Natural Gas Week articles from March 2005

Natural Gas Week archives from March 2005

Natural gas weekly spot prices.
March 7, 2005... NATURAL GAS WEEKLY SPOT PRICES Flow Dates: 3/1-3/7 Avg. Avg. Mar. Price Daily Daily Bid Point $/MMBtu Chg....

Hedge funds laying low, may be ready to drive market higher.
March 7, 2005... Though regulators might dispute the impact hedge funds have on natural gas futures, many traders remain wary of their influence. And though their machinations might appear quiet for now, the funds are alive and well and likely plotting their...

Increase in Calcasieu channel's congestion concern for terminals.
March 7, 2005... As a growing number of proposed LNG terminals receive the Federal Energy Regulatory Commission's stamp of approval, questions about the potential consequences of concentrating these facilities in the Gulf of Mexico are growing. Southern...

Oil surge takes center stage, keeps props under bearish gas.
March 7, 2005... A series of rallies in the petroleum markets had April crude oil futures knocking on the door of new record highs last week and, despite an increase of bearish fundamentals and a glut of gas in storage natural gas, traders are predicting a...

ANWR again takes congressional spotlight as debate catches fire.
March 7, 2005... Its isolation aside, the 1.5 million acre coastal plain of the Arctic National Wildlife Refuge (ANWR) has been hailed as the first step to easing US reliance on foreign oil. The area is projected to be able to provide American consumers between...

Reserves cut.(Late news ...)
March 7, 2005... Reserves cut: ChevronTexaco officials, citing what they called disappointing drilling results in two locations, cut its US natural gas reserves by 13% for 2004. This marks the third year in a row the company has cut its gas reserves. Citing the...

CBM properties acquired.(Late news ...)
March 7, 2005... CBM properties acquired: Broomfield, Colorado-based Fellows Energy announced Friday that it has entered into an agreement with Quaneco LLC, to acquire a 12.5% working interest in the Kirby and Castle Rock Coal Bed Natural Gas projects covering...

Alaska pipeline advance could threaten Mackenzie Valley pipe.
March 7, 2005... While Canada's proposed Mackenzie Valley pipeline is well ahead of the much larger Alaska pipeline proposal in terms of the regulatory approval process, it suffers from the lack of a powerful champion like Alaska Gov. Frank Murkowski, who is...

Intrastate weekly spot prices.
March 7, 2005... INTRASTATE WEEKLY SPOT PRICES Flow Dates: 3/1-3/7 Avg. Avg. Mar. Price Daily Daily Bid Point $/MMBtu Chg. High Low...

Qatar LNG announcements muddy view on North American supply.
March 7, 2005... This week's multiple announcements on Qatar's rapidly evolving LNG development and related businesses may have raised more questions than they provided answers as to who actually is getting what in the various deals, including how much of the...

Prices and differentials for major Hubs and selected City Gates.
March 7, 2005... [ILLUSTRATION OMITTED] March 7, 2005 US$/MMBtu, Volume-Weighted SELECTED DAILY DIFFERENTIALS Differential 2/28 3/1 3/2 3/3 3/4 HH-NY +1.30 +1.19 +1.34 +1.02 +0.75 HH-Chicago +0.11 +0.06...

Expedition to survey potential methane hydrate harvest in Gulf.
March 7, 2005... The semi-submersible drilling rig Uncle John will enter the Gulf of Mexico later this month to begin a 35-day voyage aimed at mapping methane hydrate deposits in an effort to tap what Department of Energy officials are calling a "virtually...

Composite spot wellhead price.
March 7, 2005... COMPOSITE SPOT WELLHEAD PRICE January 2001 to Present ($/MMBtu) Year Jan. Feb. March April May June July August Sept. Oct. 2005 6.05 5.99 2004 5.90 4.79 5.28 5.62 6.17 6.11 5.82 5.37 4.84 5.97 2003...

US industry group issues White Paper on gas quality guidelines.
March 7, 2005... The US last week got a step closer to diversifying its gas supply sources with the publication of the White Paper on Natural Gas Interchangeability. The issue of interchangeability--which the FERC defines as "the extent to which a...

Natural gas futures.
March 7, 2005... NATURAL GAS FUTURES Trading Dates: February 28 - March 4, 2005 NEW YORK MERCANTILE EXCHANGE (NYMEX) (HENRY HUB) Monday Tuesday Wednesday Last Volume Last Volume Last...

Burlington sees Deep Bossier play as new growth platform.
March 7, 2005... While several of its competitors beefed up their reserve bases through acquisitions last year, Burlington Resources focused on organic growth, including the establishment of a promising foothold in the Bossier Trend tight gas play in East...

EVA report: gas market healthy, but many challenges lay ahead.
March 7, 2005... According to Arlington, Virginia-based Energy Ventures Analysis (EVA), the natural gas market will continue to face a "supply limited environment" for 2005-06 but a healthier state than generally thought--this, as some acceleration in demand...

North American weekly gas storage.
March 7, 2005... NORTH AMERICAN WEEKLY GAS STORAGE (Billion Cubic Feet) Feb. 25 Feb. 18 Weekly Year Yr. Ago 5-year 5-year Region Week Week Change Ago Change Average Change US East 838 ...

Natural gas bidweek prices.
March 7, 2005... NATURAL GAS BIDWEEK PRICES Flow Dates: 3/1-3/31 Mar. Chg. Prev. Price Avg. from Bid- Point $/MMBtu Prev. High...

US gas production stabilizes, could be set for modest rebound.
March 7, 2005... Increased drilling activity over the last year could be starting to pay off in the form of stabilizing--or even growing--US natural gas production. That is the cautious conclusion some analysts are reaching after crunching recently...

NGW's monthly weighted averages.
March 7, 2005... NGW'S MONTHLY WEIGHTED AVERAGES $/MMBtu Price Point Feb.'05 Jan.'05 Dec.'04 Nov.'04 Oct.'04 Gulf Coast ANR SE 5.99 6.09 6.45 5.61 6.08 Col. Gulf - Erath ...

Heat not hydro will drive California gas use.(CURRENT)
March 7, 2005... Chronically low hydro resources in the West has had a bright side in that it encourages fuel diversity, mainly by ushering in new, natural gas-fired generation, especially in California, despite high natural gas prices that have favored the...

Virginia may get new clean-coal plant.(CURRENT)
March 7, 2005... A consortium has emerged among the leading utilities in Virginia that want to explore the development of a $1 billion coal-fired power plant. Members include Dominion Energy, American Electric Power's (AEP) subsidiary Appalachian Power and...

Clarification.(Correction Notice)
March 7, 2005... An article in the Feb. 28 edition of Natural Gas Week quoted Jerry Eyster, managing consultant with PA Consulting, as saying natural gas is the only available choice for meeting growing power demand in the US, not coal, because excess gas-fired...

Nations join forces to advance use of Generation-IV reactors.(CURRENT)
March 7, 2005... The future of new nuclear energy resources gained support when several industrial countries signed the first multilateral agreement to develop next-generation, Generation IV, nuclear technology. The US and Canada are two of 11 countries in...

GE, Hydro-Quebec advance wind proposal.(CURRENT)
March 7, 2005... The largest single award for wind generation capacity was signed last week to add 990 MW of wind-generated electricity to the power grid of Hydro-Quebec. GE Energy sealed its agreement announced in October by signing contracts with...

Spot electricity trading.(CURRENT)
March 7, 2005... SPOT ELECTRICITY TRADING Trading Dates: February 28-March 4, 2005 NEW YORK MERCANTILE EXCHANGE (NYMEX) (HENRY HUB) Avg. Price Avg. Price This Last Year Month POINT ...

Texas-size deregulation fight looming.(CURRENT)
March 7, 2005... Everything is big in Texas, including its brawls, and one is brewing over expected changes to a power market once hailed as the poster-child of deregulation. A group called the Committee of Concerned Loads filed their objections with the...

Comparative fuel prices.(CURRENT)
March 7, 2005... COMPARATIVE FUEL PRICES (Cash Market) March 7, 2005 APPALACHIA Appalachian Pool Ohio/Big Sandy River Coal Dlvd (Util) $57.50/ton $7.15/MMBtu $2.40/MMBtu EAST COAST New...

Norton helps dedicate Thunder Horse Platform in Gulf of Mexico.(Regional Market Roundup)
March 7, 2005... Secretary of the Interior Gale Norton joined with BP officials recently to dedicate the Thunder Horse Platform in the Gulf of Mexico. The platform is the world's largest semi-submersible platform and is about 50% larger than the next...

Baker hughes rig count.(Regional Market Roundup)
March 7, 2005... [GRAPHIC OMITTED] BAKER HUGHES RIG COUNT Week Ended Mar. 4 Rotary Rigs Current Previous Year Week Week Ago Total US 1,290 1,281 1,129...

Gas price trends.(Regional Market Roundup)
March 7, 2005... GAS PRICE TRENDS ($/MMBtu) ROCKY NEW CALIFORNIA MTNS MEXICO South North Mar. 7, 2005 Inter (well) - - 5.79 5.67 Intra...

Plan gives Pacific Northwest markets access to global LNG.(Canadian Markets)
March 7, 2005... Transshipment of oil is nothing new to the North American market, with long-haul supplies from the Middle East or elsewhere commonly transferred to smaller vessels for their final leg to market. But now, one small Canadian firm--WestPac...

Torres: Bolivia to stake future on local sales, not LNG export.(World Roundup)
March 7, 2005... The days of cheap Bolivian gas sales to its neighbors are about to end, permitting the country to benefit from a focus on regional sales, while leaving LNG development to languish, Bolivian Mining and Hydrocarbons Minister Guillermo Torres said...

Canadian price report.(World Roundup)
March 7, 2005... CANADIAN PRICE REPORT ($U.S. per MMBtu/$Can per Gigajoule) BRITISH COLUMBIA Huntingdon/ Kingsgate/ Total Sumas Eastport...

EnCana hints Chad assets could be sold.(World Roundup)
March 7, 2005... After exiting the UK North Sea and putting its assets in Ecuador up for sale, Canadian independent EnCana has signaled that its exploration acreage in Chad could be next to go. EnCana is still in the early phases of exploring its 108...

Energy, IT industries linked by common challenges, necessity.(World Roundup)
March 7, 2005... The energy and information technology industries at first glance don't seem very close--but they are a lot closer in design and intent than most people would imagine. "The most obvious similarity is that each, in its own way, fuels the...

Natural gas weekly spot prices.
March 14, 2005... NATURAL GAS WEEKLY SPOT PRICES Flow Dates: 3/8-3/14 Avg. Avg. Mar. Price Daily Daily Bid Point $/MMBtu Chg....

Technicals pointing to $70 oil could spell record gas prices.
March 14, 2005... With April crude oil futures flirting with new record highs over $55/bbl on the Nymex last week, talk has turned to $80 per barrel oil within the next 2 years. And while the fundamental rationale behind such a move in crude oil is open to...

Revved E&P activity increasing industry struggle to find bodies.
March 14, 2005... With the Bureau of Land Management expecting a record number of applications for drilling permits this year, it begs the question: Where are the companies planning aggressive drilling schedules going to find the bodies to make it possible? ...

Natural gas rally checked by moderating weather, storage.
March 14, 2005... A bullish crude oil and petroleum futures complex ensured natural gas prices saw a bit of volatility last week. However, traders said, the huge storage surplus helped keep any gas market rally in check. [GRAPHIC OMITTED] So despite a...

Rhode Island delegation prepares challenge to FERC's authority.
March 14, 2005... A political Rhode Island juggernaut is laying the groundwork for a tough challenge to Federal Energy Regulatory Commission authority in advance of a meeting with FERC on Thursday to discuss the proposed $110 million expansion and conversion of...

Offshore.(Late news ...)
March 14, 2005... Offshore: A coalition of 10 environmental groups have filed suit against the US Interior Department over 37 oil and natural gas drilling sites the agency approved off the California coast. The lawsuit was filed in federal court in Oakland,...

Interim chief.(Late news ...)
March 14, 2005... Interim chief: Richard R. Frazier has been named interim chief executive of Magnum Hunter Resources after the recent approval of the company's merger with Cimarex Energy. Frazier will begin serving in his new post Apr. 4 when President and...

Access granted.(Late news ...)
March 14, 2005... Access granted: Titan Exploration has signed a farm-in agreement with an oil and gas trust that gives the company access to more than 13,400 acres of oil and natural gas assets in the Fort St. John area of northeast British Columbia. With this...

Tax breaks proposed for firms drilling in Bayou State waters.
March 14, 2005... A Louisiana state senator has come up with a plan to give oil and gas drillers tax breaks and other incentives to draw them back to the Bayou State's coastal waters. State Sen. Reggie Dupre (D-Bourg) said drilling in the state's...

Intrastate weekly spot prices.
March 14, 2005... INTRASTATE WEEKLY SPOT PRICES Flow Dates: 3/8-3/14 Avg. Avg. Mar. Price Daily Daily Bid Point $/MMBtu Chg. High Low...

Gulf survey of methane hydrates could help unlock vast resource.
March 14, 2005... Lying deep under the surface of the Gulf of Mexico are pockets of methane hydrates--a geological oddity that could eventually become a new energy resource around the world. "We really don't know what is out there or how much is out there,"...

Prices and differentials for major Hubs and selected City Gates.
March 14, 2005... March 14, 2005 US$/MMBtu, Volume-Weighted SELECTED DAILY DIFFERENTIALS Differential 3/7 3/8 3/9 3/10 3/11 HH-NY +0.75 +1.25 +1.48 +0.81 +0.72 HH-Chicago +0.00 -0.01 +0.05 +0.05 +0.07...

Canadian supply forecast rosy, gloomy depending on beholder.
March 14, 2005... Is the glass half full or half empty? Do Alberta's conventional natural gas resources still have something near half their lives remaining or are they in permanent decline? According to government and industry officials at the Canadian...

North American weekly gas storage.
March 14, 2005... NORTH AMERICAN WEEKLY GAS STORAGE (Billion Cubic Feet) Mar.4 Feb. 25 Weekly Year Yr. Ago Region Week Week Change Ago Change US East 737 838 -101 ...

Quicksilver output accelerating as new areas hit their stride.
March 14, 2005... Quicksilver Resources is expecting its production growth to accelerate this year as its Canadian coalbed methane operations and Barnett Shale gas drilling pick up momentum. The company produced 121 MMcfe/d last year, up 10% from 2003 and is...

Natural gas futures.
March 14, 2005... NATURAL GAS FUTURES Trading Dates: March 7 - March 11, 2005 NEW YORK MERCANTILE EXCHANGE (NYMEX) (HENRY HUB) Monday Tuesday Wednesday Last Volume Last Volume Last Volume...

Smaller producers seeing higher earnings for fourth quarter '04.
March 14, 2005... Houston Exploration reported 2004 net income of $162.8 million ($5.44/share). This is a 30% increase from the $131.0 million ($4.20/share) reported in 2003. Revenues for the year totaled $650.4 million, a 32% increase from the $492.7 million...

Pipeline capacity utilization.
March 14, 2005... PIPELINE CAPACITY UTILIZATION Pipeline Point Name Capacity Feb-05 Jan-05 Dec-04 Colorado Cheyenne 590,000 87% 87% 85% Interstate Gas Columbia Gas Leach ...

EPA makes strides, Congressional action lags.(CURRENT)
March 14, 2005... Regulations aimed at cleaning up the air where released last week by the Environmental Protection Agency (EPA), along with the agency's first Clean Air Act (CAA) settlement of the year, which came with a price tag of $569 million. The EPA...

IGCC technology grows on fuels front.(CURRENT)
March 14, 2005... Coal gasification was boosted last week when another major coal producer joined the ranks of non-traditional energy companies participating in projects using advanced clean-coal technologies. DKRW Energy announced Thursday it completed the...

FP&L to diversify with clean-coal plant.(CURRENT)
March 14, 2005... Florida Power & Light (FP&L) wants to diversify its fuel mix by building a clean-coal plant, possibly around 840 MW, that could be ready for commercial operations around 2012-13. FP&L gets about 6% of its fuel for power generation from...

Oregon PUC to adopt plan to expand DG.(CURRENT)
March 14, 2005... The Oregon Public Utilities Commission (OPUC) plans to adopt in 2005 and 2006 recommendations made in a report released last week that offer a roadmap to expand distributed generation (DG). The OPUC wants the state to use natural gas more...

Spot electricity trading.(CURRENT)
March 14, 2005... SPOT ELECTRICITY TRADING Trading Dates: March 7-March 11, 2005 NEW YORK MERCANTILE EXCHANGE (NYMEX) (HENRY HUB) Avg. Price Avg. Price This Last Year Month POINT ...

PJM regional market dubbed competitive.(CURRENT)
March 14, 2005... The nation's most liquid regional power market, PJM, was certified competitive and absent market manipulation by its independent Market Monitoring Unit (MMU) last week. The wholesale electricity markets operated by PJM Inter-connection...

Comparative fuel prices.(CURRENT)
March 14, 2005... COMPARATIVE FUEL PRICES (Cash Market) March 14, 2005 APPALACHIA Appalachian Pool Ohio/Big Sandy River Cool Dlvd (Util) $58.25/ton $7.36/MMBtu $2.43/MMBtu EAST COAST New...

Sempra LNG capacity deal inked; Shell Gulf LNG comes under fire.(Regional Market Roundup)
March 14, 2005... Sempra and Shell's LNG plans in Louisiana both made headlines this past week--but for very different reasons. Officials with Sempra Energy announced they have reached a deal with Milan, Italy-based Eni to buy a share of regasification...

Baker hughes rig count.(Regional Market Roundup)
March 14, 2005... BAKER HUGHES RIG COUNT Week Ended Mar. 11 Rotary Rigs Current Previous Year Week Week Ago Total US 1,282 1,290 1,134 Land ...

Gas price trends.(Regional Market Roundup)
March 14, 2005... GAS PRICE TRENDS ($/MMBtu) ROCKY NEW CALIFORNIA MTNS MEXICO South North Mar 14, 2005 Inter (well) - - 5.84 5.75 ...

Reports show Alberta natural gas reserves heftier than expected.(Canadian Markets)
March 14, 2005... Alberta contains more recoverable natural gas than previously thought, according to a joint report issued last week by Canada's National Energy Board (NEB) and the Alberta Energy and Utilities Board (EUB) entitled "Alberta's Ultimate Potential...

BP's Tangguh project gets under way, some output slated for US.(World Roundup)
March 14, 2005... It was April 2001 when BP Senior Vice President for External Affairs John O'Reilly told reporters on the sidelines of a seminar in Jakarta, "We're talking possible construction of Tangguh LNG sometime in spring next year." Several springs...

Canadian price report.(World Roundup)
March 14, 2005... CANADIAN PRICE REPORT ($U.S. per MMBtu/$Can per Gigajoule) BRITISH COLUMBIA ALBERTA Huntingdon/ Kingsgate/ Total ...

Proposed terminal may shape future designs in coming years.
March 14, 2005... What future liquefied natural gas terminals may look like could be shaped by a project called the Freedom LNG Energy Center. The plan combines new technology with Mother Nature to develop a salt cavern-based LNG receiving terminal to...

Natural gas weekly spot prices.
March 21, 2005... NATURAL GAS WEEKLY SPOT PRICES Flow Dates: 3/15-3/21 Avg. Avg. Mar. Price Daily Daily Bid Point $/MMBtu...

Sources: Nymex misses point in making light hedge fund impact.
March 21, 2005... Many market participants scoffed earlier this month when the New York Mercantile Exchange released a review downplaying the influence of Hedge Fund activity on the natural gas and crude oil futures markets. In its report, the Nymex...

Politics threatens to further delay Alaska pipeline in Canada.
March 21, 2005... Efforts to get the Canadian government to "fast track" the regulatory approval process for the large Canadian section of the proposed Alaska pipeline may get tangled with two issues that have nothing to do with natural gas or pipelines: the US...

Markets might take breather before another run at records.
March 21, 2005... Bulls are expected to take a slight breather in both crude and gas early this week before making another attempt at breaking new records as the week progresses, sources say. A barrage of buying in the petroleum sector last week pushed crude to...

Shallow blocks draw big money at latest central Gulf lease sale.
March 21, 2005... Shallow-water blocks continue to attract big money at Gulf of Mexico lease sales, reflecting the trend to drill deeper wells in search of larger accumulations of gas. At Central Gulf Sale 194 in New Orleans last week, Dominion and Stone...

El Paso.(Late news)
March 21, 2005... With its merchant trading business long gone and its last power and midstream assets on the block, El Paso has pared back to its core interstate natural gas pipeline and exploration and production businesses and is ready to concentrate on...

Pioneer Natural resources and Woodside Energy.(Late news)
March 21, 2005... Pioneer Natural Resources and Woodside Energy have conducted a successful production test on their Midway deep-shelf gas discovery on Brazos Block A39 in the Gulf of Mexico. The well produced at a rate of 10 MMcf/d during a 17-hour flow test,...

Congress closer to lifting ANWR drilling ban with budget vote.
March 21, 2005... The US Congress moved a step closer to allowing oil and gas drilling in the Arctic National Wildlife Refuge (ANWR) when the Senate on Wednesday voted narrowly in favor of it, beating back a spirited fight from drilling opponents. An...

Intrastate weekly spot prices.
March 21, 2005... INTRASTATE WEEKLY SPOT PRICES Flow Dates: 3/15-3/21 Avg. Avg. Mar. Price Daily Daily Bid Point $/MMBtu Chg. High...

March on Washington, tiny Rhode Island blasts FERC over project.
March 21, 2005... A phalanx of Rhode Island politicians met with Pat Wood III in Washington, D.C., Thursday to urge the Federal Energy Regulatory Commission chairman to reform the way FERC permits the siting of LNG terminals in highly populated coastal areas....

Prices and differentials for major hubs and selected city gates.
March 21, 2005... PRICES AND DIFFERENTIALS FOR MAJOR HUBS AND SELECTED CITY GATES March 21, 2005 US$/MMBtu, Volume-Weighted [GRAPHIC OMITTED] SELECTED DAILY DIFFERENTIALS Differential 3/14 3/15 3/16 3/17 3/18 HH-NY ...

Kelliher: CPUC challenge to FERC could have serious consequences.
March 21, 2005... The greatest challenge facing the rapidly expanding LNG industry in the US isn't supply or security issues--it's a legal battle between the Federal Energy Regulatory Commission and the California Public Utilities Commission. "The outcome...

North American weekly gas storage.
March 21, 2005... NORTH AMERICAN WEEKLY GAS STORAGE (Billion Cubic Feet) Mar. 11 Mar. 4 Weekly Year Yr. Ago 5-year 5-year Region Week Week Change Ago Change Average Change US East 659 ...

Natural gas futures.
March 21, 2005... NATURAL GAS FUTURES Trading Dates: March 14-March 18, 2005 NEW YORK MERCANTILE EXCHANGE (NYMEX) (HENRY HUB) Monday Tuesday Wednesday Last Volume Last Volume Last...

LNG arbitrage costly temptation, Everett soaks up Spanish supply.(Atlantic Basin LNG Update)
March 21, 2005... Natural gas markets have in recent weeks given several reminders that in an environment of acute supply shortage, LNG arbitrage--the diversion of cargoes from their originally contracted destination to alternative, higher-value markets--carries...