Purchases

With winter setting in for the long haul, two indicators have become a constant. Natural gas prices continue to stay pegged in the upper echelon, and fertilizer producing companies continue to scale back their natural gas-intensive process of producing items such as ammonia and methanol.

Almost two weeks after Williams and Duke Energy announced they wereacquiring The Coastal Corp.’s yet-to-be-built 744-mile GulfstreamNatural Gas System (pipeline), Coastal reported that it has enteredinto a $310 million purchase agreement with Berg Steel Pipe tomanufacture and deliver almost all of the steel piping needed forconstruction (see Daily GPI, Nov. 20).

After five months of use and $100 million in gas purchases,Procter & Gamble (P&G) concluded EnergyGateway.com’snatural gas marketplace works like charm.

Houston’s Enterprise Products Partners L.P. has purchased Acadian Gas LLC’s extensive southern Louisiana assets, which include 1,000-plus miles of pipeline, more than 1 Bcf/d of capacity and a leased natural gas storage facility with 3.4 Bcf of capacity from Coral Energy LLC for $226 million in cash. Coral Energy, also based in Houston, is an affiliate of Shell Oil Co.

Houston’s Enterprise Products Partners L.P. has purchasedAcadian Gas LLC’s extensive southern Louisiana assets, whichinclude 1,000-plus miles of pipeline, more than 1 Bcf/d of capacityand a leased natural gas storage facility with 3.4 Bcf of capacityfrom Coral Energy LLC for $226 million in cash. Coral Energy, alsobased in Houston, is an affiliate of Shell Oil Co.

One of the United Kingdom’s leading natural gas suppliers took ahuge step across the Big Pond yesterday, agreeing to purchase oneof Canada’s largest gas marketers. Centrica Plc will pay $612million in cash and assumed debt for Calgary’s Direct EnergyMarketing Ltd. and its associated marketer, Natural GasWholesalers.

Western Gas Resources, Inc. announced yesterday that itswholly-owned subsidiary, Western Gas Resources-Oklahoma, Inc.(WGRO), purchased Panhandle Gathering Co.’s (PGC) 50% interest inWestana Gathering Co. for an undisclosed sum. The transaction hasan effective date of Jan. 1, 2000 and gives WGRO full ownership ofthe company.

GE Power Systems expanded its already-significant turbinemanufacturing force with yesterday’s announced purchase ofWeatherford Global Compression Services’ Gemini division. Financialterms of the acquisition were not disclosed.

GE Power Systems expanded its turbine manufacturing force withyesterday’s announced purchase of Weatherford Global CompressionServices’ Gemini division. Financial terms of the acquisition werenot disclosed.