Ownership

Increased organic capital spending, greater commodity price volatility, changing ownership structures and developing regulatory policy are expected to continue to have an impact on credit ratings in the midstream energy sector for the remainder of 2006 and into 2007, Standard & Poor’s Ratings Services said Thursday in a new industry “report card.”

Increased organic capital spending, greater commodity price volatility, changing ownership structures and developing regulatory policy are expected to continue to have an impact on credit ratings in the midstream energy sector for the remainder of 2006 and into 2007, Standard & Poor’s Ratings Services said Thursday in a new industry “report card.”

Rapid City, SD-based Black Hills Corp. Wednesday completed its $24.1 million acquisition of third party ownership interests and leases associated with the property it had acquired last March from Koch Exploration Co. in Colorado’s Piceance Basin. For the rest of this year, the company’s CEO said it will focus on increasing production from existing wells, holding off drilling new wells until next year.

Reflecting full ownership of its downstream and growth in upstream income, Marathon Oil Corp.’s 4Q2005 profit soared, with net income reaching $1.27 billion ($3.43/share), compared with $429 million, ($1.23) a year ago. Revenue was up 21% to $17.3 billion from $14.3 billion. U.S. natural gas sales grew in the quarter, but they were down overall for the year.

In the midst of more pressing issues about the future ownership of the state’s major private-sector electric utility, the lower House of the Oregon legislature Friday gutted a bill from the Senate (SB 408) that attempted to resolve the long-standing consumer group criticism of how utility income taxes are handled for ratemaking purposes. Portland General Electric (PGE), under Enron Corp.’s consolidated tax structure since 1997, has been a target of criticism.

Enterprise Products Partners LP last week tripled its total ownership interest from 20% to 66% in Dixie Pipeline Co., which owns and operates a 1,300-mile propane pipeline from supply areas in Texas, Louisiana and Mississippi to markets throughout the southeastern United States.

Enterprise Products Partners LP on Monday said it had tripled its total ownership interest from 20% to 66% in Dixie Pipeline Co., which owns and operates a 1,300-mile propane pipeline from supply areas in Texas, Louisiana and Mississippi to markets throughout the southeastern United States.

Enterprise Products Partners LP last week upped its stake in K/D/S Promix LLC to 50%, increasing its ownership in a fractionator in Napoleonville, LA, with the capacity to process up to 145,000 bbl/d of mixed natural gas liquids (NGLs) from processing plants on the Louisiana, Mississippi and Alabama Gulf Coast.

Enterprise Products Partners LP has upped its stake in K/D/S Promix LLC to 50%, increasing its ownership in a fractionator in Napoleonville, LA with the capacity to process up to 145,000 bbl/d of mixed natural gas liquids (NGLs) from processing plants on the Louisiana, Mississippi and Alabama Gulf Coast.