Test

Gas compression company Hanover Compressor became the latest accounting crash test dummy to come out with its head rearranged. The company announced Tuesday that it is being examined by the Securities and Exchange Commission for some apparent financial accidents in Nigeria involving a joint venture with Royal Dutch/Shell. It is restating financial results for 2000 and for the first nine months if 2001, lowering its net income by a total of $8.9 million, because it reported income — mainly from the Nigerian joint venture — that it didn’t have. As if that wasn’t enough, the company reported lower than expected earnings for the fourth quarter and cut its earnings forecast for 2002.

El Paso Natural Gas said it plans to test the market again for a proposed 700 MMcf/d bi-directional lateral between Ehrenberg, AZ, Daggett, CA, and Emidio, CA. An open season for the lateral, which will use portions of the All American Pipeline El Paso purchased last year, will close on Feb. 28. El Paso expects the lateral facilities could be in service by the fourth quarter of 2003.

El Paso Natural Gas said it plans to test the market again for a proposed 700 MMcf/d bi-directional lateral between Ehrenberg, AZ, Daggett, CA, and Emidio, CA. An open season for the lateral, which will use portions of the All American Pipeline El Paso purchased last year, will close on Feb. 28. El Paso expects the lateral facilities could be in service by the fourth quarter of 2003.

Promax Energy Inc. said that based on recent test rates from its southeastern Alberta properties and a thorough review of gas price risk management strategies with its gas marketer, Coral Energy Canada Inc., it has physically hedged an additional 4 MMcf/d of gas at C$4.37/Mcf for three years beginning Dec. 1. This brings the total hedged volume to 12 MMcf/d with 8 MMcf/d at C$4.71 and 4 MMcf/d at C$4.37 for an average of C$4.59/Mcf. The company said approximately 50% of its current production will be hedged with the balance sold to the spot market. Promax Energy is a junior oil and gas exploration and production company focusing on natural gas in southeastern Alberta.

The companion expansion projects of Maritimes and Northeast Pipeline and Algonquin Transmission obtained final environmental clearance last week from FERC staff, moving them one step closer to receiving certificate authorization from the full Commission.

The companion expansion projects of Maritimes and Northeast Pipeline and Algonquin Transmission have obtained final environmental clearance from FERC staff, moving them one step closer to receiving certificate authorization from the full Commission.

Following a successful restart of its Internet-only, Access trading session late Friday afternoon, the New York Mercantile Exchange resumed open-outcry trading Monday morning at 11 a.m. (EDT) in an abbreviated, three-hour session. And just as it has been each day since the beginning of the year, sellers had the upper hand in the natural gas pit, as they pressured the October contract to within striking distance of recent lows. The prompt month finished at $2.369, 18.3 cents beneath Friday’s $2.552 close.

Vancouver-based Ivanhoe Energy and its partners reported that on Aug. 23 they began drilling a deep test well on the Northwest Lost Hills (NWLH) prospect located in Kern County, CA. The Aera Energy LLC-operated NWLH 1-22 well is expected to find natural gas and gas condensate zones in the deep Temblor formation.

Vancouver-based Ivanhoe Energy and its partners reported that on Aug. 23 they began drilling a deep test well on the Northwest Lost Hills (NWLH) prospect located in Kern County, CA. The Aera Energy LLC-operated NWLH 1-22 well is expected to find natural gas and gas condensate zones in the deep Temblor formation.