Shadow

Global buyers of liquefied natural gas (LNG) will increasingly turn to the United States, casting a shadow over Australia’s LNG industry, at least temporarily, said Wood Mackenzie’s Andrew McManus, head of the firm’s upstream consulting business in Australia.

Five years from now, Montney Shale gas could have a pathway to the British Columbia (BC) west coast and potentially lucrative Asian gas markets via a C$5 billion pipeline project announced by TransCanada Corp. on Wednesday.

The Pittsburgh City Council has referred a series of proposed amendments, which would create “mineral extraction districts” and possibly open the city to at least limited Marcellus Shale drilling, to the city’s planning commission.

In a shrinking power load market nationally under the shadow of climate change policy responses and economic recession, NRG Energy Inc. CEO David Crane urged the electricity industry and financial analysts following it not to “overreact” to the prospect of what some would characterize as draconian measures set to come out of the Obama administration’s newly activated U.S. Environmental Protection Agency (EPA). Some segments of the coal industry may even thrive in the future, Crane said during an earnings conference call Tuesday.

In a shrinking power load market nationally under the shadow of climate change policy responses and economic recession, NRG Energy Inc. CEO David Crane urged the electricity industry and financial analysts following it not to “overreact” to the prospect of what some would characterize as draconian measures set to come out of the Obama administration’s newly activated U.S. Environmental Protection Agency (EPA). Some segments of the coal industry may even thrive in the future, Crane said during an earnings conference call Tuesday.

With global insurance provider American International Group (AIG) continuing to cast a dark shadow over Wall Street, Standard & Poor’s Ratings Services (S&P) Thursday said it was changing the outlook on two major Southern California-based municipal utility natural gas 20-year prepay deals in which AIG has a key role in underpinning more than $1 billion worth of bonds.

EOG Resources Inc. CEO Mark Papa is hoping Punxsutawney Phil sees his shadow on Friday to help extend the winter season by a few more weeks. Papa warned Thursday the warmer-than-average winter season has placed the natural gas market in a “perilous condition,” and without a cold February, EOG may cut capital expenditures and trim its production forecast for 2007.

Despite the dark shadow of a multi-billion-dollar, class-action lawsuit, alleging wholesale natural gas price manipulation, set for trial, San Diego-based Sempra Energy found plenty of reason to celebrate last week. The company negotiated a 15-year, $1.4 billion agreement to deliver to Mexico’s federal power agency a large portion of the liquefied natural gas (LNG) supplies that will arrive at its proposed North Baja receiving terminal.

A start has been made on lightening the long shadow cast on the future of Canadian natural gas supplies by rapid development of the northern Alberta oilsands with the arrival of the first example of new technology aimed at tapping alternative fuel sources.