The U.S. Department of Justice (DOJ) has notified victims of Enron Corp.’s fraud and 2001 bankruptcy that they have until April 17 to object to a possible resentencing agreement with imprisoned former CEO Jeffrey Skilling. Skilling, 59, has served more than six years of a 24-year prison term after he was convicted by a Houston jury in U.S. District Court for the Southern District of Texas in May 2006 on 19 criminal counts for securities fraud, conspiracy, making false statements to auditors and insider trading (see NGI, May 29, 2006). The U.S. Court of Appeals for the Fifth Circuit in New Orleans reaffirmed the conviction in 2011, finding that the federal government’s evidence of conspiracy was “overwhelming,” but it reiterated, as it had in 2009, that the sentence had been miscalculated by the district court (see NGI, April 11, 2011). The resentencing issue was remanded to the lower court (U.S. v. Skilling, U.S. District Court, Southern District of Texas, No. 04-cr-00025).
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Articles from Object
Energy Transfer Warns Southern Union
The war of words continued on Wednesday between Energy Transfer Equity LP (ETE) and the object of its merger affections, Southern Union Co.
Industrials Blast Decoupling Provision in Stimulus Bill
Industrial energy consumers object to language in the economic stimulus bill that would require state governors to support decoupling of electricity and natural gas volumes from prices in order to receive energy efficiency grants.
Industrials Blast Decoupling Provision in House Stimulus Bill
Industrial energy consumers object to language in the $816 billion House economic recovery bill that would require state governors to support decoupling of electricity and natural gas volumes from prices in order to get more stimulus funds.
Fastow Asks Court to Go Easy on Him
Former Enron Corp. CFO Andrew Fastow has been the object of “unprecedented public humiliation” on television, in Congressional hearings, in books, magazines, the Internet and in “written and verbal insults and threats,” and he is requesting leniency when he is sentenced to federal prison next week.
BP Affiliates Object to One-Size-Fits-All Rates on Proposed Entrega Line
Both BP America Production Co. and affiliate BP Energy Co. said while they welcomed the construction of the Entrega Gas Pipeline to boost pipeline takeaway capacity in the Rocky Mountain region, they objected to Entrega’s proposal to impose a single set of transportation rates on all shippers regardless of the distance traveled on the pipeline.
BP Affiliates Object to One-Size-Fits-All Rates on Proposed Entrega Line
Both BP America Production Co. and affiliate BP Energy Co. last week said while they welcomed the construction of the Entrega Gas Pipeline to boost pipeline takeaway capacity in the Rocky Mountain region, they objected to Entrega’s proposal to impose a single set of transportation rates on all shippers regardless of the distance traveled on the pipeline.
CA Marine Base Says No to LNG Siting Speculation
Although the suitor, ChevronTexaco, isn’t saying anything, the reported object of its liquefied natural gas (LNG) siting interest, Camp Pendleton Marine Corps Base in north San Diego County, is saying “no,” loud and clear.
Indicated Shippers Object to Southern Natural’s Tariff Revisions
A proposal by Southern Natural Gas Co. to revise tariff provisions that would, among other things, award transportation requests for 90 days or less without holding an open season, is being protested by Indicated Shippers, which argues that the proposal is “contrary to the scheduling equality goals of (FERC) Order No. 637,” and would grant the company “too much discretion to decide when to hold an open season” for shorter terms.
Industry Briefs
Promax Energy entered into a farmout joint venture agreement with Trident Exploration Corp. of Calgary to develop coalbed methane (CBM) under its Cessford properties in Alberta. Terms of the joint venture include a 12-well pilot program with all costs of the test borne by Trident, which will earn the right to commence a commercial drilling project on customary oil and gas industry terms. CBM production has become a significant and rapidly growing source of natural gas supply in the U.S., and interest is increasing in the CBM potential of Western Canadian coals. The Promax acreage hosts both shallow and deeper coal seams of interest. “The extensive and contiguous Promax land position, coupled with its database of logs, samples and seismic lines, will allow Trident to move rapidly in identifying the most prospective areas and starting a pilot project,” said Trident President Jon Baker. “Access to the Promax gas infrastructure and drilling economies will enhance the commercial potential for CBM development.” Promax is focused on natural gas in southeastern Alberta. It is well positioned to play a key role in the development of 500,000 acres of shallow gas in the Cessford area of Alberta, including platform production from the Medicine Hat/Milk River zones and potential higher productivity from up to 15 other horizons.
