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The Federal Energy Regulatory Commission last week awarded certificates to Gulf South Pipeline Co. LP to expand lateral facilities to accommodate the growing demand for natural gas in Florida, and to Northwest Pipeline to relocate and replace pipeline facilities to make way for the construction of a planned dam in Colorado.

Burlington Resources Inc. reported an 8.2% increase in third quarter earnings to $79 million, or $0.39 per diluted share, including a net after-tax gain of $0.12 per diluted share from asset sales and accompanying tax benefits. Higher production, including a 10% increase in gas production to 1.8 Bcf/d, and lower cash operating costs, along with higher oil prices and the asset sale and tax benefits, more than offset lower prices for natural gas and higher interest expenses and production taxes. Realized natural gas prices fell to $2.65/Mcf (Henry Hub) from $2.89 in 3Q2001.

While lawyers talked about a major step forward in a consolidated case in California state courts regarding allegations that El Paso Corp. and Sempra Energy conspired to shut out new pipelines, Sempra tried Thursday to downplay a San Diego judge’s action, stressing that it was strictly procedural and not a ruling on the merits.

Major energy providers and users alike last week attacked FERC staff’s efforts to establish a new pricing formula that would lower the purchase costs power generators could legitimately claim for natural gas used to produce electricity during the California energy crisis nearly two years ago — a move that, if successful, would raise the level of potential refunds owed by generators to state energy consumers. They urged the Commission to jettison staff’s proposed pricing alternative, arguing staff fell far short of proving that the conventional method used for computing generators’ gas costs — published price indices — had been successfully manipulated to the point where gas prices were inflated.

Range Resources boosted its hedging position to take advantage of recent commodity price increases, locking in prices for two-thirds of its oil and gas production next year. All of the Company’s hedges are straight swaps entered into primarily with major financial institutions. “With approximately 75% of projected production from current projects hedged for the fourth quarter, and roughly two-thirds hedged for 2003 at attractive prices, we have greatly enhanced the predictability of our cash flow,” said Range President John H. Pinkerton. “To the extent futures prices maintain current levels or extend their gains, we will continue to pursue our policy of hedging 50-75% of anticipated production at least for 12-18 months.” The company has 97,842 MMBtu/d of gas production hedged for the fourth quarter at $4.08/MMBtu, 84,659 MMBtu/d hedged for 2003 at $3.95, 41,471 MMBtu/d hedged for 2004 at $3.92 and 9,932 MMBtu/d hedged in 2005 at $3.80. Range’s production comes primarily from the Permian Basin, as well as basins in the Midcontinent, Gulf Coast and Appalachian regions.

AGL Resources Inc. posted better than expected third quarter earnings and raised estimates for the year on Thursday. Net income for the quarter rose 96% to $9.4 million, or $0.17/share, compared with $4.8 million, or $0.09/share. Thomson FirstCall consensus estimates for the quarter were $0.14/share.

Robert G. Phillips has been named chairman of the board of El Paso Energy Partners, at the same time El Paso Corp. Chairman William A. Wise, President H. Brent Austin, and another member of the corporation board, Malcolm Wallop, resigned from the partners board. El Paso Corp. is the general partner and owns 26% of El Paso Energy Partners. The company said the moves were “designed to align the partnership with certain corporate governance recommendations recently announced by the New York Stock Exchange. Phillips has been on the partners board since 1998.

Irving, TX-based Magnum Hunter Resources Inc. estimated last week that it will lose about 4 Bcfe of production in the second half of the year from a combination of property divestitures and storm related shut-ins. The company said total production for the month of August 2002 averaged 228.2 MMcfe/d.

The end is in sight for the long winning streak chalked up by Canadian natural-gas exporters, as deliveries remain consistently off their formerly torrid pace in setting 14 consecutive annual sales records in the United States. Canadian gas deliveries to the U.S. fell by 5.3% to 2.745 Tcf in the first three-quarters of the current gas contract year that ends Oct. 31 from 2.9 Tcf in the same period of 2000-01, the National Energy Board reports.