Overcome

The recent domestic liquefied natural gas (LNG) export deal struck by BG Group and Cheniere Energy Partners will have to overcome a number of hurdles to be economic, but it offers BG security of supply with which to serve its global LNG clientele, an analyst told NGI.

With nuclear power generation being phased out, coal considered too inflexible and the potential for shale gas to overcome current negative connotations in parts of Europe, natural gas as a source of electricity generation is drawing increased interest in Germany, which is rapidly moving toward total reliance on renewable sources for power generation.

July natural gas futures inched higher Tuesday as traders see the market needing to overcome difficult technical resistance before any trend higher can be resumed while others see the market at a turning point. At the close July had advanced a miserly 0.4 cent to $4.831 and August futures were up 0.1 cent to $4.858. July crude oil rose 8 cents to $99.09/bbl.

Merger and acquisition (M&A) activity in the U.S. oil and natural gas sector has overcome challenges year to date to surpass 2009 levels, an analysis by PwC US said.

Merger and acquisition (M&A) activity in the U.S. oil and natural gas sector has overcome challenges year to date to surpass 2009 levels, an analysis by PwC US said.

Marcellus Shale gas already is displacing pipeline flows from the west, an energy analyst said Tuesday at the Argus Marcellus Shale Gas Summit 2010 in Houston.

A new quarterly production record and reduced costs at Ultra Petroleum Corp. in 3Q2009 weren’t enough to overcome a noncash unrealized mark-to-market charge of $145 million on the company’s financial commodity contracts and the continued decline in natural gas prices, resulting in a loss of $8.33 million (minus 6 cents/share) compared with a profit of $116.9 million (74 cents) in 3Q2008, the Houston-based company said Friday.

A new quarterly production record and reduced costs at Ultra Petroleum Corp. in 3Q2009 weren’t enough to overcome a noncash unrealized mark-to-market charge of $145 million on the company’s financial commodity contracts and the continued decline in natural gas prices, resulting in a loss of $8.33 million (minus 6 cents/share) compared with a profit of $116.9 million (74 cents) in 3Q2008, the Houston-based company said Friday.

Domestic natural gas and crude oil production is “indispensable” if the United States intends to overcome its addiction to foreign oil, the incoming chairman of the Interstate Oil and Gas Compact Commission (IOGCC) said this week.