Putting

One significant factor that will continue putting pressure on the oil and gas industry is the declining number of petroleum engineers (PE) available, according to a report by Raymond James & Associates. The latest statistics from the Society of Petroleum Engineers puts the average age of PEs in the United States at 51 compared to 41 internationally. About 59% of PEs in the U.S. in 2003 were 45 or older (compared to 45% in 1997) and only 25% are under 36 (compared to 33% in 1997), Raymond James said.

Putting the first, albeit small, chink in the rosy natural gas storage picture, the Energy Information Administration (EIA) said Thursday morning that 68 Bcf was put into underground storage for the week ended Sept. 17. The weekly storage injection was considered largely bullish when compared to historical data for the week, but most industry-watchers had been expecting a smaller-than-normal injection because of the impact of Hurricane Ivan on Gulf of Mexico production.

With Hurricane Ivan’s latest path putting it on an unobstructed collision course with the Eastern and Central Gulf of Mexico, Producers have been put on high alert. Most Gulf producers have evacuated non-essential employees, while some companies have already shut in a portion of their production in the area.

Plains Resources Inc. announced Friday that Vulcan Energy completed its acquisition of the Houston-based oil and natural gas company, putting an end to competing suitor Leucadia Natural Corp.’s attempts to take over the company.

Putting an end to the two-day string of higher natural gas futures settlements, the natural gas bears were having their way Thursday after the Energy Information Administration (EIA) reported that a healthy 108 Bcf was put into underground storage for the week ended July 9.

Putting some more distance between the declines experienced last week, July natural gas futures continued its run Wednesday, trading up 18.5 cents to settle at $6.489, a far cry from last Wednesday’s $5.96 low.

Drawing a legal distinction between facilities and companies developing them, the California Public Utilities Commission Thursday unanimously instituted an investigation of the proposed liquefied natural gas (LNG) receiving terminal in Long Beach Harbor, including the determination that the Mitsubishi Corp. subsidiary proposing to build the terminal is a “public utility” under California law and must gain CPUC approval to build the project.

The broad energy bill’s proposals putting FERC in the business of collecting prices on natural gas and electricity trades are a bad idea because they would interfere with energy markets and the price discovery process, and would keep FERC from carrying out its more important market-monitoring duties, said Commissioner Sharon Brown-Hruska of the Commodity Futures Trading Commission (CFTC) last Thursday.

Duke Energy ended a busy week Friday by putting East Tennessee’s Patriot pipeline extension into service in the Mid Atlantic region and selling its Energy Delivery Services business unit for $22.5 million. Duke also announced a reorganization of its company’s finance and risk management functions on Friday.