Current

Steven J. Malcolm, current president and COO of Williams, has been named the company’s new CEO by the board of directors. Malcolm, 53, succeeds Chairman Keith E. Bailey as CEO. Bailey will retain his position as chairman until the May 17 shareholders’ meeting, when he is expected to announce his retirement.

Steven J. Malcolm, current president and COO of Williams, has been named the company’s new CEO by the board of directors. Malcolm, 53, succeeds Chairman Keith E. Bailey as CEO. Bailey will retain his position as chairman until the May 17 shareholders’ meeting, when he is expected to announce his retirement.

Current and former Enron Corp. officers and directors, the corporation itself and outside auditor Arthur Andersen LLP are expected to receive Senate subpoenas this week to turn over documents related to the financial failure of the once-powerful energy trading company.

Current and former Enron Corp. officers and directors, the corporation itself and outside auditor Arthur Andersen LLP will receive Senate subpoenas by next week to turn over documents related to the financial failure of the once-powerful energy trading company.

Citing the current weather forecast and projected system demand, Sonat notified shippers Monday that eight market-area groups (Birmingham Group, South Main Zone 2, Atlanta Group, South Main Zone 3, East of Wrens, South Georgia-Lee County, Brunswick Group and Savannah Group) will be subject to an OFO Type 3 effective with the start of today’s gas day (Wednesday) until further notice. Concurrent with the OFO, Sonat also will be allocating/limiting interruptible capacity in the Chattanooga Group, East Tennessee Group and North Alabama Group.

Despite the current nationwide economic slowdown, spending for the development and operation of power generation, transmission facilities and natural gas pipelines in the United States remains strong, according to ENSR International, a worldwide environmental and energy development services firm.

Supporting the current CEO of the state’s electric transmission grid operator, Cal-ISO, and the ultimate need to make it a regional, multi-state entity, the state operator’s former stakeholder board chair, Jan Smutny-Jones, was among the energy industry representatives subjected to public depositions by a California senate investigative committee last week in a process that will continue later this month with further hearings. Subsequent hearings are suppose to look at some of the grid operator’s market practices, particularly allegations that it is giving “preferential treatment” to the state power-buying agency, the Department of Water Resources (DWR).

EEX Corp., headquartered in Houston, reported third quarter 2001 net income of $16 million, or $0.39 per share, compared to a net loss of $2 million, or ($0.04) per share for the third quarter of 2000. The current quarter’s net income includes net after-tax gains from the sale of assets of $20 million in assets, primarily arising from the sale of the Llano Field in September 2001. Excluding these gains on asset sales, the third quarter of 2001 resulted in a net loss of $4 million or ($0.09) per share. Revenues for the third quarter of 2001 were $48 million, compared to $66 million for the same quarter last year. Natural gas production volumes were 122 MMcf/d, 17% lower quarter-to-quarter, primarily as a result of the sale of the offshore Gulf of Mexico shelf properties in December 2000. Average natural gas prices also were 11% lower quarter-to-quarter. The company produced approximately 11 Bcf during the third quarter of 2001 and received an average price of $2.89/Mcf, compared to 14 Bcf and $3.25/ Mcf in the third quarter of 2000. Crude oil production was down 6% and average prices decreased 24% quarter to quarter. Expenses for the third quarter of 2001 were $41 million, compared to $52 million for the same period of 2000, excluding the impact of asset sales in each period. CEO Tom Hamilton noted that EEX’s average total production from onshore U.S. business rose 7% from the first quarter to 130 MMcfe/d during the third quarter, and that “practically all of our capital spending during the third quarter was invested in development of our onshore properties.” He said the drop in natural gas prices will “likely” cause the company to defer some capital spending in the onshore program until prices improve.

Given the current sub-$2 natural gas prices and lower crude oil prices, Raymond James & Associates last week lowered its forecast for North American oil and gas drilling activity in the first quarter of 2002, but the consulting firm anticipates activity to quickly rebound in the second quarter, fueled by stronger gas prices.