Capability

NEB Reaffirms Relief Well Policy for Arctic Offshore Drilling

Companies drilling in the Canadian Arctic Offshore must abide by the country’s policy requiring capability to stop a spill quickly by drilling a relief well in the same season that a blowout occurs, or demonstrate how they would meet or exceed the intended outcome of that policy, according to filing requirements issued Thursday by the National Energy Board (NEB).

December 19, 2011

Existing LNG Sites Hold Inside Track to Exports, Sempra Exec Says

Widespread development of natural gas export capability in the United States could be a huge boost to the U.S. economy, to natural gas infrastructure companies and to liquefied natural gas (LNG) import facilities that now are stymied by a disjointed global market for gas that currently has U.S. prices lagging way below those in the rest of the world, according to Darcel Hulse, Sempra Energy’s outgoing CEO for LNG operations.

December 15, 2011

Transportation Notes

MRT will begin unscheduled maintenance Wednesday at its Perryville Hub facility that will limit its delivery capability there for a period expected to last through mid-January. The pipeline may not schedule FTS, ITS, AOR or Secondary Firm delivery volumes from its West Line or Main Lines to its two Perryville Hub meters during the week. Based on current nominations, affiliate CenterPoint does not anticipate any impact to its Perryville-related services unless more gas gets nominated for hub delivery than CenterPoint can physically transport during the unscheduled maintenance.

November 15, 2011

Light Weather-Based Load Extends Price Slide

Battered by seasonal early-fall weather throughout nearly all of the market, further loss of storage injection capability and the weekend decline of industrial load, the cash market fell at all locations but one Friday.

October 10, 2011

Transportation Notes

Anticipating that storage injection nominations will exceed its capability, Southern said it was implementing a systemwide OFO Type 6 for long imbalances effective Saturday. Tiered penalties would apply to excess imbalances.

October 10, 2011

Transportation Notes

Saying its system was operating at high inventories and its two storage fields (Bear Creek in northwest Louisiana and Muldon in Mississippi) are at maximum injection capability, Southern implemented an OFO Type 6 for long imbalances Thursday until further notice. The pipeline said it was highly likely that the OFO would continue through Friday, but a further extension for Saturday was “too close to call.”

September 30, 2011

Smart Grid Planning Incomplete Until Shale Boom Fully Understood

As the natural gas landscape continues to be transformed by booming shale production and renewables emerge on a parallel path, gas industry stakeholders are increasingly focused on the concept of a “smarter,” more flexible gas delivery system along the lines of the electric industry smart grid. Eventually the two need to coalesce, according to a Gas Technology Institute (GTI) technical expert focused on the subject.

September 27, 2011

Enterprise Bullish on Liquids, Predicts Wider Texas Basis

Record demand for natural gas liquids (NGL) capability in the Gulf Coast region has moved Enterprise Products Partners LP to expand its NGL import/export terminal on the Houston Ship Channel (HSC). It was one of a handful of deals/projects Enterprise announced last week as a strong outlook for NGLs helped to move one analyst following the partnership to reinforce his “positive view.”

April 4, 2011

Expansion Targets NGL Export Demand

Record demand for natural gas liquids (NGL) capability in the Gulf Coast region has moved Enterprise Products Partners LP to expand its NGL import/export terminal on the Houston Ship Channel.

March 30, 2011

Renewables Add to Gas Demand, Says INGAA

An added 5 Bcf/d of natural gas delivery capability at a cost of $2-15 billion could be needed as a backstop to the projected growth of renewable-based electric generation, according to a report released last Wednesday by the Interstate Natural Gas Association of America (INGAA). ICF International completed the study for the Washington, DC-based INGAA Foundation.

March 21, 2011