There’s no need to worry about sharp drops in gas supply, said Arlington, VA-based investment bank Friedman, Billings, Ramsey & Co. (FBR) in a new report. Gas production from new deepwater projects in the Gulf of Mexico (GOM) and a boom in liquefied natural gas (LNG) imports will be more than enough to carry the load over the next few years and make up for any lasting effect from the current drilling decline.
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Articles from Need
Raymond James Sees Need to Focus on Hard Assets, Not Trading
Raymond James & Associates expects another wave of mergers and acquisitions in the wake of the Enron catastrophe, as marketing and trading companies come to the realization that hard physical assets are much more desirable than heavily leveraging a balance sheet to a trading desk.
Cal-ISO Chief Former Board Chair Grilled by State Legislature
Supporting the current CEO of the state’s electric transmission grid operator, Cal-ISO, and the ultimate need to make it a regional, multi-state entity, the state operator’s former stakeholder board chair, Jan Smutny-Jones, was among the energy industry representatives subjected to public depositions by a California senate investigative committee last week in a process that will continue later this month with further hearings. Subsequent hearings are suppose to look at some of the grid operator’s market practices, particularly allegations that it is giving “preferential treatment” to the state power-buying agency, the Department of Water Resources (DWR).
Columbia Gas Sets Open Season For New Midwest Project
Columbia Gas Transmission is conducting an open season to test the level of interest in moving Midcontinent gas collected by other pipelines into its Ohio territory to serve the growing power generation load.
PIRA: Short-Term Market Unlikely to Impact LNG Plans
You probably don’t need a pocket calculator to determine that the market isn’t exactly ready right now for imported liquefied natural gas (LNG). But according to a new study by PIRA Energy Group, prices should average more than $3/MMBtu at the Henry Hub through 2015, creating an solid market over the long-term in the United States for a worldwide LNG supply that is expected to more than double over the next decade.
PIRA: Short-Term Market Unlikely to Impact LNG Plans
You probably don’t need a pocket calculator to determine that the market isn’t exactly ready right now for imported liquefied natural gas (LNG). But according to a new study by PIRA Energy Group, prices should average more than $3/MMBtu at the Henry Hub through 2015, creating an solid market over the long-term in the United States for a worldwide LNG supply that is expected to more than double over the next decade.
Green Canyon Deepwater Discovery Surpasses Estimates
Though additional wells need to be drilled before the total proved reserves are accurately measured, Murphy Oil Co. announced Thursday that its Front Runner South prospect in Green Canyon Block 339 offshore Louisiana has exceeded expectations. The reserve estimate is expected to be more than the pre-drill projection of 40-60 MMboe.
California Creates State Power Authority
Amid a buzz about higher retail rates and the need to conserve to cut down on summer’s looming blackouts, California Gov. Gray Davis Wednesday signed a new law (SB 6X) creating the “California Consumer Power and Conservation Financing Authority,” which will have broad powers to construct, own and operate electric generation and power facilities and finance energy conservation programs. The law becomes effective in 90 days.
CA Gas Well May Need to be Horizontally Drilled
Results of the latest fracing in a relatively shallow (2,000-foot-deep) exploration well near Delano in California’s southern central valley indicate a horizontal drilling program is going to be needed to prove the potential of what Tri-Valley Oil and Gas Corp. is calling the far West’s largest natural gas field ever.
Report Finds Competition Alive And Well In NY
Competition is, for the most part, flourishing in New York’s electricity markets, but significant levels of new generation will need to be added to the state’s system in the near future in order for New Yorkers to avoid incurring higher electricity prices, according to a report recently issued by Dr. David Patton, market adviser to the New York independent system operator (NYISO).