Develops

If Europe develops its shale gas resources, it will likely take its sweet time about it, according to a new report from Ernst and Young Global Ltd.

If Europe develops its shale gas resources, it will likely take its sweet time about it, according to a new report from Ernst and Young Global Ltd.

Calgary-based Talisman Energy Inc. reported Wednesday a significant increase in its fourth quarter production as it develops new core areas. The company posted its fifth consecutive annual increase in cash flow, which increased 3% to C$2.7 billion, while cash flow per share grew 7% to C$21.21.

Ignoring a general lack of hot weather fundamentals, cash traders chose instead to concentrate on other factors in sending prices skyrocketing by 20-50 cents amid huge volatility Thursday. The key market stimulants were AGA’s report of a shockingly low 3 Bcf storage injection last week, which had been met by widespread skepticism; the screen’s corresponding spike Wednesday afternoon (although futures were softer Thursday morning); and the rapid development and speed of Tropical Storm Chantal in the Atlantic.

As predicted by National Energy Board (NEB) member Jean-Paul Theoret in a winter speech to a Quebec lawyers’ conference, the first results of unleashing competition in the formerly stable Canadian natural gas pipeline community are “messy markets” and potentially “messy outcomes.” That became clear in one of the first tests of the NEB’s declared intentions to encourage growth of a true market in transportation services by making flexibility and adaptability the watchwords for a new era of light-handed regulation.

As predicted by National Energy Board (NEB) member Jean-PaulTheoret in a winter speech to a Quebec lawyers’ conference, thefirst results of unleashing competition in the formerly stableCanadian natural gas pipeline community are “messy markets” andpotentially “messy outcomes.” That became clear in one of the firsttests of the NEB’s declared intentions to encourage growth of atrue market in transportation services by making flexibility andadaptability the watchwords for a new era of light-handedregulation.

Miller Petroleum Inc. announced Monday that it finished thetransportation system for what it calls the first commercialcoalbed methane project in Kentucky. The Huntsville,Tennessee-based company completed and started service on a 4.5mile, six-inch pipeline extension that draws 200-220 Mcf/d fromfour coalbed methane wells located in southeastern Kentucky. Thegas, which the company said rates 980 Btu/Mcf, will be injectedinto the Columbia pipeline system and sold by a third party. Fortymore wells are scheduled to be drilled on this site in 1999. Thecompany estimates the finding cost for the project to average$.35/Mcf.