Earn

The transmission policy that FERC crafts should apply to every business model that could build transmission, Commissioner Suedeen Kelly said last Tuesday in an appearance before a meeting sponsored by the National Energy Marketers Association (NEMA). “We don’t need to favor one over another — we need them all,” she said.

Starting with a $15 billion rate base on which to earn an 11.22% return, Pacific Gas and Electric Co., which recently emerged from bankruptcy, now faces the second half of the year with bullish optimism, knowing that even small percentage growth can reap some big bucks. That is why the utility’s executives Tuesday predicted solid earnings and a restoration of a dividend early next year for the first time in four years.

Starting with a $15 billion rate base on which to earn an 11.22% return, Pacific Gas and Electric Co., which recently emerged from bankruptcy, now faces the second half of the year with bullish optimism, knowing that even small percentage growth can reap some big bucks. That is why the utility’s executives Tuesday predicted solid earnings and a restoration of a dividend early next year for the first time in four years.

Coming as some encouraging news in an energy industry in the midst of a financial and credit crisis, Dominion reported Thursday operating earnings for the second quarter of $272 million (97 cents per share), compared with $180 million (72 cents per share) for the same period in 2001, excluding a $25 million charge related to the divestiture of Saxon Capital, Inc.

Anadarko Petroleum Corp. on Wednesday said it would earn 25 cents per share in the first quarter, significantly lower than the First Call/Thomson Financial analysts’ consensus estimate of 34 cents a share. The guidance comes a week after the company restated earnings in 2001 because of a $1 billion accounting error (see Daily GPI, Jan. 31). Anadarko also said it expected to reach $2 per share for the full year, which matches First Call estimates. The Houston-based independent said total volumes of crude oil and natural gas in 2002 are expected to match 2001 levels, at about 199 MMboe. The company’s U.S. natural gas production is expected to decline but will be offset by increased production from Canada, Qatar and Algeria. Anadarko’s volumes for the first quarter of 2002 are expected to be “modestly” higher than the fourth quarter of 2001 due to higher oil sales. Anadarko’s earnings estimates are based on Nymex prices for crude oil and natural gas, minus customary price differentials received at various producing locations. The company’s full-year earnings estimate is based on Nymex prices of $2.70/Mcf for natural gas and $21/bbl. The first quarter earnings estimate is based on Nymex prices of $2.20/Mcf and $18.50/bbl.

Archie W. Dunham, chairman and CEO of Conoco Inc., is thehighest paid executive of all the energy companies eitherheadquartered in Houston, TX, or with a significant local presencethere, according an annual ranking by the Houston Chronicle thatwas released last week.

Archie W. Dunham, chairman and CEO of Conoco Inc., is thehighest paid executive of all the energy companies eitherheadquartered in Houston, TX, or with a significant local presencethere, according an annual ranking by the Houston Chronicle thatwas released yesterday.