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With its expertise in selling and trading all types of commodities all over the world for more than 150 years, Louis Dreyfus’ success in marketing natural gas in North America should come as no surprise. What may have surprised industry watchers is the speed at which its physical gas sales have grown.

With its expertise in selling and trading all types of commodities all over the world for more than 150 years, Louis Dreyfus’ success in marketing natural gas in North America should come as no surprise. What may have surprised industry watchers is the speed at which its physical gas sales have grown.

Still three months before it makes an official general rate case filing, Sempra Energy’s San Diego Gas and Electric Co. is sparring a major utility consumer group over its plans to file for a $250.4 million increase in its base annual revenues. The utility notified the California Public Utilities Commission on Aug. 1 of its intention to file a general rate case by Dec.1 with an effective date in 2008.

While the U.S. oil and gas sector makes extensive use of derivatives to manage commodity price risk, and in some cases make a speculative buck, Standard & Poor’s Ratings Services (S&P) said producer hedging practices have little impact on corporate credit ratings. This is mainly due to the fact that most companies hedge production only as far out as two years or so, and the ratings agency takes a longer-term view when assessing credit.

While the U.S. oil and gas sector makes extensive use of derivatives to manage commodity price risk, and in some cases make a speculative buck, Standard & Poor’s Ratings Services (S&P) said producer hedging practices have little impact on corporate credit ratings. This is mainly due to the fact that most companies hedge production only as far out as two years or so, and the ratings agency takes a longer-term view when assessing credit.

President Bush signed legislation earlier this week that makes an additional $1 billion in energy assistance available to low-income energy consumers in fiscal year 2006.

SemGroup LP said Monday a subsidiary, SemGas LP, has acquired Greyhawk Gas Storage Co. LLC of Steuben County, NY, from Falcon Northeast Holdings LLC for an undisclosed price. This was the company’s second acquisition of storage facilities in Steuben County within 75 days.

Despite the dark shadow of a multi-billion-dollar, class-action lawsuit, alleging wholesale natural gas price manipulation, set for trial, San Diego-based Sempra Energy found plenty of reason to celebrate last week. The company negotiated a 15-year, $1.4 billion agreement to deliver to Mexico’s federal power agency a large portion of the liquefied natural gas (LNG) supplies that will arrive at its proposed North Baja receiving terminal.

Cash prices were up across the board Monday but posted small gains of generally less than a dime in the Gulf Coast and Midcontinent producing areas with larger increases in the market areas. Western locations posted gains of about 10-12 cents on average.