Claims

The Illinois Citizens Utility Board (CUB) charged Wednesday that Peoples Energy Services is misleading consumers into signing up for a “fixed price” natural gas plan until 2005, even though the price isn’t fixed.

As of late Friday afternoon, 33 platforms and one rig had been evacuated in the western portion of the Gulf in preparation for what was expected to become Hurricane Erika, according to Minerals Management Service. MMS spokeswoman Caryl Fagot pegged Gulf shut-ins at 134.65 MMcf/d of gas and 677 bbl of oil for Friday, which equates to about 0.96% of daily Gulf gas production and 0.04% of daily Gulf oil production.

Not to be outdone by the widespread blackouts experienced in the Northeast, Texas was bracing for what could become Hurricane Erika touching down in Brownsville, TX. At presstime Friday evening, the National Hurricane Center (NHC) expected Tropical Storm Erika to make landfall in South Texas and Northeastern Mexico as a hurricane.

After making little more than a dent in natural gas supplies from the Gulf of Mexico, Hurricane Claudette was downgraded to a tropical storm late Tuesday afternoon and slipped into a tropical depression overnight into Wednesday as it made its way west/northwest toward Mexico. Gulf producers continued to repopulate platforms and rigs in the Western and Central Gulf, but about 2.2 Bcf/d of gas production remained shut in Wednesday, according to the Mineral Management Service (MMS).

While not even coming close to the power of 2002’s Hurricane Lili, 2003’s Hurricane Claudette showed Tuesday that she could still make a dent in the Gulf of Mexico’s natural gas and oil output. The industry in Houston, however, appeared to be taking the “bad weather” in stride, moving personnel in from offshore rigs, but preparing to send them right back out again. For gas prices also, it appeared to be a ho-hum event, with prices Tuesday generally up a few pennies.

Transocean Inc. said it was continuing to investigate an explosion that occurred late Tuesday on one of its natural gas inland barges in Galveston Bay, claiming the life of an employee.

As the energy market continues a metamorphosis that began two years ago, energy trading and marketing practices have had to adapt. While some companies in the energy sector are moving away from pure speculative trading and focusing more on hedging and risk mitigation, others are abandoning the business altogether, noted Standard & Poor’s (S&P) analyst Jack Kennedy.

Calling it one of the most important annual meetings that the company has had in its history, Aquila CEO Richard Green Jr. started out by offering an apology to shareholders for the company’s poor performance. Over the past few years, Aquila shareholders have seen the stock price plummet over 90% and their dividends cut to the point of elimination.

Calling it one of the most important annual meetings that the company has had in its history, Aquila CEO Richard Green Jr. started out by offering an apology to shareholders for the company’s poor performance. Over the past few years, Aquila shareholders have seen the stock price plummet over 90% and their dividends cut to the point of elimination.