2007

California looks to spend another $100 million in 2010-2011 under a mandate from a 2007 state law (AB 118) to help reduce gasoline-powered transportation in favor of renewables and alternatives such as natural gas-powered transportation. The California Energy Commission (CEC) has formally begun the process of writing a 2010-11 investment plan for the state’s Alternative and Renewable Fuel and Vehicle Technology Program.

Having dialed back on new project activity in 2007-2008 due to high costs, Royal Dutch Shell plc replaced 97% of production in 2008 on an organic basis while its business has migrated toward being weighted 50-50 natural gas vs. oil. Going forward, Shell executives said the company plans to leverage the global recession in seeking cost advantages while building reserves and infrastructure to take advantage of longer-term growth.

Having dialed back on new project activity in 2007-2008 due to high costs, Royal Dutch Shell plc replaced 97% of production in 2008 on an organic basis while its business has migrated toward being weighted 50-50 natural gas vs. oil. Going forward, Shell executives said the company plans to leverage the global recession in seeking cost advantages while building reserves and infrastructure to take advantage of longer-term growth.

Exelon Corp.’s Pennsylvania gas and electric utility, PECO, saw natural gas consumption fall approximately 3.3% in 2008, including a 1.4% drop in December compared to December 2007, the company said Wednesday.

Dominion Transmission Inc. (DTI), a subsidiary of Richmond, VA-based Dominion Resources, is seeking FERC authorization to start up by Nov. 14 new pipeline facilities in Pennsylvania that are associated with the expansion of the Dominion Cove Point liquefied natural gas (LNG) import terminal on the Maryland eastern shore.

Warmer-than-normal temperatures will dominate in the Northeast from September through November, while cooler-than-average conditions will be in place in parts of the Southeast and along the Pacific Coast, according to forecaster WSI Corp. of Andover, MA, which also reiterated its “active” hurricane season prognostication.

FERC Thursday denied rehearing of a November 2007 order on remand in which it declared Transcontinental Gas Pipe Line’s (Transco) pipeline network located onshore and offshore Louisiana to be transmission in nature and thus subject to agency jurisdiction.

California regulators last Thursday approved a second phase expansion to the Lodi Gas Storage (LGS) project’s Kirby Hills unit. The Kirby Hills Phase II expansion is expected to provide about 12 Bcf of working gas capacity.

Range Resources is bumping up its capital spending by 18% from 2007 to $1.065 billion, and it plans to use most of the funds to develop its Texas, Midcontinent and Appalachian properties.