Concerning

In hearings begun Monday concerning the inter-provincial boundary dispute between Nova Scotia and Newfoundland and Labrador — which could ultimately decide how oil and gas reserves offshore should be divided — Nova Scotia’s legal team told the arbitration tribunal that the current line is an “equitable offshore boundary,” and — “all other considerations are subordinate.”

The National Energy Board (NEB) will hold a public hearing on an application from TransCanada PipeLines Limited concerning 2001/2002 tolls and tariff issues. The NEB said the public hearing will commence on Aug. 20. Written interventions must be filed with the board by July 10. The need for a hearing began in April of this year when TransCanada and certain stakeholders reached an agreement on the terms of a settlement. The proposed settlement related to all tolls and tariff matters for the years 2001 and 2002, excluding cost of capital issues. The NEB said the settlement became effective on the first of January and established a toll methodology to be utilized for both 2001 and 2002, tariff provisions to be applicable in that time period, and the components of the revenue requirement (other than cost of capital) to be used in the calculation for final tolls for 2001. On June 6, TransCanada filed an application for the approval of the cost of capital to be included in the calculation of its mainline tolls for the years 2001 and 2002. The board said it will announce at a later date the process for dealing with that application. In May, the board had requested comments from interested parties on the substance of the tolls application as well as the need for and nature of a further process. The board decided that TransCanada’s settlement was not in accordance with the board’s guidelines for negotiated settlements of traffic, tolls and tariffs. The board directed TransCanada to advise whether it wished to file an amended application or have the board treat the application as a common position of parties. TransCanada advised the board that, after communicating with all of the signatories to the proposed settlement, it had decided not to file an amended application and requested that the board establish a process to consider the application as filed. For further information on the Aug. 20 hearing visit the NEB’s web site at www.neb-one.gc.ca.

The Federal Energy Regulatory Commission (FERC) last weekapproved construction of a proposed 60-mile, 130 MMcf/d pipelinelateral off El Paso’s mainline in Arizona to proposed Mexicanborder crossing facilities. The proposed $30 million pipe andborder crossing facilities are designed to serve several existingand proposed gas-fired power plants in Sonora.

If Questar’s predictions concerning its Pinedale Anticline fieldhold true, then the Utah-based company is about to embark on one ofthe most significant exploration and production projects in the itshistory. Although some drilling has already taken place at theSublette County, WY, field, Questar is preparing to launch amassive drilling program aimed at cultivating the projected 3 Tcfthe field holds.

If Questar’s predictions concerning its Pinedale Anticline fieldhold true, then the Utah-based company is about to embark on one ofthe most significant exploration and production projects in itshistory. Although some drilling has already taken place at theSublette County, WY, field, Questar is preparing to launch amassive drilling program aimed at cultivating the projected 3 Tcfthe field holds.