California

Winter Premium in Play as Nymex Natural Gas Futures Rally; California Cash Slides

Winter Premium in Play as Nymex Natural Gas Futures Rally; California Cash Slides

Natural gas futures soared higher Tuesday as traders attempted to close the massive gap between the front of the curve and the winter contracts. Despite little change in the fundamental backdrop, the September Nymex futures contract jumped 7.8 cents day/day to settle at $2.417. October climbed 8.0 cents to $2.556. Spot gas prices were mixed…

August 18, 2020
Market Monitoring California Heat Wave as Natural Gas Futures Rally Early

Market Monitoring California Heat Wave as Natural Gas Futures Rally Early

As extreme heat in the West was expected to continue supporting prices at the front of the curve, natural gas futures rallied in early trading Tuesday. The September Nymex contract was up 9.3 cents to $2.432/MMBtu at around 8:40 a.m. ET. California has been hit with record heat and rolling blackouts that have coincided with…

August 18, 2020
California Push for Oil, Gas Setbacks Stalls

California Push for Oil, Gas Setbacks Stalls

Efforts to buffer California residents from oil and natural gas wells hit a logjam earlier this month in the legislature, leaving the issue to Gov. Gavin Newsom, who last year promised to fix what some view as a problem. Assembly Bill 345 failed passage in the state Senate to establish minimum distances between wells and…

August 17, 2020
Bankruptcies Accelerating in North American Oil Patch, with More Carnage Said Likely

Bankruptcies Accelerating in North American Oil Patch, with More Carnage Said Likely

Bankruptcies in the North American oil patch “have substantially picked up pace” so far in 2020, due largely to the impact of Covid-19 on prices and demand, according to a new report published Tuesday by Haynes and Boone LLP. The Dallas-based international corporate law firm has been tracking bankruptcy filings in the exploration and production…

August 11, 2020
LA Operator AllenCo Under More Scrutiny for Oil Facility Violations

LA Operator AllenCo Under More Scrutiny for Oil Facility Violations

The Los Angeles (LA) City Attorney has filed 25 counts against embattled exploration and production operator AllenCo Energy Inc. for alleged environmental, health and safety violations at an oil production facility. The wellsite has been under scrutiny by the Department of Conservation’s California Geologic Energy Management Division (CalGEM), which in March issued a remedial order…

August 6, 2020
PG&E, Tesla Begin Work on Landmark Battery Storage Project in Northern California

PG&E, Tesla Begin Work on Landmark Battery Storage Project in Northern California

Tesla Inc. and Pacific Gas and Electric Co. (PG&E) have begun construction of a 182.5 MW lithium-ion battery energy storage system (BESS) at the combination utility’s Moss Landing substation in Monterey County, CA. The megapack system is considered a landmark in developing and deploying utility-scale batteries. In late 2018 California regulators approved plans for Moss…

July 30, 2020
California Regulators Questioned About Electrification’s Impact

California Regulators Questioned About Electrification’s Impact

Three California lawmakers have asked the chief regulator to consider alternatives to electrification that could be more affordable for average and low-income consumers as part of the state’s attempt to decarbonize. Assembly members Jim Cooper, Patrick O’Donnell and Blanca Rubio, who represent working-class areas of Sacramento and Los Angeles counties, told President Marybel Batjer of…

July 28, 2020
Gas-Fired Peaking Generation No Longer Favored in California

Gas-Fired Peaking Generation No Longer Favored in California

The number of natural gas-fired peaking plants in California has increased sharply, to 79 from 24, in the first 15 years of this century, though none have been opened in recent years as the state increasingly moves to phase out fossil fuels to facilitate decarbonization. That trend is a reflection of one of the key…

July 23, 2020
California Resources Joins Coronavirus-Led Bankruptcy Filings by U.S. Operators

California Resources Joins Coronavirus-Led Bankruptcy Filings by U.S. Operators

California Resources Corp. (CRC), the state’s largest producer, late Wednesday joined a growing list of U.S. operators to seek Chapter 11 protection in the U.S. Bankruptcy Court for the Southern District of Texas. Excessive debt related to its spinoff from Occidental Petroleum Corp. (Oxy), as well as Covid-19’s impact on energy demand, were the principal…

July 17, 2020
California Wildfire Advisory Board Issues Guidelines for Next Year

California Wildfire Advisory Board Issues Guidelines for Next Year

Following a mandate in the state’s wildfire relief law, California’s Wildfire Safety Advisory Board has adopted utility guidelines for next year, stressing closer alignment of utility mitigation plans and state oversight authorities. Striving for a “holistic approach” to wildfire mitigation, the California Public Utilities Commission’s (CPUC) advisory board action fulfills provisions of a 2019 wildfire…

July 6, 2020