Deficit

In the midst of a $42 billion budget deficit, California Gov. Arnold Schwarzenegger has revived a proposal to consolidate the state’s major energy agencies into one energy department as a cost-saving measure. A similar proposal was kicked around four years ago only to be shot down by lawmakers.

There’s more than one way to rescue the U.S. balance of payments deficit and Oklahoma’s own Aubrey McClendon, CEO of Chesapeake Energy, may have hit on it with his idea to export increasingly abundant North American natural gas, shipping it over the oceans in liquid form.

There’s more than one way to rescue the U.S. balance of payments deficit and Oklahoma’s own Aubrey McClendon, CEO of Chesapeake Energy, may have hit on it with his idea to export increasingly abundant North American natural gas, shipping it over the oceans in liquid form.

The U.S. District Court for the Southern District of Texas last week issued a permanent injunction against Texas resident Richard Hale and Texas-based Allegheny Gulf Investments Inc. that prohibits them from, among other things, controlling or directing any commodity futures or options trading accounts. The defendants also were ordered to pay a $440,000 fine for violations related to trading natural gas futures.

U.S. District Court for the Southern District of Texas has issued a permanent injunction against Texas resident Richard Hale and Texas-based Allegheny Gulf Investments Inc. that prohibits them from, among other things, controlling or directing any commodity futures or options trading accounts. The defendants also were ordered to pay a $440,000 fine for violations related to trading natural gas futures.

After threatening for most of the morning to punch below the $6 mark, August natural gas futures rebounded from near its previous $6.025 low to settle at $6.155, up 3.7 cents on the day.

Feeling the heat over the budget deficit in Washington, Senate Republicans have used razor-sharp knives to cut the cost of the one-time $31 billion omnibus energy bill by more than half.

The House and Senate Renewable Energy and Energy Efficiency Caucuses, the Sustainable Energy Coalition, and the Environmental and Energy Study Institute (EESI) will hold a Capitol Hill briefing next week to address near-term energy efficiency and renewable energy alternatives that could help to head off a potential natural gas supply crisis.

The imbalance between natural gas production and gas consumption in Mexico “has already arrived at critical levels,” according to Raul Munoz, CEO of Petroleos Mexicanos (Pemex). Munoz, as point man for President Vicente Fox’s administration, is working to convince opponents that private investment is the best answer to ensuring Mexico’s energy future.