Foray

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.

Carrizo Oil & Gas Inc. on Thursday said international energy companies OIL India Ltd. and Indian Oil Corp. Ltd. (IOC) will make their first foray into U.S. shale by taking a 30% stake in the Houston operator’s holdings in the Niobrara Formation of Colorado.

Following a series of tests indicating that water from private wells in Dimock Township, PA, is safe to drink, the U.S. Environmental Protection Agency (EPA) on Wednesday said it has determined “that there are not levels of contaminants present that would require additional action by the agency” and it has no plans to further test water samples in the township.

Governments of Canada’s producing provinces are throwing their weight behind the country’s foray into exporting liquefied natural gas (LNG) to Asia.

Governments of Canada’s producing provinces are throwing their weight behind the country’s foray into exporting liquefied natural gas (LNG) to Asia.

After four years of field trials, Alberta’s fledgling coalbed methane industry is launching its first foray into commercial production of the biggest untapped natural gas deposit in the province. A C$400 million (US$320 million) pioneer drilling campaign is under way into the vast Mannville coal formation by Trident Exploration Corp., Nexen Inc. and Red Willow Production Co.

Seeking to put a positive spin on the state’s first foray intolong-term bulk electricity contracts, Gov. Gray Davis Tuesdayannounced that the state has reached agreement for the commercialterms on an unspecified number of contracts between the state waterresources department and bulk power suppliers, with volumes phasingupward from 500 to 5,000 MW over several years.

Midcoast Energy announced that its Mexican pipeline affiliate,Midcoast del Bajio, which is jointly owned with Associated PipeLine Contractors, has been awarded a 10-year natural gastransportation contract to serve the General Motors de Mexico’sSilao Plant. It also has signed a deal to serve the FIPASIIndustrial Park, which includes facilities owned by American Axle,Weyerhaeuser Co. and Avintech. All the facilities are located inthe Bajio region of central Mexico near the city of Leon,Guanajuato, where Midcoast del Bajio is building a 59-mile, 16-inchdiameter pipeline.

Natural gas futures eked out its eighth-straight daily gainyesterday as traders erased early foray into negative territorywith storm-related buying in the afternoon. The September contractled the charge, advancing 4.9 cents to finish at $4.468. Estimatedvolume was light as only 58,956 contracts changed hands.