miller, vice president of government relations for the Independent Petroleum Association of America.
S&P Global: 1st 100 Days: Interior sends ‘clear signal’ promoting wind, targeting oil, gas
The Independent Petroleum Association of America, however, is “very concerned that the temporary pause turns into a permanent ban,” said Dan Naatz, executive vice president.
Although drillers are operating on existing leases, Naatz said, they’re not able to start the long process of lining up all the pieces needed for new leases, which will create “a kink in the hose” months from now.
“You have to have a long horizon,” he said. “Sometimes from when you acquire a lease until you start exploration, not just production, can take years.”
Naatz said the regulatory uncertainty will drive some drillers away from federal lands and the offshore Gulf of Mexico altogether.
“It’s already difficult to operate on federal lands,” Naatz said. “But as you make those regulatory hurdles so much higher, it really is a concern that it will really slow down production and people will leave.”
New York Times: Senate to Reinstate Obama-Era Controls on Climate-Warming Methane
That prospect raises concerns for small, independent oil companies, which fear that new rules requiring companies to install methane-leak control technology could be accommodated by large companies but could saddle small companies with costs they cannot afford.
“Our issue is not with the need to manage emissions,” said Lee Fuller, executive vice president of the Independent Petroleum Association of America. “The biggest impact of regulating existing sources will inevitably fall on low-production wells. That’s where the magnitude of the impact’s going to fall. So the question is, what is it going to look like?”
Mr. Fuller said his group intended to spend the coming months making the case to the Biden administration that the next round of methane rules should offer customized policies that differentiate between the giant oil production farms of companies like Shell and Exxon and the small, two-or-three-well operations of independent wildcatters like his members.
“Our objective will be to try to make sure the regulatory process distinguishes between large and small wells with appropriate regulations for each,” he said.
NPR: Senate Votes To Restore Regulations On Climate-Warming Methane Emissions
“IPAA supports cost-effective methane emissions management under the Clean Air Act, but it believes that specific standards are needed for small businesses and low production wells,” says Lee Fuller, executive vice president of the Independent Petroleum Association of America. His group says some wells produce just a few barrels a day and could become unviable with stricter regulations.
The Center Square: There is a bipartisan moment for energy and climate this Earth Day
Op-ed by Jeff Eshelman, IPAA COO
Too often, the conventional wisdom is that we have to decide between a strong energy industry and solutions to address climate change.
That false choice couldn’t be further from the truth, and this Earth Day, let’s acknowledge that an innovative and robust energy sector is critical to finding solutions to our environmental challenges.
And each day, America’s oil and natural gas industry is putting that into practice.
The announcement drew scorn from state and industry officials, including the Independent Petroleum Association of America (IPAA).
“Public lands belong to all Americans, not just the anti-energy extreme activists,” said IPAA COO Jeffrey Eshelman. “These lands provide not only American energy, recreation and grazing, but are also one of the nation’s largest revenue resources.”
E&E Energywire: Interior: Oil leasing freeze will continue into summer
The continuation of the leasing freeze fueled existing industry outrage that the Biden administration is throttling drillers and intending a more severe ban on oil and gas activity in the future.
“This action will put jobs on the line,” said Mallori Miller, vice president of government relations for the Independent Petroleum Association of America.
…
The pause on new sales has angered many in the oil and gas industry and incensed its allies in politics. The news that it will last through June stirred up fears about what the program review will bring.
Miller said the Biden administration was evading a legal obligation and causing regulatory uncertainty for companies with rights to develop resources on public lands.
“It is unfortunate that the federal government has chosen not to uphold its most basic responsibility and provide the certainty that is needed,” she said.
Law 360: Advocates ask EPA to regulate methane, ethane emissions
The Center for Biological Diversity and hundreds of other environmental groups petitioned the U.S. Environmental Protection Agency to regulate methane and ethane emissions for their contribution to ozone, arguing that oil and gas production are worsening a health hazard. The EPA said it will review and respond to the petition. VOCs and nitrogen oxides are considered ozone precursors and regulated in part via state implementation plans aimed at reducing ozone pollution and through permitting.
Jennifer Pett, a spokesperson for the Independent Petroleum Association of America, said independent oil and gas producers support “voluntary efforts by industry to reduce methane emissions.” Pett said that VOC regulations imposed on natural gas and oil production facilities “also capture methane emissions.”
On his first day in office, Biden ordered the EPA to write comprehensive standards for curbing methane leaks from existing oil and gas infrastructure by September.
Lee Fuller, executive vice president of the Independent Petroleum Association of America (IPAA), which represents smaller oil and gas producers, said his group recognizes “the importance of environmentally sound, cost-effective regulations” to manage methane but cautioned against overburdening existing well operators. “It’s IPAA’s view that any regulatory actions should recognize the differences between these existing small operations and newly built large facilities,” he said.
Rigzone: Oil groups react to Haaland Senate confirmation
Commenting on the confirmation, Independent Petroleum Association of America (IPAA) President and Chief Executive Officer Barry Russell said, “we were pleased that in her confirmation hearings now-Secretary Haaland reiterated the importance of oil and natural gas and the multiple use mandate given to the Department of the Interior by Congress to manage the federal estate”.
“In the coming days and weeks as the department reaches President Biden’s 60-day freeze on leasing and permitting on federal lands, we hope Secretary Haaland and her team consider the perspectives of the independent oil and natural gas producers working and living in the communities where natural gas and oil production are the backbone of the economy, and the role they play in both providing energy for Americans and lowering our country’s environmental footprint,” Russell added.
Associated Press: President Biden: ‘We can’t wait any longer’ to address climate crisis
Oil industry groups said Biden had already eliminated thousands of oil and gas jobs by killing the Keystone XL oil pipeline on his first day in office.
“Do not be fooled, this is a ban” on drilling, said Dan Naatz of the Independent Petroleum Association of America. ”The Biden administration’s plan to obliterate the jobs of American oil and gas explorers and producers has been on clear display.”
Argus: Biden to halt most federal oil, gas leasing
Industry groups say a leasing ban will disrupt economic activity and create billion-dollar budget gaps in states like New Mexico, Colorado and Wyoming, where federal production has boomed over the last decade. Even a temporary leasing ban might have long-term effects, as operators shift investment budgets or lose the advance time necessary to acquire drilling permits.
“It is not like renting a car. There is a lot of work that goes in ahead of time,” Independent Petroleum Association of America government relations senior vice president Dan Naatz said.
Acting Interior Secretary Scott de la Vega issued a memo dated Wednesday suspending for 60 days any new permits, leases, easements and land management related to mineral production for a “targeted and time-limited” review of “relevant decisions at the Department of the Interior.”
Dan Naatz, Independent Petroleum Association of America senior vice president of government relations and political affairs, called the order “a misguided proposal that will decimate jobs and economic development” in U.S. communities while boosting foreign producers.
Bloomberg: Biden Poised to Freeze Oil and Coal Leasing on Federal Land
Oil industry advocates argue that drilling blockades do nothing to stifle emissions — just shift that crude production elsewhere. “The world is still going to need natural gas and oil under any scenario for a long time,” said Dan Naatz, senior vice president with the Independent Petroleum Association of America. “A leasing ban is just going to ship that production to Saudi Arabia, to Russia, where there are far less stringent environmental controls.”
Associated Press: Biden’s climate steps could have big impact on energy firms
But Biden may extend the methane regulations to older wells. That worries independent producers, especially those that operate “stripper wells” that produce just a barrel or two of oil a day, that the expense of controlling methane leaks could put them out of business.
“We are very concerned about, especially for our members, our independent producers, that if there’s a heavy Washington-bound approach that handcuffs the industry from finding solutions to this methane question, that would be a mistake,” said Dan Naatz of the Independent Petroleum Association of America.
Argus: Biden under pressure to quickly regulate methane
Oil industry officials, in contrast, say the incoming administration should carefully weigh the complexities of regulating methane under the Clean Air Act, before rolling out standards they say might eventually require operators to retrofit more than 1mn existing oil and gas facilities with emission controls.
“No one really knows how that would work in an oil and gas production world,” Independent Petroleum Association of America executive vice president Lee Fuller said.
…
But oil industry officials say they want EPA to incorporate lessons learned over the past four years into any regulations, such as new equipment that can detect methane at lower cost and data on methane from marginal wells. Industry officials say an ongoing two-track litigation process over Trump’s rollback of the methane rules might slow down Biden’s timeline for action.
“I do not know that they can, in fact, step as quickly as they might like to step to pursue those rules,”Fuller said.
Midland Reporter-Telegram: Crude price hits nine-month high above $46
Jeff Eshelman, senior vice president of operations and public affairs with the Independent Petroleum Association of America, told the Reporter-Telegram by email, “For the oil and natural gas production industry, optimism around a vaccine is obviously a huge positive.
“A healthy natural gas and oil industry is good for America — bolstering the economy and national security. Increased natural gas production has also benefited our environment — making America a leader in global emission reductions and providing the nation with its cleanest air in 20 years,” he said. “United States’ dominance in oil production has made us the envy of nations — reducing our reliance on foreign and unstable countries, while reducing our trade deficit and helping our world allies.
“Sweeping lockdowns in the spring aimed to stop the spread of COVID-19 contributed to crashing oil prices. The dramatic fall in prices resulted in our member companies seeking a pathway to recovery,” Eshelman said. “The industry lost more than 100,000 jobs between March and August. Our optimism is cautious though, but producers and consumers, alike, should continue to seek policies that always provide access to affordable, reliable American energy.”
Natural Gas Week: Hopeful Yet Wary: Gas’ Mixed Emotions on Biden
Grappling with Biden’s proposal to ban new oil and gas leasing and permitting within federal areas is a chief priority for the Independent Petroleum Association of America (IPAA), whose members include many mid-cap gas producers. It’s unclear how quickly and strictly the ban would be applied, but producers are hopeful there’s room for discussion.
For one, a Biden administration would need to contend with legal issues. These include terms of the Mineral Leasing Act that provide a framework for energy development to be part of the multiuse strategy for federal lands, said Lee Fuller, IPAA’s executive vice president.
“It’s a regulatory structure,” he added. “Decisions have to go through the Administrative Procedure Act process, and those decisions get tested in litigation.”
Washington Examiner: Oil and gas group charts course to engage with green investors
The Independent Petroleum Association of America, which represents thousands of small- and medium-sized oil and gas producers, recently launched an ESG Center focused on environmental, social, and governance metrics that investors are increasingly applying when deciding where to put their money.
The value of global assets applying ESG to their decision-making has nearly doubled over the last four years, now up to $40.5 trillion this year, IPAA said in a fact sheet about its new ESG Center, citing data from Opimas.
“If you go back five years, this wasn’t even really something that anyone was talking about,” said Mallori Miller, IPAA’s vice president of government relations. “Now, it’s something that everyone’s talking about.”
Financial Times: Oil and gas lobby moves to embrace green investors
The Independent Petroleum Association of America has launched “The ESG Center,” which will advise companies on “how to build an authentic and effective programme” in the ESG agenda sweeping the fund management industry.
The association’s thousands of members include large oil companies and family owners of low-volume wells. Financing for the sector has become scarce as banks pledge to reduce carbon emissions in loan portfolios and fund managers such as BlackRock make climate risk central to the process of picking investments.
Natural Gas Intelligence: Court Rejects Obama-Era Methane Rule on Oil, Natural Gas Leases
The venting and flaring rule “wildly overstepped the authority given to the Department of the Interior,” said IPAA president Barry Russell. “This rule, which aimed to regulate venting and flaring, was an attempt to create yet another regulatory hurdle for American oil and natural gas producers operating on federal lands.
“We are pleased to see Skavdahl’s sensible approach and rightfully see this as a win for producers.”
Washington Post: Trump administration scraps limits on methane leaks at oil and gas sites
IPAA’s executive vice president of government relations, Lee Fuller, said the changes will help smaller oil and gas companies that are fighting for survival during the economic downturn and resulting oil glut.
“Those small businesses would be the people who would be served well by changes because it would allow them to keep in operation and not be pressed to shut down because of the regulatory cost,” he said.
New York Times: Trump Eliminates Major Methane Rule, Even as Leaks Are Worsening
But smaller, independent oil companies supported the rule as a measure of relief when many are struggling to stay afloat. Those companies also point out that existing E.P.A. regulations still require them to regulate a separate but related category of gases, volatile organic compounds, and that those curbs have the side benefit of averting some methane emissions.
“This doesn’t shift the regulatory burden – we’re still going to have the same requirements” for any new wells that are drilled in the future, said Lee Fuller, a vice president at the Independent Petroleum Association of America, which represents smaller oil and gas companies.
But lifting the methane rule does avert a far more stringent future obligation on small oil and gas companies: If the rule had stayed in place, it eventually could have required companies to repair and retrofit thousands of older existing wells – a far costlier undertaking.
It is that requirement that terrifies small oil and gas drillers, said Mr. Fuller. “To compel it to apply to existing wells is too expensive. It would drive them out of business.”
Bloomberg: Trump eases methane monitoring rules for oil and gas operators
The oil industry is fragmented over the plan. Small operators argue the extra costs of methane leak detection can eat into already tight cash flows and force some wells to be shut down. “These small business wells are a very different economic entity than the big wells they designed the original program for,” said Lee Fuller, executive vice president of the Independent Petroleum Association of America.
Washington Post: Few oil and gas companies are grabbing for the Fed’s Main Street lifeline
The program has been hounded for months by a slow rollout. And crucially, private banks need to participate to make the program work.
But so far, few banks seem willing to do so. “The fact that the banks weren’t that interested in it quelled some of the interest from oil and gas companies,” said Lee Fuller, vice president of government relations at the Independent Petroleum Association of America, which represents small and midsize oil and gas companies.
Washington Examiner: EPA to peel back Obama methane controls
The Environmental Protection Agency is poised to eliminate direct regulation of methane from oil and gas operations formally Thursday, teeing up a clash with big oil majors who had pressed the administration to keep the regulations intact. Smaller operators, however, have said they can’t absorb the costs of methane regulations. The oil and gas sector is a “food chain industry,” and the regulatory burden would fall on the smallest producers, which tend to operate the lowest production wells,” said Lee Fuller, executive vice president of the Independent Petroleum Association of America. Fuller also said operations in most large oil and gas producing states, including the entire state of Pennsylvania, for example, would still be covered under VOC-only regulations, even if rules don’t directly curb methane.
The U.S. Chamber Institute for Legal Reform has released a new series of videos and interviews with Louisianans about how the state’s extensive lawsuit environment has impacted their lives. “Faces of Lawsuit Abuse,” a multi-part video series called “Louisiana: The Lawsuit Paradise,” provides an in-depth look at “how lawsuits threaten to ruin the state of Louisiana’s economy.” “Plaintiffs’ attorneys, with the help of some powerful allies in government, have waged a seven-year litigation campaign against the Louisiana oil and natural gas industry,” says Energy In Depth (EID), a research program of the Independent Petroleum Association of America. So far, these attorneys have filed 43 lawsuits on behalf of local governments blaming the industry for coastal erosion.
The Obama-era regulation had also been challenged in federal court, but that Dan Brouillette, who grew up in Louisiana, is no stranger to the oil and gas industry. The Secretary of Energy, who took the helm of the federal agency in December after serving as the deputy secretary of energy for two years, said he remembers a time when deepwater drilling meant reaching a depth of 200 to 300 feet under water. Today, offshore companies can hit a depth of 5,000 feet and drill horizontally for a couple of miles. Brouillette last month met with several independent energy company CEOs to hear how the industry was weathering the economic fallout from the coronavirus pandemic and a glut of cheap crude. The meeting, which took place in downtown Houston, was organized by the Independent Petroleum Association of America.
S&P Global: Fight over oil, gas methane oversight continues, even after court ruling
The Obama-era regulation had also been challenged in federal court, but that challenge got put on hold pending the California federal court’s decision. Now, several western states — North Dakota, Texas, Wyoming and Montana — have filed a motion to resume the industry’s challenge to the Obama-era rule in the U.S. District Court for the District of Wyoming.
In the July 20 motion, the states wrote that counsel for the Western Energy Alliance and the Independent Petroleum Association of America supported the motion, while counsel for the federal government did not offer a response to their inquiry.
The Independent Petroleum Association of America said it has been working with legislators to ensure the industry was not excluded from participating in lending programs such as PPP.
“Countless other small businesses like contractors, hotels, and restaurants rely on a functioning energy industry,” said Jennifer Pett, spokeswoman for IPAA. “Radical proposals to exclude oil and natural gas from COVID-19 relief are surefire ways to ensure we won’t have the energy and materials needed to combat this pandemic.”
Pett said many oil and natural gas companies are also producing the personal protective equipment that frontline workers are relying on to keep them safe. It’s why energy workers have been declared “essential” by both Democratic and Republican governors around the country.
Midland Reporter Telegram: Ernst & Young reviews energy’s status at mid-year
Impairments by drilling and oilfield service companies exceeded the peak seen during the last downturn in 2014-2016, Listen said, with most service companies pressured by declining drilling plans and pressure by clients to cut prices.
What are known as goodwill impairments, especially in the upstream and downstream sectors, are largely because of acquisitions made in recent years, he said.
A quick survey of those participating in the online discussion – presented in partnership with the Independent Petroleum Association of America – indicated that most believe industry impairments peaked in the first quarter of the year.
The National Law Review: PHMSA Issues Proposed Rules for Gas Pipeline Regulatory Reform
On June 9, 2020, the Pipeline and Hazardous Materials Safety Administration (“PHMSA”) issued a Notice of Proposed Rulemaking (“NOPR”) to revise the Federal Pipeline Safety Regulations (“Regulations”) to reduce regulatory burdens associated with construction, operation, and maintenance of the gas pipeline systems. …
In response to the NOPR, the West Virginia Independent Oil & Gas Association, the Pennsylvania Independent Oil & Gas Association, the Independent Petroleum Association of America, and many oil and gas producers have filed comments discussing the positive and negative attributes of the NOPR.
Reuters: Trump revamps key environmental law in bid to fast track pipelines, roads
Energy and other industry groups applauded the changes.
“The new rule updates … regulations by reducing unnecessary paperwork, setting timelines for environmental reviews and reduces frivolous litigation efforts designed to simply stall or delay vital infrastructure projects,” said Independent Petroleum Association of America President Barry Russell.
Argus: US seeks to speed permits by limiting reviews
The overhaul aims to simplify reviews under the National Environmental Policy Act (NEPA) so that federal permitting of pipelines and other projects could be done within two years. …
Oil groups cheered the overhaul. The changes are “desperately needed,” American Petroleum Institute president Mike Sommers said, and would “make sure that job-creating infrastructure projects get off the drawing board and into development.” Independent Petroleum Association of American president Barry Russell said the revisions would provide “needed certainty” to businesses.
Wall Street Journal: Universities Cut Oil Investments as Student Activism Builds
The Independent Petroleum Association of America, a trade group, has launched a media campaign against divestment, arguing that it would cost U.S. pensions as much as $431 million in losses annually.
E&E News: 2 oil states split on methane as EPA halts rule
Energy companies have launched a slate of voluntary initiatives in response to demands that they take more seriously the threat of climate change. Some companies and lobby groups like API and the Independent Petroleum Association of America have insisted these voluntary efforts are enough to rein in methane when coupled with scaled-back regulations like EPA’s coming rule for volatile organic compounds.
Argus: US oil groups push new wastewater disposal options
Oil and gas should be regulated the same as nearly 60 other industrial categories that are allowed to discharge wastewater this way, they say.
“We see no science-based rationale for why the upstream onshore oil and gas industry should be regulated any differently,” the American Petroleum Institute, the Independent Petroleum Association of America and other industry groups said 27 June in comments on an EPA draft study issued earlier this year.
E&E News: States test new climate strategies in Big Oil showdowns
Industry groups say the latest batch of climate cases is part of a coordinated campaign to target oil and gas interests.
Organizations like the Independent Petroleum Association of America and Energy Policy Advocates have long decried climate liability lawsuits as politically motivated. They say states bring lawsuits to influence climate policy in the courts, even though that work should be done in other branches of government.
Washington Post: Oil industry lobbies to relax bank lending guidelines due to pandemic
“We’re mainly trying to say: The train is moving out of the station. Let’s make sure that there isn’t a car at the back of the train that no one is paying attention to that could derail it,” Lee Fuller, executive vice president at the Independent Petroleum Association of America (IPAA), the trade organization spearheading the lobbying effort, said in an interview.
Hart Energy: Eyeing Recovery: Oil Sector Trends Indicate Improvement
North American operators have cut capex by 42% to $58.6 billion, the rig count has plummeted to less than 300, wells have been shut-in and production has slowed as OPEC+ and others removed millions of barrels of oil from the market amid the continuing global pandemic.
WTI fell from more than $61/bbl in January to -$37.63 in late April, rising to about $40/bbl in June.
“While this felt like a lot of chaos, it actually was the market functioning very well,” Bernadette Johnson, vice president of market intelligence for Enverus, said during a June 24 webinar hosted by the Independent Petroleum Association of America.
Albany Times Union: Letter: Leave divestment decisions to financial experts
Divestment is an extremely costly and complicated process, imposing new costs for funds while losing out on the opportunity to invest in the energy companies driving our world forward. There is a reason New York has ignored and rejected divestment time and again: While costing the state immensely in transaction and management fees and taking wide swaths of companies off the table for investment, the move does nothing to help the environment or address climate change. Let’s leave financial decisions to the experts, not political activists.
Washington Examiner: Fate of oil market tied to the virus
Frederick Lawrence, an economist with the Independent Petroleum Association of America, said he is also bearish about supply factors. Last week saw an unexpected buildup of crude stocks, a continued signal of a glut in the market.
OPEC+ extended its production cuts through July, but Saudi Arabia and other Gulf Coast countries are not continuing additional voluntary reductions beyond this month. More U.S. wells are coming back online after prices rose from the depths of their fall.
“Producers have quite a tightrope to walk given all the uncertainties and variables in play,” Lawrence told Josh. “The system is fragile and oil will continue to be volatile.”
Washington Post: Federal Reserve’s changes to lending program could be boon to hurting oil companies
Lee Fuller, executive vice president of the Independent Petroleum Association of America (IPAA), expressed cautious optimism at the Fed’s announcement, noting that private banks still need to sign off on any of the Fed-backed loans.
“We’re gathering that access may depend on the lender and vary bank to bank,” he said. “While these recent changes appear to make the scope of the program broader, the ultimate key will be the participation of lenders.”
Reuters: ConocoPhillips CEO Says Surprised by Swift Recovery in Oil Prices
ConocoPhillips Chief Executive Officer Ryan Lance on Wednesday expressed surprise at the quick rebound in U.S. oil prices that slipped into the negative territory in April and said he expects prices to remain volatile in the near term.
“We were surprised it came back this strong this quickly,” Lance said on a webinar hosted by the Independent Petroleum Association of America.
Supply and demand are likely to be difficult to balance, resulting in temporary overhangs on both sides as oil and gas producers, refiners and consumers begin to lift fuel production and usage, ConocoPhillips CEO Ryan Lance said during an Independent Petroleum Association of America webcast.
“The question now is how fast does it (production) come back, and does demand pick up quickly enough that we don’t see continued builds in storage,” Lance said in a one-on-one discussion of current energy landscape perspectives with webcast moderator Jordan Horoschak, the managing director of CIBC Capital Markets.
Rigzone: Texas energy extern training goes virtual
The Independent Petroleum Association of America (IPAA) and Petroleum Equipment and Services (PESA) are not letting unprecedented market conditions and pandemic-related physical office restrictions prevent them from offering their annual professional development and job shadowing program for Texas high school and college students.
Rigzone: Orphan well stimulus would employ displaced workers
An executive with the Independent Petroleum Association of America (IPAA), an upstream trade association, told Rigzone the issue of orphan wells has been a longstanding concern of the organization and its member companies.
“IPAA believes that it would be useful to have a sound orphan well program to help the drilling industry maintain employment through these tough times,” said IPAA Executive Vice President Lee Fuller. “It should be a program operated by the states because they have the skills to be able to run it. And, it should be endorsed by the IOGCC which is comprised of the oil-producing states.”
Fuller added that IPAA encourages congressional leaders to continue exploring the idea of a federally funded orphan well program and a workable solution to address the matter.
E&E News: Rough economy, Trump rollbacks could hike methane emissions
Tough times for the oil and gas industry, combined with a rollback of environmental regulations, could hinder U.S. efforts to reduce methane emissions and fight climate change, experts warn. But companies opposed to such a rule and lobbying groups like the American Petroleum Institute and the Independent Petroleum Association of America have long held that the Obama rules were duplicative and unnecessary, as producers already have a business incentive to avoid waste. “What company wouldn’t want to preserve their product?” said Nicole Jacobs of Energy in Depth, a project of IPAA, which supports the rollback. “First and foremost, natural gas is a commodity, and if it’s leaking, that’s money going out the door.”
Politico Pro: White House takes foot off gas on oil industry aid
The Trump administration’s plans to offer aid to oil companies at risk of collapsing appear to be waning now that free-fall in crude prices has stopped, according to industry officials. It’s not clear how such a lending program would work for insolvent companies — such firms are barred from the existing Fed programs. While the industry is hopeful, it’s not yet clear whether tweaks to the Fed’s Main Street lending program will provide much help to mid-size oil and gas companies, said Lee Fuller, vice president of government relations with the Independent Petroleum Association of America. Gauging those results will be key for determining whether more aid is needed, he said, but there’s no data since the program hasn’t yet begun.
E&E News: Is gas really better than coal for the climate?
A recent study by the Environmental Defense Fund found that 3.7% of natural gas produced in the Permian Basin leaked into the atmosphere. Energy In Depth, a project of the Independent Petroleum Association of America, has questioned EDF’s use of “technology warming potential” (TWP), the environmental group’s metric for measuring the climate impact of one technology versus another. Nicole Jacobs, a spokeswoman for the Independent Petroleum Association of America, pointed to other peer-reviewed studies that found leakage rates of between 5-9% were needed to negate gas’s advantage over coal. “EDF’s use of TWP is an outlier in the scientific community to the extent that I don’t think it’s even an available option in [life cycle assessment] calculating software,” Jacobs said in an email.
Axios: Debate taking place among oil producers over extent of aid required
Mike Sommers, who represents API, with more than 600 members, said broader emergency loan programs Congress has already created to help a range of troubled companies are sufficient for oil producers, too. Lee Fuller of the Independent Petroleum Association of America, which represents smaller and more U.S.-based producers, said his group would support a specific program if that’s what it would take. “We have a lot more companies in our membership that have been facing these struggles than perhaps API does,” Fuller said. “We’re trying to make sure they’re getting a fair shot.”
Reuters: A week of turmoil for crude, and more pain to come
The magnitude of how damaged the energy industry is came into full view on April 20 when the benchmark price of U.S. oil futures, which had never dropped below $10 a barrel in its nearly 40-year history, plunged to a previously unthinkable minus $38 a barrel. “What happened in the futures contract the other day indicated things are starting to get bad earlier than expected,” said Frederick Lawrence, vice president of economics and international affairs at the Independent Petroleum Association of America. “People are getting notices from pipeline companies that say they can’t take their crude anymore. That means you’re shutting down the well yesterday.”
Bloomberg: Administration weighs support options for oil and gas industry
The Independent Petroleum Association of America wants the Fed to permit oil companies to use loans under the Main Street program to pay off existing debt coming due amid the crisis. In a letter to Powell, IPAA president Barry Russell said that change would provide a “bridge to recovery for businesses that would have otherwise been able to meet their debt obligations, were it not for the virus.” Administration officials have indicated they are receptive to changes. “We are working very closely together to ensure all the folks in the producing community have access to those types of loans, that type of liquidity,” Energy Secretary Dan Brouillette said during a Tuesday interview on Bloomberg Television.
Rigzone: Survey shows energy job security concern
A newly released University of Houston (UH)-led survey of energy workers concludes that more than half – 53 percent – of respondents are worried about their job security given the dual threat of the COVID-19 pandemic and the sharp drop in oil prices. Some additional results from the study, which UH conducted with the Petroleum Equipment and Services Association (PESA), Pink Petro and the Independent Petroleum Association of America (IPAA), include: 83 percent agree that their company had provided “fast and efficient” technology for working remotely during the pandemic, 71 percent credit their supervisor for working effectively with employees to overcome work-family challenges arising from COViD-19, 47 percent expressed optimism about the long-term health of the energy industry.
E&E News: Judge upholds Trump’s repeal of Obama-era fracking rule
The fossil fuel industry scored a win Friday after a federal judge upheld the Trump administration’s rescission of an Obama-era rule governing oil and gas extraction on public lands. U.S. District Court for the District of Northern California Judge Haywood Gilliam said states and environmental groups had not shown that the repeal of the 2015 hydraulic fracturing rule had or would result in harm, since the rule had not yet gone into effect. “The Court agrees with Federal Defendants that allegations of past injuries are not sufficient to show actual or imminent injury,” Gilliam wrote. “Although Citizen Group Plaintiffs argue that the removal of these protections increases the risk of harm to members’ drinking supply, this only points to a hypothetical, future injury.” The Obama-appointed judge noted his narrow mandate in reviewing the decision to repeal the Obama-era rule. He said his role was not to determine whether he would have found the administration’s argument compelling if “reviewing from scratch.” “The Court’s task is not to decide whether the changes the Federal Defendants seek to make will result in better or worse environmental policy,” he said. “Those policy questions are the province of Congress and the administrative agencies, and policy changes inevitably result when new decisionmakers take office. “In other words, ‘[e]lections have policy consequences.'” The Independent Petroleum Association of America praised the court’s decision. “IPAA launched the initial challenge to the Obama-Era rule with the belief that the law would be on our side and the initial rule would be overturned,” IPAA President and CEO Barry Russell said in a statement. “Today, we are pleased to come full circle as the Trump rescission rule is upheld and independent producers will not be forced to comply with costly and duplicative rules while operating on federal lands,” Russell said.
Bloomberg: Reviving Obama methane rule would cause chaos, Industry says
Oil and gas industry groups are warning a federal judge that reviving Obama-era standards for methane emissions on public lands would cause “regulatory chaos.” The Western Energy Alliance and Independent Petroleum Association of America made the argument Wednesday in a brief to the U.S. District Court for the Northern District of California. Judge Yvonne Gonzalez Rogers is weighing whether to strike down the 2018 regulation from the Trump administration that largely eliminated Obama-era requirements from the Bureau of Land Management.
E&E News: Why isn’t the Ivy League divesting?
Dozens of U.S. universities have yanked fossil fuel investments from their endowments amid mounting student and faculty pressure to act on climate change. But fund managers at America’s elite Ivy League schools have avoided ditching shares in carbon-intensive coal, oil and natural gas companies. The fossil fuel industry has pushed back against divestment efforts. The Independent Petroleum Association of America runs a platform called Divestment Facts that contradicts divestment activist claims and highlights anti-divestment voices on campus. “When schools decide to divest, the financial hit their endowments take is both significant and ongoing — having a very real impact on these institutions’ ability to support critical student, faculty and academic programs,” the website says. Nearly all the blog posts are focused on Ivy League campus divestment campaigns, and among these, Harvard takes center stage.
Houston Chronicle: In Democratic primary, fossil-fuel bans rule — even for centrists
Environmentalists believe the Democratic Party has finally turned a corner, willing to take drastic action on climate change. Oil and gas lobbyists, however, view the bans as typical campaign pledges in a competitive Democratic primary, likely to be softened or disappear altogether ahead of November’s general election.
Not that they’re willing to count on that and are preparing to make their case to the eventual Democratic nominee that the economic disruption caused by scaling back drilling would far outweigh the environmental benefits
“We need to have a conversation about the impacts on everyday Americans’ lives,” said Naatz of the Independent Petroleum Association of America said. “We need to make sure policy makers really understand what you’re really talking about when you talk about a ban on hydraulic fracturing.”
Oil & Gas Journal: Oil and gas groups see promise in regulatory changes
Upcoming regulatory changes from the Trump administration far outweigh the relatively modest legislative initiatives that might affect the oil and gas industry in 2020, trade association executives tell Oil & Gas Journal.
Carlsbad Current Argus: Barry Russell Op-Ed – “National environmental policy act updates are needed”
The Trump Administration recently announced efforts to make critically needed revisions to the National Environmental Policy Act (NEPA). These common-sense revisions are long overdue and vitally important. NEPA was signed into law by President Nixon in 1970. Modernizing NEPA will benefit the economy, the environment and untangle delays that have been hindering needed investment in energy projects around the nation. The Independent Petroleum Association of America (IPAA) and the thousands of oil and natural gas explorers we represent commend the Trump Administration for taking this much-needed action…
Houston Chronicle: Trump rolls back environmental reviews, in boon to pipelines
Federal environmental reviews for pipelines, oil and gas drilling and a long list of other federally-regulated projects would be scaled back under a sweeping proposal released by the Trump administration Thursday, including the end of a requirement that federal regulators consider the implications for climate change. The proposed change to the National Environmental Policy Act, would require federal agencies, with few exceptions, to complete their environmental review within two years, dramatically speeding up a review process that can currently drag out up to a decade, experts said.
“We are certainly optimistic that the presumptive time limits can be met,” said Mallori Miller, vice president of government relations at the Independent Petroleum Association of America.
Natural Gas Intelligence: NEPA Revamp Could Ease Oversight, Speed Natural Gas and Oil Infrastructure
The Independent Petroleum Association of America (IPAA), which represents independent producers that develop 91% of U.S. gas and oil wells, hailed the potential overhaul.
“IPAA is pleased that the administration continues to tackle substantial projects, such as their effort to return the NEPA process to the original intent and scope of the law,” Senior Vice President Dan Naatz said. He oversees government relations and political affairs.
“Although IPAA and our members recognize the important role NEPA plays in public land policy, for many years we have seen the law being abused by environmentalists with extreme agendas to delay and halt various multiple-use activities on federal lands, including oil and gas production,” Naatz said.
Inside Higher Ed: Does fiduciary duty prevent fossil fuel divestment?
Calls for divestment are forcing colleges and universities to navigate a difficult space between students’ concerns and administrators’ fiduciary duty to prudently manage endowments. It’s a difficult spot because no firm consensus exists about whether fossil fuel divestment hurts endowment returns in higher education.
One 2015 paper commissioned and funded by the Independent Petroleum Association of America estimated fossil fuel divestment could cost Harvard more than $100 million per year. A new working paper being presented at the Association of American Law Schools annual meeting seeks to fill in some of the gaps. The main takeaway is that college leaders worried that divesting from fossil fuels will hurt their endowment returns might want to hold off on reaching a final verdict.
Natural Gas Intelligence: Dozens of industry groups call for NEPA modernization
More than 30 groups representing a wide swath of U.S. industry, including the American Gas Association, American Petroleum Institute, Independent Petroleum Association of America and the U.S. Chamber of Commerce, have called on the White House’s Council on Environmental Quality (CEQ) to issue updates on the National Environmental Policy Act (NEPA).
“We fully support the fundamental goals of NEPA to appropriately consider the potential environmental impacts of certain federal actions,” the groups said in a letter to CEQ Friday. “However, CEQ regulations guiding NEPA processes have not been comprehensively updated in nearly four decades. During this time, securing approval for projects and land management decisions has become hampered by unreasonable costs and long project delays. It is time to modernize NEPA processes.”
S&P Global Platts: US oil drillers face growing issue of water disposal
For every barrel of oil produced from the average Permian Basin well, about three barrels of water get pumped out with it. The water-to-oil ratio is lowest in the established Midland Basin, but more exaggerated in the Delaware and other Texas basins. Most of the water gets injected back underground into disposal wells, although more and more is getting treated and moved to other drilling sites to frack new wells.
Permian oil producers want to get a better handle on produced water before it becomes a crisis, said Karr Ingham, a petroleum economist and executive vice president of the Texas Alliance of Energy Producers.
The group recently published a study with the Independent Petroleum Association of America containing a series of recommendations for improving the outlook for produced water management.
BIC Magazine: EPA’s proposed regulations update to save industry millions
The EPA has proposed updates to the prior administration’s national standards for the oil and natural gas industry. The proposal would remove regulatory duplication and save the industry millions of dollars in compliance costs each year, while maintaining health and environmental regulations on oil and gas sources that the agency considers appropriate.
In response to EPA’s draft revisions to the NSPS for the oil and gas sector, Independent Petroleum Association of America Executive Vice President Lee Fuller said, “IPAA endorses the change because it would be far more cost-effective with regard to the breadth of emissions sources. IPAA has consistently believed and recommended that a VOC-based program is an appropriate pathway for regulating natural gas and oil production emissions. American producers are committed to managing their greenhouse gas emissions and continue to invest in the development of new technologies to mitigate and reduce emissions. These actions have and will continue to reduce methane emissions from natural gas and oil production operations.”
S&P Global Platts: US oil producers brace for White House policy shift, eye moving operations
Democrats are still months from naming a candidate in next year’s US presidential campaign, but oil producers are already preparing for a policy change which could disrupt nearly one-quarter of daily crude oil output and throw thousands of federal leases into legal limbo.
“It’s a significant hit,” said Dan Naatz, a senior vice president with the Independent Petroleum Association of America. “We think it’s a mistake on several different levels.” All 17 Democratic presidential candidates have pushed some policy aimed at slowing US oil output, which the US Energy Information Administration forecasts will average a record of nearly 13.4 million b/d by the end of 2020, up more than 40% in just four years.
Free Beacon: Fracking Ban Proposed By 2020 Dems Would Kill Millions of Jobs
A proposed fracking ban put forward by leading Democratic presidential candidates would have a devastating impact on U.S. jobs, energy independence, and even national security, according to several studies. Reports from the American Petroleum Institute, Independent Petroleum Association of America, and U.S. Chamber of Commerce painted a stark picture of the economic fallout from ending fracking, a process which has transformed the United States into the top oil and natural gas producer in the world.
Sen. Elizabeth Warren (D., Mass.), Sen. Bernie Sanders (I., Vt.), and Sen. Kamala Harris (D., Calif.) are among eight remaining 2020 candidates who have called for an all-out ban on fracking, despite the fact that the drilling method has put the United States on a path to energy independence. The practice has also led to cleaner energy alternatives and lower carbon emissions, a key goal of climate change activists.
Wall Street Journal: Cal divestment announcement will harm current, future students
Climate change and college affordability are said to be the top political issues for young Americans. But what happens when they have to choose between the two? The University of California apparently wants to find out.
The system said last week that its $13.4 billion endowment will sell all fossil-fuel assets by the end of September, and its $70 billion pension fund will soon do the same. Divestment is costly, said Arizona State University finance professor Hendrik Bessembinder in a 2016 report commissioned by the Independent Petroleum Association of America. Selling off illiquid long-term assets is expensive, and university endowments would have to scrap investments in mutual funds or commingled funds that have fossil-fuel holdings.
Politico: Democrats split from Obama playbook with aggressive climate plans
Democratic White House hopefuls are rolling out aggressive climate change plans that show a sharp break from former President Barack Obama by seeking to prohibit new fossil fuel production on federal lands. Federal land is one of few areas where an administration can shift energy development in a major way without relying on action from Congress. Fossil fuels from lands under the federal government’s control accounted for about one-quarter of U.S. carbon dioxide emissions between 2005 and 2014, according to the U.S. Geological Survey. It’s also a cash cow: revenues from federal oil and gas output topped $8 billion in 2018, according to the Office of Natural Resources Revenue.
Flexing agency discretion in those ways can make it “very difficult” to operate on federal land, said Dan Naatz, senior vice president of government relations and political affairs with the Independent Petroleum Association of America. “It certainly has us concerned,” he said. “We’ve got our work cut out for us.”
S&P Global Platts: EPA’s proposed rollback of methane regulations to impact marginal oil, gas wells
Analysts said Thursday that the direct impact on US oil and gas production from the rollback was unclear, but an estimated 770,000 low-production wells were at risk of shutdown due to the relatively high costs of methane emissions requirements, according Lee Fuller, an executive vice president with the Independent Petroleum Association of America.
“The impact is more related to the premature loss of existing production,” Fuller said Thursday.
Marginal wells, also known as stripper wells, are characterized as producing no more than 15 boe/d over a 12-month period. These wells are often located outside the nation’s more prolific shale plays and account for roughly 10% of US oil production and 11% of US gas production, according to the US Energy Information Administration’s latest data.
Associated Press: Politics of climate change put corporations in tough spot
There are 770,000 small wells with low production rates, and together they produce about 10% of oil and 11% of natural gas in the U.S., said Lee Fuller, executive vice president of the Independent Petroleum Association of America. These producers wouldn’t be able to afford the technology required by Obama rules, Fuller said.
“We don’t believe you should be shutting down those small wells when there’s not an emissions pool there that’s that large,” he said.
Washington Post: Trump administration to relax restrictions on methane, a powerful greenhouse gas
Smaller operators, however, had lobbied the administration to lift the requirements. Lee Fuller, a vice president at the Independent Petroleum Association of America, said in an interview that the Obama rule had “made it really onerous on small businesses.”
Wall Street Journal: Trump Rollback of Methane Regulations Splits Energy Industry
The Independent Petroleum Association of America endorsed the Trump administration’s decision, noting that companies would still be subject to regulation of traditional pollution sources from oil-and-gas facilities.
For smaller companies, particularly those operating older, low-producing wells, the cost of the regulations would be significant, IPAA Executive Vice President Lee Fuller said. An average, low-producing natural gas well in Pennsylvania might earn only $9 a day, after expenses, he said. The IPAA estimates the regulatory cost for such a well could be as much as $10 a day.
E&E News: EPA proposes scrapping Obama-era methane rules
That could be a boon for small producers with wells that produce 15 or fewer barrels of oil per day and that account for 770,000 of 1 million existing sources, according to the Independent Petroleum Association of America. IPAA maintains the regulation poses a heavy financial burden to these producers (Greenwire, Aug. 12).
In a statement, IPAA praised the EPA proposals, saying a combination of state-level rules and existing guidelines for oil and gas in ozone nonattainment areas provide better alternatives for regulating older, smaller wells.
Natural Gas Intelligence: EPA Proposes Nixing Obama-Era Oil, Natural Gas Methane Emission Rules
The proposals are in addition to a September 2018 technical action that proposed targeted improvements to help streamline implementation, reduce duplication of EPA and state requirements, and decrease unnecessary burdens on energy producers, EPA said.
Several industry groups were supportive of the EPA proposals.
The Independent Petroleum Association of America (IPAA) endorsed the changes “because it would be far more cost effective with regard to the breadth of emissions sources,” according to Lee Fuller, executive vice president. “IPAA has consistently believed and recommended that a VOC-based program is the appropriate pathway for regulating natural gas and oil production emissions.”
Bloomberg: Trump’s EPA to Propose Retreat on Methane Rules at Oil Wells
The measure, which could be finalized next year, responds to concerns by some independent oil producers that without action, the EPA could be forced to impose similar requirements on a million existing oil and gas wells. But it comes against the wishes of several global oil companies, which have implored the Trump administration to maintain methane mandates and continue regulating the potent greenhouse gas.
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Supporters of the measure say the Obama administration went too far in deciding to specifically regulate methane, rather than focusing on paring conventional pollution from oil and gas infrastructure. The Independent Petroleum Association of America also argues the expense and challenge of plugging leaks on some decades-old, low-producing wells could force some companies to shut in production at the sites.
Houston Chronicle: EPA proposes rollback of methane regulations
But for smaller oil companies, many of which count fewer than a dozen employees, the requirement that they inspect individual wells with infrared cameras is too onerous, said Lee Fuller, vice president of government affairs at the Independent Petroleum Association of America.
Most affected are so-called stripper wells, which produce less than 10 barrels of crude a day and make up about 80 percent of U.S. wells, he added.
“[Obama’s rule] threatens to shut down all those wells,” Fuller said, “ and that’s clearly been the goal of the environmental community through this process.”
Bloomberg: Oil, Gas Royalty Hike to Be Explored, House Democrats Say
State environmental reviews are generally much less costly, said Dan Naatz, senior vice president of government relations and political affairs at the Independent Petroleum Association of America.
Moreover, federal lands tend to be more remote and harder to access than state lands, raising the costs of production still further, Naatz said.
A higher federal rate would mean fewer jobs and less government revenue, he said.
“Either our members would stop producing or reduce production and look to go to state and private lands,” Naatz said. “In many states, like Wyoming, which is 50% federally owned, it’s really hard to operate in just a pure private or state play. If you keep adding additional hurdles, and companies don’t produce on those lands, eventually they’ll become non-productive.”
Houston Chronicle: Oil donors shy on Trump’s 2020 campaign, for now
“Not to say we won’t get to the right spot, but trade is front and center and continues to raise issues for the industry on the macro level,” said Dan Naatz, senior vice president of government relations at the Independent Petroleum Association of America. “Part of it is it’s still early. Once you see who the Democratic candidate is, you’ll see some more enthusiasm.”
Hart Energy: Earthstone Energy CEO Actively Looking To Be Permian Consolidator
The CEO of Earthstone Energy Inc. was up-front about his intentions at the Leaders in Industry Luncheon held at the Petroleum Club of Houston on Aug. 14: Earthstone is actively looking for deals ranging from acquisitions and trades to business combinations.
“I’m going to blatantly conduct a commercial here and tell you that we’re looking for deals and are open for business,” Lodzinski told attendees of the luncheon hosted monthly by the Independent Petroleum Association of America and the Texas Independent Producers and Royalty Owners Association.
E&E News: EPA may roll back methane rules. Will states fill the gap?
The Independent Petroleum Association of America, which has urged EPA to roll back its methane standards, argues that the Clean Air Act’s requirements for New Source Performance Standards were intended to provide a “floor” for pollution levels. The states each have their own legal framework, but it’s better than having a one-size-fits-all requirement from the federal government, said Lee Fuller, the group’s executive vice president.
Bloomberg: Trump Plans to End Methane Curbs That Oil Companies Want to Keep
“It changes the scope, from our industry, from a rule that’s dealing with 15,000 to 40,000 new sources a year to the million existing wells that are out there,” some 770,000 of which are low-producing sites, said Lee Fuller, executive vice president of the Independent Petroleum Association of America.
Imposing rigid requirements to frequently detect and repair leaks at those low-production wells, would be “a huge cost burden,” potentially eclipsing gross income from the sites, Fuller said. “It would shut in production at a lot of these wells.”
E&E News: Small producers push EPA to gut Obama methane agenda
EPA is expected to come out with a draft rule in the coming weeks to replace the Obama 2016 New Source Performance Standards for oil and gas drilling.
Lee Fuller, vice president of government relations at the Independent Petroleum Association of America, sees a clear chance to address regulatory requirements put in motion by the Obama rule, which he warned would have led to high regulatory costs for hundreds of thousands of low-production wells scattered across the country.
E&E News: New oil and gas rule may ignore methane
Lee Fuller, executive vice president for the Independent Petroleum Association of America, told E&E News that he, too, thought EPA could issue separate rules for different segments of the supply chain. But he left open the possibility that the agency might regulate some of those for methane.
For example, EPA could chose to regulate exploration and production and gas processing for VOCs only, he said. Transmission and storage could be regulated separately — perhaps for methane and VOCs.
He said the more targeted rule might be more effective.
Inside EPA: Environmentalists Push Back Against Plan To Weaken Methane NSPS
The comments offer additional criticism of half a dozen studies or reports that environmentalists cited in their own comments in defense of the need for strong methane limits.
“Each of these items present highly inaccurate and questionable assessments and present them with strident evangelical certainty that vastly overstates their accuracy and value,” IPAA states.
E&E News: Oil industry to Trump: Don’t put tariffs on critical mineral
Similarly, the Independent Petroleum Association of America asserted last year that the fluids are essential for production and make up as much as 10% of the overall cost of a well.
“No alternative or substitute for barite exists in the drilling process,” wrote Lee Fuller, executive vice president of the trade group.
The industry would have no choice but to continue to import barite with or without tariffs, spiking the cost of American energy production, he added.
USA TODAY: ‘A moral imperative:’ AOC, Bernie Sanders call for climate emergency declaration
Jeff Eshelman, a spokesman for the Independent Petroleum Association of America which represents smaller oil and gas producers, said the backers of the climate emergency resolution should not be “demonizing” the industry.
“Thanks to increased natural gas production and use, the United States has a reliable, affordable energy supply which has resulted in record-high emission reductions and some of the world’s cleanest air,” he said. “Most nations envy the benefits of these American resources; it’s a shame this group of Democrats does not.”
Mallori Miller, senior director of government relations for the Independent Petroleum Association of America, said in an email that the comment period is a vital step for the BLM to solicit feedback from local officials and other interested parties.
“It is up to the BLM to determine next steps in the process and which parcels they find consistent with characteristics for development, not industry nor environmental groups,” Miller said.
Oil & Gas Journal: Proposed pipeline safety reauthorization raises penalties
The Natural Gas Council—which has the American Petroleum Institute, Independent Petroleum Association of America, American Gas Association, Natural Gas Supply Association, INGAA, and AOPL as members—said in a statement that the recommendations were timely in helping the US gas industry, and the federal, state, and local government entities which regulate it, continue to keep operations safe, timely, and reliable.
The Shawnee News-Star: OIPA-OKOGA members help with U.S. oil and natural gas dominance
The report, conducted by IHS Markit and commissioned by the Independent Petroleum Association of America (IPAA), concludes that in Oklahoma alone, producers saw oil production grow by over 17 percent to almost 500,000 barrels per day (bbls/d) from 2016 to 2018, with production expected to reach 650,000 bbls/d by 2025.
Daily Energy Insider: Study examines independent oil, gas production
An Independent Petroleum Association of America (IPAA) commissioned study maintains independent oil and natural gas producers are dominating domestic energy markets.
The analysis, conducted by the business analytics group IHS Markit, showed independent producers accounted for 83 percent of the nation’s oil production and 90 percent of its natural gas and natural gas liquids (NGL) production.
Rigzone: Independents Dominate US Energy Markets
Independent oil and gas companies dominate U.S. energy markets, contributing 83 percent of the country’s oil output and 90 percent of domestic natural gas and natural gas liquids (NGL) production.
Those are two findings in a new Independent Petroleum Association of America (IPAA)-funded study performed by IHS Markit. The report, “The Economic Contribution of Independent Operators in the United States,” also concludes that independents drill 91 percent of the country’s oil and gas wells.
Midland Reporter-Telegram: IPAA: Industry has seen gains despite ‘politics of chaos’
An official with the Independent Petroleum Association of America recently addressed the challenges stemming from the current environment in the nation’s capital.
Dan Naatz, IPAA senior vice president, government relations and political affairs, listed congressional inertia, leadership in flux and White House instability, even the question of whether political parties still matter, as contributing to uncertainty.
“The whole dynamic has changed,” he told the audience at the Permian Basin Environmental Regulatory Seminar, which was Thursday at the Advanced Technology Center.
E&E News: Interior overhauls blowout prevention rule
Most of the tweaks will align federal regulations with the American Petroleum Institute’s blowout prevention standards.
“The changes in the new rule allow for producers to be nimbler, with more adaptive guidelines based on the most up-to-date insights and innovative technology,” said Independent Petroleum Association of America President Barry Russell.
Oil & Gas Journal: BSEE issues revised blowout preventer, new well control system rules
Independent Petroleum Association of America Pres. Barry Russell said, “The BSEE revisions to the Obama-era well control rule are common sense and will go far to increase the safety of all those who work in the offshore. The changes in the new rule allow for producers to be nimbler, with more adaptive guidelines based on the most up-to-date insights and innovative technology in the offshore exploration and development field.”
New York Times: Interior Dept. Loosens Offshore-Drilling Safety Rules
In the final rule, the Interior Department noted that the changes were expected to save the oil industry about $824 million over 10 years.
“The changes in the new rule allow for producers to be nimbler, with more adaptive guidelines based on the most up-to-date insights and innovative technology,” said Barry Russell, chief executive of the Independent Petroleum Association of America.
Politico Morning Energy: Beetle Mania
The Fish and Wildlife Service proposed Wednesday downlisting the American burying beetle under the Endangered Species Act — a decision the oil and gas industry cheered. Since listing the species as endangered in 1989, the FWS has “made some positive steps forward,” said Southwest Regional Director Amy Lueders.
“This status change is welcome news to those that have been in limbo awaiting a decision on the listing from USFWS,” said Dan Naatz, Independent Petroleum Association of America senior vice president of government relations and political affairs.
E&E News: FWS proposes downlisting beetle in win for oil industry
In 2015, groups including the Independent Petroleum Association of America and the Texas Public Policy Foundation petitioned FWS to delist the beetle (Greenwire, Sept. 4, 2018).
Doug Domenech, the former director of the Fueling Freedom Project at the Texas Public Policy Foundation, is now the Trump administration’s assistant secretary of Interior for insular affairs. Susan Combs, now awaiting confirmation as another assistant Interior secretary, was a visiting senior fellow at the Texas foundation.
“Many land development, agriculture, transportation, and pipeline or utility operations are delayed or restricted due to the presence of the beetle,” the 2015 petition stated, adding that it “caused issues with the development of the Keystone XL Pipeline” (Greenwire, Sept. 1, 2017).
The American Stewards of Liberty, Independent Petroleum Association of America and Osage Producers Association subsequently sued FWS in 2016 to compel action.
Bloomberg: Trump Seeks to Downgrade Protection for Endangered Beetle
The proposal was cheered by oil industry interests that have pushed the government to strip the beetle’s Endangered Species Act protections. Dan Naatz, senior vice president at the Independent Petroleum Association of America, called the move “welcome news to those that have been in limbo” waiting for a decision.
“Since 1989, the beetle’s listing has been met with criticism for failing to provide the science-based evidence that ESA listings warrant,” Naatz said. “The beetle’s listing was rooted in faulty assumptions about the species’ range, distribution and abundance.”
Wall Street Journal: Trump’s Offshore Oil-Drilling Plan Sidelined Indefinitely
That hasn’t stopped industry trade groups in Washington from supporting the plan in hopes of increasing their options.
Dan Naatz, senior vice president of government relations and political affairs at the Independent Petroleum Association of America, said a court decision shouldn’t bring the government’s work to a halt. “We’re hopeful that the Interior Department will remain committed to the regulatory process,” he said.
Environmentalist have long criticized the oil and gas industry for the release of methane and other volatile organic compounds (VOCs) through the process of venting the gas or burning it off during flaring.
But new research published this week by Energy in Depth – a project devised by the Independent Petroleum Association of America showed declines in two of the most active oil and gas basins in America.
Dallas Business Journal: What a difference a day makes: Inside last week’s M&A activity in Texas
Austin Elam, a newly minted partner at Haynes and Boone in Houston, spoke about drillcos’ rise and mechanics last week at a luncheon in Houston hosted by the Independent Petroleum Association of America.
“Equity markets remain quiet, and with borrowing bases not rising, there’s not a lot of liquidity in the market,” he said.
Bloomberg: N.Y. to Safeguard Pension Fund From Climate Change
Matt Dempsey, a spokesman for Divestment Facts, a project of the Independent Petroleum Association of America, took the opposite view.
“Comptroller DiNapoli has repeatedly rejected empty calls to divest, placing his fiduciary duty to New York’s retirees over a costly, ineffective political gesture,” Dempsey said in a statement. “Recent academic reports find divestment would impose losses on the fund ranging from $136 million to $198 million per year—the equivalent to eliminating the average annual benefit of over 8,500 retirees —while doing nothing to support the environment. Next steps for New York remain to be seen, but today’s report is another clear indicator that blanket divestment is not a solution.”
Associated Press: Warren has new plan for fossil fuel leasing on public lands
Dan Naatz, senior vice president at the Independent Petroleum Association of America, warned that Warren’s proposal to end new fossil fuel leases on public lands “would damage our economy and negatively impact job growth in communities” nationwide.
“The royalties, rental fees and bonus bid revenues” from leasing, Naatz said in a statement, “which are evenly split between the federal government and the states where the development occurred, play a vital role in the state and local economies of states and tribal communities.”
Hobbs News-Sun: Hobbs Middle School students exposed to their options in science and oil and gas
On Friday, Fisher’s class was the recipients of visitors from OXY’s Hobbs office, the IPAA/PESA Energy Education Center and EVERFI. The IPAA is the Independent Petroleum Association of America and PESA is the Petroleum Equipment and Services Association. Both are partnered with EVERFI, which is involved in increased STEM education in America’s schools. They created a middle school program on STEM career exploration that interested Fisher.
Law 360: 10th Circ. Vaporizes Green Groups’ Methane Rule Appeal
The Western Energy Alliance and the Independent Petroleum Association of
America, which filed the initial challenge to the Obama-era rule, had asked the appeals court to vacate that rule, called the waste prevention rule, completely.
Rigzone: Industry Reaction to Trump’s Executive Orders
Several industry associations have reacted positively to President Donald Trump’s executive orders signed yesterday, which make it harder for states to block pipelines and other energy projects.
The Independent Petroleum Association of America (IPAA) welcomed Trump’s actions, with IPAA Executive Vice President Lee Fuller stating in an organization release that the IPAA “consistently has supported development of much needed infrastructure to transport America’s oil and natural gas resources to consumers”.
Fuller added that the IPAA supports, in particular, the aspect of the executive orders that calls on the Environmental Protection Agency to update the interim 2010 guidance over permitting under Section 401 of the Clean Water Act (CWA).
“This guidance, overdue for updating, has allowed for implementation of the CWA in a manner inconsistent with the statute and to inhibit projects that are clearly in interstate commerce,” Fuller continued.
Inside Sources: Energy Industry Pleased by Trump Executive Order Expediting Pipeline Approval
Both the energy industry and organized labor greeted the news with enthusiasm. The Independent Petroleum Association of America specifically praised the order addressing the EPA’s enforcement of the Clean Water Act, saying that a 2010 rule change allowed states “to inhibit projects that are clearly in interstate commerce.” Meanwhile, unions expressed their support for a move that will doubtless create more jobs.
Industry groups came out in favor of the president’s executive orders Wednesday, arguing alongside conservative politicians that the Clean Water Act provision had been undermined due to previous interpretation.
“This guidance, overdue for updating, has allowed for implementation of the CWA in a manner inconsistent with the statute and to inhibit projects that are clearly in interstate commerce,” Lee Fuller, executive vice president of the Independent Petroleum Association of America, said in a statement.
CNBC: Opening Bell, April 8, 2019
Ringing today’s opening bells are Trex Company with President and CEO Jim Cline at the NYSE and Independent Petroleum Association of America with President and CEO Barry Russell at the Nasdaq.
Houston Chronicle: U.S. energy official warns Europe of ‘over reliance’ on Russian gas
Federal lawmakers and industry groups including the Independent Petroleum Association of America and American Petroleum Institute have been urging Trump to fill the three vacancies at FERC quickly since the agency lost the quorum it needs to make major decisions in February.
Oil & Gas Journal: Trump nominates Bernhardt to Interior secretary post
Leaders of two major oil and gas trade associations applauded the president’s Feb. 4 action. “Bernhardt knows the department well and understands the integral role that [Interior] plays in oil and gas development, both onshore and offshore,” Independent Petroleum Association of America Pres. Barry Russell said.
“As a westerner, Bernhardt is familiar with western lands and how by statute [Interior] manages public lands and waters with multiple use policies that balance conservation, recreational opportunities, job-creating economic activities, and safe, responsible energy development,” Russell said.
Argus Media: Crude Summit: SocGen weighs oil market impacts
Lee Fuller, executive vice president of the Independent Petroleum Association of America (IPAA), said that Congressional deadlock between Democrats and Republicans has empowered President Donald Trump to move forward with a pro-industry agenda.
The Trump administration’s push to roll back environmental and other industry regulations enacted by previous administrations are “a good sign, but the reality is that is hard to do,” because Trump’s regulation changes will be litigated, he said.
Houston Chronicle: Dems, green groups tell Interior to halt oil leasing during shutdown
“American companies who operate in the offshore invest hundreds of millions of dollars in projects and need certainty to see these projects through,” said Mallori Miller, senior director of government relations at the Independent Petroleum Association of America. “Preventing business as usual from continuing over a political fight that has nothing to do with our industry doesn’t help anyone.”
Houston Chronicle: Shutdown leaves oil and gas unscathed, but for how long?
“It’s that uncertainty that can really cast a long shadow as you’re trying to make investments, especially for our smaller companies,” Naatz said. “We hope the White House and Congress – all this is above our pay grade – but we hope they will take action and the shutdown will be resolved soon.”
…“We would like to see all these regulatory issues settled before the presidential election. We don’t know what’s going to happen and the timeline is getting more and more compressed,” said Lee Fuller, executive vice President of government relations at the Independent Petroleum Association of America. “There’s no clear path. The litigation is going to be fairly extensive and complex.”
Associated Press: Outgoing Interior secretary Ryan Zinke defends his legacy as he leaves office
Despite the Democrats’ newfound power in Washington after taking control of the House of Representatives, industry representatives said Zinke’s impact will be lasting. That’s because they involved agency regulations rather than Congressional action and came at the order of Trump, said Dan Naatz, vice president of government relations for the Independent Petroleum Association of America.
“Although Secretary Zinke was effective at what he was doing, the policy really came from the president,” Naatz said. “We don’t expect any major changes.”
The Hill: Zinke’s drilling agenda to outlast tenure
“I think that’s really the most important legacy that Secretary Zinke will have, is moving back to that multiple use concept on areas of federal land designed for multiple use,” said Dan Naatz, senior vice president of government relations and political affairs at the Independent Petroleum Association of America.
“Largely BLM lands are areas that are available for energy production and also available for recreation and agriculture. Our frustration with the Obama administration was they moved much more toward a single-use philosophy, and much to the detriment of our members who wanted to use those areas for oil and gas production,” he said.
E&E News: U.S. nabs net exporter title
Responding to the new data, a spokeswoman for the Independent Petroleum Association of America stressed their implications for economic security. “America’s recent success in developing domestic oil resources – and exporting them – have ensured that no single nation, or cartel, can hold hostage energy consumers and that the marketplace should work freely.”
S&P Global Platts: Fossil fuel foes cheer Zinke’s exit from Interior, but worry about successor
Dan Naatz, senior vice president of government relations and political affairs for the Independent Petroleum Association of America, said in a statement that Zinke should be congratulated for recognizing the important role onshore and offshore federal lands play in the future of energy in America. That and other policy efforts to support Trump’s vision of “energy dominance” in the U.S. would likely continue if Bernhardt is Zinke’s successor.
“Federal lands, by law, are designated for multiple use,” Naatz said. “That can be recreation, hunting, mining, or energy production. We’re confident that David Bernhardt expertly recognizes and will continue to uphold this law of the land for every American citizen, in his current or any future executive branch position.”
Politico Morning Energy: ENERGY CELEBRATES BUSH’S LIFE
Both energy industry and environmental groups mourned the loss of former President George H.W. Bush, who died Friday at the age of 94. Bush was a former member of the Independent Petroleum Association of America, whose President and CEO Barry Russell said Bush “defined the characteristics of the great men and women who encompass our industry – hardworking, entrepreneurial, optimistic, and patriotic.”
S&P Global Platts: Industry advocates: steel quotas could harm US energy producers
Jeff Eshelman, a spokesman for the Independent Petroleum Association of America, agreed that imposing quotas on imported steel would be much more damaging to the independent exploration and production industry than applying tariffs to the materials.
While tariffs increase the price of imported products, quotas limit the volumes of goods that countries can export to the US, he said in an interview with Platts on Wednesday.
Midland Reporter-Telegram: Hearst Energy Awards honor area’s economic engine
The Independent Petroleum Association of America, which received the Industry Advocacy Award, is about to celebrate 90 years of representing the independent producers that drill 95 percent of the nation’s oil and gas wells.
Jeff Eshelman, IPAA’s senior vice president, operations and public affairs, said it is an honor to advocate for an independent energy industry that is relied upon by every American for energy to power, heat and cool homes, businesses and factories and that fuels the economy.
Midland Reporter-Telegram: Hearst Energy Award for Industry Advocacy
For 90 years of supporting the independent energy industry, the IPAA is receiving the Hearst Energy Award for Industry Advocacy.
Founded in 1929, “the mission of IPAA is to ensure a strong, viable American oil and natural gas industry, recognizing that an adequate and secure supply of energy is essential to the national economy,” Eshelman said. “Today, through hard work not only in oil fields across America but in the nation’s capital, we are achieving this mission. Our nation now leads the world in oil and natural gas production.”
Houston Chronicle: In Washington, politics around oil, climate change in flux
Lee Fuller, executive vice president of the Independent Petroleum Association of America, which represents smaller oil and gas producers, said Democrats undoubtedly will come under pressure from their constituencies to take action against climate change and rein in oil and gas development. But, he added, “How many other things do they want to pursue and how much time do they have?
“I think we’re going to have to see it sort out over the next several month. There’s people who want to spend all their time impeaching Trump.”
Natural Gas Intelligence: NatGas Pipeline Security Defended, Challenging Coal, Nuke Bailout
The Natural Gas Council, whose members include the American Gas Association, American Petroleum Institute, Interstate Natural Gas Association of America, Independent Petroleum Association of America and Natural Gas Supply Association, said the report is aimed at providing “insight for policymakers” into the oil and gas industry’s “comprehensive” cybersecurity programs.
Natural Gas Intelligence: GOP Attempting to Hold Senate, Control Committees
Minority Leader Chuck Schumer (D-NY) has a 10% voting record on IPAA’s priority legislation,” spokesman Jeff Eshelman told NGI. “That’s a stark contrast to the priorities of the current GOP leadership…The workload of a Democratic House and Senate majority would focus less on producing good energy policies, but more so on investigations and oversight — not only on the oil and gas industry, but also most affiliated industries up and down the supply chain, from power plants, to utilities to manufacturing.”
Houston Chronicle: Energy trade groups partner on Texas water research project
As the massive volumes of water pumped into oil and gas wells continues to increase, energy trade groups said Wednesday they’re partnering on a new research project to assess to issue.
The Texas Alliance of Energy Producers and the Independent Petroleum Association of America are starting a new joint effort on a study called “Sustainable Produced Water Policy, Regulatory Framework and Management in the Texas Oil and Gas Industry: 2019 and Beyond.”
Crain’s News York Business: Op-Ed: Drill down and fossil-fuel divestment comes up costly
Divestment proponents want state and city leaders to put their money where their mouth is and give up fossil-fuel investments, but to do so ignores reality. Divestment is a high-cost, ineffective means of supporting the environment. It’s time divestment activists and government leaders focus on solutions and not another empty promise with a hefty price tag.
Washington Examiner: Op-Ed: Good riddance to Obama’s gas flaring rule
The release of the Bureau of Land Management’s waste prevention rule, also known as the BLM venting and flaring rule, is welcome news for the future of energy development and environmental protection. Oil-producing states’ economies are also set to benefit.
Despite this, some members of Congress were quick to bash the new rule…
S&P Global Platts: Rollback of methane rules expected to buoy US marginal wells
Operators of even productive marginal wells may make only $50/d in revenue after taxes and royalties, making them severely at risk for negative impacts of relatively costly regulation, according to Lee Fuller, an executive vice president with the Independent Petroleum Association of America. Federal methane rules, such as one requiring a $100,000 flare camera and hiring trained operators, likely would have shut-in the majority of these marginal wells.
“The costs were enough to take a productive well from plus money to minus money,” Fuller said.
IPAA President and CEO Barry Russell also applauded the Department of the the Interior’s release of the revised BLM rule.
“As environmental stewards and businessmen and women who live in the communities where they work, IPAA member companies strive to explore for and produce as much American oil and natural gas as possible, while always being mindful of the need to protect public lands and the environment,” Russell said. “The Trump Administration’s rule recognizes this fact and acknowledges the cost burden placed on companies that work and explore on federal lands.”
The Wall Street Journal: EPA Announces Proposal to Roll Back Obama-Era Rules on Methane Emissions
The Environmental Protection Agency’s proposed changes give drillers more time both between inspections and to repair leaks when they happen, according to the proposal. Industry groups had said the Obama-era requirements were overly burdensome and unrealistic. “For too long, the federal bureaucracy has buried our industry in unnecessary and often duplicative red-tape,” Barry Russell, the head of the Independent Petroleum Association of America, said in a statement.
North American Shale: Oil and gas industry backs EPA’s proposed fix to 2016 regulations
The U.S. Environmental Protection Agency on Tuesday issued proposed improvements to the 2016 New Source Performance Standards for the oil and gas industry. The agency said its targeted improvements would “streamline implementation, reduce duplicative EPA and state requirements and significantly decrease unnecessary burdens on domestic energy producers.” Barry Russell, president and CEO of the Independent Petroleum Association of America (IPAA), said, “This proposal not only reassures America’s continued path toward global energy leadership, but also continues to protect the environment and communities where energy production is located. It is important for the states to play an important role in decisions that affect their citizens, industries and natural resources.”
Washington Examiner: Op-Ed: When bad weather has struck, natural gas has been reliable
Although each event affected the nations’ power grids differently, there was one consistent result: The natural gas system continued to serve regional grids reliably throughout each one. A review of performance in Florida, the Gulf Coast and northeastern states during and after these three weather events was recently published by analytics expert RBN Energy, on behalf of the Natural Gas Council. RBN found that natural gas convincingly and consistently rose to the challenge of each event. In fact, the system performed remarkably.
Natural Gas Intelligence: IPAA Urges White House to Modify Steel Import Trade Policies
As the oil and gas industry grapples with tariffs on imported steel and a byzantine process for bypassing them, the Independent Petroleum Association of America (IPAA) urged the Trump administration to “understand and address” the unintended consequences of both actions, especially the increased burden on the industry’s small businesses.
In a four-page fact sheet updated last month, IPAA argued that the administration’s 25% tariff on steel imports, in effect since March, have caused prices for domestically produced oil country tubular goods (OCTG) and line pipe (LP) to increase.
Lobbyists for industries working around the species argue that its range has ballooned 100-fold since getting federal protection and that the beetles are able to be raised in captivity for reintroduction into the wild. “The [Fish and Wildlife] Service should be expending its time on imperiled species,” Sam McDonald, the director of government relations for the Independent Petroleum Association of America, told The Washington Post by email. “The American burying beetle isn’t one of them.”
Oil & Gas Facilities: US Steel Tariff Exclusion Process Leaves Trail of Confusion
With 6 months having passed since US President Donald Trump announced his intention to impose a 25% tariff on steel imports, the oil and gas industry is still trying to figure out their footing in a newly developing economic reality. The tariffs and import quotas imposed on exporting countries have upped the project costs, and the process by which companies can apply for exclusions for specific steel products has been criticized as opaque, confusing, and slow.
E&E News: Here’s how Trump’s ‘greatest’ tariffs can hike emissions
Industry, though, questions whether domestic suppliers will manufacture the type of steel it needs. “The steel industry will say we can make the steel and then the exclusion is denied, but I don’t know if anyone has figured out whether they can make all the steel that is requested in all the exclusions,” IPAA Executive Vice President Lee Fuller said.
FOX News: Sweeping changes proposed for Endangered Species Act
A spokesperson for the Independent Petroleum Association of America said the group is optimistic that the changes would “continue to promote the conservation of protected species and their habitats…” and give their members “the flexibility and business certainty needed for the safe and responsible development of America’s public lands.”
Oil & Gas Journal: Oil industry groups welcome proposals to change parts of the ESA
A spokesman for the Independent Petroleum Association of America told OGJ: “We’re optimistic that these modest improvements to the ESA will continue to promote the conservation of protected species and their habitats, while allowing our member companies the flexibility and business certainty needed for the safe and responsible development of America’s public lands.”
Several past IPAA Chairmen of the Board are mentioned in this opinion piece on the importance of oil and natural gas industry trade associations and the desire of these leaders to serve and give back to an industry in which they have spent their lives and built their companies.
Western Wire: Western Caucus Introduces Bipartisan Package Of Bills Aimed To Reform, Update ESA
The Independent Petroleum Association of America’s (IPAA) Sam McDonald told the hearing that, “At its original passage, the ESA received much fanfare and virtually no opposition. However, since that time, it has evolved into one of the most litigious statutes on the books.”
Argus Media: Some oil companies get waivers to US steel tariffs
Industry officials say the administration’s efforts to establish import quotas for specific countries are even more concerning than the tariffs. “What I am most concerned about is a quota that would come in and prevent me from buying the pipe,” Independent Petroleum Association of America vice president Lee Fuller said.
Midland Reporter-Telegram: Steel tariffs could halt energy dominance strategy
“We, like every other industry, are very concerned about the use of steel tariffs and their impact on trade and retaliation from other countries,” Lee Fuller, executive vice president with IPAA, said in a phone interview. But of greater concern is quotas established by the negotiation of bilateral agreements with other countries to curb imports and remove the tariffs, he said.
E&E News: Trump asked OPEC for more oil. His allies say that’s weird
Oil is priced globally. Increased U.S. production has had an effect on moderating prices, but it likely can’t make a sizable dent on its own, said Frederick Lawrence, vice president of economics and international affairs with IPAA. Many of President Trump’s supporters work in fuel-intensive industries and are more sensitive to gas price spikes, Lawrence said. But he predicted that the market will “cool down” after summer’s peak driving season. That could alleviate voter anxiety as fall elections roll around.
Reuters: U.S. energy, agricultural and plastics firms gird for next round of tariffs to drop
Lee Fuller, a vice president at oil and gas trade group Independent Petroleum Association of America, said it is requesting the administration “look at better alternatives than they have so far.” The IPAA favors granting more tariff exclusions to products not typically made in the United States, including certain specialty steel used in oil drilling.
Daily Energy Insider: IPAA lauds committee for bills regarding gas development on public lands
The Independent Petroleum Association of America (IPAA) praised the House Committee on Natural Resources for easing regulations related to oil and natural gas development on public lands. IPAA represents independent producers that develop 90 percent of America’s oil and natural gas wells.
Morning Consult: Small U.S. Oil Producers Face Own ‘Growing Pains’ Outside of OPEC’s Output Decision
When members of the Organization of the Petroleum Exporting Countries and their partners meet and likely ease their oil output caps, there’s one group of energy stakeholders that won’t be watching too closely: small American oil exploration and production companies. Frederick Lawrence, vice president of economics and international affairs at the Independent Petroleum Association of America, said the United States has its own “growing pains” and problems independent of OPEC.
Western Wire: House Natural Resources Committee Advances Bill To Streamline Oil And Gas Permitting
Ahead of the hearing, the Independent Petroleum Association of America (IPAA) sent a letter to Committee Chairman Rob Bishop (R-Utah) expressing its support of the bills under consideration that they call “common-sense onshore regulatory reform bills.”
Houston Chronicle: As Trump talks down oil prices, industry shrugs
Pipeline capacity to move oil to Gulf Coast refineries and export hubs remains woefully short, driving the U.S. benchmark West Texas Intermediate to $10 below the international benchmark, Brent crude. Frederick Lawrence, vice president of economics and international affairs at the Independent Petroleum Association of America, said the two benchmarks were not moving in unison as they once did. If Brent slides, that doesn’t mean WTI will.
The Wall Street Journal: Trump’s Steel Tariffs Could Mess With Texas
Up to half of the specialized pipe and tubular steel products that the industry relies on are imported, according to the Independent Petroleum Association of America—meaning energy companies will need to suck up nearly the entire 25% price increase, absent any tariff exemptions.
E&E News: Court refuses to reboot full Obama methane rule
The Independent Petroleum Association of America and Western Energy Alliance — along with Wyoming, Montana, Texas and North Dakota — have long opposed the regulation as a costly overreach by Obama officials. The Trump administration is working on a rewrite that would erase many of the safeguards.
Samantha McDonald, director of government relations for the Independent Petroleum Association of America, told the approximately 125 at the conference the IPAA is monitoring several issues, from methane emissions regulations to the Bureau of Land Management’s venting and flaring rules to Waters Of The U.S. to the North American Free Trade Agreement to possible steel tariffs.
Daily Energy Insider: IPAA, industry groups call on DoE to avoid using emergency authorities
The Independent Petroleum Association of America (IPAA) urged U.S. Secretary of Energy Rick Perry on Thursday to refrain from imposing U.S. Department of Energy (DoE) emergency authorities that would provide support to a particular class of power plants.
Casper Star-Tribune: Iran decision not expected to shake up Wyoming oilmen
The implications of renewed sanctions on this market are hard to pinpoint… U.S. shale players are already chugging away in a market full of complications. “We are exporting more. We are more of a global player. We are increasing production like rarely seen before. We are stepping in.” said Frederick Lawrence, vice president of economics and international affairs for IPAA.
Oil & Gas Journal: IPAA official applauds BSEE’s proposed offshore well control reforms
“IPAA is pleased to see BSEE is taking a closer look at the technically-flawed Well Control Rule, which missed the mark on improving the safety of America’s offshore oil and gas operations,” Daniel T. Naatz, IPAA’s senior vice-president of government relations and political affairs, said.
The Hill: Opinion – We can protect wildlife without holding industry hostage
Let’s be clear, the overly strict enforcement of incidental take against American industry under MBTA is about hamstringing vital economic development and energy production, MBTA applies to direct take, writes Samantha McDonald, director of government relations for IPAA.
E&E News: A Texas lizard lands back in ESA thicket
“Unfortunately, the tactics of environmental groups [remain] the same, attempting to use the Endangered Species Act to advance an anti-hydrocarbon agenda and halt meaningful business development at the expense of American taxpayers,” said Samantha McDonald, the Independent Petroleum Association of America’s director of government relations.
The Daily Sentinel: Nearly 500K comment on methane-rule change
“We were pleased to see workable changes are being considered to the rule that more accurately represent the scope of power and authority given to the BLM for regulating this type of activity,” IPAA official Dan Naatz said in a news release. “… We hope to work with the Trump administration toward a final rule that properly addresses waste prevention, while protecting American jobs, reducing unnecessary regulatory burdens, and ensuring continued economic growth.”
POLITICO Morning Energy: A Methane to the Madness
“We were pleased to see workable changes are being considered to the rule that more accurately represent the scope of power and authority given to the BLM for regulating this type of activity,” IPAA’s Dan Naatz said in a statement.
E&E News: BLM accepts last batch of comments on Obama rule rollback
“We welcome the opportunity to talk about reasonable development of oil and natural gas resources on federal lands,” said IPAA Senior Vice President of Government Relations and Political Affairs Dan Naatz. “We need to make sure, as we always have, that these activities are designed to protect the environment.”
Associated Press: Obama-Era Clean-Air Rule on Methane Emissions Blocked Again
Dan Naatz, vice president of government affairs for the Independent Petroleum Association of America, cheered the latest court decision. “A new rule is coming out,” he said. “The agency is taking comments on it now.” Trying to enforce Obama-era rule in the meantime would only cause confusion, he added.
E&E News: Methane whiplash: Enviros prep appeal as court ices rule
Dan Naatz, who handles government affairs for the Independent Petroleum Association of America, says a federal court in Wyoming’s decision to halt core parts of the Bureau of Land Management’s methane venting and flaring rule is commonsense. “Not only are our members not able to comply, the agency is not ready to try to tackle all this.”
Argus Media: US rebuffs oil sector push for broad tariff exclusions
A product exemption granted for one company will not automatically transfer to other companies, Commerce said, unless the agency approves a broad exclusion. This creates the risk that small oil and gas companies will “bear the brunt of the increased costs” because they lack the resources to file tariff exemption paperwork, the Independent Petroleum Association of America said.
“If the application process is on a per-product basis, we’re fearful small- and medium-sized businesses will bear the brunt of the increased costs,” Neal Kirby, spokesman for the Independent Petroleum Association of America, which represents independent oil and natural gas producers, previously told the Washington Examiner. “Similar to additional government regulations, these businesses don’t have the resources or manpower to apply for a waiver for each imported steel and aluminum product they rely on.”
Casper Star-Tribune: The bust is over, but tariffs are no boon for Wyoming energy
Part of Trump’s platform when running for the president was on bringing back the steel industry and winning this fight with China, said vice president of the Petroleum Association, Lee Fuller in an interview. “There is a risk to his entire energy agenda, energy dominance, national security, if the steel tariffs have the effect of suppressing the development of U.S. oil and natural gas,” he said. “That’s not consistent with his other objectives.”
Neal Kirby, spokesman for IPAA, which represents independent oil and natural gas producers, said an exemption could be beneficial depending on how it’s applied. “Steel imports are essential to our industry and imports comprise up to half of the U.S. supply for the specific quality of steel in the Line Pipe and OCTG marketplace,” Kirby told the Washington Examiner. Industry would be interested in an exclusion – preferably an industry-wide exception.”
Morning Consult: Opinion – Growing America’s Energy Future
“American energy dominance, economic prosperity and environmental safety are all inextricably linked. We must do everything we can to produce the energy we all rely upon each day, while safeguarding the communities and environments we all cherish. But doing so requires a smart regulatory framework that supports growth, not hinders it,” writes IPAA President and CEO Barry Russell.
E&E News: Drillers move to defend rollback of fracking rule
The Independent Petroleum Association of America and the Western Energy Alliance yesterday moved to join the Bureau of Land Management in fending off new litigation from California and environmentalists seeking to revive the agency’s Obama-era fracking rule.
E&E News: Who benefits from BLM rule change?
The savings expected under this week’s methane proposal are particularly meaningful for small producers, said Dan Naatz, senior vice president of government relations and political affairs for IPAA. “We welcome the opportunity to talk about reasonable development of oil and natural gas resources on federal lands,” he said. “We need to make sure, as we always have, that these activities are designed to protect the environment.”
“We’re not trying to push people into our industry,” said Anne Ford, executive director of the IPAA/PESA Energy Education Center, which partners with Houston ISD on the Energy Institute High School. “We’re trying to open their eyes to the opportunities in our industry, because it’s vast.”
Oil & Gas Journal: Trump calls for infrastructure bill in State of the Union speech
Independent Petroleum Association of America Pres. Barry Russell said, “With new pipeline infrastructure, additional carbon reductions can be made and can benefit communities across America. Increased use of gas not only benefits the environment, but also provides national security and economic benefits, such as jobs and tax revenue.”
E&E News: Trump embraces ‘beautiful’ coal and cites disasters, not CO2
“For the first time in nearly a decade, the United States, under President Trump’s administration, has begun recognizing and utilizing our own energy resources as a strategic, American asset,” Independent Petroleum Association of America President and CEO Barry Russell said. “The impacts of America’s energy resurgence are being felt around the world.”
The Hill: Opinion – The hypocrisy of fossil fuel divestment
As divestment activists gear up for another year, it is important to keep in mind the ineffectiveness, cost, and ultimately counterproductive nature of this strategy, writes Jeff Eshelman, senior vice president for operations and public affairs of IPAA.
E&E News: ‘Energy dominance’ a likely theme
The Independent Petroleum Association of America will be listening for details on [the infrastructure] front, said spokesman Neal Kirby. “Energy infrastructure plays an important role in helping our member companies get their products safely and efficiently to new markets,” he said.
POLITICO: Trump’s energy juggernaut faces a more daunting Year 2
Industry groups that chafed under Obama’s regulations say they’re pleased with what Trump has achieved so far. “We were excited by what we saw in 2017,” said Dan Naatz, senior vice president of government relations and political affairs at IPAA. “The administration got off to a strong start in reshaping and rebalancing American energy development. It was a look at putting in thoughtful policies, in contrast to the challenges we faced in the Obama administration.”
Albany Times Union: Letter – Fossil fuel divestment is a costly, empty gesture
According to a new survey of 3,000 pensioners from Spectrem Group, 88 percent of respondents believe their pension fund should be “focused on generating returns; it shouldn’t be making investment decisions on the basis of politics.” New York should listen to its pensioners and say no to this costly, empty gesture, or its retirees and taxpayers will be left to foot the bill, writes IPAA Senior Vice President Jeff Eshelman.
S&P Global: Americas CEO series: Barry Russell, IPAA
Entering 2018, even as it is seeing the benefits of relaxed regulation under a new administration, the US exploration and production industry nonetheless is facing significant challenges, Barry Russell, the leader of the Independent Petroleum Association of America said in an interview.
Natural Gas Intelligence: FERC Votes 5-0 to Dump DOE NOPR
IPAA vice president Susan Ginsberg called FERC’s order “sound and in keeping with the overwhelming documentation submitted by a diverse group of interested parties. “Even the organized markets stated there is no grid reliability emergency,” Ginsberg said. “FERC took the reasonable, conservative approach to initiate a new proceeding to further evaluate the resilience of certain bulk power systems.”
Oil & Gas Journal: FERC ends consideration of Perry’s power grid resiliency proposal
Susan Ginsberg, the Independent Petroleum Association of America’s vice-president of oil and gas regulatory affairs, said the national organization of upstream independents found FERC’s reasoning and resulting order to be sound, and in keeping with the documentation submitted by a diverse group of interested parties.
Reuters: Can’t please everyone: Trump energy policy riles competing sectors
The oil and gas industry, also championed by Trump, similarly feels let down by an administration it had hoped would strip away government interference, said Susan Ginsberg, a senior vice president of regulatory affairs for the Independent Petroleum Association of America, which represents small oil and gas companies.
Associated Press: Q&A: Plan to Expand Offshore Drilling Draws Cheers, Jeers
The Independent Petroleum Association of America said opening new areas to leasing would increase knowledge about potential resources and help companies make decisions about where to invest while boosting development of America’s abundant energy resources.
Oil & Gas Journal: Draft leasing program offers 90% of OCS
Independent Petroleum Association of America Pres. Barry Russell said: “Expanding access to additional offshore reserves allows the US to better understand where production potential exists and where capital should be invested. Although this is just the first step in a long process, today’s proposal is exactly the signal industry needs to drive this work forward.”
Reuters: Trump administration aims to open nearly all U.S. offshore to oil drilling
The Trump administration proposed opening nearly all U.S. offshore waters to oil and gas drilling, a move aimed at boosting domestic energy production. Industry groups welcomed the announcement. “Expanding access to additional offshore reserves allows the United States to better understand where production potential exists and where capital should be invested,” said Independent Petroleum Association of America senior vice president Dan Naatz.
E&E News: Fracking rule fracas: The next round
“The rescinding of this burdensome rule … will save our member companies and those operating on federal lands hundreds of millions of dollars in compliance costs without any corresponding safety benefits,” Barry Russell, president and CEO of the Independent Petroleum Association of America, said.
The Baltimore Sun: Letter – Fossil fuel divestment an empty gesture
Divesting from fossil fuels has real costs for colleges like Johns Hopkins — endowment costs that are transferred to students with no benefit to the environment, writes IPAA Senior Vice President Jeff Eshelman.
Daily Energy Insider: IPAA, Western Energy Alliance applaud full repeal of hydraulic fracturing rule
“The rescinding of this burdensome rule, which was never enacted due to IPAA and Western Energy Alliance’s ongoing legal challenge, will save our member companies and those operating on federal lands hundreds of millions of dollars in compliance costs without any corresponding safety benefits,” IPAA President and CEO Barry Russell, said.
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