Pain

Severe economic pain will be felt this winter by natural gas customers nationwide. Atmos Energy Corp., the largest gas-only utility company in the nation, warned its 1.4 million customers in north and central Texas on Wednesday that residential gas bills may be 60-90% higher this winter compared to last winter.

Natural gas customers nationwide are going to suffer the “economic pain” of high prices and tight supply this winter in the wake of Hurricane Katrina, the head of the Energy Information Administration told a House subcommittee last Wednesday.

Natural gas customers nationwide are going to suffer the “economic pain” of high prices and tight supply this winter in the wake of Hurricane Katrina, the head of the Energy Information Administration told a House subcommittee Wednesday.

Reliance on natural gas is a steadily escalating source of financial pain for oilsands complexes. Alberta’s three oilsands mining and bitumen upgrading complexes spent a total of C$692 million (US$520 million) on gas in 2003, or five times what they spent in 1999, according to the Calgary energy investment firm of Peters & Co. Ltd.

The cash market on Wednesday was jerked around like a bull whip by its out-of-control master, the gas futures market on the New York Mercantile Exchange. As futures popped nearly 40-cents higher at the open and soared to the incredible height of $7.55 Wednesday morning before collapsing shortly thereafter, the cash market was dragged behind, albeit at a significant distance. The run-up produced massive trading ranges as sellers scrambled to unload what they could before the show was over.

In an effort to ease the pain of deregulation for residentialconsumers, the Georgia Public Service Commission (GPSC) voted 5-0last week to approve an estimated $40 million residential refundplan that would help ease what are sure to be high gas bills thiscoming winter. The commission also voted to approve a newsculptured tariff for distribution charges instead of the currentflat rate by a vote of four-to-one, with Commissioner Robert Bakerdissenting.

Aiming at easing the personal pain involved in the oil and gasindustry downturn, the Texas Independent Producers &amp RoyaltyOwners Association (TIPRO) has instituted an Oil and Gas Job Bankat its website www.energyconnect.com.