Activity in the oil and gas sector increased slightly in the first quarter of 2025, according to oil and gas executives responding to the Dallas Fed Energy Survey. That’s what the Federal Reserve Bank of Dallas stated last week on a Dallas Fed Energy Survey page on its website, adding that the business activity index remained in positive territory but declined slightly from 6.0 in the fourth quarter of 2024 to 3.8 in the first quarter. The Dallas Fed highlighted that this index is the survey’s broadest measure of the conditions energy firms face in the Eleventh District. “The company outlook index decreased 12 points to -4.9, suggesting slight pessimism among firms. Meanwhile, the outlook uncertainty index jumped 21 points to 43.1,” the Dallas Fed noted on its site. “Oil and gas production increased slightly in the first quarter, according to executives at exploration and production firms. The oil production index moved up from 1.1 in the fourth quarter to 5.6 in the first quarter. Meanwhile, the natural gas production index turned positive, rising from -3.5 to 4.8,” it added. Costs increased at a faster pace relative to the prior quarter, the Dallas Fed stated. “Among oilfield services firms, the input cost index advanced, from 23.9 to 30.9. Among E&P firms, the finding and development costs index increased, from 11.5 to 17.1. Meanwhile, the lease operating expenses index rose from 25.6 to 38.7,” it said on its site. The Dallas Fed noted on its site that the equipment utilization index for oilfield services firms was relatively unchanged at -4.8. “The operating margin index decreased from -17.8 to -21.5, indicating margins narrowed at a slightly faster rate. Meanwhile, the prices received for services index swung into positive territory, increasing from -13.0 to 7.1,” it added. The aggregate employment index edged down

GOLDEN, COLORADO—The U.S. Department of Energy (DOE) today announced plans to help ensure America leads the world in Artificial Intelligence (AI) and lower energy costs by co-locating data centers and new energy infrastructure on DOE lands. DOE has released a Request for Information (RFI) to inform possible use of DOE land for artificial intelligence (AI) infrastructure development to support growing demand for data centers. DOE has identified 16 potential sites uniquely positioned for rapid data center construction, including in-place energy infrastructure with the ability to fast-track permitting for new energy generation such as nuclear. In accordance with President Trump‘s Removing Barriers to American Leadership in Artificial Intelligence and Unleashing American Energy Executive Orders, DOE is exploring opportunities to accelerate AI and energy infrastructure development across the country, prioritizing public-private partnerships to advance the use of innovative technologies and strategies. “The global race for AI dominance is the next Manhattan project, and with President Trump’s leadership and the innovation of our National Labs, the United States can and will win,” Secretary of Energy Chris Wright said. “With today’s action, the Department of Energy is taking important steps to leverage our domestic resources to power the AI revolution, while continuing to deliver affordable, reliable and secure energy to the American people.” “President Trump is committed to ensuring American leadership in artificial intelligence and Secretary Wright is delivering,” said White House Office of Science and Technology Policy Director Michael Kratsios. “The Trump Administration will unleash Federal resources to build out the data resources needed for an AI-powered future.” The Department is seeking input from data center developers, energy developers, and the broader public to further advance this partnership. The information collected will be used to inform development, encourage private-public partnerships and enable the construction of AI infrastructure at select DOE sites with a target of commencing operation

Mass firings at the Department of Health and Human Services on Tuesday included all staff of the Low Income Home Energy Assistance Program, a federally-funded initiative which helps vulnerable families afford their electricity and gas bills. Consumer advocates say the layoffs threaten hundreds of millions in assistance already approved by Congress but not yet sent to states. LIHEAP was created in 1981 and typically enjoys bipartisan support. Electric utilities support the program, calling it a “vital source of aid” for about 6 million low-income households annually. Federal funds are authorized by Congress and directed to state programs that administer LIHEAP benefits. While these state programs have funding to continue to operate for the coming months, “the elimination of federal staff threatens the stability of this popular, essential program in the coming fiscal years,” the National Consumer Law Center and National Energy Assistance Directors Association said in a joint statement. LIHEAP received about $4.1 billion in fiscal year 2024, and Congress continued funding at that level for 2025. Most of the funds have already been released to the states but about 10% remains, and those cannot be released until HHS determines the state-by-state allocation, NEADA Executive Director Mark Wolfe said in an email. “The person responsible for making the calculations was also laid off Monday morning,” Wolfe said. “My concern is that the administration could say that without an allocation or staff to oversee the funding, they cannot distribute the $378 million to the states.” “It’s critical that HHS ensure there is no disruption to the administration of the LIHEAP program in order to protect families during future hot summers and cold winters,” NCLC Senior Attorney Olivia Wein said. HHS Secretary Robert Kennedy Jr. called the HHS layoffs “a difficult moment,” but said in a post on X that “this overhaul is

Dive Brief: Energy storage systems, as well as other newer forms of distributed energy resources, could be particularly vulnerable to cyberattacks and other security risks because of their reliance on cloud-based computer software, experts said Tuesday during a panel hosted by the Clean Energy States Alliance. While the panelists said they were not aware of any direct attacks on energy storage systems to date and acknowledged the importance of energy storage to the energy transition, they also said such systems would require greater cybersecurity safeguards than more traditional energy technologies. Speakers urged regulators and utilities to run a cybersecurity risk assessment and put protocols into place for addressing potential cybersecurity breaches within their energy storage or distributed resource networks. Dive Insight: Energy storage, coupled with other distributed energy resources and cloud computing, represents a major potential boon to the energy transition and utilities, Howard Gugel, senior vice president of regulatory oversight at the North American Electric Reliability Corporation, said during the CESA panel. But while connectivity to the cloud can enable remote repairs at a mass scale and other impressive feats, he said this same capability also gives him some reason for pause. “It raised a wow factor from two perspectives,” he said of his recent observation of a mass update sent out to an inverter-based resource. “One, wow isn’t it great that we are able to respond quickly and fix a problem … But then the other wow is, if this were to fall into the wrong hands … this could have been a bad situation.” Gugel noted that while energy storage isn’t unique in this regard, the fact that most energy storage systems are relatively new means they are more likely to integrate some form of Wi-Fi or Bluetooth connection, and to rely on software or data based

Dive Brief: Marc Sacks, a Department of Justice attorney arguing on behalf of the U.S. Environmental Protection Agency, sought distance from EPA Administrator Lee Zeldin’s accusations of fraud during a Wednesday hearing in a lawsuit filed by Greenhouse Gas Reduction Fund grant recipients whose funding has been frozen. Sacks argued for EPA’s right to freeze the funding based on a clause in the August 2024 grant agreement which allowed the agency to terminate a contract based on grantee compliance with EPA’s general terms and conditions, saying a dispute exists over whether or not that gave EPA “the right at that point in time to terminate for agency priorities.” District Judge Tanya Chutkan noted that this was a shift away from EPA’s public argument, as its termination letter to the grantees had alleged “waste, fraud, and abuse … That you were launching investigations, and you know there was malfeasance. You seem to be abandoning that position now.” Dive Insight: Zeldin has commented several times on the freeze since it began Feb. 16, frequently alleging grantee fraud and stating in a March 5 release that “$20 billion was given to just eight pass-through nongovernmental entities in an effort riddled with self-dealing, conflicts of interest, and an extreme lack of qualifications.” In a March 2 letter to Acting Inspector General Nicole Murley, Acting Deputy EPA Administrator Chad McIntosh said that fund holder Citibank had voluntarily paused further disbursements of GGRF funding, then cited “reckless financial management, blatant conflicts of interest, astonishing sums of tax dollars awarded to unqualified recipients, and severe deficiencies in regulatory oversight under the prior administration.” McIntosh also cited “an unusual and apparently improper structure of the agreements governing the administration of the GGRF altogether excluded EPA from being a party to Account Control Agreements (ACAs) with subrecipients.” Sacks argued

UK energy companies are expected to avoid doing business in the United States as a result of Trump slapping a 10% tariff on British exports. The President of the United States, Donald Trump, has unveiled a series of new tariffs that are due to come into effect on 9 April, in addition to plans to increase existing tariffs on steel and aluminium. “Overreaching tariff regimes have always been detrimental to business, and given its global reach and interconnectedness, the energy supply chain will not be spared from that,” said Rebecca Groundwater, the Energy Industries Council’s (EIC) head of external affairs. She said that if companies are currently operational in the US, they may be able to absorb the latest regulatory and policy changes from the White House. “But for those considering the US as a potential market, these increased costs of doing business and operations will give them pause,” Groundwater said. “We anticipate these organisations will instead turn to other markets where the ease of doing business, regulatory framework, and policy environment are more stable.” Unstable regions “do not entice business”, she warned, as the US moved to impose a 10% levy on all imported manufactured goods from the UK. The organisation declined to comment on the impact of Brexit on the UK’s position, as the US tariff on Europe will be nearly double at 20%. Industry trade body Make UK called on the UK government to set up a tariffs taskforce to create a dialogue with industry. Make UK’s chief executive officer Stephen Phipson called the export tariff changes “devastating”. He said: “The US president’s announcement of 10% tariffs on UK goods exported to the United States and 25% tariffs on British made autos, steel and aluminium is devastating for UK manufacturing. “Not only will volumes of direct exports to the US