Continental

The Minerals Management Service (MMS) is starting to prepare fora new five-year Outer Continental Shelf oil and gas leasing programto run from 2002-2007. The agency has asked for input frominterested and affected parties.

FERC last week rejected Williams Energy Marketing &Trading’s request to generically exempt Outer Continental Shelf(OCS) pipelines from FERC’s ban on “buy-sell” transactions. But itdid allow a “limited waiver” of its policy for the MineralsManagement Service (MMS) to carry out its royalty-in-kind programin the offshore.

The Bureau of Land Management released in the Federal Registerlast week its decision on the Continental Divide/Wamsutter IINatural Gas Project, allowing up to 2,130 new gas wells to bedrilled in Sweetwater and Carbon Counties, WY. The BLM basicallyadopted the proposed action outlined in its Final EnvironmentalImpact Statement on the project, which was released in December,but it reduced the total number of proposed gas wells andassociated facilities from 3,000 well locations to 2,130.Associated access roads, pipelines, and other ancillary facilitieswere reduced as well. Allowance of the remaining 870 wells/welllocations and associated facilities will be reconsidered pendingcompletion of a planning review of the Great Divide Resource Area(GDRA) Resource Management Plan (RMP) for the Rawlins Field Office(RFO) area, BLM said.

Producers and marketers denounced a recent request togenerically exclude Outer Continental Shelf (OCS) pipelines fromFERC’s ban on “buy-sell” transactions. They contend Williams EnergyMarketing & Trading’s bid for such a waiver is just abackhanded attempt to gain light-handed regulation on the OCS.

Producers and marketers denounced a recent request togenerically exclude Outer Continental Shelf (OCS) pipelines fromFERC’s ban on “buy-sell” transactions. They contend Williams EnergyMarketing & Trading’s bid for such a waiver is just anotherback-handed attempt to attain light-handed regulation in the OCS.

The Department of the Interior’s Minerals Management Service(MMS) announced a continuation of the Outer Continental Shelfroyalty-in-kind (RIK) pilot program last week and has doubled theamount of gas previously offered. Nearly 500 MMcf/d of productionwill go on sale this spring, the MMS said. Details for the sale arestill being finalized.

The Department of the Interior’s Mineral Management Service(MMS) announced a continuation of the Outer Continental Shelfportion of its royalty-in-kind (RIK) pilot program Tuesday and hasdoubled the amount of gas previously offered. The nearly 500 MMcf/dof production will go on sale this spring, the MMS said. Detailsfor the sale are still being finalized.

A continental supply and demand analysis released by TransCanadaPipelines in its most recent Update projects the North American gasmarket will grow to 87 Bcf/d by 2010 from 68 Bcf/d in 1998, a 28%increase, with gains made in every region of the continent.