Changes

Chairman Joe Barton (R-TX) of the House Energy and Air Quality Subcommittee has stripped out contentious environmental and air quality provisions of his emergency legislation for California that came under attack from Democrats on the panel and state officials last week (see Daily GPI, May 2).

The bankruptcy of Pacific Gas & Electric Co. may stand as a large roadblock in the state’s plan to make wholesale changes to the electric industry, particularly buying up all existing transmission, but the governor last week seemed determined to persevere. The signing of a landmark “memorandum of understanding” (MOU) between the state of California and Southern California Edison last week, the beginning of talks with San Diego Gas and Electric Co. and verbal olive branches to PG&E reflect the governor’s resolve to dig the state out of hole it finds itself in. He hopes to reach an agreement with SDG&E before the end of this month.

Phillips Petroleum reported on Tuesday that it is making numerous management changes and creating a new worldwide gas division to better focus on the company’s worldwide gas strategy. Laura Sugg, previously the new business ventures manager for the corporation, has been elected to the position of vice president of worldwide gas, effective April 1. Joseph High will make the move from his current position as vice president of human resources for the components and packaged applications group of Rockwell Automation to the post of vice president of human resources for the corporation, effective April 15. Don Duncan, manager of federal relations since 1993, has been elected vice president of government relations, effective April 1. Former assistant treasurer Jeff Sheets, effective April 1, took his newly elected position of vice president and treasurer. Fran Vallejo, currently strategic transactions and planning manager in the company’s corporate strategy and development group, has been elected assistant treasurer, effective May 1. Edd Grigsby, vice president of investor and public relations, has announced that he will retire after 39 years of service on July 1. Effective May 1, Grigsby will continue to be responsible for public relations, but he will also be on special assignment to Jim Mulva, chairman and CEO. Clayton Reasor, currently commercial services resource area manager for Phillips’ Norway division, has been named manager of investor relations beginning on May 1.

After several ownership changes and years of consideration, Market Hub Partners (MHP) is finally preparing its proposed salt cavern gas storage project in Copiah, MS, for service. The Duke Energy subsidiary launched a 30-day open season last week to test market interest in the project, which initially would provide 3 Bcf of working capacity and about 300 MMcf/d of deliverability on Texas Eastern and several other Gulf Coast pipes starting in spring 2004.

In the immediate aftermath of the California Public UtilitiesCommission’s sweeping moves to stabilize the state’s electricityoperations, the regulators and the governor’s staff are sloggingthrough endless details that will have to be worked out ifcash-strapped investor-owned utilities are going to be able to paythe state and generators and still have enough left over to covertheir own costs.

After several ownership changes and years of consideration,Market Hub Partners (MHP) is finally preparing its proposed saltcavern gas storage project in Copiah, MS, for service. The DukeEnergy subsidiary launched a 30-day open season yesterday to testmarket interest in the project, which initially would provide 3 Bcfof working capacity and about 300 MMcf/d of deliverability on TexasEastern and several other Gulf Coast pipes starting in spring 2004.

There was almost no consistency in price movements Wednesday,although a slight majority of the changes were downward. Rises andfalls mixed with each other in the Gulf Coast andMidcontinent/Midwest.

President-elect George W. Bush, a former oil driller, signaledlast week that he plans to move energy issues to center stage whenhe arrives in Washington, focusing on oil and natural gasexploration and production and opening up more federal lands tocarry out these activities.

President-elect George W. Bush, a former oil driller, signaledlast week that he plans to move energy issues to center stage whenhe arrives in Washington, focusing on oil and natural gasexploration and production and opening up more federal lands tocarry out these activities.