Returns

XTO Energy’s operations chief said Wednesday that the key to his company’s U.S.-based natural gas production success is not keyed toward exploring for new properties, but instead concentrated on acquiring and exploiting assets that other producers don’t want.

XTO Energy’s operations chief said Wednesday that the key to his company’s U.S.-based natural gas production success is not keyed toward exploring for new properties,but instead concentrated on acquiring and exploiting assets that other producers don’t want.

As sources had predicted, the cash market resumed falling Tuesday following Monday’s modest rebounds. Mild to cool weather from the East through the Rockies, along with the next-day impact from faltering energy futures on Monday, were cited as chief factors in the softening that is expected to continue at least through the coming weekend.

Northwest Pipeline said that a 111-mile portion of its idled 26-inch diameter line between Sumas and Washougal, WA, is back in service, providing an additional 131,000 Dth/d of much needed pipeline capacity along the I-5 corridor. The capacity increase will allow customers to transport more gas to markets in southern Washington, Oregon and California and to the Jackson Prairie storage field.

Northwest Pipeline said that a 111-mile portion of its idled 26-inch diameter line between Sumas and Washougal, WA, is back in service, providing an additional 131,000 Dth/d of much needed pipeline capacity along the I-5 corridor. The capacity increase will allow customers to transport more gas to markets in southern Washington, Oregon and California and to the Jackson Prairie storage field.

With federal Nuclear Regulatory Commission investigators picking through the aftermath of last Monday’s emergency shutdown of Arizona’s Palo Verde Nuclear Power Plant, the first of its three units (Unit #1) was ramping up to full operations Friday, according to a spokesperson for Phoenix-based Arizona Public Service (APS), the majority owner and operator of the plant.

In a general sense Monday’s market resembled the Tuesday-Thursday trading period of last week in which many points were either flat or not much removed up or down from unchanged. The key difference Monday was somewhat greater volatility; instead of being limited to about a nickel’s movement in either direction, quotes ranged from about a dime lower to about 15 cents higher.

A steady trend since Monday toward greater price softness was partially reversed Thursday. Most points were essentially flat or recorded small gains or losses of less than a nickel; the more volatile ones ranged from 20 cents higher to about 15 cents lower.

While it’s no secret the majors are looking overseas for high returns, a new study by John S. Herold shows a much larger capital spending exodus from the United States than previously thought.