A watershed year for U.S. liquefied natural gas (LNG) export capacity in 2019 could lead to changes in storage behavior in a region where a lack of transparent intrastate pipeline flow data has left market observers without a firm grasp on activity, according to analysts.
Articles from Salt
A closely watched project that would be Appalachia’s first to store natural gas liquids (NGL) in underground salt caverns has again been delayed, as it works through a regulatory process that is taking longer than expected in Ohio, where regulators are said to be somewhat unaccustomed to the permit applications.
Salt Lake City, UT-based Savage, a supply chain solutions company, on Tuesday introduced bulk material handling and rail transloading services at the Ohio Commerce Center (OCC) in Lordstown, OH.
Industry experts said they were disappointed by the Utica Shale oil production figures for 2012 released Thursday by the Ohio Department of Natural Resources (ODNR), but they believe a clearer picture is beginning to emerge of where the play’s sweet spots for oil are located.
The first oilsands project with longer term commercial possibilities in Utah has gotten approval to move forward from a citizen appeal board for the state Division of Oil, Gas and Mining (DOGM). It’s backers say it is the first commercial-scale oilsands project in the United States.
Sempra Energy’s U.S. power and gas unit has agreed to sell half of its natural gas-fired 1,250 MW Mesquite Power Plant in Arizona to Phoenix-based Salt River Project (SRP) for $371 million. The agreement, which also includes a half-interest in infrastructure shared by the two 625 MW units at Mesquite, requires approval by the Federal Energy Regulatory Commission and other agencies. San Diego-based Sempra said it expects all the approvals will be received in the first quarter. SRP’s board earlier this year approved its acquisition of a 100% interest in one of Mesquite’s 625 MW units. Sempra U.S. Gas and Power CEO Jeffrey Martin said the sale helps Sempra fulfill its goal of “reducing exposure to the merchant power market, while also allowing us to put greater emphasis on growing our Southeast natural gas portfolio.”
GreenHunter Water LLC recently began handling water disposal services at its newly completed salt water disposal (SWD) facility near Helena in Karnes County, TX. The facility is composed of new storage tanks and a fully contained offloading platform that features four unloading tractor trailer bays, a 150 hp pumping system and 2,400 bbl of onsite storage. The newly drilled SWD well was completed to the Middle Wilcox formation at a total depth of 7,800 feet. Green Hunter Water is a unit of GreenHunter Energy Inc. “We expect demand for Class II injection capacity in this part of the Eagle Ford Shale play to remain robust due to the increased drilling in the region directly related to the successful drilling efforts by operators in the ‘oil window’ of the Eagle Ford,” said Green Hunter Energy President Jonathan D. Hoopes. “With this new well now online and the facility operational, GreenHunter Water’s total owned disposal capacity has reached 35,000 bbl per day from a total of seven SWD wells located in five states.”
Salt Lake City-based Questar Corp. has launched a business unit to take advantage of potential growth in the natural gas transportation fueling business, especially trucking fleets, senior executives said Wednesday during a 1Q2012 earnings conference call.
The Federal Energy Regulatory Commission approved Golden Triangle Storage Inc.’s (GTS) plans to construct and operate two high-deliverability salt dome storage caverns in Jefferson County, TX, and granted the AGL Resources subsidiary’s request to charge market-based rates for the new capacity. GTS plans to build Caverns 3 and 4 and associated facilities, including a 14,205 hp compressor station, a header system consisting of two parallel 24-inch diameter pipelines and six bi-directional metering stations, beginning later this year. The proposed expansion would increase the total capacity of the Golden Triangle storage facility to 49.38 Bcf (32.6 Bcf of working gas and 16.78 Bcf of cushion gas).
ExxonMobil subsidiary XTO Energy Inc. was the big spender in the Bureau of Land Management’s (BLM) quarterly oil and gas lease sale in Salt Lake City Tuesday, bidding $38.8 million for four parcels covering 3,982 acres in the Uinta Basin in Carbon County, UT. The BLM received bonus bids totaling $49.4 million for 8,271 acres in 11 of the 13 offered parcels. The other major bidder was Bill Barrett Corp., which won two parcels covering 1,773 acres, also in Carbon County, with bonus bids totaling nearly $10 million. The producer submitted the highest total bid per acre: $12,100 on parcel No. 20 containing 811 acres.