Times

The adjectives used to describe the Barnett Shale play — “prolific,” “gas-rich,” “abundant” — may have, at times, seemed superfluous. But the simple language EOG Resources Inc. CEO Mark Papa used last week to describe his take on the Texas play may be the most descriptive: “bigger than we expected.”

Tulsa-based Williams net income for the third quarter was $106.2 million (18 cents/diluted share), more than 24 times the $4.4 million (1 cent/diluted share) net income of 3Q2005. The spike came from a 112% increase in natural gas liquids (NGL) sales margins, 22% higher gas production, and significantly reduced forward unrealized mark-to-market losses. These benefits were partially offset by higher operating and maintenance costs.

Tulsa-based Williams net income for the third quarter was $106.2 million (18 cents/diluted share), more than 24 times the $4.4 million (1 cent/diluted share) net income of 3Q2005. The spike came from a 112% increase in natural gas liquids (NGL) sales margins, 22% higher gas production, and significantly reduced forward unrealized mark-to-market losses. These benefits were partially offset by higher operating and maintenance costs.

In a compelling victory for the government, Enron Corp. founder Kenneth Lay and his former right-hand man, Jeffrey Skilling, who had at various times been COO, president and CEO of Enron, were found guilty of fraud and conspiracy on Thursday. Sentencing is set for Sept. 11, and both men could spend the rest of their lives in prison.

Management at Denver-based PRB Energy Inc. was at a loss Wednesday to explain a precipitous drop in the price of its shares, down nearly 17% to $3.13. Trading volume was nearly 34 times the recent daily average for the shares, which are traded on the AMEX.

In a sign of the times, a descendant of a renowned Canadian native statesman has become the first aboriginal member of the National Energy Board. Strater Crowfoot — a former Siksika (Blackfoot) chief whose great-great grandfather, Chief Crowfoot, a Canadian counterpart to Sitting Bull in the American West, led high plains tribes of hunters and warriors to open southern Alberta for peaceful settlement by signing Treaty 7 in 1877 — joined the NEB this month.

In a sign of the times, a descendant of a renowned Canadian native statesman has become the first aboriginal member of the National Energy Board. After eight years of battles that repeatedly slowed down Canada’s northern natural gas pipeline project and amid signs the conflicts are spreading, aboriginal relations are emerging as a government and industry priority. Strater Crowfoot — a former Siksika (Blackfoot) chief whose great-great grandfather, Chief Crowfoot, a Canadian counterpart to Sitting Bull in the American West, led high plains tribes of hunters and warriors to open southern Alberta for peaceful settlement by signing Treaty 7 in 1877 — joined the NEB this month.

As Tropical Storm Chris continued to weaken just north of Puerto Rico (see related story), the 2006 Atlantic hurricane season was dealt an additional blow Thursday morning as respected hurricane forecasters William Gray and Philip Klotzbach of the Colorado State University (CSU) hurricane forecast team issued a report reducing the number of storms expected in the basin this season.

A bevy of producers reported second-quarter earnings last week, and it’s clear from the numbers that the energy patch boom times are still very much with us. Majors reporting were Exxon Mobil, BP, Royal Dutch Shell, Chevron and ConocoPhillips. Independents Apache, XTO Energy, EnCana and Anadarko Petroleum also shared their numbers.