Global

In the report on the ExxonMobil global energy forecast in Daily GPI’s, Dec. 14 edition, inaccurate figures were reported in the second paragraph: World natural gas use is projected to increase from about 290 Bcf/d today to nearly 440 Bcf/d by 2030.

S&P Equity Research, using data from Global Insight, announced Friday it is lowering its 2005 Henry Hub bid week (blend of spot and contract) price projection by $0.16 to $8.19/MMBtu, and 2006’s by $0.06 to $9.47/MMBtu. The group is projecting a December bidweek price of $12.27/MMBtu and a five-month winter average approaching $13/MMBtu. The projections are subject to weather and the return of Gulf of Mexico supplies, analyst Tina Vital, an oil and gas analyst with Standard & Poor’s Equity Research, said. “While warm weather and bearish storage reports have pushed U.S. natural gas prices down to near $11 per million Btu, we believe these declines are temporary. With eastern U.S. winter weather expected to be colder than normal, we expect above-average storage withdrawals and Gulf production losses will boost Henry Hub bid week prices” with a peak price of $12.71/MMBtu in January.

Storage levels may be continuing to rise with this warm November weather, but Global Insight consultant Jim Osten warned that Northeast consumers should still expect to see $15/MMBtu wholesale gas prices at the citygate for January bidweek.

The skyrocketing global energy prices so far have not had the feared negative impacts on the overall U. S. economy and in some sectors, such as alternative energy development, may be a plus, according to a composite report from a panel of nine analysts at Standard and Poor’s Ratings Services, speaking on a conference call Monday. An S&P economist attributed the lack of major negative impact so far to the fact that energy’s portion of the nation’s gross national product (GNP) is about half what it was a generation ago.

Chevron Corp. said last Thursday it has the support of the Mississippi governor for a new LNG import terminal it plans to locate in Jackson County, MS, alongside its Pascagoula refinery on the Gulf Coast. The announcement followed the revelation earlier in the week it had put its more ambitious Port Pelican offshore terminal on hold.

Nymex Holdings on Tuesday said it pulled the trigger on a 10% equity sale to General Atlantic LLC, a global private equity firm that will buy the stake in the New York Mercantile Exchange for $135 million.

The C.T. Bauer College of Business at the University of Houston (UH) has launched the nation’s first executive master of business administration degree in global energy management (GEMBA), which includes studies of the energy value chain, international energy finance and emerging energy technologies.

Falcon Gas Storage announced Wednesday that GAStorage Investment LLC, a company organized by Arcapita, a global investment group, has bought a 90% equity stake in Falcon and has provided additional capital to complete the construction Falcon’s gas storage facilities. The total value of the initial transaction is $100 million.

Acknowledging concerns about China’s global economic ambitions, the CEO of China National Offshore Oil Corp. (CNOOC) said Friday that the company was “fully prepared” to participate in a U.S. government security review of the unsolicited offer to buy Unocal Corp. for $18.5 billion cash. CEO Fu Chengyu also said CNOOC would discuss selling some Unocal pipeline and storage assets, and consider putting some assets not involved in exploration and production “under American management.”