Lots of talk here about passing a severance tax here in Pa. But with gas prices low, the rig count has already dropped substantially. If they pass an additional tax of 5% that will have a major impact, especially since that would be 5% of the gross not 5% of the profit. With all the other taxes already paid by companies and their employees, that could be a big blow to the industry. Could even end up that the state would collect less revenue if they pass the new tax.
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Jim,
According to Rig Data there are 72 rigs operating in PA right now. Up from previous weeks.
Phil
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