2004

Losses from production shut-ins in the Gulf of Mexico due to Hurricane Ivan ended the week at about the same level they began it at 2.3 Bcf/d and the prospects are that the losses will continue, some for weeks and some for months. The total does not include platforms lost completely, nor does it include lost production from damaged onshore facilities.

Senate and House conferees are expected to complete their negotiations on a broad corporate tax cut bill this week, but it’s unclear whether all or part of the $17-$18 billion in energy tax breaks and credits will survive.

With a development agreement among six of its members and three other public sector partners, the Southern California Public Power Authority (SCPPA), is actively pursuing up to six aggregated natural gas supply deals from supply basins throughout the Western United States. The effort kicks off the first two weeks of October when a SCPPA contingent will visit with possible suppliers in the gas patch as a “reconnaissance” mission, the group’s Executive Director Bill Carnahan told NGI last week.

With a development agreement among six of its members and three other public sector partners, the Southern California Public Power Authority (SCPPA), is actively pursuing up to six aggregated natural gas supply deals from supply basins throughout the Western United States. The effort kicks off the first two weeks of October when a SCPPA contingent will visit with possible suppliers in the gas patch as a “reconnaissance” mission, the group’s Executive Director Bill Carnahan told NGI/Power Market Today Monday.

A Kansas jury has awarded $5 million in damages to plaintiffs in a residential class action lawsuit against Oneok Inc. for a series of gas leaks and explosions in January 2001 near the Yaggy gas storage field outside of Hutchinson, KS. The storage field accident killed two residents and damaged several businesses. Storage operations at the 3 Bcf Yaggy salt cavern have been discontinued.

El Paso Corp. and DKRW Energy LLC jointly agreed Thursday to develop up to 350 miles of natural gas pipeline infrastructure within Sonora, Mexico by 2008. The pipelines, to be built by subsidiaries El Paso Blue Atlantic US Inc. and Sonora Pacific Mexico, will transport gas provided by DKRW’s planned Sonora Pacific LNG, a 1.3 Bcf/d liquefied natural gas facility proposed for Puerto Libertad on the Gulf of California.

The states of Massachusetts and Rhode Island, the U.S. Army Corps of Engineers and the U.S. Environmental Protection Agency (EPA) have lined up as critics of FERC’s draft environmental impact statement (DEIS) on the proposed Weaver’s Cove LNG terminal near Fall River, MA, urging the Commission to consider alternatives (CP04-36).

The states of Massachusetts and Rhode Island, the U.S. Army Corps of Engineers and the U.S. Environmental Protection Agency (EPA) have lined up as critics of FERC’s draft environmental impact statement (DEIS) on the proposed Weaver’s Cove LNG terminal near Fall River, MA, urging the Commission to consider alternatives (CP04-36).

Following Hurricane Ivan’s visit late last week, some Gulf of Mexico producers were still locating their assets and assessing damages while others continued to return personnel to their stations offshore to ramp up production.