May 4th State Lease Auction Cancelled

In accordance with Gov. Gretchen Whitmer and the Michigan Department of Health and Human Services’ recommendations designed to help prevent the spread of Coronavirus Disease 2019 (COVID-19), we will be canceling the May 4, 2020, Oil and Gas Lease Auction.  The related acreage will be offered at the proposed October 26, 2020, Oil and Gas Lease Auction. There will be a nomination period for the October Auction from May to June, but specific dates have not been determined yet. 

Add your reaction Share

DEPA Announces Anti-Dumping Investigation

DEPA Press Release March 12, 2020

TULSA, OK –  Today, the Domestic Energy Producers Alliance (“DEPA”) announced the association’s support for an American anti-dumping action petition to be filed with the United States Department of Commerce and the United States International Trade Commission requesting the initiation of an antidumping and/or countervailing duty investigation regarding crude oil price manipulation by Saudi Arabia, Russia, and perhaps others.

The petition will seek a determination that the recent actions taken by Saudi Arabia, Russia, and others to unreasonably increase their supply of crude oil at prices below market value will result in material injury to the U.S. domestic crude oil industry.

 “This is a direct attack on U.S. oil and gas producers. They are taking advantage of this corona virus pandemic that is sweeping the world to focus on this industry and to devastate it. These actions warrant the imposition of antidumping and/or countervailing duties on crude oil imported into the US from these countries. Saudi Arabia’s and Russia’s actions have already, and will continue to, harm U.S domestic crude oil producers and industry.” -DEPA Chairman, Harold Hamm

The petition seeks to protect the U.S. domestic crude oil industry, U.S. energy security, and the U.S. economy. DEPA is moving expeditiously to investigate and potentially to prepare a filing.

Add your reaction Share

Important Industry Tax Information Resulting from Covid-19

Dear MOGA Members,

On behalf of MOGA Industry Economics and Taxation Chair, Shelly Ashmore, please find below 2 critical messages on taxes in the wake of COVID-19.  Please share this information with your networks.

1) Click Here for a notice from the State of Michigan waiving penalty and interest on sales, use and withholding taxes for 30 days in light of COVID-19.

2) Below is a notice from U.S. Treasury Secretary announcing a 90-day payment extension for most taxpayers.

Treasury Secretary announces 90-day payment extension for most taxpayers.

Following President Trump's declaration of a national emergency, Treasury Secretary Steven Mnuchin stated at a press conference on March 17, 2020 that individuals can defer tax payments up to $1 million for 90 days. Corporations can defer up to $10 million of tax payments for 90 days. The $1 million limit for individuals was established to cover small businesses and passthrough entities, he said.

"We encourage those Americans who can file their taxes to continue to file their taxes [by] April 15," Mnuchin said, especially encouraging people who will be getting tax refunds to do so. "Just file your taxes," he said, and "you will automatically not get charged interest and penalties" on payments made within the 90-day deferral period.

Observation: Mnuchin's statement did not extend the tax filing due date. For individuals the filing date, generally, is April 15. But they can get an automatic extension to file till October 15 by, for example, filing Form 4868, Application for Automatic Extension of Time To File U.S.Individual Income Tax Return.

Observation: Many details remain unclear with respect to this relief, and no official written guidance has been released as of yet.

Add your reaction Share

BCBSM Covid-19 Webinar March 18th at Noon

Virtual Well-Being Webinar: Navigating Coronavirus

On Wednesday, March 18, at 12 p.m. Eastern time, Blue Cross Virtual Well-Being will present a special edition, live webinar for employers. The webinar is titled Navigating Coronavirus.

This one-hour webinar will be led by Blue Cross Blue Shield of Michigan’s Michelle Fullerton, B.A., B.S.N., C.C.M, C.C.P., director, Group Customer Advocate; and Dr. Michael Kobernick, senior medical director.

The webinar will focus on the impact of the COVID-19 virus, including: 

  • Prevention measures
  • Coverage and benefits
  • Care options
  • Measures Blue Cross is taking during this time
  • Tools and resources to help you interact with employees

Link to Webinar Enrollment: Enroll

Webinar Description

COVID-19, also known as the novel coronavirus, presents challenges to you and your organization, with possible implications for the health and well-being of your employees and their families. This webinar will help you navigate the impact of COVID-19, including prevention measures, coverage and benefits, care options and an overview of the measures Blue Cross is taking during this time. During this session, Blue Cross will help you navigate the tools and resources available to help you as you interact with your employees. You’ll also have an opportunity to ask questions of our subject matter experts.

Link to Blue Cross Virtual Well-Being Site:   www.bluecrossvirtualwellbeing.com

Sign Up to Attend The Webinar Here

Add your reaction Share

EGLE OGMD Operations Related to COVID-19

A Message from Adam Wygant, Director of EGLE's Oil, Gas, and Minerals Division 

Dear Michigan Oil and Gas Operators,

In accordance with Governor Gretchen Whitmer and the Michigan Department of Health and Human Services’ recommendations designed to help prevent the spread of Coronavirus Disease 2019 (COVID-19), the Michigan department of Environment, Great Lakes, and Energy (EGLE) is taking proactive steps to mitigate the spread of COVID-19 in Michigan.

One primary response is to work in a dispersed fashion to accomplish social distancing while still delivering on our mission.  At EGLE’s Oil, Gas, and Minerals Division (OGMD) we are committed to provide support to Michigan’s extractive industries and the public, and fulfill OGMD’s mission to assure that development of Michigan’s oil, gas, and minerals is done in a manner that conserves natural resources, and protects public health, safety, and the environment.

The best method of communication during this time related to your operational needs, is to contact your area geologist directly.  I have attached our most recent staff map and contact information.  It is also available at: https://www.michigan.gov/documents/deq/deq-ogmd-LP_Area_Assignments_650036_7.pdf  All OGMD staff, including Lansing staff are also available via telephone and email.  We will respond as quickly as possible and be responsive to permits, applications for changes of well status, mechanical integrity tests, spills, and will continue to conduct inspections.  Some Supervisor of Wells hearings may be impacted and need to be postponed or converted to another format.  More information will be available from OGMD in the future related to those hearings.

We appreciate your understanding and cooperation in reducing the risk of coronavirus to Michigan residents.  If you have any questions, please contact me at my mobile number 517-897-4828 or by email.

Adam

Adam W. Wygant

Director and State Geologist

Oil, Gas, and Minerals Division

Department of Environment, Great Lakes, and Energy

517-284-6823 wyganta@michigan.gov

Add your reaction Share

Michigan Public Service Commission (MPSC) to limit in-person hearings to the extent feasible

In response to the Governor’s recommendations related to COVID-19, the Michigan Public Service Commission is taking the following steps related to meetings involving Commissioners and MPSC Staff:

  • Regularly scheduled Commission meetings: Commission meetings will continue to be held. Commission meetings are livestreamed on the internet (YouTube.com/MichiganPublicServiceCommission) and are also archived to be able to watch after the meeting has taken place. The public is encouraged to utilize these options rather than attending in person if circumstances allow. The public may also submit comments to Commissioners via email at LARA-MPSC-Commissioners-Office@michigan.gov.
  • Administrative hearings before Administrative Law Judges in pending MPSC cases: The Commission has asked the ALJs to limit in-person hearings to the extent feasible. Members of the public planning to attend a hearing scheduled for March should call the Michigan Office of Administrative Hearings and Rules at (517) 284-8130 or check the E-Docket system on the MPSC’s website before traveling to Lansing. The Commission welcomes written comments in all cases. Parties who have filed appearances in ongoing cases will be contacted directly by the assigned ALJ.  
  • MI Power Grid and other meetings involving stakeholders: All stakeholder meetings, including MI Power Grid meetings, will only be offered via teleconference until further notice. Meetings will still take place at regularly scheduled dates and times, but will not take place in person.
  • Smaller meetings between Commissioners and/or Staff and external stakeholders: To the extent possible, these meetings will either be converted to teleconferences, or will be postponed to a later date. Please be on the lookout for a follow-up message from individual meeting organizers.
Add your reaction Share

Public Sector Consults Provides U.P. Energy Task Force with Propane Supply Alternatives Report

According to Public Sector Consultants (PSC) analysis of propane supply alternatives, a disruption to Line 5 would affect 87% of the UP's propane supply, 42% of the Lower Peninsula's supply and 46% of the state's overall supply. 

The state's UP Energy Task Force asked Public Sector Consultants  to look at propane supply alternatives for Michigan as part of the task force's charge of formulating alternative solutions to meeting the UP's energy needs. The 115-page PSC report (That can be found here) is intended to accompany the UP Energy Task Force's final recommendations to Whitmer and will help the task force as they prepare their recommendations. 

Task Force is required to submit a propane plan to the Governor by March 31, 2020, focused on alternative means to supply propane to the UP.

Add your reaction Share

Michigan Would Lose 233,154 Jobs in 2022 if a National Hydraulic Fracturing Ban was in Place

An American Petroleum Institute (API) study shows that a ban on fracking and new oil leases would reduce GDP by $7.1 trillion by 2030, cost the economy 7.5 million jobs by 2022, and cause an average household income decline of $5,040.

The Study also predicts that Michigan could see 233,154 jobs lost in 2022 if a ban on hydraulic fracturing was in place. 

Job_loses_from_a_HF_Ban.PNG

 

Add your reaction Share

Legislators Continue to Show Their Support for the Tunnel Project

Representative Cole's Press Release on Line 5 

“This wasn’t a decision made overnight – it was a well thought-out agreement reached between state leaders and the company a couple years ago. The plan will not only protect our Great Lakes for generations to come, but will provide an abundance of jobs to Michiganders. One of the companies Enbridge selected is also Michigan based; the attorney general has now put good-paying union jobs on hold as she spouts ignorance about the tunnel. -Rep. Triston Cole.

Representative Bellino's Press Release on Line 5 

“The agreement reached between state leaders and Enbridge a couple years back is the common-sense answer Michigan families’ need,” Bellino said. “The tunnel project will provide good-paying union jobs, and it’s the best solution to ensure our lakes are protected while transporting propane to families up north who depend on it to heat their homes.-Rep. Joseph Bellino. 

Representative Wentworth's Press Release

“The agreement reached between state leaders and Enbridge will better protect the Great Lakes Basin and vastly improve the delivery of needed energy and communications services,” Wentworth said. “What makes this entire process even better is that Enbridge is footing the bill – 100 percent. The company is paying the full $500 million tab, so Michigan’s hard-working taxpayers don’t lose out at all". -Rep. Jason Wentworth.

Representative LaFave's Press Release

“Constructing a new tunnel for Line 5 is unquestionably the best option for our state,” LaFave said. “Our water resources are some of our state’s greatest treasures, and they must be protected. The tunnel agreement reached between state leaders and Enbridge a couple years ago is the best plan for doing so. Allowing a brand-new pipeline with additional safety measures, while continuing to deliver crucial resources, is the common-sense answer all of our communities need". -Rep. Beau LaFave. 

Add your reaction Share

U.P. Energy Task Force to release draft propane report; public can comment through April 6

EGLE_Logo_with_Falls.jpg

FOR IMMEDIATE RELEASE
March 11, 2020
Nick Assendelft, EGLE Public Information Officer, AssendelftN@Michigan.gov, 517-388-3135

U.P. Energy Task Force to release draft propane report; public can comment through April 6

The U.P. Energy Task Force will meet Friday in Harris to discuss a draft of the panel’s report on propane availability in the Upper Peninsula and the Task Force’s recommendations.

The Draft Report of the Upper Peninsula Energy Task Force Part I – Propane Supply will be available beginning next week on the Task Force's website, Michigan.gov/UPEnergyTaskForce. It is the first of two reports the U.P. Energy Task Force is to submit to Gov. Gretchen Whitmer.

The draft propane report contains recommendations for actions by the Governor, Legislature, and state agencies to better track and anticipate supply and demand, minimize disruption impact, and provide a more cohesive plan for those who are disproportionately affected by high energy costs in the U.P.

Public comments on the recommendations section of the draft report can be submitted via email to EGLE-UPEnergy@Michigan.gov. All comments submitted no later than April 6 will be considered by the Task Force for possible inclusion in the final report, which is due to the Governor by April 17. The submission date was extended to allow for a longer public review period.

Read more
Add your reaction Share

Michigan Petroleum Directory Now Available!