Programs

Two strong supporters in the U.S. Senate for natural gas use as a transportation fuel and major gas industry executives have joined forces to promote a legislative proposal giving liquefied natural gas (LNG) parity with other fuels, such as diesel, when used in marine transportation on inland U.S. waterways.

The state of Alaska extended its cooperation agreement with Japan-based consortium Resources Energy Inc. (REI) to develop Cook Inlet natural gas (see Daily GPI,Dec. 29, 2014). The agreement extension comes three months after Gov. Bill Walker met with more than 25 companies and government agencies, including the prefectures of Kyoto and Hyogo, during an international liquefied natural gas (LNG) conference in Tokyo, where he told more than a thousand attendees of the Alaskan LNG opportunity (see Daily GPI,Sept. 23). The agreement, which was extended two years to Dec. 14, 2017, encourages the development of Cook Inlet natural gas to provide Alaskans low-cost energy while also supplying Japanese consumers. “The world market will certainly benefit from Alaska’s rich natural gas reserves, but my No. 1 priority is ensuring that we work toward affordable energy for Alaskan families and businesses.” Walker said. “Extending this agreement with REI shows Japanese consumers that Alaska is committed to exporting liquefied natural gas.”

As an outgrowth of state safety laws passed after the San Bruno natural gas pipeline explosion, Sempra Energy’s Southern California Gas Co. (SoCalGas) has completed the first conversion of a mobile home park gas system to utility ownership and operation.

The U.S. Supreme Court said Monday it will review an appeals court ruling on a Maryland program requiring utilities to enter into long-term power supply contracts with a developer chosen by the state’s Public Service Commission (PSC) to build a natural gas-fired plant.

The Environmental Protection Agency (EPA) has released a favorable report on Ohio’s Class II Underground Injection Control (UIC) program for oil and natural gas drilling waste disposal, calling the Ohio Department of Natural Resources’ (ODNR) oversight of the program “good quality.”

Even though onshore production is rising, low crude oil and natural gas prices stung Rapid City, SD-based Black Hills Corp. during the second quarter, and it now plans to reduce capital expenditures (capex) in 2016 and 2017.

Industry groups are prepping for review of the Environmental Protection Agency’s (EPA) proposed voluntary Natural Gas STAR Methane Challenge Program, through which oil and natural gas companies could make and track commitments to reduce methane emissions.

The acquisition of Chicago-based Integrys Energy Group (see Daily GPI, June 23, 2014) by Milwaukee-based Wisconsin Energy Corp. (WE), which is on track to close late this summer, will result in the natural gas utility side of the merged companies growing a little faster than the power side over the next four to five years, according to WE CEO Gale Klappa.

The acquisition of Chicago-based Integrys Energy Group (see Daily GPI, June 23, 2014) by Milwaukee-based Wisconsin Energy Corp. (WE), which is on track to close late this summer, will result in the natural gas utility side of the merged companies growing a little faster than the power side over the next four to five years, according to WE CEO Gale Klappa.