Merchant

California regulators Thursday approved a 50% increase in the working capacity of one of the state’s largest merchant-based underground natural gas storage facilities, Wild Goose Storage LLC, which is about 50 miles north of Sacramento.

FCStone LLC, a New York City-based futures commission merchant (FCM), has been slapped with a $1.5 million civil penalty by the Commodity Futures Trading Commission (CFTC) for “failing to diligently supervise its officers and employees” relating to its business as an FCM during 2008 and part of 2009.

FCStone LLC, a New York City-based futures commission merchant (FCM), has been slapped with a $1.5 million civil penalty by the Commodity Futures Trading Commission (CFTC) for “failing to diligently supervise its officers and employees” relating to its business as an FCM during 2008 and part of 2009.

Merchant Energy Holdings LLC is holding a nonbinding open season through Feb. 20 for up to 8 Bcf of firm, high-deliverability, multi-cycle working gas storage capacity available April 1 at its ECGS facility in Logan County, CO, about 90 miles east of the Cheyenne Hub. ECGS began operation in April and is completing its second phase of expansion, which includes additional injection/withdrawal wells, gathering and processing facilities and gas compression. ECGS is connected with Trailblazer Pipeline and has access to other major pipelines at the Cheyenne Hub. Total injection and withdrawal capability after the expansion will be more than 200,000 Dth/d. For information, visit www.mehllc.com or contact Scott Smith, (713) 403-6472, ssmith@mehllc.com; or Kevin Legg, (720) 351-4004, klegg@mehllc.com.

Once a high-flying global merchant power plant developer/operator tied to one of the top U.S. energy holding companies, Edison Mission Energy (EME) crash landed Monday with a Chapter 11 bankruptcy filing.

While lower profits in its merchant generation business and a decrease in weather-related energy sales hampered Dominion Resources Inc.’s full-year and 4Q2011 earnings, the Richmond, VA-based company said it has made “significant progress” in developing infrastructure projects to serve the robust shale gas production from the Marcellus and surrounding plays.

Dominion Resources Inc. announced Friday that its earnings for the full-year 2011 and the fourth quarter both declined due to lower profits in its merchant generation business and a decrease in weather-related energy sales.

The Commodity Futures Trading Commission last Monday voted out a final rule that would limit a futures commission merchant’s (FCM) ability to invest customer money in foreign sovereign debt.

The gas storage portion of East Cheyenne Gas Storage (ECGS) has begun commercial operations in northeast Colorado, according to Houston-based developer Merchant Energy Holdings LLC. The withdrawal capability of the 18.9 Bcf facility is scheduled to be in place during the first quarter.