Further

In an apparent attempt to preempt judicial challenges that could further delay drilling in Alaska’s offshore, a unit of Royal Dutch Shell plc has asked a federal court to review its Arctic oil spill response plan to determine whether it complies with federal requirements.

During a contentious House subcommittee hearing last week on an Environmental Protection Agency (EPA) investigation of well water contamination in Wyoming, one lawmaker accused the agency of being on a hydraulic fracturing (fracking) witch hunt, while another hammered it on the semantics of a press release he said overstated the potential for a fracking-contamination link.

Gastar Exploration Ltd. will devote $100.5 million of its $134.2 million 2012 capital budget to drilling and completion costs, with 89% of that amount ($88.9 million) to be spent on activities in the liquids-rich window of the Marcellus Shale, the company said Tuesday.

Virtually all points fell Thursday as they succumbed to a triple whammy of bearish threats: further increases in storage inventories, futures weakness and mild weather for mid-winter that refuses to go away and allow normal cold conditions to take hold.

Several Northeast locations soared Thursday as forecasts of subfreezing lows stretched further south into the region. But with even more frigid conditions occupying the Midwest and Rockies, and getting pretty cold by the South’s standards, prices fell in almost all of the market outside the Northeast.

As a further indication of the private equity sector’s growing interest in energy infrastructure, First Reserve Corp. and the California Public Employees Retirement System (CalPERS) have partnered to acquire natural gas-fired generation plants and transmission lines from ArcLight Capital Partners.

Commerce City, CO, has invoked a 30-day “time out” on hydraulic fracturing (fracking) to give city officials time to further discuss their concerns with the oil and gas industry. City officials took the action late Monday in lieu of a proposed six-month ban on fracking.

Ruby Pipeline flows have been cut to zero until further notice as Ruby declared a force majeure after experiencing a fire and some damage Saturday in its block valve 6 yard in a remote area of southeastern Cache County, UT. A segment of its pipeline around the block valve 6 was shut in and isolated to allow damage assessment and repairs. Ruby said Sunday it is unable to receive or deliver gas. Based on an inspection of the fire damage, which occurred at a gas line to auxiliary equipment, the damage will require more repairs to the valve, valve operator and auxiliary equipment than initially thought, the pipeline added. A road to the snow-covered site has been plowed and repair crews are on site.

Calgary independent Paramount Resources Ltd., better known for its natural gas exploration, saw its stock price jump by nearly 5% in midday trading Monday after the company said it was creating a subsidiary to house its growing oilsands and bitumen businesses.