Analyze

The exploration and production (E&P) arm of National Fuel Gas Co. (NFG) plans to hire a third-party consultant to analyze the reserve potential of its Appalachian Basin holdings, executives said Tuesday. Seneca Resources Corp.’s current proved reserves total about 83 Bcfe, or 13% of its total consolidated reserves. However, Seneca apparently wants to test the potential of its 935,000 net acre play after partnering with EOG Resources Inc. on some horizontal wells.

El Paso said that its investigation of the reports has not been completed, but it expects to have preliminary results in about two weeks.

Precipitated by the fall of two California utilities and Enron Corp., Moody’s Investors Service said Friday it will increase its global analytical focus on the credit risk implications of “rating triggers” written into a borrower’s debt securities or other contracts because they may cause unintended and “highly disruptive consequences” for both borrowers and lenders. In some cases, warned Moody’s the rating triggers could lead to “mutually assured destruction” including defaults and bankruptcies.

Precipitated by the fall of two California utilities and Enron Corp., Moody’s Investors Service said Friday it will increase its global analytical focus on the credit risk implications of “rating triggers” written into a borrower’s debt securities or other contracts because they may cause unintended and “highly disruptive consequences” for both borrowers and lenders. In some cases, warned Moody’s, the rating triggers could lead to “mutually assured destruction” including defaults and bankruptcies.