The PJM Interconnection must make significant changes to its plan for meeting the Federal Energy Regulatory Commission’s grid interconnection requirements, the agency said in a decision released Thursday. The issue centers on FERC’s Order 2023, which set baseline requirements for grid interconnection rules. It requires a “first-ready, first-served” cluster study approach and made other reforms intended to cut down the interconnection backlog. The rule also set deadlines for regional transmission organizations and other transmission providers to complete interconnection studies, and imposed penalties for missing those deadlines. PJM had said that its existing interconnection process, which FERC approved in November 2022, met the requirements of Order 2023. But in its decision this week, FERC said that while parts of PJM’s process complies with Order 2023, the grid operator must revise others. FERC gave PJM 60 days to propose changes to its interconnection rules. Some of them include: Striking language that says PJM must only make “reasonable efforts” to meet certain deadlines; Describing how network and substation upgrade study costs will be allocated; Explaining how network system upgrade costs will be shared; Requiring transmission owners to use operating assumptions in their interconnection studies that reflect the planned charging behavior of battery storage projects; and, Requiring that interconnection studies include an evaluation of grid-enhancing technologies. FERC’s order comes amid a spike in PJM’s capacity costs, which reflect tight supply and demand conditions in its footprint in 13 Mid-Atlantic and Midwest states, and the District of Columbia. One of the first steps in building new power supplies is successfully passing through a grid operator’s interconnection process. PJM has paused its review of new interconnection requests as it works through a backlog of interconnection requests. The grid operator expects to begin using its reformed process to start evaluating new requests next year. PJM has approved about 46 GW

A nuclear technology startup raised $33 million in a private placement to test its system for storing radioactive waste deep underground.  Deep Isolation Nuclear Inc. uses drilling techniques developed for fracking by the oil and natural gas industry to dig boreholes where it can deposit spent nuclear fuel rods. The Berkeley, California-based company says its technology is nearly ready for use, though it has yet to fully test the system and still needs regulatory approval.  Interest in nuclear power is skyrocketing as the world’s electricity needs increase, particularly to power artificial intelligence. While the technology doesn’t emit carbon dioxide, disposing of the deadly waste it creates remains a vexing challenge. Reactors typically rely on nearby, surface storage sites for old fuel, which isn’t a long-term solution and comes with national security and safety risks. Plans for a centralized, underground US repository stalled after years of local opposition, and Deep Isolation Chief Executive Officer Rod Baltzer said his approach offers a needed alternative.  “There’s been a recognition that boreholes could play a role in disposal,” he said in an interview. “The technology is there. It’s ready to be deployed.” Existing investor NAC International, along with new backers including Segra Capital Management, participated in the private placement, according to a statement Thursday. Deep Isolation also completed a merger with Aspen-1 Acquisition Inc., a transaction that will let it become a publicly traded company. Baltzer said its shares will be available to trade in the coming months.  Deep Isolation has tested a small-scale version of its system, burying and then retrieving a three-foot cannister — it wasn’t filled with waste — about 670 meters (2,200 feet) below the surface. In commercial deployments, Baltzer said he expects to drill about 1 kilometer to 1.5 kilometers (0.6 miles to 0.9 miles) below the surface, then use directional drilling technology to extend the hole laterally about

A supertanker carrying a cargo of diesel from the Middle East is en route to the fuel-starved European market, reflecting supply tightness in the region. The VLCC Nissos Keros loaded about 2 million barrels of ultra-low sulfur diesel from Saudi Arabia’s Jubail terminal and is currently signaling France where it’s due to arrive Aug. 30, according to Kpler and ship-tracking data compiled by Bloomberg. The vessel, which usually transports crude oil, was re-configured to carry diesel. Cargoes of the fuel would typically be carried on smaller tankers, but with freight rates elevated after the latest attacks on shipping in the Red Sea, operators have an incentive to clean up dirty tankers to haul products instead and reap the economies of scale. Europe’s diesel market remains under pressure, driven by a combination of lower refinery output, costly rerouting of imports to replace shunned Russian supplies and sanctions-related uncertainty. The arrival of a large shipment may provide temporary relief, but dependence on long-haul imports continues to expose the European market to spikes in freight costs and supply volatility. WHAT DO YOU THINK? Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Oil fell as the dollar strengthened and conviction waned that the US will reach agreements with key trade partners ahead of a deadline next week. West Texas Intermediate crude slid more than 1% to settle near $65 a barrel after President Donald Trump said the US has a 50-50 chance of striking a trade deal with Europe, a contrast to the optimism the bloc’s diplomats expressed this week. Trump also said most tariff rates are essentially settled now. The effective US tariff rate is at the highest in a century, by some estimates, a potential threat to energy demand. In another headwind, Trump indicated he had no plans to fire Federal Reserve Chair Jerome Powell, boosting the dollar and making the commodities priced in the currency less attractive. Crude has remained in a holding pattern this month, but is down for the year as increased supply from OPEC+ adds to concerns of a looming glut. The group will next meet on Aug. 3 to decide on production levels. On Thursday, one member, Venezuela, was given a production reprieve by a US decision to let Chevron resume pumping oil in the country. “We expect crude to slowly sell off this fall, driven by steady acceleration of stock builds, softening physical markets, reduced refinery margin support and continued deescalation of geopolitically driven supply risk,” Macquarie Group analysts including Vikas Dwivedi wrote in a note. Oil Prices WTI for September delivery fell 1.3% to settle at $65.16 a barrel. Brent for September settlement slipped 1.1% to $68.44 a barrel. What do you think? We’d love to hear from you, join the conversation on the Rigzone Energy Network. The Rigzone Energy Network is a new social experience created for you and all energy professionals to Speak Up about our industry, share knowledge, connect with

BP Plc will exit its role in a massive green hydrogen production facility planned in Australia as the British oil major refocuses on the fossil fuels that drive its profits.  The company told its partners in the Australian Renewable Energy Hub that it plans to leave the project as both operator and equity holder, according to a statement from a BP spokesperson. It’s the latest setback for green hydrogen, a fuel once touted as a key way for Big Oil to profit from the energy transition that has so far proved too costly for mass production and consumption.  The AREH project company will take over as operator over coming months with support from founding partner InterContinental Energy, according to an AREH spokesperson. BP’s decision to exit the project doesn’t reflect the opportunity the hub presents to decarbonize the Pilbara and support the creation of a green iron industry, they said.  BP’s entry into the project – once estimated to cost about $36 billion – came at a time when the company sought to rapidly build up a business in low-carbon energy and shrink its oil business. But after years of stock under-performance compared with its peers and the departure of the plan’s architect – Chief Executive Officer Bernard Looney – BP has refined its strategy to focus more squarely on profits than green goals.  The company is far from alone in leaving its ambitions for green hydrogen behind. Scores of companies that once saw the fuel as the next big thing in energy have cut back plans as hoped for cost declines failed to materialize. Also on Thursday, Fortescue Ltd. said it would abandon plans for a $550 million Arizona Hydrogen Project in the US and a $150 million PEM50 Project in Gladstone, Australia – resulting in a pretax writedown of $150 million. Meanwhile, Woodside

Eni SpA reported profit that beat analyst estimates as proceeds from asset sales and sweeping cost cuts helped counter a weak oil market. While crude prices were lower in the second quarter — weighing on earnings at other European oil companies — Eni has been buoyed by a cost-reduction program introduced earlier this year, while asset disposals brought down debt. Adjusted net income fell 25% from a year earlier to €1.13 billion ($1.3 billion), the Italian energy company said Friday in a statement. That exceeded the €932.6 million average estimate of analysts surveyed by Bloomberg. Eni said it’s now targeting €3 billion of cost cuts this year, up from €2 billion previously. The company has also reaped billions of euros by offloading stakes in its renewables arm and mobility division, and is in talks to sell half of its carbon capture unit. “The combination of divestments set to come through this year, ongoing ‘self-help,’ as well as the additional cash flow from new ramp-ups sets Eni up for a strong second half of 2025 and 2026,” RBC Europe Ltd. analyst Biraj Borkhataria said in a note. He expects “growing free cash flow and a more resilient balance sheet than we’ve seen for many years.” The shares rose as much as 0.6% at the open in Milan, before trading little changed as of 9:08 a.m. local time. Eni confirmed plans for shareholders’ returns this year. It expects free cash flow before working capital of about €11.5 billion at $70-a-barrel crude, up from previous guidance of €11 billion. The company also raised its forecast for annual earnings from its gas division to €1 billion from €800 million. Net debt shrank to €29.1 billion at the end of June. WHAT DO YOU THINK? Generated by readers, the comments included herein do not reflect the views and opinions of