Quicksilver Resources Inc. is continuing to “hammer on the cost side” of its business, deferring elective spending in the energy patch and cutting back on staff. A recently announced joint venture (JV) in the Barnett Shale with Tokyo Gas Co. Ltd. was welcome news (see NGI, April 8), but there is more work ahead. “We are focused on the most important projects and we’re bringing in partners to both reduce debt and assist in the development of our assets,” said CEO Glenn Darden. “The company is very serious about reducing costs and living within cash flows.” Over the last year, the employee count has come down by about 20%. The Fort Worth, TX-based operator reported an adjusted net loss of $6 million (minus 4 cents/share) compared with a loss in 1Q2012 of $15 million (minus 9 cents). Since it was able to complete a long-sought Barnett Shale deal and in light of “challenging” natural gas liquids pricing, the company has shelved plans to create a Barnett master limited partnership (see NGI, Nov. 12, 2012).
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Articles from Staff
Texas Considers Reducing High Cost (Shale) Well Tax Deductions
The state of Texas is losing billions of dollar because of tax rate deductions for shale gas wells using hydraulic fracturing that are classified as “high cost wells,” according to a report by the state Legislative Budget Board (LBB).
DRBC Launches Online Surface Water Reporting
The Delaware River Basin Commission (DRBC), which governs water use for a portion of the Marcellus Shale, has launched an online reporting system for the Water Supply Charges Program (WSCP) to streamline operations. All reports beginning this year must be completed online; reporting and payment deadlines are unchanged.
PG&E Tells California Regulators Penalties Too Harsh
Pacific Gas and Electric Co. (PG&E) has asked California regulators to reject a proposed list of penalties by the state safety staff for the utility’s shortcomings prior to the San Bruno, CA, pipeline explosion.
PG&E: Utility on ‘Right Path’ to Improving Pipe System
Firing back at a skeptical regulatory staff’s earlier allegations, Pacific Gas and Electric Co. (PG&E) on Friday made an impassioned plea to California state regulators that it is “on the right path” to improve pipeline safety and its four-year upgrade and safety-strengthening plan should be supported for the most part by gas utility ratepayers.
Constitution Pipeline: No LNG Export Plans
Constitution Pipeline Co. LLC’s proposal to build and operate a 121-mile long, 30-inch diameter pipeline between Susquehanna County, PA and Schoharie County, NY, does not include plans to service liquefied natural gas (LNG) export facilities, the Houston-based company said in a filing with FERC.
PG&E Hit Twice with California Pipeline Fines
Pacific Gas and Electric Co. (PG&E) lost twice Thursday as California regulators denied the utility’s appeal of a $16.7 million staff-imposed pipeline fine and assessed a separate $3 million penalty for shoddy record-keeping.
North Carolina Governor Open to Regulated Fracking
After getting a first hand look at hydraulic fracturing (fracking) operations in Pennsylvania’s Marcellus Shale — and with a comprehensive study of the practice due out in her state later this spring — North Carolina Gov. Bev Perdue on Wednesday said she believes fracking can be done safely.
Review Finds ‘Well Managed’ Arkansas Fracking Regulation
State regulation of hydraulic fracturing (fracking) practices in Arkansas is “well managed and professional” but has room for improvement in a few areas, a recent review found.
Ohio Governor Said Considering Severance Tax Hike, Impact Fee
Ohio Gov. John Kasich is reportedly considering raising severance taxes on oil and natural gas, new taxes for the extraction of natural gas liquids (NGL) and a new impact fee on oil and gas operations.