Costs

Elizabethtown Gas, a unit of AGL Resources Inc., on Tuesday petitioned New Jersey regulators to establish a Pipeline Replacement Program (PRP) Recovery Rider allowing it to collect costs from customers for the accelerated replacement of about 88 miles of elevated pressure 8- to 12-inch cast iron main on its distribution system.

The domestic oil and natural gas industry spent 37% more on drilling in 2003 than in the previous year, according to the 2003 Joint Association Survey on Drilling Costs (JAS) released by the American Petroleum Institute (API). The only time U.S. operators exceeded 2003’s drilling and completion cost figure was in 1982, the survey said.

The domestic oil and natural gas industry spent 37% more on drilling in 2003 than in the previous year, according to the 2003 Joint Association Survey on Drilling Costs (JAS) released by the American Petroleum Institute (API). The only time U.S. operators exceeded 2003’s drilling and completion cost figure was in 1982, the survey said.

Dealing with the federal government on offshore leases will get more expensive under new fee schedules proposed to recover the costs of its services by the Minerals Management Service (MMS) in two recently issued notices of proposed rulemaking.

Dealing with the federal government on offshore leases will get more expensive under new fee schedules proposed to recover the costs of its services by the Minerals Management Service (MMS) in two recently issued notices of proposed rulemaking.

Stone Energy Corp. has committed $50 million to cover its share of costs and drilling commitments in a joint venture with Kerr-McGee Oil & Gas Corp., which was announced Tuesday. Stone and the Kerr-McGee Corp. subsidiary signed exploration agreements covering interests in 30 leases held by Kerr-McGee in the Gulf of Mexico (GOM).

Stone Energy Corp. has committed $50 million to cover its share of costs and drilling commitments in a joint venture with Kerr-McGee Oil & Gas Corp., which was announced Tuesday. Stone and the Kerr-McGee Corp. subsidiary signed exploration agreements covering interests in 30 leases held by Kerr-McGee in the Gulf of Mexico (GOM).

Costs are up by 40% and an aboriginal lawsuit clouds the outlook for the regulatory process, but strong supply needs and prices convinced the Mackenzie Gas Project to press ahead by filing construction applications last week.

KeySpan Corp., through its KeySpan Energy Development Corp. unit, last week picked up a 21% equity interest in the stalled Millennium Pipeline project, which hopes to deliver new natural gas supplies to New York and the Northeast by the winter of 2006-2007.