In the very near future, I plan to introduce legislation that would modernize certain provisions in Pennsylvania’s Oil and Gas Conservation Law to allow for consistent treatment and development of the Marcellus and Utica shale formations and reduce potential permit review times for unconventional Utica wells. 
 
The proposed changes would ensure the minimization of surface impact through the proper placement and spacing of unconventional well pads, prevent the waste or stranding of natural gas, and maximize job and revenue‐generating opportunities for the Commonwealth and its citizens.
 
Natural gas development in Pennsylvania is an important part of today’s economy. Exploration companies operating in Pa produced more than 7.7 trillion cubic feet of natural gas last year, generating more than $2 billion in royalty payments that were distributed to approximately 186,000 Pa. recipients.
 
The Oil & Gas Conservation Law was adopted in 1961 to satisfy Pennsylvania’s membership requirements for the Interstate Oil and Gas Compact Commission (IOGCC), reflecting the technologies and production practices of that era. Applying this outdated framework to today’s unconventional horizontal development risks stranding several billion cubic feet of natural gas in Utica wellbores, creating the very “waste” the law was intended to prevent. Modernizing the statute is necessary to ensure efficient resource development and to mitigate the creation of stranded assets.
 
While the drilling and completion techniques for Marcellus and Utica shale wells are identical, the outdated provisions of the 1961 statute lead to significant stranded, wasted natural gas resources. Given that many Utica wells are found on lands operated by the Game Commission and Department of Conservation and Natural Resources, this also can lead to potentially billions of dollars of lost royalty payments for these public agencies to re-invest in their conservation efforts.
 
I urge you to join me as a co-sponsor.