NGI Archives

The Natural Gas Supply Association (NGSA) shuffled its executiveorganization Tuesday, yet its hunt for a new president continues.The NGSA said it still does not have a timeline for an appointmentto the presidency post, but it hopes to get the job filled quickly.

Rentech Inc. of Denver signed an exclusive agreement withPhoenix Gas Systems LLC (PGS) of Long Beach, CA, to develop amodular system to produce liquid hydrocarbons from gas and othercarbon-bearing materials. Rentech developed a process to convertgas, solid, and liquid carbon-bearing materials into super-clean,high-value fuels, products and chemicals. Products includesulfur-free, aromatic free diesel fuel (Ecodiesel), naphtha andwaxes. The process is known as the Fischer-Tropsch (FT) process orGas-to-Liquids (GTL). The naphtha and diesel fuel produced areideal fuels for the “advanced fuel cell” concept currently beingdeveloped for use in transport and utility vehicles.

Florida Gas Transmission reported completion of lowering its30-inch mainline at Station 7.5 in South Louisiana ahead ofschedule and has commenced lowering the 24-inch mainline. This workis expected to limit St. Landry volumes to 910 MMcf/d-65 MMcf/dbelow maximum-through April 10.

Less than a week after buying the gas marketing operations ofSemco Energy, MCN Energy subsidiary CoEnergy Trading announced itis buying Michigan-based Howard Energy Marketing’s retail gasmarketing assets for an undisclosed amount. The purchases aredesigned to bolster MCN’s unregulated marketing operations and itsinterest in the proposed Vector and Millennium Pipeline projects,which will add 1 Bcf/d of new gas transportation capacity throughthe region starting in November 2000, the company said.

Avista Corp.’s Internet specialty billing and informationservices affiliate, Avista Advantage, and Reliant Energy havereached a product distribution agreement.

CMS Energy, announcing completion of the $2.2 billion deal tobuy Duke Energy’s Panhandle Eastern and Trunkline pipeline and LNGassets, also has acquired a president and COO for the new CMSPanhandle Pipeline companies. Christopher A. Helms had been Duke’sgeneral manager of business development and managing director ofits PanEnergy Services Europe subsidiary.

Most sources were seeing bidweek prices running approximatelyflat Monday compared to the previous Friday, although a marketersaid some Southwest numbers were “up about a penny.” On the otherhand, a buyer who paid in the low $1.70s in the NGPL Midcontinentpool Friday said he was hearing of $1.69 deals Monday.

Expiration day in the natural gas pit had a little something foreveryone Monday. While bears were greeted yesterday morning by alower open that paved the way for declines to the $1.80 level,aggressive afternoon buying put a smile on bull-traders’ faces asit led the April contract back above Friday’s best levels. But whenall the dust had settled and the final settlement price was handeddown from the data room at Nymex, neither bull nor bear could claimthe see-saw battle as a victory or a defeat. April finished downjust 0.2 cents at $1.852 and the May contract echoed that sentimentclosing 0.2 cents lower to $1.883.

If acquisition talks between BP Amoco and Atlantic Richfield Co.(Arco) do lead to a deal, BP Amoco also would acquire the 82% ofVastar Resources held by Arco. What could or would happen afterthat is anybody’s guess, said John S. Herold analyst John Parry.