Problems

Global upstream investments climbed 31% between 2004 and 2005, but the oil and natural gas industry continues to have problems growing production and reserves, and any further downturn in natural gas prices could stifle near-term spending in North America, according to a review by John S. Herold Inc. and Harrison Lovegrove & Co. Ltd.

Global upstream investments climbed 31% between 2004 and 2005, but the oil and natural gas industry continues to have problems growing production and reserves, and any further downturn in natural gas prices could stifle near-term spending in North America, according to a review by John S. Herold Inc. and Harrison Lovegrove & Co. Ltd.

Operating problems and “teething start-ups” will not hinder the growth of either the short- or long-term global liquefied natural gas (LNG) supply, which could meet 15% of the world’s natural gas demand by 2012, Cambridge Energy Research Associates (CERA) said in a new analysis.

Operating problems and “teething start-ups” will not hinder the growth of either the short- or long-term global liquefied natural gas (LNG) supply, which could meet 15% of the world’s natural gas demand by 2012, according to an analysis by Cambridge Energy Research Associates (CERA).

Former Enron Corp. treasurer Ben Glisan Jr. said Tuesday Enron’s financial problems continued to mount after ex-CEO Jeffrey Skilling resigned in August 2001, and “a number of subsidiaries were struggling, and other parts of the business were taking enormous risk.” Testifying in the trial of Skilling and Enron founder Kenneth Lay, Glisan said both were aware of the true shape of the company, but both lied to analysts in the months preceding its bankruptcy.

Drillers apparently were trying to fix some problems with a new natural gas well in western Palo Pinto County, TX early Friday when the ground exploded, sending up a fireball seen 100 miles away. Only one person was slightly injured, according to a spokeswoman for the Texas Railroad Commission.

Producers and stakeholders trying to iron out problems with the long-stalled $7 billion Mackenzie Valley natural gas pipeline may be close to making a “positive announcement,” a member of the negotiating team said Thursday.

The underlying fundamentals for natural gas prices — minus any weather-driven problems — remain extremely bullish, and sentiment in the gas market will improve over the coming months, according to a new report by Raymond James. Its current 2005 gas price forecast is $6.80/Mcf, with 2006 and long-term gas forecasts at $7.50/Mcf.

The underlying fundamentals for natural gas prices — minus any weather-driven problems — remain extremely bullish, and sentiment in the gas market will improve over the coming months, according to a new report by Raymond James. Its current 2005 gas price forecast is $6.80/Mcf, with 2006 and long-term gas forecasts at $7.50/Mcf.