Ranks

The Pennsylvania Oil and Gas Association (POGAM) and the Independent Oil and Gas Association of Pennsylvania are merging to become the Pennsylvania Independent Oil and Gas Association (PIOGA) with about 700 members.

The Pennsylvania Oil and Gas Association (POGAM) and the Independent Oil and Gas Association of Pennsylvania are merging to become the Pennsylvania Independent Oil and Gas Association (PIOGA) with about 700 members.

Ohio could join the ranks of cash-strapped states that have turned to oil and natural gas drilling on state lands as a means to replenish recession-wracked coffers. Ohio House Speaker Armond Budish, a Democrat, said recently that lawmakers may consider allowing drilling in state parks as long as it does not harm the environment, the Associated Press reported. A study committee recently estimated drilling on state lands could generate $3 million or more in revenue for the state. Earlier this week Republican members of the Pennsylvania House of Representatives unveiled a plan to further tap into prolific Marcellus Shale deposits by expanding natural gas drilling to 390,000 acres of state forest land over the next three years — a proposal one conservation group quickly labeled “irresponsible” (see Daily GPI, March 25).

The recent unpredictability of energy futures markets was on display yet again Wednesday as crude and natural gas broke ranks to explore different price directions. August crude gained $2.60 to close at $143.57/bbl, while August natural gas dropped 11.6 cents to finish at $13.389.

Joining the ranks of other experts such as Colorado State University (CSU) forecasters William Gray and Philip Klotzbach who have been recently slashing their 2006 Atlantic hurricane activity predictions, Andover, MA-based WSI Corp. downgraded its outlook last week for the second time in two months. WSI said it now expects the tropical season to have 13 named storms, six hurricanes and three intense hurricanes (Category 3 or greater).

Joining the ranks of forecasters who are slashing their 2006 Atlantic hurricane activity predictions, Andover, MA-based WSI Corp. downgraded its outlook Wednesday for the second time in two months. WSI said it now expects the tropical season to have 13 named storms, six hurricanes and three intense hurricanes (Category 3 or greater).

Michael Morris, who came up through the ranks of gas pipeline and distribution companies, will be taking over as president and CEO of American Electric Power (AEP) the first of next year. Morris, 57, currently chairman, president and CEO at Northeast Utilities System, will succeed E. Linn Draper, who announced in April 2003 that he intended to retire in 2004. Morris will also succeed Draper as AEP chairman upon Draper’s retirement from that position on or before April 27, 2004. Morris has served in his current role at Northeast Utilities since 1997. Previously Morris was president and CEO of Consumers Energy, the principal subsidiary of CMS Energy, and president of CMS Marketing, Services and Trading. He also had served as president of Colorado Interstate Gas (CIG) and as executive vice president of marketing, transportation and gas supply for ANR Pipeline. Morris also founded and served as president of ANR Gathering Co., one of the first gas marketing companies in the U.S. Northeast Utilities said that its board of trustees would meet on Tuesday to name interim leadership at the New England-based power company.

State commissioners have joined the ranks of those touting the wonders of imported liquefied natural gas (LNG). The National Association of Regulatory Utility Commissioners (NARUC), noting the importance of increasing natural gas supplies, passed a resolution at its summer meeting last Wednesday encouraging cooperation of state and federal agencies in the siting of LNG regasification terminals.

Enron’s devastation has spread through the industry like the plague with many of the top gas marketers teetering on the edge of extinction in the third quarter. Some chose not to provide volume information to NGI out of what one analyst called “justifiable paranoia” over releasing any data in this time of extreme scrutiny by regulators and credit rating agencies. Meanwhile, others began to show steep declines in volumes that will surely grow exponentially next year.