CMS Energy Corp. COO David Joos reassured analysts last week that despite a downgrade by Moody’s Investors Service and the unexpected withdrawal of Arthur Andersen LLP to complete urgently needed financials for its bank refinancing due today (June 17), the company has enough liquidity through at least mid-July, and even longer if other assets such as the Panhandle Eastern Pipe Line Co. subsidiary have to be tapped for loans.
Articles from Liquid
Natural gas prices remained on a roller coaster ride of volatility yesterday as bull traders used the latest storage data as a battering ram to propel prices higher in the last 30 minutes of trading. The December contract received the biggest buying boost, posting a 10.8-cent gain at $3.291. The 12-month strip lagged only slightly, advancing 8.4 cents to close at $3.383.
Aux Sable Liquid Products Inc. said its new natural gas liquids(NGL) extraction and fractionation facilities in Channahon, IL, wentinto operation last Friday in conjunction with the start-up of serviceon the Alliance Pipeline system (see Daily GPI, Dec. 1, 2000).
Northwest reported that since mid-January it has been receiving”unprecedented levels” of liquid hydrocarbons from QuestarPipeline’s Clay Basin storage facility, “culminating in a criticalhigh of 21,000 gallons on Feb. 5.” Northwest has collected thecondensate at its Green River (WY) Compressor Station, but thefilter-separator system there was designed to collect only minimalamounts. Since last Monday, Northwest said, it has physicallytaken approximately 100,000 Dth/d from Clay Basin and was making upthe shortfall by withdrawing gas from Jackson Prairie. Northwestassured shippers it is working with Questar to keep Clay Basinnominations whole, but cautioned that at some point it may berequired “by prudent operations” to refuse gas nominated from ClayBasin.Northwest will provide 24 hours’ notice in such an event,but said Friday there would be no refusals over the weekend.Shippers can help ease the situation by voluntarily reducing ClayBasin nominations to whatever extent possible, Northwest said.
The prospect for more liquid energy markets with stepped-upintra-day deal-making is driving development of a second merchantunderground natural gas storage facility in northern Californiawith proximity to Pacific Gas and Electric’s backbone transmissionsystem (Line 401), according to the Sacramento-based manager ofWestern Hub Properties LLC.