Leap

“America’s Natural Gas Highway” took a big leap forward infrastructure-wise on Thursday with the announcement of a proposed first phase of development in 70 liquefied natural gas (LNG) fuel locations that would open in 33 states by the end of this year.

“America’s Natural Gas Highway” took a big leap forward infrastructure-wise last Thursday with the announcement of a proposed first phase of development in 70 liquefied natural gas (LNG) fuel locations that would open in 33 states by the end of this year.

Saying he was responding to the recent leap in gas prices and President Bush’s lifting of the executive ban on oil and gas leasing operations on the Outer Continental Shelf (OCS), Secretary of the Interior Dirk Kempthorne Wednesday afternoon said he was directing the Minerals Management Service (MMS) to begin preparations of a new five-year offshore oil and gas lease program that could include energy development throughout the OCS.

Saying he was responding to the recent leap in gas prices and President Bush’s lifting of the executive ban on oil and gas leasing operations on the Outer Continental Shelf (OCS), Secretary of the Interior Dirk Kempthorne Wednesday afternoon said he was directing the Minerals Management Service (MMS) to begin preparations of a new five-year offshore oil and gas lease program that could include energy development throughout the OCS.

December natural gas futures rocketed higher Wednesday, propelled in part by a supply-driven leap in oil prices. Risk managers see a short-term advance, but are also preparing to sell as prices become more attractive. December futures jumped 30.9 cents to settle at $8.330 and the January contract added 30.6 cents to finish the session at $8.660. December crude oil soared $4.15 to $94.53 after trading at an intraday record high $94.70.

Prices skyrocketed at all points Monday as continuing (and widespread) cold weather combined with a half-dollar-plus leap Friday by February futures to bolster the cash market. Just like last week, Northeast citygates saw instances of increases surpassing a dollar, although Monday’s gains fell far short of the triple-digit gains on the Tuesday following Martin Luther King Jr. Day, which carried four Northeast averages into $10-plus territory.

Denver-based Bill Barrett Corp. saw its production leap 42% from the second quarter of 2005 to 12.2 Bcfe in the second quarter of 2006, or an average of 134 MMcfe/d. For the first six months of 2006 production increased 49% over the year-ago period to 25.3 Bcfe.

Denver-based Bill Barrett Corp. saw its production leap 42% from the second quarter of 2005 to 12.2 Bcfe in the second quarter of 2006, or an average of 134 MMcfe/d. For the first six months of 2006 production increased 49% over the year-ago period to 25.3 Bcfe.

Houston-based independent Pogo Producing Co. took a huge strategic leap on Monday, announcing it will purchase Unocal Corp.’s Canadian subsidiary Northrock Resources Ltd. for $1.8 billion in cash. The transaction will boost Pogo’s proven reserves by an estimated 45%.