July

Calgary-based Esprit Energy Trust, a spin off from the former Canadian 88 Energy Corp. (see Daily GPI, July 23, 2004), on Thursday said that even though 2004 oil and natural gas output was lower from a year earlier, it still replaced 121% of its production on a proved basis, 110% on a total proved basis and 104% on a proved-plus probable basis in 2004.

AGL Resources Inc. announced Tuesday that it has completed its acquisition of New Jersey-based NUI Corp. in a deal that has been estimated at $691 million (see Daily GPI, July 16). AGL paid $13.70 per share in cash and assumed NUI’s debt at closing.

AGL Resources Inc. announced Tuesday that it has completed its acquisition of New Jersey-based NUI Corp. in a deal that has been estimated at $691 million (see Daily GPI, July 16). AGL paid $13.70 per share in cash and assumed NUI’s debt at closing.

While July gas futures tumbled sharply Monday morning with a low at $6.15, prognosticators at investment banking firm Raymond James & Associates are betting the gas storage situation isn’t nearly as rosy as it seems, and tight supply will end up pushing gas prices back above $8/MMBtu in the next few months.

The Texas Railroad Commission reported that a record-high 830 natural gas wells were completed during July, breaking the previous all-time high set in March of this year. The numbers are the highest on record in more than 30 years.

FERC closed out the last week in July before its August hiatus with the release late Friday of a draft environmental impact statement (DEIS) that would allow construction of the controversial 4.4 Bcf capacity Weaver’s Cove LNG receiving terminal near Fall River, MA, conditioned on certain environmental mitigation and safety requirements (CP04-36).

Atlanta-based AGL Resources announced last Thursday it would be expanding its East Coast footprint, taking on the natural gas assets of financially and legally devastated NUI Corp. in a merger agreement valued at about $691 million, consisting of $220 million in cash and the rest in debt assumption.

After threatening for most of the morning to punch below the $6 mark, August natural gas futures rebounded from near its previous $6.025 low to settle at $6.155, up 3.7 cents on the day.

Getting a slightly bullish boost from the Energy Information Administration’s (EIA) weekly gas storage report, July natural gas futures on Thursday closed up 7 cents at $6.485. The EIA reported that 85 Bcf of gas was injected into underground storage for the week ended June 18.