Producers

A consortium of producers led by Statoil ASA signed an agreement last week with a subsidiary of Houston-based El Paso Corp. to sell 1.8 million tons of liquefied natural gas (LNG) annually for 17-to-20 years — an agreement that will supply El Paso with LNG for storage at Williams’ Cove Point LNG terminal in Lusby, MD, as well as “other North American and European destinations” where it will be regasified and sold as natural gas. El Paso has leased capacity from Williams at Cove Point to deliver about 250 MMcf/d into the East Coast pipeline infrastructure.

A consortium of producers led by Statoil ASA has signed an agreement with a subsidiary of Houston-based El Paso Corp. to sell 1.8 million tons of liquefied natural gas (LNG) annually for 17-to-20 years — an agreement that will supply El Paso with LNG for storage at Williams’ Cove Point LNG terminal in Lusby, MD, as well as “other North American and European destinations” where it will be regasified and sold as natural gas. El Paso has leased capacity from Williams at Cove Point to deliver about 250 MMcf/d into the East Coast pipeline infrastructure.

While some producers may be scaling back exploration and acquisition plans in view of current low prices, Stone Energy, which operates in the shallow Gulf of Mexico, is seizing the opportunity to add to its portfolio of prospects.

While some producers may be scaling back exploration and acquisition plans in view of current low prices, Stone Energy, which operates in the shallow Gulf of Mexico, sees the low prices as a chance to capitalize on its shallow prospects and low-cost operations.

In a move that could have far-reaching legal repercussions for pipelines, producers and other companies operating on Indian lands, two affiliated Montana Indian tribes have brought a civil lawsuit in a tribal court seeking to collect more than $3 million in back taxes from Northern Border Pipeline.

In a move that could have far-reaching legal repercussions for pipelines, producers and other companies operating on Indian lands, two affiliated Montana Indian tribes have brought a civil lawsuit in a tribal court seeking to collect more than $3 million in back taxes from Northern Border Pipeline.

A House Resources Committee bill was introduced Tuesday that would offer producers additional incentives to squeeze out every last drop of oil and natural gas from the maturer regions of the Gulf of Mexico. It would keep intact the moratoria that currently exists for the other Outer Continental Shelf regions in the United States, but it would open up the Arctic National Wildlife Refuge (ANWR) to drilling.

Oil and natural gas producers were dealt a major, unexpected blow last Thursday when the Republican-controlled House voted by an overwhelming majority to block exploration off the coast of Florida and to exclude new drilling in millions of acres of national monuments.

Oil and natural gas producers were dealt a major, unexpected blow last Thursday when the Republican-controlled House voted by an overwhelming majority to block exploration off the coast of Florida and to exclude new drilling in millions of acres of national monuments.