Follows

Canadian Natural Resources Ltd. (CNR) threatened to reduce its total natural gas drilling in Alberta by 65% next year if the province’s royalty proposals are adopted.

Stockholders approved Cimarex Energy Co.’s $1.6 billion purchase of Irving, TX-based Magnum Hunter Resources (see Daily GPI, Jan. 27). The deal follows a decision last fall by Magnum Hunter CEO Gary Evans to retire and examine strategic alternatives for the company (see Daily GPI, Oct. 8, 2004). Evans started Magnum Hunter with $1,000 nearly 20 years ago and built it into a $1.8 billion asset portfolio.

North American natural gas output may only grow 0.3% this year, but the increase follows three straight years of gas production decline, according to a JP Morgan survey. The 39 publicly traded exploration and production companies surveyed represent 36 Bcf/d, or more than 56%, of total U.S. and Canadian annual gas output.

North American natural gas output may only grow 0.3% this year, but the increase follows three straight years of gas production decline, according to a JP Morgan survey. The 39 publicly traded exploration and production companies surveyed represent 36 Bcf/d, or more than 56%, of total U.S. and Canadian annual gas output.

The market paused to figuratively catch its breath with a mixed price performance Thursday following three days of climbing quotes in which the gains tended to get substantially larger each day. Various points ranged from almost 30 cents lower to a little more than 30 cents higher.

Thursday’s bullish storage report and the screen spike that it inspired obviously had more influence on cash market thinking than some sources had suspected. The prior-day futures strength trumped weakening weather fundamentals and the usual weekend drop in industrial load to send prices higher at nearly all points Friday.

CMS Energy Chairman and CEO Ken Whipple, at his own request, will have most of his compensation linked to the company’s performance long-term, under a package ratified by the CMS Board of Directors. Whipple had initially asked that all his compensation be linked to performance when he took over in May 2002.

The U.S. Commodity Futures Trading Commission (CFTC) has brought in a total of $43 million in civil monetary penalties this week to settle charges of attempted gas market manipulation and false price reporting by three natural gas trading companies, including Enserco Energy, which paid $3 million on Thursday. Enserco’s fine followed $20 million each from EnCana and Williams earlier in the week (see Daily GPI, July 30, July 29).

In two days this week, the Commodity Futures Trading Commission (CFTC) has drawn $40 million in fines for attempted natural gas market manipulation and false price reporting to gas index publications. On Monday, the CFTC announced a $20 million settlement agreement with EnCana, and on Tuesday a nearly identical settlement was reached with The Williams Companies and subsidiary Williams Energy Marketing and Trading, the CFTC said (see Daily GPI, July 29).