BP plc’s CEO told shareholders and analysts Thursday that the story of 2003 was about maintaining the strength of the assets, but going forward, the oil and gas giant has set its course toward maintaining its asset and customer advantage in oil and gas markets around the world.
2003
Articles from 2003
Industry Briefs
On the eve of emerging from Chapter 11 bankruptcy, Pacific Gas and Electric Co. announced last Wednesday it made 2003 local franchise fee and surcharge payments totaling $42 million in 49 California counties in which it operates. The payments, which were nearly equal for natural gas and electric facilities, represent a 22% increase over the combination utility’s 2002 payments. The fees are a percentage of gross receipts on the utility’s system that are paid to cities and counties for the “right to use public streets” in which to run gas and electric service pipes and wires, PG&E’s utility said in its announcement. The franchise fee surcharges are a percentage of the transportation and energy costs to customers choosing to buy their energy from third parties, or so-called “exit fees.”
PG&E Utility Makes $42 Million in Franchise Fee Payments
On the eve of emerging from Chapter 11 bankruptcy, Pacific Gas and Electric Co. announced Wednesday it made 2003 local franchise fee and surcharge payments totaling $42 million in 49 California counties in which it operates. The payments, which were nearly equal for natural gas and electric facilities, represent a 22% increase over the combination utility’s 2002 payments.
Duke Sells Asia-Pacific Assets for $1.2 Billion
Following through on previously announced plans to deleverage the company’s balance sheet and focus investments in the Americas, Duke Energy said Sunday that it has agreed to sell its Asia-Pacific assets, including all of its pipeline and power generation assets in Australia and New Zealand, to Australian combination utility company Alinta Ltd. for US$1.238 billion (A$1.69 billion).
Louisiana’s Governor Wants Federal Action on Natural Gas Prices
With 1,000 Louisiana chemical plant jobs lost in 2003 alone, Louisiana Gov. Kathleen Blanco last Monday called on the nation’s governors to press the federal government to form a “coordinated response” to historically high natural gas prices. At the same, top energy lawmakers engaged in a war of words in a Capitol Hill newspaper over the fate of the stalled Senate energy bill.
Louisiana’s Governor Wants Federal Action on Natural Gas Prices
With 1,000 Louisiana chemical plant jobs lost in 2003 alone, Louisiana Gov. Kathleen Blanco on Monday called on the nation’s governors to press the federal government to form a “coordinated response” to historically high natural gas prices. At the same, top energy lawmakers engaged in a war of words in a Capitol Hill newspaper over the fate of the stalled Senate energy bill.
Sen. Lieberman Seeks Gas Price Investigation
Seeking answers for why natural gas prices have spiked so high this winter, Sen. Joe Lieberman (D-CT) concluded 2003 by asking the Commodity Futures Trading Commission (CFTC) and the Federal Energy Regulatory Commission (FERC) to launch an investigation.
Shell, Sempra Energy to Build Single LNG Terminal in Northern Mexico
Instead of constructing separate liquefied natural gas (LNG) projects, Shell International Gas Ltd. and Sempra Energy LNG Corp. announced last Monday their intention to form a 50/50 joint venture to build, own and operate a single LNG receiving terminal in Baja California, Mexico, in an effort to minimize the impact on the environment there.
Consultant: LNG Will Cut Transportation Values, Put Downward Pressure on Prices
Pipelines and domestic producers should be more than a little concerned about the prospect of liquefied natural gas (LNG) supply growing from only about 1-1.5%/year of total U.S. supply today to at least 12%/year by 2010. Such a dramatic increase in supply, coming into the market at brand new locations, will have significant impacts on gas prices and the value of gas transportation capacity, according to analysis done by Wakefield, MA-based Energy Security Analysis Inc. (ESAI).
Global LNG Market to Rival Oil Market
Major integrated oil company leaders and energy ministers from 25 natural gas producing countries around the globe converged on Washington last week for an OPEC-like summit to promote cooperation in a worldwide LNG market predicted to rival the oil market. The United States will be the dominant consumer.