Eastern

With exploration and production (E&P) activity heating up along the eastern border of Montana as an extension of the North Dakota oil and natural gas boom, state lawmakers in the Big Sky state have proposed about a half-dozen new laws to deal with the impact on the local communities in the region.

Williams Partners Transco Pipeline delivered a system-record volume of natural gas on Jan. 22 of 10.4 million Dth as gas demand and prices in Eastern Seaboard markets spiked amid bitterly cold temperatures.

Devon Energy Corp. is selling its assets in the Utica Shale in eastern Ohio, part of a strategy to raise new venture capital so it can focus on opportunities in the Permian Basin, Mississippian Lime and the Niobrara formation.

Natural gas pipeline constraints, high international prices and declining production in eastern Canada could all combine to create sometimes volatile New England gas and power prices this winter, according to the Energy Information Administration (EIA).

Natural gas groups Wednesday said they were hopeful the Obama administration will provide a more cohesive energy policy during the president’s second term, at the same time urging various industry segments to speak to lawmakers and the public with one voice on hydraulic fracturing (fracking).

Hess Corp. said Wednesday it plans to spend $6.8 billion on capital expenditures (capex) in 2013, with the largest share — $2.7 billion, or 40% of the exploration and production (E&P) budget of $6.7 billion — devoted to unconventional resources.

Encore Energy Inc., acting in its capacity as lease advisor to mineral rights owners in eastern Ohio’s portion of the Utica Shale, announced Wednesday that it was currently shopping multiple tracts of “add-on” acreage to operators in the play.

When natural gas markets make a comeback, an extended foray into horizontal drilling and hydraulic fracturing shows British Columbia will be ready to fulfill expectations of taking over Alberta’s fading role as Canada’s top source of supply growth.

The cash market overall averaged 9 cents higher Friday as eastern portions of the country were still in the crosshairs of a major storm that traversed the country earlier in the week. The advance was broad and led by New England locations, and the isolated points that did show losses endured setbacks of a couple of pennies or less. January futures fell 1.1 cents to $3.451, and February gave up 1.3 cents to $3.482. February crude oil shed $1.47 to $88.66/bbl.