Pure

Calgary-based EnCana Corp. Sunday announced it was splitting into two separate companies — one a pure play in unconventional natural gas and the other an integrated oil company with some existing southern Alberta shallow gas. Given all the regulatory approvals, EnCana expects the new companies to be formed by early next year at a collective after-tax cost of “less than $300 million,” the company said.

As summer arrived, Sempra Energy continued to downplay as pure uninformed speculation the reports this month that the Royal Bank of Scotland (RBS) wants to get a piece of Sempra’s successful energy trading business. RBS and any other suitors might want to consider what the San Diego-based holding company has said previously: partnership is a possibility, but a sale is not likely.

A project aspiring to grow up into the next oil sands breakthrough includes the ultimate in substitutes for natural gas — pure heat. As oil sands manager and chief financial officer of Petrobank Energy and Resources, Chris Bloomer makes the earth burn. “It’s aggressive in the reservoir,” he said in describing the new production method at an industry conference and trade fair in Fort McMurray, the oil sands boom city 500 miles northeast of the Canadian gas capital of Calgary.

Dallas-based Atmos Energy may be the biggest pure gas utility company in the United States, but size is definitely not the name of the game when it comes to the company’s marketing and trading business. A focus on customer service and low risk transaction management will be fundamental tenets of the operation going forward, said Mark H. Johnson, the new head of Atmos’ nonregulated division.

The Houston Exploration Co., which announced last year it would sell its offshore assets to become a pure U.S. onshore natural gas producer, has signed an agreement with an undisclosed private operator to sell the Texas portion of its Gulf of Mexico assets for $220 million in cash. At year-end 2005, Houston Exploration’s proved reserves in the Texas Gulf were estimated at 58.5 Bcfe.

With its chemicals unit spun off, and asset sales on track, Kerr-McGee Corp. continues to make significant progress in becoming a pure play exploration and production company, a company executive said Tuesday. The producer also remains on track to hit its fourth quarter production target of 248,500-277,200 boe/d.

As it moves toward a pure play exploration and production company, Kerr-McGee Corp. plans to separate its chemicals business through an initial public offering (IPO) in the fourth quarter.

Dallas-based Atmos Energy Corp., the country’s largest pure natural gas distributor, said last Wednesday that it has entered into a letter of intent with Energy Transfer Partners LP. to jointly construct, own and operate a large-diameter intrastate gas pipeline in the northern portion of the Dallas-Fort Worth Metroplex.

Dallas-based Atmos Energy Corp., the country’s largest pure natural gas distributor, said Wednesday that it has entered into a letter of intent with Energy Transfer Partners LP. to jointly construct, own and operate a large-diameter intrastate gas pipeline in the northern portion of the Dallas-Fort Worth Metroplex.