Heated

Activity in the Delaware Basin of West Texas-southeastern New Mexico — specifically the Avalon and Wolfcamp shales and Bone Spring formation — has heated up enough for Nuevo Midstream LLC to take its gas processing plant near Orla, TX, out of mothballs.

Putting to rest the heated withdrawal/injection debate of the past week, the Energy Information Administration (EIA) confirmed Thursday morning that storage reverted to net injections for the week ended Nov. 10 with a build of 5 Bcf. As a result, December natural gas sunk lower, putting in a low of $7.720 before settling at $7.755, down 36.5 cents from Wednesday.

Heated commodity exchange competition appears to be paying off for New York-based Nymex Holdings Inc. and Atlanta-based IntercontinentalExchange (ICE), as the arch rivals both reported record earnings and results for the third quarter of 2006.

Heated commodity exchange competition appears to be paying off for New York-based Nymex Holdings Inc. and Atlanta-based IntercontinentalExchange (ICE), as the arch rivals both reported record earnings and results for the third quarter of 2006.

The heated bidding war over Canada Southern Petroleum shares boiled over last week with Petro-Canada subsidiary Nosara Holdings Ltd. increasing its offer by 47% to US$11/share and then Canadian Oil Sands raising its offer 14% to $11.10/share, or about $161 million. Canada Southern on Friday urged shareholders to accept the sweetened Canadian Oil Sands offer.

The heated bidding war over Canada Southern Petroleum shares boiled over Thursday with Petro-Canada subsidiary Nosara Holdings Ltd. increasing its offer by 47% to US$11/share and rival Canadian Superior urging Canada Southern Petroleum shareholders to acknowledge that its original offer (2.75 shares and C$2.50 cash for each Canada Southern share) represents the best long-term value because its shares currently are underpriced in the market. Canada Southern Petroleum on Tuesday recommended that its shareholders accept a US$9.75/share all-cash offer from a third company, Canadian Oil Sands (see Daily GPI, June 27).

Rhode Island Attorney General Patrick Lynch fired another shot on Thursday in the heated legal battle that has developed over KeySpan Energy’s plan to convert an existing liquefied natural gas (LNG) peak shaving facility (formerly Algonquin LNG) in Providence into a 525 MMcf/d LNG import terminal.

Rhode Island Attorney General Patrick Lynch fired another shot last Thursday in the heated legal battle that has developed over KeySpan Energy’s plan to convert an existing liquefied natural gas (LNG) peak shaving facility (formerly Algonquin LNG) in Providence into a 525 MMcf/d LNG import terminal.

The American Gas Association Tuesday filed with FERC to intervene in its heated liquefied natural gas (LNG) jurisdictional case, noting that its 192-member local utility companies deliver more than 80% of the nation’s natural gas supplies distributed directly to end-users. AGA noted that jurisdictional disputes will only “serve to delay” terminal development and construction.