Scana’s South Carolina Pipeline Corp. announced Wednesday itplans to build an interstate pipeline running from South Carolinato North Carolina, and in the process held no punches on promotingits pipeline over the proposed Carolina Light and Power(CP&L)/Sonat Palmetto Pipeline project. Scana did not releasedetails of its proposal, but did say formal descriptions will beannounced in the coming weeks.
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Power Projects Popping Up Like Weeds in Texas
Texas Independent Energy, a 50-50 joint venture of PSEG Globalof New Jersey and Panda Energy International of Dallas, plans todesign, build and operate a third merchant power plant in Texas.This one, to be in Ector County, represents a total investment ofabout $300 million. The Ector County plant will burn an average of145 MMcf/d with a peak gas consumption of 170 MMcf/d. Commercialoperation is expected by summer 2001.
Capacity-Gaming Complaint Remanded to FERC
The D.C. Circuit Court of Appeals has remanded FERC’s rejectionof a 1997 complaint in which Southern California Edison accusedSouthern California Gas (SoCalGas) of gaming the secondary marketfor firm capacity on key transportation links between the low-costSan Juan producing basin and the California border.
States Oppose Granite Recovery of LNG Costs
Maine and New Hampshire regulators have asked FERC to deferconsideration of a petition for declaratory order that would allowGranite State Gas Transmission to recover millions of dollars inpreliminary development costs for a controversial liquefied naturalgas (LNG) facility in Wells, ME, that’s not even likely to bebuilt.
Unocal Touts ‘Very Significant’ Gulf Discovery
Unocal Corp.’s Spirit Energy 76 unit announced a “verysignificant” oil and gas discovery on the Mad Dog prospect in theGulf of Mexico deep-water Green Canyon block 826. The wellencountered 300 net feet of hydrocarbons, mainly crude oil. Aspokeswoman said more specific information about how much of MadDog reserves might be gas is not yet available.
Sale of Florida Gas’ South Texas Line Opposed
Dynegy Inc. and Chevron Corp. want FERC to either block FloridaGas Transmission’s (FGT) proposed abandonment and sale of 70 milesof mainline and associated facilities in the southern part of Texasor “at a minimum” ensure the continuity of transportation servicethere.
FERC Considers Review of Eastern Gas Demand
The Federal Energy Regulatory Commission is considering callingon government and industry resources to help make its ownassessment of the future demand outlook for natural gas in theeastern half of the United States and the need for new pipelinecapacity, Chairman James Hoecker said last week.
Amoco Backs Auction for Short- and Long-Term Markets
Amoco likes auctions but advocates removing price caps only inthe very short-term (intra-month) transportation capacity market,according to a lengthy filing made at FERC last week by AmocoProduction and Amoco Energy Trading
Potential Gas Resources Dip Slightly Since 1996
The domestic natural gas resource base, both proven andpotential, has dropped slightly over the past two years, butthere’s more than enough available and known gas supply to meetU.S. needs well into the middle of the next century, according to anew study released last week by the Potential Gas Committee (PGC).
Shell Cleans Up Deep-Water Drilling Agenda
Shell Exploration & Production Co. (SEPCo) outlined a planlast week to develop its strategic Gulf of Mexico (GOM) assetswhile cutting back on other deep-water projects. The plan includescommencing development on Shell’s 17th GOM project, the Brutus oiland gas play, while cutting up to $1.1 billion in E&P costs by2001. Shell’s 17 Gulf projects are the most of any GOM producer.