Record

Even with the ink still not dry and final allocation stillundetermined on California’s record $5 billion electricity rateincrease approved Tuesday, state officials are already worried thatthe added revenues and state-backed bonds that will follow will notbe enough to pay the state’s wholesale power bill over the next 12to 18 months. However, those dire forecasts assume little or norelief from relentlessly high wholesale prices.

Southern California Gas Co. confirmed plans to expand itsintrastate gas transportation system and make enhancements to itsstorage facilities to help meet record-setting gas demand byelectric generators in Southern California. SoCalGas Chairman EdwinA. Guiles informed California Public Utilities Commission PresidentLoretta Lynch of the plans in a March 27 letter.

Despite the record rig count, gas production isn’t picking upspeed the way many expected, according to Robert Morris of SalomonSmith Barney. Gas production decline rates are extremely high andthe United States will be lucky to see production growth of 3% thisyear, Morris said during a conference call Friday.

Despite the record rig count, gas production isn’t picking upspeed the way many expected, according to Robert Morris of SalomonSmith Barney. Gas production decline rates are extremely high, andthe United States will be lucky to see production growth of 3% thisyear, Morris said during a conference call Friday.

Chesapeake Energy Corp. reported yesterday that its provedreserves increased by 37% over a year ago to 1,655 Bcfe, with areserve replacement rate of 435% and reserve replacement costs of$1.04 per Mcfe. The company also reported the recent completion ofCarl No. 1-H, the company’s second consecutive important Georgetownexploratory success in Washington County, TX.

With prices still at record highs by Canadian standards,interest is heating up among producers in accelerating natural gasdevelopment in the East Coast offshore, including remote prospectson the Grand Banks of Newfoundland.

With prices still at record highs by Canadian standards,interest is heating up among producers in accelerating natural gasdevelopment in the East Coast offshore, including remote prospectson the Grand Banks of Newfoundland.

DPL reported yesterday that it has notched a record for earningsper share before extraordinary items in 2000 at $1.56, a 15%increase over the $1.35 mark the company posted for 1999. Likewise,the company beat 1999’s fourth quarter level of $0.27 per share by$0.10. For the fourth quarter, the company posted net income of $45million, compared to the 1999 level of $40.6 million. For the year2000, DPL’s net income was $199 million, which shows a slightdecrease from the $204.2 million the company showed in 1999. “Our2000 financial and operating results reflect the significant stepswe took in preparing the company for the deregulated energymarket,” said CEO Allen Hill. “In addition, our focus on merchantgeneration expansion will lead to continued industry leadinggrowth.” DPL expects 2001 earnings per share to increase more than20% from the $1.56 in 2000 to $1.90. In addition, DPL forecaststhat its earnings are expected to increase at an annual rate of atleast 10% after 2001, and could reach a rate of up to 15%.Ohio-based DPL has two subsidiaries, DPL Energy and Dayton Power& Light Co.

The 20% boost to exploration and production budgets this yearshould result in record results for offshore drilling, especiallythe Gulf of Mexico, according to drilling contractor Global MarineInc.’s annual Summary of Current Offshore Rig Economics — SCORE.In November and December 2000, GOM drilling increased 3.5%, andsoared 58.2% from a year ago. Worldwide, drilling was up 49.7% from1999.