Region

A basis blowout of immense proportions has occurred between Rocky Mountain region supply basins and the Southern California border this month and it appears to be expanding as we enter August, leading to widespread speculation and controversy in the industry about its causes.

A basis blowout of immense proportions has occurred betweenRocky Mountain region supply basins and the Southern Californiaborder this month and it appears to expanding as we enter August,leading to widespread speculation and controversy in the industryabout its causes.

Talisman Energy Inc. and Purcell Energy Ltd. of Calgary formedan exploration joint venture for the greater Fort Liard region inthe southwestern Northwest Territories and southeastern YukonTerritory. The participation right in the joint venture will be 60%for Talisman and 40% for Purcell. “This is Talisman’s firstsignificant move into the Northwest Territories, and we are happyto have Purcell as a partner,” said Talisman CEO Jim Buckee. “Themajority of remaining hydrocarbon potential in Canada lies in themedium and deeper gas plays in Alberta, BC, and the Territories,and Talisman is well positioned as one of the leading deep gasplayers in North America.” “This joint venture strategicallypositions Purcell to leverage its Fort Liard success on SDL 99,”said Purcell CEO Jan Alston. “Talisman’s experience as a successfulfoothills gas explorer combined with Purcell’s long-standinginvolvement at Fort Liard will enable the joint venture partners tocapitalize on opportunities as the area continues to open up.”Preliminary work will commence immediately and be focused on deepgas prospects.

Electric market participants in the Northeast last week resolvedto further explore whether the region should become one broadregional transmission organization (RTO) or whether it should bebroken up into smaller RTOs.

Electric market participants in the Northeast last week resolvedto further explore whether the region should become one broadregional transmission organization (RTO) or whether it should bebroken up into smaller RTOs.

Equitable Resources ascended to the throne of Appalachian basinproducers last week by agreeing to purchase all of Statoil Energy’sassets in the region for $630 million. The deal is expected to becompleted next month, Statoil said.

Equitable Resources ascended to the throne of Appalachian basinproducers yesterday by agreeing to purchase all of Statoil Energy’sassets in the region for $630 million. The deal is expected to becompleted next month, Statoil said.

Citing a need to meet future growth in the region, NW Natural, agas utility serving 477,000 customers in Washington, announcedplans to build a 52-mile, 24-inch pipeline from its existingfacilities near North Plains, WA, to the Williams Gas Pipeline inMolalla, WA. The company said yesterday it has filed a notice ofintent with the Energy Facility Siting Council (EFSC), a divisionof the Oregon Department of Energy. The total cost for the newpipeline, which NW Natural said would be complete by 2004, is $58million.

Oil and gas production from offshore Atlantic Canada could reachabout 500,000 Boe/d if, as key operators in the region predict, anew development project begins every two or three years throughoutthe next two decades, according to “Harnessing the Potential -Atlantic Canada’s Oil and Gas Industry.”