Transco declared what a spokeswoman confirmed is its first OFO ever. The systemwide Imbalance Operational Flow Order becomes effective Saturday until further notice. Transco noted that on Monday it had issued a System Imbalance Notice advising of an “unacceptable level” of positive transportation imbalances, and followed up Tuesday with a request that shippers ensure that physical receipts and deliveries were in balance on a daily basis and that they reduce any positive imbalances immediately. However, effective voluntary compliance was inadequate, the pipeline said, and it could “no longer tolerate daily positive imbalances in the face of warmer-than-normal temperatures expected for its market area.” The OFO requires that positive imbalances (i.e., more receipts into the system than deliveries) of 5% and at least 1,000 dekatherms above nominations will be subject to penalties of $25/Dth for the excess.
Confirmed
Articles from Confirmed
FBI Warns of Possible Terrorist Attacks on Natural Gas Facilities
The Federal Bureau of Investigation confirmed Monday it has put out a general advisory to all its field offices warning that it has an uncorroborated report that Osama bin Laden has issued orders for U.S. natural gas supplies to be attacked in the event of the death or capture of himself or his general, Mullah Omar. The FBI stresses it has no corroboration for this information and it could turn out to be unreliable.
Wood Confirms Plans to Realign FERC Enforcement Office
FERC Chairman Pat Wood confirmed last week that he is considering plans to splinter the Commission’s Enforcement Office off from the Office of General Counsel (OGC) in order to make enforcement a more aggressive, visible part of the federal agency.
Wood Confirms Plans to Realign FERC Enforcement Office
FERC Chairman Pat Wood confirmed last week that he is considering plans to splinter the Commission’s Enforcement Office from the Office of General Counsel (OGC) in order to make enforcement a more aggressive, visible part of the federal agency.
Transportation Notes
A leak was confirmed at the Mustang Island 762 platform on the Northern Natural Gas-operated Matagorda Offshore Pipeline System off the Texas coast. The point was taken to zero flow, causing the shut-in of about 8,000 MMBtu/d until further notice. Personnel are evaluating the leak for repairs.
Northwest Natural Confirms Portland General Buy Possible
Northwest Natural Gas Co. confirmed Friday that it is negotiating with Enron Corp. to buy its slow growing electric utility Portland General Electric Co. (PGE), but added “there can be no assurances that any transaction will result” from its negotiations. Enron has been trying to sell the utility for nearly two years, and was close to completing a $3.1 billion deal with Sierra Pacific Resources, but that sale fell apart nearly six months ago in the midst of the California energy crisis (see NGI, April 30).
BC Shutdowns Could Impact Winter Drilling
Anadarko Petroleum Corp. confirmed last week that it had shut down two exploration and production projects in the Halfway River First Nation territory in northeastern British Columbia after its employees were asked by the Indian tribe to leave. The shutdown by the world’s largest independent added to growing concern throughout Canada’s oil and gas industry, which could lead to projects being canceled during the upcoming winter season.
BC Natives Shut Down Anadarko, Petro-Canada Projects
Anadarko Petroleum Corp. confirmed this week that it has shut down two exploration and production projects in the Halfway River First Nation territory in northeastern British Columbia after its employees were asked by the Indian tribe to leave. The shutdown by the world’s largest independent added to growing concern throughout Canada’s oil and gas industry, which could lead to projects being canceled during the upcoming winter season.
Duke Energy Confirms CA Energy Settlement Offer
Duke Energy late Wednesday confirmed that it has proposed a “good faith” preliminary global settlement designed to help solve California’s ongoing energy crisis and urged Gov. Gray Davis to take a hard look at the initiatives the company has put forward. Key elements of Duke’s proposed settlement include a willingness by the company to build new supply in the state without taxpayers having to foot the bill and resolution of all pending lawsuits and investigations into Duke’s pricing activities.
Lehman: Gas Production Has ‘Turned the Corner’
Lehman Brothers confirmed Friday that beneath the hefty first quarter earnings for oil and gas companies a more compelling tale is unfolding as both majors and independents operating in North America benefited from the move to the drill bit. Production numbers are mixed, but many report that production is up significantly — and some predict the best is yet to come.
