Extending

It appeared for a while that Southern California Gas was not extending a high-linepack OFO beyond Wednesday, but the utility told shippers that afternoon that the OFO would remain in effect through at least Thursday.

It appeared for a while that Southern California Gas was not extending a high-linepack OFO beyond Wednesday, but the utility told shippers that afternoon that the OFO would remain in effect through at least Thursday.

The winter weather machine was starting to rev up its engines again, with forecasts of lows around freezing or colder extending into most of the South, and the spot market responded with small to moderate increases at a large majority of points Tuesday. The return of industrial load from its greater-than-usual declines over a holiday weekend and Friday’s 7.2-cent uptick by March futures also played supportive roles.

The winter weather machine was starting to rev up its engines again, with forecasts of lows around freezing or colder extending into most of the South, and the spot market responded with small to moderate increases at a large majority of points Tuesday. The return of industrial load from its greater-than-usual declines over a holiday weekend and Friday’s 7.2-cent uptick by March futures also played supportive roles.

The U.S. Department of Transportation (DOT) issued a rule last week extending requirements for pipeline integrity management programs, including excess flow valves, to natural gas distribution lines. Another new rule calls for strengthened management and oversight of control room operations for all types of DOT-regulated pipelines carrying natural gas or hazardous liquids.

The U.S. Department of Transportation (DOT) has issued a rule extending requirements for pipeline integrity management programs, including excess flow valves, to natural gas distribution lines. Another new rule calls for strengthened management and oversight of control room operations for all types of DOT-regulated pipelines carrying natural gas or hazardous liquids.

Pacific Gas and Electric kept the same conditions in effect while extending a systemwide Stage 2 high-inventory OFO through at least Thanksgiving Day on its California Gas Transmission system.

Gastar Exploration Ltd. has sold its majority interest in the Hilltop Resort Gathering System to US Infrastructure LP (USI). The Hilltop Resort Gathering System is composed of 20 miles of gas pipeline extending through Robertson and Leon Counties, TX, with a gathering capacity of 120 MMcf/d. The system is connected to 24 Gastar-operated wells, which produce from the middle and lower Bossier and Knowles formations in East Texas. Gastar received approximately $21.7 million, net of costs and expenses associated with the transaction. “The sale of our stake in the Hilltop system provides an attractive return on our investment and additional liquidity to pursue our drilling plans in East Texas and the Marcellus Shale while maintaining a very low level of leverage,” said Gastar CEO J. Russell Porter. USI partnered with Metalmark Capital to finance the transaction.

While extending a systemwide high-inventory OFO through at least Friday, Pacific Gas and Electric maintained the tolerance on positive daily imbalances at Thursday’s 12% but expanded the OFO status to Stage 3 and raised noncompliance penalties to $5/Dth.