Events

Natural gas production is being curtailed in pockets across North America and some completed wells are not being hooked up, events that energy analysts say are inevitable, given weak prices and a growing list of storage-related operational flow orders (OFO).

Pacific Gas & Electric did not extend a systemwide high-inventory OFO beyond Thursday.

In an unusual turn of events, the federal appeals court that last year stopped Shell Oil Co. subsidiary Shell Offshore Inc. (SOI) from drilling offshore Alaska has vacated and withdrawn its decision.

In an unusual turn of events, the federal appeals court that last year stopped Shell Oil Co. subsidiary Shell Offshore Inc. (SOI) from drilling offshore Alaska has vacated and withdrawn its decision.

Electricity supplies will be tighter than last summer across much of North America, especially in Southern California and southwestern Connecticut, Rick Sergel, CEO of the North American Electric Reliability Council (NERC), said last Monday as NERC issued a 75-page summer power assessment for North America.

Temporary business interruptions, project delays and damage from weather-related events failed to deter U.S. energy master limited partnerships from having a strong year, according to a report issued Thursday by Standard & Poor’s Ratings Services (S&P).

With the weather events in the third quarter impacting nearly all of Newfield Exploration Co.’s Gulf of Mexico platforms and rigs, the producer is now seeking partners to move ahead on its production plans. However, unlike past ventures when producers looked for partners to help reduce risks, Newfield is looking for partners with available rigs.

Newfield Exploration Co. said year-to-date, four major weather events have caused production deferrals in the Gulf of Mexico — Hurricanes Dennis, Katrina and Rita and Tropical Storm Arlene, and the full-year impact will result in the deferral of 18-20 Bcfe.

Receiving support from current events in the petroleum futures sector, September natural gas futures on Monday erupted higher, reaching levels not seen since the January 2005 contract reached an $8.23 high on Nov. 29, 2004.