Groups

Sen. Tom Harkin (D-IA) Tuesday questioned the effectiveness of self-regulatory watchdog groups, such as the National Futures Association (NFA), as the “first line of defense” against market abuse following the disclosure that Iowa-based Peregrine Financial Group (PFG) and its founder Russell Wasendorf Sr. allegedly defrauded customers of more than $200 million.

Several environmental groups and citizens are suing the Village of Painted Post in Steuben County, NY, over a contract to sell some of its water supplies to a unit of Royal Dutch Shell plc for its Marcellus Shale natural gas operations in Tioga County, PA.

Hearings resumed Wednesday in New Mexico on a request from the state’s two main energy industry groups that the state’s “pit rule” be modified to make it more cost effective. An official with the state Energy, Minerals and Natural Resources Department indicated that additional hearings may be required by the Oil Conservation Commission (OCC). New Mexico’s Independent Petroleum Association (IPA) and Oil and Gas Association (OGA) have continued to seek administrative changes to state rules for handling natural gas and oil drilling production waste (see Daily GPI, May 22). Earlier, IPA and OGA representatives told the OCC that their costs are rising to comply with the pit rule, and ranchers expressed environmental concerns. After five days of testimony in May, the OCC was taking additional input and that was expected to require additional hearings beyond the one now scheduled for Friday (June 22). A final determination by the OCC will not come up until about a month after hearings are concluded, according to a state resources department official.

Five conservation groups on Monday filed a lawsuit challenging the Department of Interior’s plans to hold a Central Gulf of Mexico (GOM) lease sale in New Orleans on Wednesday, claiming the Obama administration has failed to address the risks to wildlife and the environment following the Macondo deepwater well blowout two years ago.

Ahead of the annual shareholder meeting on Friday, Chesapeake Energy Corp. acquiesced to demands of major shareholder groups and Carl Icahn, who now holds 7.8% of the stock, and said four existing independent directors would resign from the board. The company also has put up for sale 337,481 net acres in its prized Utica/Point Pleasant Shale, which would give it less than one million acres in the play.

State of New York Comptroller Thomas P. DiNapoli, who manages the New York State Common Retirement Fund, joined other large investor groups on Tuesday and urged Chesapeake Energy Corp. shareholders to not support the reelection of board members Richard Davidson and V. Burns Hargis, the only two up for reelection.

Environmental groups and supporters of the oil and gas industry have different opinions over claims by the U.S. Geological Survey (USGS) that an increase in earthquakes in the Midcontinent region are more than likely caused by wastewater injection well activities.

An investment manager organization that leads a coalition of shareholder advocacy groups for social and environmental issues says progress has been made in the third year of its quest to convince natural gas operators to be more forthcoming over how they are managing the risks associated with hydraulic fracturing (fracking).

An investment manager organization that leads a coalition of shareholder advocacy groups for social and environmental issues says progress has been made in the third year of its quest to convince natural gas operators to be more forthcoming over how they are managing the risks associated with hydraulic fracturing (fracking).