Shelved

El Paso’s proposed 1 Bcf/d Continental Connector pipeline project, which originally was considered a competitor to the Rockies Express Pipeline, has been shelved. El Paso CFO Mark Leland told the Deutsche Bank High Yield Conference Wednesday that Continental Connector is “unlikely to move forward” because Barnett Shale producers opted to send their production to market on a competing pipeline system.

Shrugging off what appeared on face value to be a bearish natural gas storage report, February natural gas futures on Thursday morning chose to follow the weather story instead, jumping significantly higher following two consecutive days of decline. The prompt month peaked at $6.52 on the session before settling at $6.445, up 50.2 cents from Wednesday’s settle.

Westcoast Energy has shelved the proposed Orca Natural GasPipeline project because of a lack of market interest in thePacific Northwest. The proposed 140-mile pipeline from Sumas, WA,to points along the coast, was expected to be in service in 2004.

Westcoast Energy has shelved the proposed Orca Natural GasPipeline project because of a lack of market interest in thePacific Northwest. The proposed 140-mile pipeline from Sumas, WA,to points along the coast, was expected to be in service in 2004.

Houston-based Reliant Energy has shelved plans to potentiallysell its natural gas distribution businesses and its interstatepipeline companies “at least for the near term,” said a companyspokesman.

Houston-based Reliant Energy has shelved plans to potentiallysell its natural gas distribution businesses and its interstatepipeline companies “at least for the near term,” said a companyspokesman.

TransCanada PipeLines has shelved plans to build a 90-mileextension of its mainline system into the southern portion of theNorthwest Territories to tap a major new production area near FortLiard that is estimated to hold 5 Tcf of potential reserves. Thepipeline company said there is not enough producer interest at thistime so the project has been put on indefinite hold. However, themuch larger Mackenzie Delta pipeline project, which would extendabout 1,800 miles to the northwest, is still on the front burner.

TransCanada PipeLines has shelved plans to build a 90-mileextension of its mainline system into the southern portion of theNorthwest Territories to tap a major new production area near FortLiard that is estimated to hold 5 Tcf of potential reserves. Thepipeline company said there is not enough producer interest at thistime so the project has been put on indefinite hold. However, themuch larger Mackenzie Delta pipeline project, which would extendabout 1,800 miles to the northwest, is still on the front burner.

Given the level of opposition south of the border, theInterstate Natural Gas Association of America (INGAA) said itsplans to forego for the next couple of years its efforts topersuade Mexico to lift its tariff on natural gas.