Hurdle

Maritimes & Northeast Pipeline received a favorable draft environmental impact statement (DEIS) from FERC for its Phase III extension in Massachusetts and affiliate Algonquin Gas Transmission also received a favorable DEIS on the related offshore HubLine project. The projects include construction of 25 miles (Maritimes) of 30-inch pipe onshore from Methuen to Beverly, MA, 30 miles of 24-inch pipe offshore (Algonquin) from Beverly to Weymouth, MA, and five miles of 16-inch lateral pipe offshore to a wastewater treatment plant owned by Massachusetts Water Resources Authority (MWRA) on Deer Island, MA.

Only two weeks after it had launched its friendly takeover bid of Gulf Canada Resources Ltd., Conoco Inc. reported on Wednesday that the Canadian Commissioner of Competition issued an advanced ruling certificate to the company, allowing the acquisition to go forward without the requirement of any further approvals under the Canadian Competition Act.

Leaping another hurdle Tuesday en route to a successfully completed merger, FirstEnergy Corp.and GPU Inc. announced they have reached a stipulated settlement with several parties in their pending merger case, and have filed the agreement with the Pennsylvania Public Utility Commission (PUC).

The proposed Sonoran Pipeline project crossed its first hurdle late last week as potential shippers expressed interest in a significant level of capacity on the proposed 1,030-mile gas pipeline. However, the market seemed to make those hurdles a bit taller as gas prices closed in on $2 in the Rockies and plummeted to nearly $5 at the border.

The proposed Sonoran Pipeline project crossed its first hurdle yesterday as potential shippers expressed interest in an adequate amount of capacity on the proposed 1,030-mile gas pipeline. However, the market seemed to make those hurdles a bit taller as gas prices closed in on $2 in the Rockies and plummetting to nearly $5 at the border.

Williams Cos. was granted early termination of the regulatory waiting period under antitrust laws this week, clearing the way for its proposed acquisition of Denver-based Barrett Resources. Under terms of the agreement announced last month (see Daily GPI, May 8), Williams made a cash tender offer to purchase 16 million shares of Barrett stock at $73 a share. The offer expires June 11.

After navigating California regulatory maze successfully withsome precedent-setting environmental planning, the backers of thefirst new power plant slated for electron-starved San Diego Countystill have some difficult decisions ahead regarding gas supply forthe 500-MW Otay Mesa generating plant.

The European Commission has approved Chevron Corp.’s purchase ofTexaco Inc., clearing one hurdle on its road toward a successfulmerger by possibly this summer. Still to come is the lengthy U.S.approval process, including approval by the U.S. Federal TradeCommission. In a statement, the European Commission said that “thenumber of areas where the companies’ activities overlap in Europeis limited and where they do (overlap), the combined market sharesremain below 15%.” Chevron has sold most of its Europeanoperations: some in 1984 to Texaco, another group to RoyalDutch/Shell Group in 1997 and some to Petroplus in 1998. SanFrancisco-based Chevron agreed to buy Texaco, based in WhitePlains, NY, last October for $35.1 billion in stock and assumeddebt of $7.5 billion (see NGI, Oct. 23, 2000).

The European Commission has approved Chevron Corp.’s purchase ofTexaco Inc., clearing one hurdle on its road toward a successfulmerger by possibly this summer. Still to come is the lengthy U.S.approval process, including approval by the U.S. Federal TradeCommission. In a statement, the European Commission said that “thenumber of areas where the companies’ activities overlap in Europeis limited and where they do (overlap), the combined market sharesremain below 15%.” Chevron has sold most of its Europeanoperations: some in 1984 to Texaco, another group to RoyalDutch/Shell Group in 1997 and some to Petroplus in 1998. SanFrancisco-based Chevron agreed to buy Texaco, based in WhitePlains, NY, last October for $35.1 billion in stock and assumeddebt of $7.5 billion (see Daily GPI, Oct. 17, 2000).