Result

Natural gas should be a big winner as a result of theEnvironmental Protection Agency’s final plan for reducingsmog-causing emissions of nitrogen oxides (NOx) that was releasedyesterday. The plan calls for a reduction of 1.1 million tonsannually, or 28%, in 22 eastern states and District of Columbia by2007. States clean air plans come due in September 1999 and neededcontrols must be in place by 2003.

Barring the potential for additional gas demand that couldresult from the Kyoto global-warming accord, the Gas ResearchInstitute (GRI) yesterday projected that domestic natural gasconsumption will rise by about 30%, or 9.5 quadrillion Btus(quads), to nearly 32 quads by 2015. It predicts that producers,both in the United States and Canada, will be able to meet thedemand challenge, but it conceded that the road ahead won’t be aneasy one.

AGL Resources Inc., parent of Atlanta Gas Light (AGL) posted anet loss of $1.2 million for the third quarter ended June 30,compared with a gain of $1.4 million for the year-earlier quarter.

A property swap between an ARCO subsidiary and Mobil wouldresult in Houston-based Vastar Resources picking up 1999 Gulf ofMexico production estimated to be 180 MMcfe/d.

FERC Chairman James Hoecker has announced the start-up of threenew offices, created as a result of the agency’s on-goingrestructuring.

Non-regulated utility marketing affiliates may become a thing ofthe past, not as a result of forced divestiture but of voluntaryseparation, according to Hagler Bailly Consulting’s Ken Malloy.

KN Energy will be reducing its new combined work force by a total of 750 positions or 18% as the result of the integration of its operations with that of newly-acquired MidCon Corp., the company acknowledged Wednesday.

As a result of KN Energy’s acquisition of MidCon Corp. in lateJanuary, MC2 said it plans to turn its focus to retail natural gasand electric markets in western states in which its new parent doesa lot of trading.