Natural Gas Week articles from July 2006

Natural Gas Week archives from July 2006

Natural gas weekly spot prices.
July 3, 2006... NATURAL GAS WEEKLY SPOT PRICES Flow Dates: 6/27-7/3 Avg. Avg. Jul. Daily Daily Bid Price Point $/MMBtu Chg. High...

All aboard: Conoco claims major stake in planned Rockies Express.
July 3, 2006... ConocoPhillips has exercised its option for a 25% stake in the Kinder Morgan-Sempra Energy Rockies Express natural gas pipeline, agreeing to invest $1.1 billion for its share in the $4.4 billion transportation system from the Rocky Mountain...

Bulls now talking up "Peak Gas" as new cause for long-term concern.
July 3, 2006... Over the past couple of years, the buzz-words "Peak Oil" in the energy markets has become synonymous with fear of future supply disruptions, helping to bolster the price per barrel of oil to all time record highs. Get ready, because despite the...

Nymex August gas futures mired, range-bound, awaiting direction.
July 3, 2006... Gas futures seem to be stuck in the mud, unable to move notably higher due to the growing glut of supply, but unable to erode much lower due to the onset of summer demand, potential hurricanes, and crude poised to test new highs. [GRAPHIC...

Major hurdle: US House votes to end offshore natgas drilling ban.
July 3, 2006... Handing a significant win to those clamoring for more domestic energy supply, the House of Representatives voted last week to dismantle the nearly 25-year ban on offshore drilling in much of the US coastline. The vote (232-187) bucks the...

Offer accepted.(Late news ...)
July 3, 2006... Offer accepted: The board of directors of Canada Southern Petroleum said Friday they have agreed on a buyout offer from Canadian Oil Sands Trust. Under the terms of the offer, Canadian Oil Sands will acquire all of the outstanding common shares...

Talks under way.(Late news ...)
July 3, 2006... Talks under way: Top officials from Russia's OAO Gazprom gas monopoly and Britain's BG Group PLC met in Moscow Friday for talks focusing on prospects for marketing Russian LNG in the US. Officials with Gazprom said the company is laying the...

Say uncle: Kerr-McGee agrees to negotiate royalty relief dispute.
July 3, 2006... In a move that could calm the firestorm over royalty relief, Kerr-McGee on Friday announced it would negotiate with the US government to settle a dispute over royalties for offshore leases and shelve its lawsuit for now. Kerr-McGee's...

Intrastate weekly spot prices.
July 3, 2006... INTRASTATE WEEKLY SPOT PRICES Flow Dates: 6/27-7/3 Avg. Avg. Jul. Daily Daily Bid Price Point $/MMBtu Chg. High Low...

Duke Energy "divergence" marks return to a Pre-Enron status Quo.
July 3, 2006... Duke Energy's announcement last week it was restructuring into two "pure-play" entities marks what may be the final nail in the coffin of a now discredited business model called convergence. The company said it would split into two business...

Prices and differentials for major hubs and selected city gates.
July 3, 2006... July 3, 2006 US$/MMBtu, Volume-Weighted [ILLUSTRATION OMITTED] SELECTED DAILY DIFFERENTIALS Differential 6/26 6/27 6/28 6/29 6/30 HH-NY +0.47 +0.56 +0.70 +0.86 +0.53 HH-Chicago -0.20 -0.26...

More gas-focused deals expected following Anadarko's big buyouts.
July 3, 2006... Kerr-McGee and Western Gas Resources aren't expected to be the last US independents to be taken over during this current upstream shakeout. Anadarko, which has paid $23 billion for the two companies, saw the recent dip in equity values as...

Composite spot wellhead price.
July 3, 2006... COMPOSITE SPOT WELLHEAD PRICE January 2002 to Present ($/MMBtu) Year Jan. Feb. March April May June July August Sept. Oct. 2006 8.20 7.30 6.47 6.61 5.93 6.04 2005 6.05 5.99 6.77 6.99 6.26 6.91 7.50...

Anadarko to divest its Canadian subsidiary; bear head still a go.
July 3, 2006... The purchase of Kerr-McGee and Western Gas Resources has forced Anadarko Petroleum to part with it's wholly owned subsidiary, Anadarko Canada Corporation. Estimated to be worth $3.5 to $4 billion, the sale of its Western Canadian assets would...

Natural gas futures.
July 3, 2006... NATURAL GAS FUTURES Trading Dates: June 26 - June 30, 2006 NEW YORK MERCANTILE EXCHANGE (NYMEX) (HENRY HUB) Monday Tuesday Wednesday Last Volume Last Volume Last...

LNG tankers able to transverse fouled Calcasieu Ship Channel.
July 3, 2006... The Calcasieu Ship Channel that serves the port of Lake Charles, Louisiana, four oil refineries, a slew of petrochemical plants and related facilities, as well as Southern Union's Trunkline Gas LNG terminal remained closed to most traffic at...

North American weekly gas storage.
July 3, 2006... NORTH AMERICAN WEEKLY GAS STORAGE (Billion Cubic Feet) Jun. 23 Jun. 16 Weekly Year Yr. Ago 5-year 5-year Region Week Week Change Ago Change Average Change US East 1359 ...

Natural gas bidweek prices.
July 3, 2006... NATURAL GAS BIDWEEK PRICES Flow Dates: 7/1-7/31 (Vol./d) Price July Chg. Prev. Point Avg. from Bid- $/MMBtu Prev. High Low...

EIA lowers LNG import outlook, warm winter, Europe, Asia cited.
July 3, 2006... Growing global LNG demand and energy security concerns in Europe and Asia strained the relatively small LNG spot market to its limits last year and through this past winter, with the result that US imports stagnated. Over that period, the...

Omni energy continues to expand, acquiring rig tools for $14 million.
July 3, 2006... The $14 million acquisition of a private rental tool company may not stand out much in light of the mega-mergers and buyouts in the energy industry these days. But Omni Energy Services' acquisition of Rig Tools last week means it can...

NGW's monthly weighted averages.
July 3, 2006... NGW'S MONTHLY WEIGHTED AVERAGES $/MMBtu Price Point Jun-06 May-06 Apr-06 Mar-06 Feb-06 Gulf Coast ANR SE 6.19 6.15 6.94 6.66 7.35 Col. Gulf - Erath 6.16 6.16...

Offshore wind projects get Greenpeace backing.(CURRENT)
July 3, 2006... Last week, the Minerals Management Service of the US Department of Interior set in motion plans to write an environmental impact statement (EIS) on New York's planned offshore wind energy park. The Long Island Power Authority and FPL Energy...

BP, California university mount innovative solar power project.(CURRENT)
July 3, 2006... In a joint statement last week, BP and the California Institute of Technology announced an innovative project to develop a new method of making solar cells cheaper and in doing so, make solar power more competitive with conventional ways of...

Spot electricity trading.(CURRENT)
July 3, 2006... SPOT ELECTRICITY TRADING Trading Dates: June 26-June 30, 2006 NEW YORK MERCANTILE EXCHANGE (NYMEX) (HENRY HUB) Avg. Price Avg. Price Year Month POINT This Week Last Week Change Ago ...

Comparative fuel prices.(CURRENT)
July 3, 2006... COMPARATIVE FUEL PRICES (Cash Market) July 3, 2006 APPALACHIA Appalachian Pool Ohio/Big Sandy River Coal Dlvd (Util) $47.75/ton $6.21/MMBtu $1.99/MMBtu EAST COAST ...

DOE selects new R&D projects to solve deep-well drilling problems.(Regional Market Roundup)
July 3, 2006... The US Department of Energy has selected seven new cost-shared research and development projects aimed at tackling the problems associated with onshore and offshore deep-well drilling. The Department of Energy has estimated that onshore and...

Baker Hughes rig count.(Regional Market Roundup)
July 3, 2006... ILLUSTRATION OMITTED BAKER HUGHES RIG COUNT Week Ended Jun. 30 Rotary Rigs Current Previous Year Week Week Ago Total US 1,666 1,669...

Gas price trends.(Regional Market Roundup)
July 3, 2006... GAS PRICE TRENDS ($/MMBtu) CALIFORNIA ROCKY NEW MTNS MEXICO South North Jul 3, 2006 Inter (well) - - 4.88 5.05 ...

Public-private pact resurrects EnCana's Deep Panuke gas play.(Canadian Markets)
July 3, 2006... The Canadian province of Nova Scotia and super-independent EnCana have reached a preliminary agreement that could lead to development of the Deep Panuke natural gas field, located about 150 miles southeast of Halifax. The Offshore...

Era of cheap Latin American gas over; Bolivia joins pipeline group.(World Roundup)
July 3, 2006... Bolivia has increased the price for the natural gas it exports to Argentina by 60%, a move that signals the end of more than a decade of cheap gas in Latin America. Buenos Aires has agreed to pay $5/MMBtu for the roughly 195 million cubic...

Canadian price report.(World Roundup)
July 3, 2006... CANADIAN PRICE REPORT ($U.S. per MMBtu/$ Can per Gigajoule) BRITISH COLUMBIA Total Huntingdon/ Kingsgate/ Province Sumas ...

Me panic? It's just another fine mess we've gotten ourselves into.(World Roundup)
July 3, 2006... Dismissing Matt Simmons and other Cassandra's of the energy business is easy enough given their unsettling premise that global oil reserves are dwindling and an energy crisis of epic proportions is looming. On the other hand, there are...

Natural gas weekly spot prices.
July 10, 2006... NATURAL GAS WEEKLY SPOT PRICES Flow Dates: 7/4-7/10 Avg. Avg. Jul. Daily Daily Bid Price Point $/MMBtu Chg. High...

Rainy Northeast could dodge heat, not demand-dampening hurricanes.
July 10, 2006... The late-June rains in the Northeast didn't last 40 days and 40 nights, but they did last long enough to factor into hurricane season forecasting. The Northeast rains may have been the first salvo from a weather pattern that is expected to...

Growing glut could spell $5 gas futures as coming market bottom.
July 10, 2006... A sense of de ja vu is circulating in the natural gas industry as unusually cool summer weather blanketing eastern markets conjures up the ghost of a freakishly warm January that left a glut of supply in its wake. Storage has now topped...

Bearish demand, technicals sends August natgas futures tumbling.
July 10, 2006... Lackluster demand across much of the US, coupled with an overall bearish sentiment, sent prompt-month gas futures last week to the lowest levels seen this year. However, while some weather models are calling for relatively mild conditions to...

Coast Guard still charting vast underwater storm debris in Gulf.
July 10, 2006... Unseen from the surface of the Gulf of Mexico, the fallout from hurricanes Katrina and Rita is still being felt. The storms left the bottom of the Gulf littered with everything from sunken rigs and platforms, to cars, boats, pieces of houses...

Rig contracts.(Late news ...)
July 10, 2006... Rig contracts: Helmerich & Payne will operate five new FlexRigs under three-year term contracts for one exploration and production company. The name of the E&P company or the financial terms of the contract were not released. The Tulsa,...

Power deal.(Late news ...)
July 10, 2006... Power deal: Officials with Southern Co. said last week that the utility has agreed to sell about 621 MW of wholesale electricity to Progress Energy's Progress Ventures subsidiary from 2009-15. Financial details of the deal were not released....

Death trumps charges; Ex-Enron CEO Ken Lay leaves mixed legacy.
July 10, 2006... Criminal charges against Kenneth L. Lay, Enron's longtime chairman and chief executive, are expected to be vacated in the wake of his death last week of an apparent heart attack in Aspen, Colorado. If so, it would be as if Lay, 64, had...

BLM still struggling to keep pace with permits, inspections.
July 10, 2006... With natural gas demand anticipated to increase 25% over the next decade, the Bureau of Land Management's role in the US energy future will continue to be at the center of debate for good reason: public lands that the BLM oversees provide 18%...

Intrastate weekly spot prices.
July 10, 2006... INTRASTATE WEEKLY SPOT PRICES Flow Dates: 7/4-7/10 Avg. Avg. Jul. Daily Daily Bid Price Point $/MMBtu Chg. High Low...

Prices and differentials for major hubs and selected city gates.
July 10, 2006... July 10, 2006 US$/MMBtu, Volume-Weighted [ILLUSTRATION OMITTED] SELECTED DAILY DIFFERENTIALS Differential 7/3 7/4 7/5 7/6 7/7 HH-NY +0.53 +0.53 +0.56 +0.42 +0.48 HH-Chicago -0.32 -0.32 -0.13...

Poll: Americans like Canada, but clueless about its energy exports.
July 10, 2006... A recent poll by a nonprofit organization shows that the majority of Americans have a good impression about Canada, but don't have a clue as how their northern neighbor fits into the US energy picture. The Canadian American Business Council...

North American weekly gas storage.
July 10, 2006... NORTH AMERICAN WEEKLY GAS STORAGE (Billion Cubic Feet) Jun. 30 Jun. 23 Weekly Year Yr. Ago 5-year 5-year Region Week Week Change Ago Change Average Change US East 1409 1359...

Even with Rita, Petsec reports stellar 2005, on track for 2006.
July 10, 2006... Petsec Energy has now reported three years of consecutive healthy growth, with the company pegging its hopes for the 2006 on its core properties in the Gulf of Mexico and an oil discovery in China. The Australian company, which has its US...

Natural gas futures.
July 10, 2006... NATURAL GAS FUTURES Trading Dates: July 5 - July 7, 2006 NEW YORK MERCANTILE EXCHANGE (NYMEX) (HENRY HUB) Monday Tuesday Wednesday Last Volume Last Volume Last Volume ...

Clean, plentiful, yes; but LNG increases reliance on imports.
July 10, 2006... When industry and government officials tout the advantages of liquefied natural gas to offset declines in US and Canadian supplies of indigenous natural gas, they do focus on its advantages: a clean-burning fuel, minimal greenhouse gas...

Pipeline capacity utilization.
July 10, 2006... PIPELINE CAPACITY UTILIZATION Location FlowDate Flow July (2006) July (2005) Month-to-Date Month-to-Date Transco Zone 6 NY 7/5/2006 1,542,053 1,559,259 1,406,654...

Power sector facing make-or-break challenges.(CURRENT)
July 10, 2006... After years of restructuring, the electric industry and its regulators now face 10 unprecedented challenges that could threaten power system integrity and lead to significant rate increases, according to Black & Veatch (B&V). B&V, which...

Shell planning $200M wind farm on Maui.(CURRENT)
July 10, 2006... Though it is known as one of the most desirable vacation spots in the US, residents of Hawaii have to cope with some of the highest utility rates in the country. According to the Energy Information Administration, the average retail price for...

Reliant to spend $625 million upgrading Pennsylvania plants.(CURRENT)
July 10, 2006... Reliant Energy plans to install state-of-the-art emission control systems at two Pennsylvania power plants, a major step in the Houston-based company's strategy for maximizing the long-term value of its power generation assets while reducing...

Spot electricity trading.(CURRENT)
July 10, 2006... SPOT ELECTRICITY TRADING Trading Dates: July 5-July 7, 2006 NEW YORK MERCANTILE EXCHANGE (NYMEX) (HENRY HUB) POINT Avg. Price Avg. Price Year Month This Week Last Week Change Ago ...

Comparative fuel prices.(CURRENT)
July 10, 2006... COMPARATIVE FUEL PRICES (Cash Market) July 10, 2006 APPALACHIA Appalachian Pool Ohio/Big Sandy River Dlvd (Util) Coal $47.00/ton $5.76/MMBtu $1.96/MMBtu ...

Alaskan legislators pressured to support NatGas Pipeline deal.(Regional Market Roundup)
July 10, 2006... Following the memorandum of understanding by the Department of Energy and 14 other agencies to expedite the permitting of the Alaska Natural Gas Pipeline project, as well as a direct appeal last week from Vice President Dick Cheney, DOE...

Baker Hughes rig count.(Regional Market Roundup)
July 10, 2006... [ILLUSTRATION OMITTED] BAKER HUGHES RIG COUNT Week Ended Jul. 7 Rotary Rigs Current Previous Year Week Week Ago Total US 1,659 1,666...

Gas price trends.(Regional Market Roundup)
July 10, 2006... GAS PRICE TRENDS ($/MMBtu) CALIFORNIA ROCKY NEW MTNS MEXICO South North Jul 10, 2006 Inter (well) - - 4.58 4.72 ...

Natural gas could lag in future Canadian power generation mix.(Canadian Markets)
July 10, 2006... Canada will need a significant amount of new generation to meet growing power demand by 2020, according to a report released this month by the Canadian Electricity Association (CEA). But natural gas generation capacity, though expected to...

BP-led consortium begins output at Amenas gas complex in Algeria.(World Roundup)
July 10, 2006... BP recently started producing gas at its major Amenas gas complex with partners state Sonatrach and Norway's Statoil. Not content together to dominate future Algerian gas output growth, the three companies each have hectic exploration programs,...

Canadian price report.(World Roundup)
July 10, 2006... CANADIAN PRICE REPORT ($U.S. per MMBtu/$Can per Gigajoule) BRITISH COLUMBIA Total Huntingdon/ Kingsgate/ Province Sumas Eastport...

Earth to subcommittee: CFTC says it doesn't want or need your help.(World Roundup)
July 10, 2006... Some Senate actions are akin to the dandelions. You can count on them springing up, but not much will come of it. Take the recent Senate Permanent Investigations Subcommittee call for legislation to close a major loophole in federal...

Natural gas weekly spot prices.
July 17, 2006... NATURAL GAS WEEKLY SPOT PRICES Flow Dates: 7/11-7/17 Avg. Avg. Jul. Price Daily Daily Bid Point $/MMBtu...

Nyet! Putin wants higher uranium price; could bolster natural gas.
July 17, 2006... As world leaders gather in St. Petersburg, Russia, for the G8 Summit, some sources contend that Russian President Vladimir Putin is about to embark on one of the most aggressive nuclear plays in decades--one which could send the price that the...

Hard sell: Murkowski says it's now or never for Alaska Pipeline.
July 17, 2006... Alaska Gov. Frank Murkowski warned state House and Senate members called into special session last week that they must come to an agreement over the proposed Alaska Natural Gas Pipeline Project or risk losing everything. "The issue is a...

Natgas prices rally as summer demand hits; more upside ahead.
July 17, 2006... Cash market prices roared ahead last week as summer demand spiked in major markets coast-to-coast And the promise of even stronger demand to come will likely keep gas prices running higher or at least maintain current levels. [GRAPHIC...

Bill takes aim at 'discriminatory' rates for interstate pipelines.
July 17, 2006... Legislation aimed at preventing discriminatory taxation of natural gas pipeline property has passed the House Judiciary Committee full committee mark-up. Bill HR 1369 is meant to spawn new infrastructure investment by reducing the taxes...

Shots traded over LNG terminal.(Late news ...)
July 17, 2006... Shots traded over LNG terminal: The president or Hess LNG said Friday he is not concerned about a law signed by Rhode Island Gov. Donald Carcieri aimed at stopping the Weaver's Cove LNG terminal in Fall River, Massachusetts. The law would stop...

Public comment sought.(Late news ...)
July 17, 2006... Public comment sought: The federal Minerals Management Service is extending the public comment period for the Environmental Impact Statement (EIS) for the proposed Cape Wind Energy Project in Nantucket Sound, Massachusetts. A MMS spokesman said...

System buyouts show value of Texas pipelines continues to grow.
July 17, 2006... The values of Texas intrastate gas gathering systems are soaring, as two acquisitions announced last week strongly indicate. Regency Energy Partners of Dallas is buying TexStar Field Services from affiliates of HM Capital Partners for $350...

Credo finds success with Texas, Oklahoma, Kansas natgas drilling.
July 17, 2006... A wildcat project in the Anadarko Basin could prove to be very productive for Denver-based independent Credo Petroleum. In a media briefing recently on Credo's operations, company President James T. Huffman said drilling operations in the...

Intrastate weekly spot prices.
July 17, 2006... INTRASTATE WEEKLY SPOT PRICES Flow Dates: 7/11-7/17 Avg. Avg. Jul. Price Daily Daily Bid Point $/MMBtu Chg. High...

Prices and differentials for major hubs and selected city gates.
July 17, 2006... July 17, 2006 US$/MMBtu, Volume-Weighted [ILLUSTRATION OMITTED] SELECTED DAILY DIFFERENTIALS Differential 7/10 7/11 7/12 7/13 7/14 HH-NY +0.54 +0.61 +1.00 +1.42 +1.15 HH-Chicago -0.03 -0.07...

Atlantic Canada's Canaport LNG terminal key to Repsol's plans.
July 17, 2006... With rising global gas prices and continuing uncertainty in its Latin American operations, Spain's Repsol YPF is betting big on LNG, particularly in the US. Already the third-largest LNG trader in the world, Repsol is aiming to forge an...

Smart gas hedges set to increase E&P earnings for second quarter.
July 17, 2006... High crude oil prices and some judicious natural gas price hedges should enable most US independent oil and gas producers to report healthy increases in second-quarter earnings, compared with the same period of 2005. Increased production...

North American weekly gas storage.
July 17, 2006... NORTH AMERICAN WEEKLY GAS STORAGE (Billion Cubic Feet) Jul. 7 Jun. 30 Weekly Year Yr. Ago 5-year 5-year Region Week Week Change Ago Change Average Change US East 1464 ...

Natural gas futures.
July 17, 2006... NATURAL GAS FUTURES Trading Dates: July 10 - July 14, 2006 NEW YORK MERCANTILE EXCHANGE (NYMEX) (HENRY HUB) Monday Tuesday Wednesday Last Volume Last Volume Last ...

Summer LNG dynamics shifting as Asia becomes much stronger draw.(Atlantic Basin LNG Update)
July 17, 2006... The global LNG market has been relatively volatile this summer. The US was the main draw in May and June, but in recent weeks Japan and South Korea emerged as the major spot buyers. Traders speculate that as Asian demand dries up, Europe will...

Prices for major Atlantic basin LNG hubs.(Atlantic Basin LNG Update)
July 17, 2006... July 2006 ($US/MMBtu) * European gas prices are four-week spot averages from World Gas Intelligence. US gas prices are Natural Gas Week's volume-weighted composites from delivery first day of month through most current delivery date....

Wind, natural gas could seek links in Wisconsin.(CURRENT)
July 17, 2006... Wind is on the dance card with natural gas in Wisconsin's power markets, which expect to have 6,350 MW of gas-fired generation capacity available for use this summer. Using the synergies between wind and natural gas is one issue the Public...

EPA white paper hails coal gasification.(CURRENT)
July 17, 2006... With the EPA's recent release of a white paper lauding the use of integrated gasification combined cycle (IGCC) technology as a relatively clean and efficient way to produce electricity, no doubt there will be a spate of projects coming down...

CAISO seeking comments on how intermittent power works into mix.(CURRENT)
July 17, 2006... The California Independent System Operator (CAISO) is seeking stakeholder comments by Tuesday on the Participating Intermittent Resource Program. Last week CAISO conducted one of a series of conference calls addressing intermittent...

Spot electricity trading.(CURRENT)
July 17, 2006... SPOT ELECTRICITY TRADING Trading Dates: July 10-July 14, 2006 NEW YORK MERCANTILE EXCHANGE (NYMEX) (HENRY HUB) Avg. Price Avg. Price This Last Year Month POINT ...

Comparative fuel prices.(CURRENT)
July 17, 2006... COMPARATIVE FUEL PRICES (Cash Market) July 17, 2006 APPALACHIA Appalachian Pool Ohio/Big Sandy River Coal Dlvd (Util) $46.50/ton ...

WPS Resources planning $1.5 B acquisition of LDC Peoples Energy.(Regional Market Roundup)
July 17, 2006... Electric and gas utility WPS Resources said last week it will buy Peoples Energy for about $1.52 billion in a move to expand further into gas distribution. Peoples Energy distributes natural gas to more than 1 million customers in...