American Oil and Gas Reporter - August 2016 - 25

lower tax rates for American workers,
families and job creators."
NSWA Vice President of
Government Affairs Tim Charters says
the Ryan-Brady proposal does have
positive aspects, including its reforms of
the tax structure for small businesses,
especially sole proprietorship and passthrough entities, and changing corporate
expensing to allow businesses to write
off the full cost of purchases in the first
year.
He notes that where business income
earned through a sole proprietorship or
pass-through entity now is taxed as
much as 44.6 percent, the Republican
proposal would limit that to 25 percent.
However, the association asserts any
tax code changes eliminating
percentage depletion will be bad,
calling it "the lifeblood of small
producer competitiveness and
opportunity."
According to NSWA, preserving
percentage depletion will help all of its
members. "We have known over the last
few years both Republicans and
Democrats have turned against oil and
gas tax provisions: Democrats to
combat climate change and Republicans
to create a 'fairer flatter' tax code," the
association says. "We have known that
preserving percentage depletion will be
a fight, and this is a fight NSWA has
engaged in with full force." ❒

API Says Oil Production
Drops For Ninth Month
WASHINGTON-U.S. crude oil
production posted its ninth consecutive
monthly decline in June, the American
Petroleum Institute's monthly statistical
report says. Production was down from
the prior month, year, and year-to-date,
and is at its lowest level since May
2014. API reports production decreased
1.8 percent from May, and was down
7.4 percent from June 2015, averaging
8.6 million barrels a day in June 2016.
According to API, domestic
production fell 5.4 percent year-to-date,
compared with the same period in 2015.
Natural gas liquids production,
meanwhile, was up from the prior
month, year and year-to-date, API says,
averaging nearly 3.5 MMbbl/d in June.
It says that was an increase of 2.0
percent from May, 6.8 percent from
2015, and 7.6 percent year-to-date,
adding that it was the highest June
output level on record.
Citing Baker-Hughes Inc., API says
the average U.S. rig count for June

increased by eight rigs from May, to
417. It notes this represents the secondlowest count on record, as well as the
lowest June count. API says it was a
51.6 percent decline from June 2015's
count of 861 rigs. ❒

Gas Storage Levels
Increase By 154 Bcf
WASHINGTON-Underground
natural gas storage in the United States
stood at 3.294 trillion cubic feet on
July 22, 18.9 percent above the five
year average, according to the U.S.
Energy Information Administration.
That was up 154 billion cubic feet
from the 3.140 Tcf in storage on June
24, which was 25.4 percent above the
five-year average. The July 22 storage
number was 437 Bcf more than a year
ago, when gas storage stood at 2.857
Tcf.
According to EIA, gas storage in the
East Region was 715 Bcf on July 22,
10.0 percent above the five-year average
and 83 Bcf more than on June 24, when
storage stood at 632 Bcf, which was
11.1 percent above the five-year
average. East Region gas storage on
July 22 was 77 Bcf more than a year
ago.
Gas storage in the Midwest Region
stood at 815 Bcf on July 22, 20.2
percent above the five-year average and
73 Bcf more than the 742 Bcf in storage
on June 24, which was 29.0 percent
above the five year average. July 22 gas
storage in the Midwest Region was 163
Bcf more than a year ago.
In the Mountain Region, EIA says,
gas storage was 213 Bcf on July 22,
31.5 percent above the five-year average
and 15 Bcf more than the 198 Bcf
stored on June 24, which was 37.5
percent above the five year average. Gas
storage in the Mountain Region was up
43 Bcf from a year ago.
Gas storage in the Pacific Region
was 318 Bcf on July 22, 0.6 percent
above the five-year average and 3 Bcf
more than the 315 Bcf stored on June
24, which was 6.1 percent above the
five-year average. Pacific Region gas
storage on July 22 was down 21 Bcf
from a year ago.
In the South-Central Region, gas
storage levels on July 22 were 1.233
Tcf, 27.8 percent above the five-year
average, but down 20 Bcf from the
1.253 Tcf in storage on June 24, which
was 36.5 percent above the five-year
average. The July 22 gas storage level
for the South-Central Region was up
175 Bcf from a year ago. ❒

This month's
website exclusives:

Gas Hitting
New Highs
In Power Sector
U.S. Energy Information
Administration and
American Gas Association

Refrac Market
Still Waiting
To Take Off
By Matthew Johnson
National Account Manager

Primary Vision Inc.
What's popular at aogr.com:

Frac Facts:
The Latest in Delivery
Systems & Proppants
and of course, current and
future oil & gas prices
updated every 11 minutes!
North America

1-800-847-8301
International

001-316-788-6271

www.aogr.com
AUGUST 2016 25
American Oil and Gas Reporter - August 2016

Table of Contents for the Digital Edition of American Oil and Gas Reporter - August 2016
