Increased natural gas production approved in Oklahoma

 

Oklahoma Corporation Commissioners decided Tuesday to increase the allowable production rate on natural gas wells in the state.

On a 2-0 vote with Commissioner Dana Murphy not participating, the regulators agreed to increase the prorationing rate to 75% and include a maximum 3 million cubic feet a day limit on unallocated wells.

The rate had previously been limited to 50% and 2 million cubic feet a day as set in March of 2020. During the February winter storm, commissioners took emergency action to increase the rate to 100% so natural gas could be transported quickly to power producers in order to eliminate rolling electrical blackouts.

At Tuesday’s regular commission meeting, Commissioner Dana Murphy announced she would not participate in the vote because what had been proposed by Chairman Todd Hiett was not supported by anything in the record.

The commission staff had originally recommended an increased rate of 75% and 2,000 Mcf a day but Hiett suggested the 75% rate and 3,000 Mcf a day.

“No record supports that,” stated Murphy. “We’ll have an order that conflicts with the rules.”

She suggested the commission step back to 65% and 2 million cubic feet a day for six months, but added she would not oppose Hiett’s suggestion.

Click here to view the OCC order.

 

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