Coast

The first oilsands project with longer term commercial possibilities in Utah has gotten approval to move forward from a citizen appeal board for the state Division of Oil, Gas and Mining (DOGM). It’s backers say it is the first commercial-scale oilsands project in the United States.

The physical market lost a dime on average Thursday, but it was a mixed performance with gains in producing regions such as the Gulf Coast, Midcontinent and Rockies unable to offset free-falling prices in the Northeast and East.

Physical gas prices overall on average rose a nickel Tuesday, continuing Monday’s stout advance. However, while a scattering of Gulf Coast points managed gains, hefty losses were noted in the Midwest, Great Lakes and in more than a handful of Northeast locations. Options strategies seemed to be in play for the December contracts, and at the close December futures had risen 3.9 cents to $3.769 and January was higher by 2.4 cents to $3.892. January crude oil fell 56 cents to $87.18/bbl.

Magnum Hunter Resources Corp.’s Bakken Hunter LLC is buying existing wells and about 20,000 net Williston Basin lease acres in Divide County, ND, from Samson Resources Co. for $30 million in cash.

By a narrow margin, voters Tuesday elected President Obama to a second term in office, but with Congress still split — a majority Republican House and a majority Democratic Senate — the passage of significant legislation relating to the energy industry or anything else remains problematic.

NiSource Inc. on Friday said it is proceeding with its East Side Expansion project on its Columbia Gas Transmission system to carry Marcellus Shale gas to the East Coast and mid-Atlantic region.

The overall cash market added two cents on average Thursday as gains at eastern points and the Gulf Coast were able to offset softness in the Northeast and southern California. The Energy Information Administration (EIA) reported a build of 51 Bcf, which was higher than market expectations, but prices slipped only for a moment. At the close November futures had gained a stout 11.7 cents to $3.587 and December had added 8.4 cents to $3.904. November crude oil eased 2 cents to $92.10/bbl.

Hurricane Isaac caused considerable disruption to natural gas processing infrastructure along the Gulf Coast, although it had a negligible effect on natural gas prices because of ample onshore production and surplus storage, the Energy Information Administration said Thursday.

For the second time this year, Newfield Exploration Co. raised its full-year production forecast based on rising output from key U.S. onshore oil and natural gas liquids (NGL) plays.