July 28, 2025

Shale Law Weekly Review—Week of July 28, 2025

Oil and Gas Leasing: Lease Sale 262 Proposed for Offshore Oil and Gas Development in Gulf of America ⚡
On June 25, 2025, The Bureau of Ocean Energy Management (BOEM) issued a Proposed Notice of Sale for Lease Sale 262, which includes 15,000 unleased blocks in the Gulf of America, aka, the Gulf of Mexico. According to the notice, these blocks cover nearly 80 million acres and are located between 3 and 231 miles offshore, with water depths ranging from 9 to over 11,000 feet. This lease sale is part of the 2024–2029 Outer Continental Shelf Oil and Gas Leasing Program and with two more sales planned for this region. While the lease focuses solely on oil and gas exploration and development, some areas are excluded due to prior withdrawals or environmental protections. BOEM has proposed a “royalty rate of 16 ⅔ percent for both shallow and deepwater leases—the lowest rate for deepwater since 2007…” Revenues generated from lease sales are distributed among the U.S. Treasury, states, and various public programs, contributing to government operations and infrastructure funding.

Oil and Gas Leasing: Interior Department Proposes Expanded Leasing in Alaska’s National Petroleum Reserve
On June 17th, 2025, the U.S. Department of the Interior (DOI) proposed reopening a significant portion of Alaska’s National Petroleum Reserve for oil and gas leasing. The draft analysis proposes allowing access to up to “82% of the 23-million-acre reserve,” aligning with a 2020 management framework aimed at increasing domestic energy development. This move is part of the Bureau of Land Management’s effort to revise its Integrated Activity Plan. According to DOI, the draft environmental assessment incorporates updated data and supports recent executive and departmental directives that emphasize resource development and energy security. The proposal also reflects a broader policy approach to remove regulations and increase oil and gas production on federally managed lands.

Federal Lands: Environmental Groups’ Lawsuit Dismissed Over Standing
On July 15, 2025, the U.S. Court of Appeals for the District of Columbia Circuit upheld the dismissal of a lawsuit filed by environmental groups against the U.S. Department of the Interior regarding oil and gas well permits. Ctr. for Biological Diversity v. U.S. Dep’t of the Interior, No. 23-5308 (D.C. Cir. July 15, 2025). The environmental groups challenged over 4,000 oil and gas well permits, arguing the Bureau of Land Management “failed to adequately consider the climate and environmental justice impact of the disputed wells.” However, the Court of Appeals ruled that the plaintiffs lacked standing, as they did not sufficiently connect specific harms experienced by their members to individual drilling permits. The court emphasized that standing must be established for each challenged action, and the plaintiffs’ broad claims across a vast area were insufficient.

Oil and Gas Leasing: PA Superior Court Rules Lease was Renewed due to the Actions of Lessee
On June 3, 2025, the Superior Court of Pennsylvania affirmed that defendant EQT Production Company’s (EQT) actions were enough to continue the oil and gas lease with plaintiffs David and Kayla Balint, Bruce and Stephanie Grandel (owners), and LOLA Drilling (LOLA). Balint v. EQT Prod. Co., No. 301 WDA 2024, 2025 WL 1565540, at *1 (Pa. Super. Ct. June 3, 2025). In 2008, the owners entered into an oil and gas lease with EQT, for a term of five years, extended for an additional five years. The lease would continue past that term as long as oil or gas is produced in paying quantities. In August 2018, the owners entered into a new lease with LOLA. Later in August EQT sent an email to the owners, stating that the lease term had expired and the lease would not be renewed. In December 2018, EQT sent another notice stating the August email was sent in error and EQT had drilled another producing well, thereby continuing the lease. EQT then began to send royalties to the owners. The owners filed suit, claiming the lease had ended. The trial court granted EQT’s motion for summary judgment, and the owners and LOLA appealed. The Superior Court affirmed the ruling of the trial court, reasoning that the owners did not unequivocally rely on EQT’s statements as establishing or confirming the expiration date of the lease. Further, EQT did engage in activities sufficient to extend the lease.

 

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CENTER PROGRAMS & RESOURCES

Jackie Schweichler to Join PA Small Business Development Center in Agritourism Seminar

On August 13, 2025, at 1:00pm (ET), staff attorney Jackie Schweichler will join the Pennsylvania Small Business Development Center to present at this year’s Ag Progress Days. The event, “Fields of Opportunity: Starting Your Agritourism Journey,” will be held in the Red Barn Annex.

Florida Agritourism Association Hosts Webinar on ADA Accessibility with Staff Attorney Jackie Schweichler

On August 20, 2025, staff attorney Jackie Schweichler will join the Florida Agritourism Association for a webinar presentation on ADA Accessibility for Agritourism Operators.

Solar Law Symposium Virtual Live Webinar

Penn State Extension and the Penn State Center for Energy Law and Policy will host their fifth annual Penn State Solar Law Symposium, co-sponsored by Penn State Center for Agricultural and Shale Law. Staff Attorney Brook Duer will co-present a session on the ethics of solar leasing as part of the program.

Understanding the Basics of Foreign Agricultural Land Ownership Laws

On Friday, August 22, 2025, from 12 noon–1:00 ET, the Penn State Center for Agricultural and Shale Law, alongside the Pennsylvania Department of Agriculture’s (PDA) Agricultural Business Development Center (ABDC), will present the next webinar in the Understanding Agricultural Law Educational Series: “Understanding the Basics of Foreign Agricultural Land Ownership Laws”.

Follow us on Twitter @AgShaleLaw to see the latest with our #ShaleLaw HotLinks 

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Penn State Farmland Energy Legal Podcast: Listen to the latest episode here.

Oil & Gas Law & Policy Resources:

Norman, The Transmission, Distribution, and Interconnection Crises Blocking New York’s Climate Goals (July 21, 2025)

Kahl and Orúe, Protecting Rights in the Anthropocene: How the Inter‑American Court’s Right to a Healthy Climate Pushes the Boundaries of Human Rights Law (July 22, 2025)

Webb, Methane Removal Under the Paris Agreement: A New Sabin Center White Paper (July 22, 2025)

Sartain, Limitations and Standing to Sue Dry Up Landowners’ Claim to Texas Riverbed (July 22, 2025)

Dorman, Iyer and Jost-Creegan, Corporations, Climate, and the Court: New Directions for Business and Human Rights in AO-32/25 (July 24, 2025)

Tigre, Bönnemann and De Spiegeleir, The ICJ’s Advisory Opinion on Climate Change: An Introduction (July 24, 2025)

FEDERAL ACTIONS—EXECUTIVE & LEGISLATIVE

U.S. DEPARTMENT OF ENERGY PRESS RELEASES

Department of Energy Terminates Taxpayer-Funded Financial Assistance for Grain Belt Express (July 23, 2025)

DOE Announces Site Selection for AI Data Center and Energy Infrastructure Development on Federal Lands (July 24, 2025)

U.S. ENVIRONMENTAL PROTECTION AGENCY PRESS RELEASES

Administrator Zeldin Releases Statement on President Trump’s Executive Order Advancing American Leadership in Artificial Intelligence (July 23, 2025)

EPA Announces Availability of Up to $14 Million in Funding for Brownfields Job Training Program Grants (July 23, 2025)

Make Gas Cans Great Again by Improving Flow (July 24, 2025)

Puerto Rico Electric Power Authority and Genera Resolve Violations of the Clean Air Act with EPA (July 24, 2025)

FEDERAL EXECUTIVE AGENCIES (Federal Register July 21 – 28, 2025)

Environmental Protection Agency

90 FR 34206 Proposed Rule: “Prevention of Significant Deterioration (PSD) and Nonattainment New Source Review (NNSR): Regulations Related To Project Emissions Accounting; Withdrawal of Proposed Rule” (July 21, 2025)

90 FR 34409 Proposed Rule: “Hazardous and Solid Waste Management System: Disposal of Coal Combustion Residuals From Electric Utilities; CCR Management Unit Deadline Extension Rule” (July 22, 2025)

90 FR 34770 Rule: “Air Plan Approval; Pennsylvania; Redesignation Request and Associated Maintenance Plan for the Liberty-Clairton Area for the 1997 Annual and 2006 24-Hour Fine Particulate Matter Standard and Maintenance Plan for the Allegheny County Area for the 2012 Annual Fine Particulate Matter Standard” (July 24, 2025)

Federal Energy Regulatory Commission

90 FR 34266 Notice: “Billing Procedures for Annual Charges for the Costs of Other Federal Agencies for Administering Part I of the Federal Power Act Notice Reporting Costs for Other Federal Agencies’ Administrative Annual Charges for Fiscal Year 2024” (July 21, 2025)

90 FR 34648 Notice: “Commission Information Collection Activities (Ferc-500 and Ferc-505); Consolidated Comment Request; Extension” (July 23, 2025)

90 FR 34860 Notice: “Gulfstream LNG Development, LLC; Notice of Application and Establishing Intervention Deadline” (July 24, 2025)

90 FR 34859 Notice: “Sunshine Act Meetings” (July 24, 2025)

Energy Department

90 FR 34260 Notice: “Golden Pass LNG Terminal LLC; Application for Blanket Authorization To Export Previously Imported Liquefied Natural Gas” (July 21, 2025)

90 FR 34855 Notice: “Notice of Intent To Publish the 45Z Emissions Value Request Process” (July 24, 2025)

U.S. Army Corps of Engineers

90 FR 34645 Notice: “Inland Waterways Users Board Second Request for Nominations” (July 23, 2025)

Land Management Bureau

90 FR 34366 Rule: “Rescission of Regulations Regarding Surface Protection Requirements” (July 22, 2025)

90 FR 34368 Rule: “Rescission of Regulations Regarding Prospecting Within National Forest Wilderness for the Purpose of Gathering Information About Mineral Resources” (July 22, 2025)

Safety and Environmental Enforcement Bureau

90 FR 34396 Rule: “Bonding Requirements When Filing an Appeal of a Bureau of Safety and Environmental Enforcement Civil Penalty; Corrections” (July 23, 2025)

Surface Mining Reclamation and Enforcement Office

90 FR 34671 Notice: “Submission to the Office of Management and Budget for Review and Approval; Exemption for Coal Extraction Incidental to the Extraction of Other Minerals” (July 23, 2025)

90 FR 34353 Notice: “Rescission of Cross References” (July 22, 2025)

U.S. HOUSE ENERGY AND COMMERCE COMMITTEE

H.R.4562 “To make publicly available information on sustainable aviation fuel production and imports, and for other purposes.” (Introduced July 21, 2025)

H.R.4603 “To amend the Public Utility Regulatory Policies Act of 1978 to prohibit State regulatory authorities from approving rates charged by electric utilities that engage in certain diversity, equity, or inclusion practices, or that consider environmental, social, or governance factors, and for other purposes.” (Introduced July 22, 2025)

H.Con.Res.46 “Expressing the sense of Congress that the United States is committed to ensuring a safe and healthy climate for future generations, and thus to restoring the climate.” (Introduced July 23, 2025)

H.R.4626 “To amend the Energy Policy and Conservation Act to prohibit the Secretary of Energy from prescribing any new or amended energy conservation standard for a product that is not technologically feasible and economically justified, and for other purposes.” (Introduced July 23, 2025)

H.R.4705 “To place a moratorium on the issuance and renewal of certain Federal authorizations for mountaintop removal coal mining until a health study is conducted, and for other purposes.” (Introduced July 23, 2025)

H.R.4714 “To eliminate certain subsidies for fossil-fuel production.” (Introduced July 23, 2025)

U.S. SENATE ENERGY AND NATURAL RESOURCES COMMITTEE 

S.J.Res.63 “A joint resolution providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Bureau of Land Management relating to “Central Yukon Record of Decision and Approved Resource Management Plan”.” (Introduced July 22, 2025)

H.R.3937 “Wabeno Economic Development Act” (Passed House July 23, 2025)

STATE ACTIONS—EXECUTIVE & LEGISLATIVE 

PENNSYLVANIA DEPT. OF ENVIRONMENTAL PROTECTION PRESS RELEASES

Shapiro Administration and Public Utility Commission Announce 2 Gigawatts of Installed Solar Energy in Pennsylvania– Enough to Power 350,000 Homes (July 22, 2025)

DEP to Conduct Mosquito Control in Lycoming County (July 22, 2025)

 

Written by:
Benjamin Aronovitch, Research Assistant
Caden Dean-Sauter, Research Assistant
Jackie Schweichler, Staff Attorney