Author Archives: mreed

Carbon Tax Push from Former GOP Officials Faces Uphill Slog

WASHINGTON (AP) — A push by a group of senior Republican statesmen for a tax on carbon to help lessen the effects of climate change is already meeting entrenched opposition from within their own party. Former Secretary of State Jim Baker went to the White House on Wednesday to gain Trump administration support for the plan, which would place a new tax on oil, natural gas and coal and then use the proceeds to pay quarterly dividends to American taxpayers. They said the payments would amount to about $2,000 total each year for families. In addition […]

Tribe Files Legal Challenge to Stall Dakota Access Pipeline

CANNON BALL, N.D. (AP) — Construction crews have resumed work on the final segment of the Dakota Access pipeline, and the developer of the long-delayed project said Thursday that the full system could be operational within three months. Meanwhile, an American Indian tribe filed a legal challenge to block the work and protect its water supply. The Army granted Energy Transfer Partners formal permission Wednesday to lay pipe under a North Dakota reservoir, clearing the way for completion of the 1,200-mile pipeline. Company spokeswoman Vicki Granado confirmed early Thursday that construction began “immediately after receiving […]

10 Surprises in the Energy Sector During 2017

There’s less than two weeks left before the 2016 calendar gets tossed. So for the pundit community it’s time to publish the obligatory list of, “What to Watch For in in the New Year.” It’s pointless to list the obvious. For oil and gas, pundits know that things like OPEC compliance, U.S. rig counts, pipeline angst, and Chinese consumption are on a long list of standard items that are obligatory to parse from our cluttered news feeds. But what are the nascent items that could lead to unforgiving surprises? “When everyone looks to the right, […]

US Natural Gas Exporters Pin Hopes on Mexico

The United States became a net exporter of natural gas in November 2016, a development driven by falling imports (due to high domestic natural gas production) and rapidly increasing natural gas exports. The two main drivers of U.S. natural gas exports are the Mexican natural gas pipeline and the LNG export terminal at Sabine Pass, operated by Cheniere Energy through Cheniere Energy Partners. If conditions remain the same, and foreign demand for natural gas continues to increase, the U.S. has the potential to become a major energy exporter. That is, of course, if politics doesn’t […]

Anadarko Selling Marcellus Shale Natural Gas Assets

Anadarko Petroleum agreed to sell its operated and non-operated upstream assets and operated midstream assets in the Marcellus Shale of north-central Pennsylvania to Alta Marcellus Development, a wholly owned subsidiary of Alta Resources Development, for about $1.24 billion. The transaction is expected to close during the first quarter of 2017. The midstream assets in the Marcellus owned by Western Gas Partners, Anadarko’s sponsored master limited partnership, are excluded from the agreement. “With this transaction, we have announced or closed monetizations totaling well in excess of $5 billion in 2016, while principally focusing Anadarko’s U.S. onshore […]

EN Engineering President on Acquisitions, Growth and the Future

EN Engineering has been on an acquisition mode, both acquiring and being acquired, in recent years. On July 1, the company welcomed General Atlantic, a leading growth equity investment firm, as a partner and majority investor in the firm. In 2011, Thomas C. Ziegenfuss became president of EN Engineering after having served as the firm’s COO for three years. In this interview Ziegenfuss details the pipeline engineering company’s growth trajectory and future plans. P&GJ: What is the significance of the partnership with General Atlantic? Ziegenfuss: EN Engineering is an engineering and consulting firm serving the […]

Willbros Wins Utility Contracts

January 2016, Vol. 243, No. 1

Willbros Group’s Utility T&D segment won two projects with an aggregate contract value of $29 million. One project is for the installation of 115KVA duct bank in a congested urban setting. Project work is expected to begin shortly and scheduled for completion in 12 months. The second is for replacement of both steel and plastic gas mains and about 1,900 gas service connections, also in an urban setting. Project work could start in the first quarter and be completed in 2017.

Agency: New Rules Needed to Make Offshore Drilling Safer

April 2016, Vol. 243, No. 4

NEW ORLEANS (AP) — Companies that drill for oil and gas in U.S. waters should be required to work more closely with rig workers and regulators, as they do in Norway and the United Kingdom, to reduce the risk of accidents, the U.S. Chemical Safety Board (CSB) says. The board investigates major industrial accidents. It is concluding a long-running probe into the catastrophic blowout of a BP well six years ago in the Gulf of Mexico that killed 11 workers and injured many others. The out-of-control leak also dumped millions of gallons of oil into the […]

Alberta’s Taxes Precipitate Fall from Grace Within Oil Industry Circles

March 2016, Vol. 243, No. 3

“Who will stand up for Alberta’s persecuted billionaire community?” the headline of a popular political blog site sarcastically blared after the story broke last month about how wealthy Calgary entrepreneur N. Murray Edwards had apparently relocated his residence to London for tax reasons. The article opened with the sentence, “A billionaire is moving from Calgary and we should all be worried, the newspapers tell us.” Obviously, some don’t think this is a problem. The story broke in the Calgary Herald on March 24 after publicly traded Magellan Aerospace Corp., a company controlled by Edwards, disclosed […]

TransCanada Says 6,800 gallons of oil leaked in South Dakota

March 2016, Vol. 243, No. 3

FREEMAN, S.D. (AP) — TransCanada estimates that about 16,800 gallons of oil leaked into a field in South Dakota as part of a spill that has shut the Keystone pipeline down while officials investigate. The company says it reported the 400-barrel estimate Thursday to the National Response Centre and the Pipeline and Hazardous Materials Administration (PHMSA). It says the estimate is based on the excavation of soil to expose more than 100 feet of pipe and takes into account factors including oil observed in the soil and the potential area affected. TransCanada hasn’t yet said […]

Crestwood, Bluestone Enter into Barnett Shale Gathering Agreement

March 2016, Vol. 243, No. 3

Crestwood Equity Partners entered into long-term commercial agreements with BlueStone Natural Resources II to gather and process natural gas across its Alliance, Lake Arlington and Cowtown systems in the Barnett Shale. Crestwood will provide services to BlueStone for 10 years under a fixed-fee and percent of proceeds fee structure. As part of the agreement, BlueStone assured Crestwood all shut-in wells will return to production by July and remain that way until the end of 2018. “I am pleased to announce our new long-term relationship with BlueStone, which will bring an experienced and financially sound oil […]

Kinder Morgan Awards Contract for LNG Export Facility

March 2016, Vol. 243, No. 3

Kinder Morgan subsidiaries awarded a contract for engineering, procurement, construction, commissioning and startup of its Elba Island LNG export facility to IHI E&C. Located near Savannah, GA, the $2 billion project will consist of 10 trains using Shell proprietary technology.  The new units will connect to Kinder Morgan’s existing re-gasification terminal at Elba Island, which will be modified to receive from the new liquefaction facilities. Modifications to the existing Elba facilities will include compression for vapor handling and new pumps for loading the LNG on vessels for export. Shell is the customer for all of […]