Interests

Devon Energy Corp. agreed Tuesday to sell its interests in three deepwater Gulf of Mexico (GOM) projects to Denmark-based Maersk Oil for $1.3 billion. Maersk Oil also negotiated to make up to $4 billion in additional investments in the GOM projects over time.

Los Angeles-based Rentech Inc., which is commercializing a waste-to-clean energy process, announced Wednesday that it has purchased 100% and 25% interests in biomass gasification technology companies.

The nomination of David Hayes to be deputy secretary of the Department of Interior fell victim to the ongoing war between Interior Secretary Ken Salazar and natural resources interests as a cloture vote aimed at bringing the nomination to the floor failed.

Natural gas pipeline interests have an opportunity to speak up during the current discussion of expanding FERC authority for siting interstate electric transmission, according to Interstate Natural Gas Association of America (INGAA) President Donald Santa. While the Natural Gas Act is seen as a potential model for electric transmission policy, pipelines should point out where it doesn’t work, Santa told a Houston audience last Wednesday.

Natural gas pipeline interests have an opportunity to speak up during the current discussion of expanding FERC authority for siting interstate electric transmission, according to Interstate Natural Gas Association of America (INGAA) President Donald Santa. While the Natural Gas Act is seen as a potential model for electric transmission policy, pipelines should point out where it doesn’t work, Santa told a Houston audience Wednesday.

Houston-based Plains Exploration & Production Co. (PXP) has completed the sale of its remaining interests in some properties located in the Permian and Piceance basins to Occidental Petroleum Corp. (Oxy) and to some undisclosed companies with contractual preferential purchase rights for a total of $1.25 billion in cash. Oxy in September agreed to acquire the stakes (see Daily GPI, Sept. 26). In late 2007 Oxy paid PXP a total of $1.55 billion for a 50% stake in PXP’s Permian and Piceance leaseholds (see Daily GPI, Dec. 18, 2007). The Permian and Piceance basin assets have net production of around 52 MMcf/d of gas and 4,300 b/d of liquids, or 13,000 boe/d. The properties also have about 92 million boe of proved reserves, 45% developed and 69% weighted to gas. PXP is expected to use the proceeds to develop a joint venture with Chesapeake Energy Corp. in the Haynesville Shale (see Daily GPI, July 2).

In what is seen as a potential blow to energy interests, Rep. Henry Waxman (D-CA) unseated longtime rival Rep. John Dingell (D-MI) last Thursday for the leadership of the powerful House Energy and Commerce Committee in a 137-122 vote of the House Democratic Caucus. Dingell has been the ranking Democrat on the House energy panel since 1981.

In what is seen as a potential blow to energy interests, Rep. Henry Waxman (D-CA) unseated longtime rival Rep. John Dingell (D-MI) Thursday for the leadership of the powerful House Energy and Commerce Committee in a 137-122 vote of the House Democratic Caucus. Dingell has been the ranking Democrat on the House energy panel since 1981.

As offshore interests continued resuming normal operations in the Western and Central Gulf of Mexico (GOM) Wednesday following the passage of Tropical Storm Edouard, the cash market reflected the neutral guidance of a flat screen the day before. Mixed price movement was mostly close to flat, with gains outnumbering losses.