Turbulence

Tony Hayward, who resigned as BP plc Group CEO following the turbulence that followed the the Macondo well blowout in the Gulf of Mexico’s deepwater, has taken over as chairman of UK-based CompactGTL, which has pioneered a modular gas-to-liquids (GTL) system for flared natural gas. Hayward has been running Genel Energy plc, an Anglo-Turkish explorer. He also participated in Vallares plc, an energy fund vehicle backed by a group of investors. Royal Dutch Shell plc is the dominant leader in giant global GTL technology; CompactGTL is on the other end of the spectrum. The smaller plants are designed to harness flared gas from oilfields.

March natural gas futures managed a modest gain Wednesday as other markets soared or sank in response to turbulence in oil-rich Libya and the greater Middle East. Analysts noted that the situation is far different than the recent upheaval in Egypt as Libya is a major exporter of crude oil and by most accounts the petroleum markets are going to have to factor in the loss of about 1.5 million b/d, as companies evacuate personnel from the country.

Citing deteriorating market conditions, Plains All American Pipeline LP has withdrawn its initial public offering (IPO).

The North American oil and natural gas industry’s liquidity remains sound despite the turbulence in the credit markets, but if natural gas prices continue to decline, it could lower the value of reserves and the borrowing base of many exploration and production (E&P) companies, Moody’s Investors Service said.

The liquidity of the North American oil and natural gas industry remains sound despite the turbulence in the credit markets, but if natural gas prices continue to decline, it could lower the value of reserves and the borrowing base of many exploration and production (E&P) companies, Moody’s Investors Service said.

While the 26th named tropical storm this year is raging far out in the Atlantic, the natural gas industry needs to look out for the 27th blast of turbulence, which will hit when consumers get their first big heating bills of the season, according to Stephen E. Ewing, vice chairman of DTE Energy. “We’re in the calm before the storm,” and face a “turbulent future marked by unprecedented high prices.”

American Electric Power Co. Inc. (AEP) has denied charges itcapitalized on the turbulence in the Midwest electricity markets inlate June by allegedly engaging, along with other power marketersin the region, in “abusive price gouging” that contributed topower prices soaring into the thousands of dollars.