Marathon’s Earnings Triple, Revenue Up 21%

Reflecting full ownership of its downstream and growth in upstream income, Marathon Oil Corp.’s 4Q2005 profit soared, with net income reaching $1.27 billion ($3.43/share), compared with $429 million, ($1.23) a year ago. Revenue was up 21% to $17.3 billion from $14.3 billion. U.S. natural gas sales grew in the quarter, but they were down overall for the year.

January 27, 2006

FGT Files for Expansion to Carry Elba Island LNG

Florida Gas Transmission Co. (FGT) has filed an application with the Federal Energy Regulatory Commission for a 160 MMcf/d expansion downstream of an interconnect with the proposed Cypress Pipeline Project, which would bring regasified LNG to Florida from El Paso’s Elba Island LNG import terminal near Savannah, GA.

October 6, 2005

Transportation Notes

Citing a need “to address operational concerns raised by downstream entities,” Texas Eastern said it will begin notifying point operators on its 24-inch diameter system between Provident City in South Texas and North Little Rock, AR where receipts do not conform with tariff specifications on gas quality that they must bring their supplies into compliance. “Parties with installed processing equipment must start operating such equipment immediately,” Texas Eastern said. It set a compliance deadline of June 30 for all other parties, and said if necessary, noncomplying operators will be asked to shut in immediately.

May 6, 2005

Industry Brief

Swift Energy said service from a third-party natural gas sales pipeline downstream of its Lake Washington Field has been restored, and the company’s crude oil and natural gas production from Lake Washington is returning to the levels of daily production prior to the pipeline shutdown, which was reported March 18. As a result of the reduced production levels due to the damaged pipeline, earlier this month Swift lowered its guidance for domestic production in the first quarter of 2005 to 10.8-11.0 Bcfe from 11-11.5 Bcfe. Net production from Lake Washington for the fourth quarter of 2004 almost doubled compared to the same period in 2003, averaging 12,900 net boe/d compared to 6,900 net boe/d for the same period in 2003. The field produced about 23.2 Bcfe last year, more than double the 2003 volumes. It is Swift’s largest field. Swift’s total domestic production for 2004 increased to 42.1 Bcfe or by 25% compared to 2003.

March 30, 2005

Transportation Notes

Dominion activated an OFO Friday for customers behind six New York utilities downstream of its Boom and Stateline facilities, as it had cautioned might be necessary in an OFO Advisory issued Thursday (see Daily GPI, Jan. 9). No OFO was issued for several Mid-Atlantic utilities that had been listed in a separate OFO Advisory.

January 12, 2004

Transportation Notes

Kinder Morgan Interstate reported completion of repairs to a leak on its Pony Line in Yuma County, CO, downstream of Sterling Compressor Station. The associated force majeure, declared late Tuesday, was lifted for Wednesday’s gas day. Minor service curtailments were made Tuesday.

June 26, 2003

Transportation Notes

Florida Gas Transmission said Friday morning it had completed repairs of a pinhole leak on the 22-inch mainline downstream of Station 4 in Galveston County, TX (see Daily GPI, March 7). The pipeline resumes scheduling up to normal capacity through Station 4 for Friday’s gas day.

March 10, 2003

Transportation Notes

El Paso began emergency maintenance Wednesday on Line 1201 downstream of Valve City Station, reducing San Juan Basin capacity by 100 MMcf/d through Friday. Capacity of the North Mainline will also be reduced by 60 MMcf/d during the same period. El Paso extended the duration for unscheduled repairs of Bondad Station’s 2A turbine, causing a Bondad capacity cut of 100 MMcf/d, through Aug. 8. The pipeline previously had expected to complete the work Aug. 2 (see Daily GPI, Aug. 1).

August 2, 2002

Transportation Notes

It appears that repairs to the pig launcher on Line 1218 downstream of Bondad (CO) Station may not be necessary after all, El Paso said. Therefore, a shutdown of the line that had been scheduled for today (see Daily GPI, Aug. 31) has been canceled.

September 4, 2001

Transportation Notes

El Paso said Line 1110 downstream of Pecos River (NM) Station will be out of service for repairs today and Friday. Although repairs to adjoining Line 1103 were being completed Wednesday, the Line 1110 work will keep cause the capacity through Pecos River limited to 640 MMcf/d through Friday.

May 24, 2001