NGI The Weekly Gas Market Report

In growing indications that liquefied natural gas will become more than a niche fuel in North America, Chevron said last week it is “reviewing options” for importing LNG to serve the West Coast by 2005, El Paso Corp. said LNG would play a bigger role in its energy picture — and Enron Corp. said it would begin listing it for trading through EnronOnline this year.

Legislation to make it easier to build electric power plants in Iowa finally inched its way through the Iowa House last week on a 54-44 vote, but it faces more battles in an uncompromising Senate and opposition from Gov. Tom Vilsack. Supporters argue that the bill (House File 577) would prevent a shortfall in generating capacity, which is expected by 2006.

©Copyright, 2001 Intelligence Press. All rights reserved. Thepreceding news report may Not be republished Or redistributed, in wholeOr in part, without prior written consent of Intelligence Press .

California’s political, regulatory and economic landscape was altered last week by the financial earthquake from Pacific Gas and Electric Co.’s bankruptcy filing on Friday in San Francisco. The bankruptcy adds a whole new dimension to the state’s continuing energy crisis, putting ever-more dire economic consequences on the electricity supply/price crunch that gripped the state since last summer.

Texas regulator Pat H. Wood III and Pennsylvania regulator Nora M. Brownell made their first public appearances in Washington, D.C. last week since being nominated by the White House as FERC commissioners. But mindful of their pending Senate confirmation hearings, the two were mum on the critical issues that will confront them when they assume office.

The transition to an online business model has led to cost reductions, improved efficiency and tremendous growth for Enron, CEO Ken Lay said last week during a web-cast conference on e-commerce sponsored by Houston-based FlashFind Corp. and the Independent Natural Gas Association of America.

The current pace of power plant construction could very well lead to the elimination of generation capacity shortages in practically every U.S. regional power market over the next one to three years, according to a new study recently completed by ICF Consulting.

©Copyright, 2001 Intelligence Press. All rights reserved. Thepreceding news report may Not be republished Or redistributed, in wholeOr in part, without prior written consent of Intelligence Press .

Dynegy Inc. reported last week that it expects to release first-quarter earnings per share of $0.40, a 50% increase over last year’s first quarter level of $0.26 per share and a 25% increase over the company’s previous expectations for the quarter of $0.30-$0.32 per share. Dynegy said it captured significant value from strong industry fundamentals in both gas and power by leveraging its national position as a physical supplier of energy commodities, while mitigating the risk from commodity volatility.