Pumps

Kinder Morgan Energy Partners LP (KMP) and BP North America struck agreements for KMP to provide BP with condensate processing services and storage at Kinder Morgan’s terminals on the Houston Ship Channel.

Texas keeps getting hotter and drier, and aquifer water levels keep declining as homeowners, farmers and oil and gas drillers keep pumping water for their various uses. However, one water watcher told NGI’s Shale Daily he does not expect curtailments on water use for drilling/hydraulic fracturing (fracking) in the Eagle Ford Shale.

A California-based company, which now provides produced water services to several shale producers, on Tuesday said an Encana Corp. subsidiary would be the sole fuel supplier for its new fleet of liquefied natural gas (LNG) trucks, which initially would service Haynesville Shale producers.

The digits of gasoline pumps nationwide might bring woe to consumers, but the digits of the Texas Petro Index and the statistics that comprise it herald an era of exceptional growth for Texas oil and gas producers.

The digits of gasoline pumps nationwide might bring woe to consumers, but the digits of the Texas Petro Index and the statistics that comprise it herald an era of exceptional growth for Texas oil and gas producers.

The Canadian natural gas resource endowment is beginning to showing its depth again as new drilling attempts to catch up with demand. Production from the western provinces has increased by 680 MMcf/d this year, according to records kept by FirstEnergy Capital Corp., an investment banking house. In a “market update,” research manager Martin Molyneaux credited 70% of the production gain to a single discovery in northeastern British Columbia, the Ladyfern find by Murphy Oil Co., Apache Canada and Alberta Energy Co (see related story this issue).

The California Independent System Operator (Cal-ISO) Wednesdaybegan some joint inspections of off-line power plants as it facedthe possibility of declaring a Stage Three alert. Officials had notdeclared the alert as of press time.

Independent Fort Worth-based Cross Timbers Oil Inc.’s boardapproved a $200 million exploration and development budget for thecoming year, and said it expects most of the increase to go towardgas production, estimated to be 15% higher than this year.Including natural gas liquids and oil the company expects itsyear-over-year Mcfe growth rate to be 10% to 12%.

Enron’s interstate natural gas pipelines soon will beginoffering capacity on EnronOnline, a breakthrough transportationservice that has never been done before. With its TranswesternPipeline leading the way, Enron said last week the pipeline wouldbe the first to offer capacity for bidding through an open seasonon EnronOnline, its electronic transaction platform. Bidding willbegin next week.