Determined

Oklahoma City-based Chesapeake Energy Corp. has looked at the markets for gas, producing properties and gas infrastructure and determined it’s a good time to unload some assets and scale back drilling and production plans.

The National Transportation Safety Board (NTSB) has determined that the failure of Morgan City, LA-based Athena Construction to require its crews to secure mooring spuds in place on its barges led to an unintentional release of one of the spuds, which resulted in a natural gas pipeline rupture offshore Louisiana that killed six people in October 2006.

The National Transportation Safety Board (NTSB) has determined that the failure of Morgan City, LA-based Athena Construction to require its crews to secure mooring spuds in place on its barges led to an unintentional release of one of the spuds, which resulted in a natural gas pipeline rupture offshore Louisiana that killed six people in October 2006.

Dominion issued what it called an “FTNN Hourly Limit OFO” advisory Thursday, saying it has determined that based upon current and forecasted weather, hourly quantities delivered to customers at several Mid-Atlantic delivery areas may exceed what it can deliver without jeopardizing its ability to provide firm services to other customers. “Each affected customer will take whatever action it may deem appropriate, including notification of IT shippers at affected delivery points,” the pipeline said. Dominion said it was providing four hours’ advance notice that it may issue an OFO requiring customers to limit delivery fluctuations to the designated areas within one hour. The customers on the PL-1 system in the southern portion of Dominion’s operating area that are impacted by the OFO until further notice are Baltimore Gas & Electric, Washington Gas Light, Quantico, Virginia Natural Gas, Doswell Meter, Virginia Power and the City of Richmond, VA. Dominion took similar action earlier this week for seven utility customers in New York state (see Daily GPI, Jan. 24). See the bulletin board for further OFO details.

Dominion said it has determined, based upon current and forecasted weather, that hourly quantities delivered to customers at seven delivery areas in New York (Corning Natural Gas, New York State Electric & Gas, Rochester Gas & Electric, Niagara Mohawk, Niagara Mohawk East Gate, Fillmore Gas and National Fuel Gas Distribution) may exceed what it can deliver without jeopardizing its ability to provide firm services to other customers. Each affected customer “will take whatever action it may deem appropriate, including notification of IT shippers” at affected delivery points, Dominion said. The pipeline said Tuesday it was providing four hours of advance notice that it may issue an OFO that would require customers to limit delivery fluctuations to the areas within one hour. See the bulletin board for other information on the potential OFO.

El Paso said it has determined that a pipe anomaly between the Eunice and Pecos River Stations will require replacement of about 80 feet of pipe, which will begin at 8 a.m. MST Thursday and is expected to take 12 hours. The reduction in segment capacity will be about 200 MMcf/d out of a base capacity of 400 MMcf/d. The IPENNWELL interconnect will be completely shut in for the duration of the work, but based on current levels of throughput, El Paso expects minimal service impact.

The Minerals Management Service (MMS) recently determined that natural gas sales transactions between Chevron Corp. and Dynegy Inc. were “arm’s-length” and therefore not subject to collection of additional royalties as if they were “nonarm’s-length,” as the MMS had previously maintained.

The Minerals Management Service (MMS) recently determined that natural gas sales transactions between Chevron Corp. and Dynegy Inc. were “arm’s-length” and therefore not subject to collection of additional royalties as if they were “nonarm’s-length,” as the MMS had previously maintained.

The Final Environmental Impact Statement (EIS) on McMoRan Exploration Co.’s proposed license to build an offshore liquefied natural gas (LNG) terminal has determined the project would result in minor long-term adverse impacts, according to the U.S. Coast Guard and the Maritime Administration (MARAD).