Past

Houston-based Enron Corp., hit in the past few months with accusations of overcharging in California and sagging stock performance, wiped the slate clean Thursday with its second quarter earnings release, announcing profit was up 40% over a year ago, boosted by surging electricity and gas sales in North America and Europe. The company said it sold almost twice as much power in North America and five times as much in Europe in the quarter.

Nature’s severe downturn in the amounts of hydroelectricity in the western region over the past 12 months has been a giant wake-up call for natural gas as new gas-fired power plants are spurring an unprecedented rush to build added interstate pipeline transmission into Washington and Oregon.

Nature’s severe downturn in the amounts of hydroelectricity in the western region over the past 12 months has been a giant wake-up call for natural gas as new gas-fired power plants are spurring an unprecedented rush to build added interstate pipeline transmission into Washington and Oregon.

The addition of the prolific Ladyfern discovery in northeast British Columbia, which began flowing one month ago, has sent Alberta Energy Co. Ltd.’s natural gas production soaring, producing more than 150 MMcf/d, the company said Friday. AEC’s current gas production with Ladyfern now equals 1.5 Bcf/d, the highest for any Canadian producer, and 40% higher than the company’s average for all of 2000.

To assess the impact of future gas supply interruptions, the Energy Information Administration is considering the use of mandatory surveys after using emergency surveys in the past that followed volatile swings in supplies and prices. EIA surveyed gas and distillate energy markets last winter in an emergency survey to gauge the impact on prices during fuel switching.

The gas price increases in the West over the past year had no direct causal relationship with the price of power there and therefore cannot be blamed for high western wholesale electricity prices, according to a study commissioned by the Natural Gas Supply Association and sent to Capitol Hill and the Federal Energy Regulatory Commission last week.

Alleviating oversold conditions created on the move lower over the past couple weeks, natural gas futures rebounded strongly Tuesday, as traders covered shorts amid undeniably bullish technical conditions. After gapping higher at the open, a steady flow of buying propelled the market to its highest level since May 1. At the closing bell, June was 25.9 cents higher at $4.653.

The gas price increases in the West over the past year had no direct causal relationship with the price of power there and therefore cannot be blamed for high western wholesale electricity prices, according to a study commissioned by the Natural Gas Supply Association and sent to Capitol Hill and the Federal Energy Regulatory Commission this week.

Like most California governors over the past 40 or more years, Gray Davis came to office 28 months ago hoping to build a national reputation. Four months into his third year, most observers would agree he has accomplished that goal. But at what price?