FERC has approved a settlement agreement between its Office of Enforcement (OE) and National Energy & Trade LP that resolves allegations that the company violated the Federal Energy Regulatory Commission’s Prohibition of Natural Gas Market Manipulation by manipulating physical natural gas prices between Jan. 1, 2011 and Sept. 30, 2015 at the Houston Ship Channel, Tetco M3, Transco Zone 6 (New York) and Henry Hub in order to benefit its related financial positions [IN16-5] (see Daily GPI,Aug. 9). Under terms of the agreement, National Energy neither admits nor denies the allegations, and agrees to a civil penalty of $1.16 million and disgorgement of $305,780. The disgorged funds will go to the Texas Low Income Home Energy Assistance Program.
Agreement
Articles from Agreement
Rosneft Joins BP, Schlumberger in Wireless Seismic Technology Pursuit
Russia’s largest publicly traded producer, OAO Rosneft, is becoming an equal partner in groundbreaking research between BP plc and Schlumberger Ltd. to develop “cableless” onshore seismic acquisition technology.
ETE Terminates Williams Merger; Williams Appeals
Call it the marriage that didn’t quite make it to the altar.
QEP Agrees to Pay $600M to Expand Permian Operations in West Texas
QEP Resources Inc. is expanding its Permian Basin drilling locations by more than half after agreeing to pay $600 million for acreage in the northern Midland sub-basin of West Texas.
Feds, Marathon Petroleum Reach $335M Deal on Refinery Flare Pollution Reduction
The Obama administration and Ohio-based refinery operator Marathon Petroleum Corp. said on Thursday they have reached an agreement under which Marathon will spend nearly $335 million to reduce gas flare air pollution at its refineries in Illinois, Kentucky, Louisiana, Michigan and Ohio.
Louisiana LNG Terminal Developer Secures Upstream Gas Supply
SCT&E LNG Inc. has lined up natural gas supply for its proposed liquefied natural gas (LNG) terminal in Louisiana. The 20-year, fixed-price deal is a first of its kind among U.S. LNG export projects, the company said.
Correction
The story “Citadel Buys WPX NatGas Transport Agreements in Piceance” was incorrect (see Shale Daily, May 26). WPX bought out the remaining transportation obligations supporting its former Piceance Basin operations and released the firm capacity to Citadel NGPE LLC. NGI regrets the error.
Briefs — Sabine Pass, Perseus-Greyrock Energy
The first train of the Sabine Pass Liquefaction (SBL) project in Cameron Parish, LA, is being handed over to the company by contractor Bechtel, months ahead of schedule, Bechtel and SBL affiliate Cheniere Energy Partners LP said Tuesday. The “substantial completion” of Train 1 follows the sendout of numerous commissioning cargoes (see Daily GPI,May, 27;May 4). Under a sale and purchase agreement with BG Gulf Coast LNG LLC, the date of first commercial delivery for Train 1 is expected to occur in November 2016, upon which the agreement’s 20-year term commences. Under the agreement BG has certain rights to early cargoes produced from Train 1. “Now that Train 1 has achieved substantial completion, financial results from its LNG sales going forward will be reflected in the statement of operations,” Cheniere said.
Brief — Energy Transfer-Williams
Energy Transfer Equity LP (ETE) Thursday said it is pursuing a counterclaim in a lawsuit filed by The Williams Companies Inc. for the right to terminate the companies’ merger agreement. A trial is scheduled for June 20 (see Daily GPI,May 25). ETE said Williams has breached the merger agreement by, among other things, refusing to cooperate with ETE in the financing of the deal and suing Kelcy Warren, the chairman of ETE’s general partner, personally in Dallas County, TX, in violation of a mandatory forum selection provision in the merger agreement. ETE is seeking a declaratory judgment that Williams breached the merger agreement, including by its board of directors modifying or qualifying its approval and recommendation of the merger. ETE also seeks a judgment that entitles it to immediately terminate the merger agreement. “In the event ETE is entitled to and does terminate the merger agreement due to a modification or qualification of the Williams board of directors’ recommendation of the merger, Williams would owe ETE a termination fee of $1.48 billion,” ETE said.
Major Japanese Buyer JERA Reselling LNG to EDF Trading
Japan’s JERA Co. Inc. is accommodating fluctuating demand for liquefied natural gas (LNG) in its home country through a sales and purchase agreement (SPA) to offload about 1.5 million tonnes of LNG to EDF Trading Ltd., a unit of Electricite de France.
