Preparing

The Energy Information Administration is preparing take over the American Gas Association’s (AGA) storage survey at the end of the winter. But it first must get clearance from the Office of Management and Budget for the reporting burden placed on storage companies, EIA’s survey methodology and the budget requirements for conducting the survey. It also has to arrange the staffing and resources and perform an operational test before it can get a green light.

Even though the oil and gas industry is preparing for the “backside of the cycle” as natural gas prices fall, companies are in a better position today than in 1998, when financially constrained producers were forced to limit capital spending and drilling activity to service their debt, according to Raymond James Energy’s Stat of the Week. Analyst Wayne Andrews said, “this time around, producers have worked to maintain financial flexibility through the peak and appear to be in a much better position to handle the potential weakness in commodity prices.”

Even though the oil and gas industry is preparing for the “backside of the cycle” as natural gas prices fall, companies are in a better position today than in 1998, when financially constrained producers were forced to limit capital spending and drilling activity to service their debt, according to Raymond James Energy’s Stat of the Week. Analyst Wayne Andrews said, “this time around, producers have worked to maintain financial flexibility through the peak and appear to be in a much better position to handle the potential weakness in commodity prices.”

It’s crunch time on the energy policy front, and the big guns are in play, preparing the ground for the administration’s much-heralded comprehensive energy strategy. Vice President Dick Cheney has been putting in a series of media appearances lately, supporting energy development in the Arctic National Wildlife Refuge (ANWR), and a task force of energy experts has published a report calling on the nation to make some hard choices or face “more Californias in America’s future.”

It’s crunch time on the energy policy front, and the big guns are in play, preparing the ground for the administration’s much-heralded comprehensive energy strategy. Vice President Dick Cheney has been putting in a series of media appearances lately, supporting energy development in the Arctic National Wildlife Refuge (ANWR), and today a task force of energy experts is unveiling a report calling on the nation to make some hard choices or face “more Californias in America’s future.”

After several ownership changes and years of consideration, Market Hub Partners (MHP) is finally preparing its proposed salt cavern gas storage project in Copiah, MS, for service. The Duke Energy subsidiary launched a 30-day open season last week to test market interest in the project, which initially would provide 3 Bcf of working capacity and about 300 MMcf/d of deliverability on Texas Eastern and several other Gulf Coast pipes starting in spring 2004.

After several ownership changes and years of consideration,Market Hub Partners (MHP) is finally preparing its proposed saltcavern gas storage project in Copiah, MS, for service. The DukeEnergy subsidiary launched a 30-day open season yesterday to testmarket interest in the project, which initially would provide 3 Bcfof working capacity and about 300 MMcf/d of deliverability on TexasEastern and several other Gulf Coast pipes starting in spring 2004.

Preparing the way for the Administration’s energy policyexpected in the next couple weeks, Energy Department SecretarySpencer Abraham warned a meeting of the U.S. Chamber of Commerce”the nation faces a major energy supply crisis over the next twodecades.”

In the nothing-is-really-settled department, the State ofCalifornia was preparing to intervene today in a federal districtcourt in Los Angeles that has been asked to raise utility rates tocover the unpaid costs of wholesale power.