January 2010 Vol. 237 No. 1

Archive

Business Meetings & Events

January 2010 Ad Index

Advertisers in the print edition of<em> Pipeline & Gas Journal</em>, January 2010 Vol. 237 No. 1.

January Company News, Mergers and Acquisitions

<strong>MichCon Pipeline Co.</strong>, a subsidiary of DTE Energy, has completed its sale of natural gas gathering and treating assets to DCP Midstream Partners LP. The assets are in northern Michigan and provide gas gathering and treating services for gas produced in the Antrim shale formation. The price was $45.1 million.

January Personnel Changes

ConocoPhillips reports that<strong> Larry E. Archibald</strong>, vice president, Exploration, will become senior vice president, Exploration and Business Development. He will assume additional responsibilities for E&P global business development and will join the CP management committee.

Oil and Gas Employees Embracing Social Media: Microsoft/Accenture Study

According to a study by Microsoft and Accenture released Jan. 21, nearly 75% of oil and gas professionals see value in using social media and collaboration tools at work — an 83 percent jump from responses in last year’s similar poll.

Editor's Notebook

Editor's Notebook: ExxonMobil and XTO: A New Player in Gas

There are two takes on ExxonMobil’s $31 billion or $41 billion takeover of XTO Energy. One is an obvious Wall Street bias in terms of immediate results, while the other analyzes the long-term aspects.

Features

An Emissions Solution On Two-Stroke Lean-Burn Engines

The internal combustion engine (ICE) fueled by natural gas has moved in the direction of efficiency and environmental friendliness with lean-burn technology. Cameron’s AJAX®LE uses a CleanBurn™ prechamber type of combustion system that allows for operation with very stable combustion at lean air fuel mixtures.

Configuration Impacts Availability, Fuel Consumption And Pipeline Capacity

The number of compressors installed in each compressor station of a pipeline system has a significant impact on the availability, fuel consumption and capacity of the system. Depending on the load profile of the pipeline, the answers may look different for different applications.

Crossing For 320-Mile CO2 Pipeline Challenges New HDD Company And Crew

Starting a new horizontal directional drilling company in the current economic conditions can be challenging, but John Dagenhart has seen the ups and downs of this industry during his 18-year career in the trenchless industry and is using this experience to help guide his newly formed company.

Harnessing Entrepreneurial Energy: Houston Technology Center Boosts Texas Innovators

Since the Houston Technology Center (HTC) opened for business ten years ago, it has pushed dozens of companies through its client program. In 2007 HTC President Walter Ulrich cited the HTC’s impact on the Houston-area economy as $225 million a year.

Natural Gas Is The Key To Our Low-Carbon Future

From Copenhagen to the U.S. Congress, policymakers are deeply engaged on climate change and looking for innovative solutions to advance a low-carbon future. Not enough of the conversation has focused on the vast opportunity found right here in North America in clean, abundant natural gas.

Sailing Into Unknown Waters: A New World Order For Natural Gas?

It only seems like a short time ago that oil prices were over $100 a barrel, natural gas prices in the U.S. and UK were high, spot LNG cargoes into the Far East were priced at over $20 per MMBtu and experts in the energy industry were mainly concerned about whether the world could afford the high prices.

Transportation & Stringing: Pipeliners Cant Leave Home Without It

One of the most critical, yet overlooked, aspects to any pipeline construction project involves moving the thousands of tons of finished pipe from the steel mills to the construction site.

From the Burner Tip

Liquid Fuels From Algae Show Many Advantages

Algae – black, slimy, and obnoxious – just may be the next black gold of energy products, especially for liquid fuels! While other agriculture products have gotten a head start as possible replacements for crude oil, the best candidate currently is one of the lowest forms in the plant kingdom, algae.

Government

Climate Change Agenda Accentuates Questions Of Gas Transmission Adequacy

Worries about potential escalating demand for natural gas from electric utilities and industrials forced to switch fuels because of climate change legislation from Congress was the major factor behind the FERC natural gas infrastructure workshop Nov. 21.

Democratic Future Darkens Prospects For LNG Approvals

FERC's gas infrastructure conference on Nov. 21 touched on LNG pricing and terminal construction, but never got into the political issues which are likely to bear on FERC’s approval of new LNG terminals.

In The News

January Newsreel: Spectra Energy's New CEO; New Western Canada Hub; KMP's Ethanol Flowing in Florida

<a href="http://pipelineandgasjournal.com/january-newsreel-spectra-energys-new-ceo-new-western-canada-hub-kmps-ethanol-flowing-florida#spectra">Spectra Energy Partners Names Gregory Rizzo President/CEO</a> <a href="http://pipelineandgasjournal.com/january-newsreel-spectra-energys-new-ceo-new-western-canada-hub-kmps-ethanol-flowing-florida#transc">TransCanada Ready To Create Western Canada Hub</a> <a href="http://pipelineandgasjournal.com/january-newsreel-spectra-energys-new-ceo-new-western-canada-hub-kmps-ethanol-flowing-florida?page=2#kmp">KMP Starts Commercial Operations Of Ethanol Transportation In Florida</a> <a href="http://pipelineandgasjournal.com/january-newsreel-spectra-energys-new-ceo-new-western-canada-hub-kmps-ethanol-flowing-florida?page=2#ultrasonic">Ultrasonic Flowmeter Market Booming, Study Says</a>

Projects

Alliance Engineering awarded compressor station expansion project

Wood Group’s Alliance Engineering announced Jan. 12 that it has been awarded a contract to provide engineering, design and procurement support services for part of the Gulfstream Natural Gas System in Florida.

Allseas/Royal Boskalis Building Argentine Pipeline

Work is under way to build a natural gas pipeline to connect two areas near the Straits of Magellan in southern Argentina, according to the country’s gas regulator, Enargas.

Bisso Marine Gains Quality Management System Certification

Bisso Marine has achieved ISO 9001:2008 certification of its Quality Management System after being assessed by ABS Quality Evaluations, Inc.

Bredero Shaw Awarded Coating Contract For Epic Energys QSN3 Project

Bredero Shaw received a contract in excess of US$40 million from Marubeni-Itochu to provide pipeline coatings for Epic Energy’s QSN3 Pipeline Project.

Central Asian Pipeline Launched

On Dec. 14, the presidents of China, Turkmenistan, Kazakhstan, and Uzbekistan launched the Turkmenistan-China gas pipeline.

China To Build Coalbed Methane Pipeline

China's Shaanxi province plans to build a 53-mile coalbed methane pipeline from Hancheng to Chengcheng. The plan has been approved with a designed capacity of 450 MMcm/d and maximum handling capacity of 750 MMcm/d.

CRC-Evans At Work On French Natural Gas Pipeline

CRC-Evans Automatic Welding is providing equipment for a gas pipeline project under way in France and scheduled for completion shortly.

Denali Open Season Process Starting April 2010

Denali announced Jan. 12 that it will start its open season process in April, 2010.

Denbury Resources/Wapiti Energy Acquire Working Interest, Plan Pipeline

Denbury Resources and Wapiti Energy have entered into an agreement to purchase a 95% working interest in the Conroe Field.

EagleBurgmann Strengthens Position In Saudi Arabia

To meet the rising demand from the oil and gas, petrochemical and other industries, EagleBurgmann Saudi Arabia Ltd. has expanded its production capacity in the region.

EDF Signs On To Join South Stream Project

EDF CEO Henri Proglio has signed a Memorandum of Understanding about participating in the construction of the offshore section of the South Stream pipeline.

Enbridge Holds Binding Open Season

Enbridge Inc. completed a binding open season for its LaCrosse pipeline designed to transport natural gas from Carthage, TX to multiple delivery points in southeastern Louisiana.

Energy Companies Announce Retirement of Leases on 29,000 Acres in Montana

U.S. Senator Max Baucus announced Jan. 14 that five energy companies have agreed to relinquish oil and gas leases on nearly 29,000 acres in Montana’s Rocky Mountain Front adjacent to Glacier National Park.

FERC Approves $2.45 Billion Florida Pipeline Expansion

FERC has approved Florida Gas Transmission Company's $2.45 billion Phase VIII natural gas pipeline expansion project, which will transport gas to power plants throughout the Sunshine State.

FERC Issues Certificate For On-Shore Pipeline To Support LNG Port Off Florida

FERC has issued a certificate of public convenience and necessity to Port Dolphin Energy LLC to build and operate an onshore pipeline to connect to its deepwater LNG port planned off the west coast of Florida.

Finland, Sweden Give Approval To Nord Stream

Finland and Sweden gave Nord Stream, the Gazprom-led consortium, permission to lay the pipeline through their respective economic zones on the Baltic seabed, on an approved route from Russia to Germany.

Haynesville Expansion Comes Online

Regency Energy Partners, GE Energy Financial Services and Alinda Capital Partners announced Jan. 27 that their joint ventures the Haynesville Expansion Project and Red River Lateral are in service.

India Still Has Time To Join Pipeline Consortium

The offer to join the Iran-Pakistan-India gas pipeline still stands for India although Iran said it cannot wait indefinitely because the structure of the project could still change.

Inergy to Buy Seneca Lake Storage and Pipelines

Inergy Midstream has executed a definitive agreement to purchase the Seneca Lake natural gas storage facility and two related pipelines for approximately $65 million.

Iroquois Pipeline Planned To Connect Marcellus Gas Supplies To New Markets

Iroquois Gas Transmission System L.P. recently held a non-binding open season that ends Jan. 29 for its NYMarc project proposed to connect rapidly expanding Marcellus gas supplies to New York, New England and eastern Canadian gas markets.

Kinder Morgan Acquires Slay Terminals for $98 Million

Kinder Morgan Energy Partners, L.P. announced Jan. 27 that it has signed an agreement to acquire four terminals from Slay Industries for approximately $98 million.

KMP/Copano Energy JV To Gather, Transport And Process Natural Gas In South Texas

Kinder Morgan Energy Partners, L.P. (KMP) and Copano Energy L.L.C. have entered into a letter of intent for a 50/50 joint venture to provide gathering, transportation and processing services to natural gas producers in the Eagle Ford Shale resource play in South Texas.

McMoRan and Energy XXI estimate 2 trillion cubic feet in shallow Gulf find

The Houston Chronicle reported January 11 that McMoRan Exploration Co. and Energy XXI have announced initial readings suggesting one of the largest oil and natural gas discoveries in the shallow waters of the Gulf of Mexico in decades.

Millennium Launches Open Season for Marcellus-Manhattan Link

Millennium Pipeline Company, LLC has announced a binding open season beginning Jan. 25 for shippers seeking firm transportation capacity commencing November 1, 2013 to support system mainline expansions.

MoBay Storage Hub Holds Open Season

MoBay Storage Hub, LLC, launched an open season for up to 8.0 Bcf of firm natural gas storage service Jan. 7. Bids are due by 5 p.m. CST on Feb. 2.

Nico International Wins UAE Pipeline Construction Contract

Nico International has secured an EPC contract from the Fujairah Refinery Company Ltd. for work on the Oil Terminal 2 Connection project, located in the Port of Fujairah, near the eastern seaboard of the United Arab Emirates.

Oceaneering Orders Dive Support Vessel

Oceaneering International Inc. has commissioned construction of a dive support vessel (DSV) with an estimated cost of $17 million.

Papua New Guinea OKs LNG Project Agreement

Houston-based InterOil Corp. announced Dec. 10 that the National Executive Council (NEC) of Papua New Guinea approved plans for construction of an LNG plant.

Pemex Awards Slurry Pipeline Contract

Pemex has awarded Mexico-based Caro Infraestructura y Construccion a $US32 million contract to build a 9-mile slurry pipeline connecting the Bateria Samaria II gas complex in the southeastern state of Tabasco.

Petrofac Wins FEED Contract In Turkmenistan

Turkmengaz has awarded Petrofac International a front-end engineering design (FEED) contract for its South Yoloten gas field, located 250 miles southeast of Turkmenistan’s capital Ashgabat.

Pipeline And Processing Facilities Planned To Handle Marcellus Shale Production

AB Resources has teamed with Caiman Eastern Midstream, LLC to build and operate midstream pipelines and facilities within AB Resources’ acreage in the Marcellus Fairway – a gas-productive formation spread across Pennsylvania and West Virginia.

Pipeline To Handle Haynesville Shale Production Planned

An indirect wholly owned pipeline subsidiary of CenterPoint Energy and NextEra US Gas Assets have signed a joint development agreement to explore construction of a pipeline in north Louisiana to transport natural gas from the Haynesville Shale area.

Regency Energy Partners Plan $40 Million Expansion

Regency Energy Partners plans to construct Phase II of its Logansport Gathering system in north Louisiana.

Spectra Plans TEAM 2012 Expansion

Spectra Energy Corp.'s Texas Eastern Transmission, LP announced a binding open season for TEAM 2012, a proposed expansion to deliver additional Appalachian and Marcellus Shale natural gas supplies to premium markets in the Northeast.

TechNotes

Provider Calls Pictometry® A Revolutionary Technology For The Pipeline Industry

Pictometry®, according to its provider, is the innovative technology that changed the face of public safety less than 10 years ago and is today becoming the new and “disruptive” technology for the pipeline industry.

Web Exclusive

Alaska's Gov. Parnell Appoints Swenson State Pipeline Coordinator, Judge Rules for Exxon in Point Thomson Case

According to the Associated Press, Gov. Sean Parnell has chosen state geologist Bob Swenson to take over the job of in-state gas pipeline coordinator, citing his private sector experience and understanding of Alaskan gas line projects.

Consultants Audit TransCanada Hoisting Safety

A global training and consulting firm, ek pass, announced Jan. 7 that it has been commissioned to perform hoisting and lifting operation audits on a major project for TransCanada Pipelines.

Driver Pipeline Opens Fifth Division to Service Haynesville Shale

Driver Pipeline, headquartered in Dallas, Texas, has opened its fifth regional field office in Waskom, Texas, approximately 15 miles from Shreveport, Louisiana.

Enterprise Names Hurley Senior Vice President, Crude Oil & Offshore

Enterprise Products Partners L.P. announced Jan. 12 that Mark A. Hurley has been named senior vice president of the partnership’s Crude Oil & Offshore business unit and will officially assume his new duties March 1, 2010.

Honeywell Buys Rights to Shell Field Data Technology

Honeywell announced Jan. 13 that it has acquired rights to technology developed by Shell for gathering field data, intended to help industrial plants to safely increase production while reducing maintenance and operating costs.

Lloyds North America appoints Benjamin VP of Energy Business Development

Lloyd’s Register North America, Inc. has appointed James Benjamin as vice president of Business Development for its energy business in the Americas.

MATCOR Appoints Stello CEO, Passes Torch from Founder

MATCOR®, Inc., a leading cathodic protection and corrosion prevention engineering design firm, has announced the appointment of Jeffrey Stello as president and CEO. Stello assumes the responsibilities held for nearly 35 years by founder William Schutt, who will continue with the company as chairman.

New Desalination Technology Deployed in Marcellus Shale Basin

Although the Marcellus Shale and other shale natural gas basins in the United States have proved to hold huge quantities of potential energy, the hydraulic fracturing methods used to retrieve gas from 6,000 feet below ground level have excited controversy due to their costs in water resources and pollution.

New Website for Invensys

Invensys Operations Management announced the launch of a <a href="http://iom.invensys.com/EN/Pages/home.aspx">new corporate website</a> on Jan. 21.

What's New

January New Products

New products from <a href="http://pipelineandgasjournal.com/january-new-products#eh">E.H. Wachs</a>; <a href="http://pipelineandgasjournal.com/january-new-products#reynolds">Reynolds-French & Company</a>; <a href="http://pipelineandgasjournal.com/january-new-products#lincoln">Lincoln Electric</a>; <a href="http://pipelineandgasjournal.com/january-new-products?page=2#veris">Veris, Inc.</a>; <a href="http://pipelineandgasjournal.com/january-new-products?page=2#syntho">Synthotech Limited</a>; <a href="pferd">PFERD Inc.</a>; <a href="http://pipelineandgasjournal.com/january-new-products?page=3#phoenix">Phoenix Contact</a>; <a href="http://pipelineandgasjournal.com/january-new-products?page=3#rm">R&M Energy Systems</a>; <a href="http://pipelineandgasjournal.com/january-new-products?page=4#dresser">Dresser-Rand</a>; <a href="http://pipelineandgasjournal.com/january-new-products?page=4#highfield">Highfield Manufacturing Company</a>; <a href="http://pipelineandgasjournal.com/january-new-products?page=5#mea">MEA And Heath Consultants</a>; <a href="http://pipelineandgasjournal.com/january-new-products?page=5#new">New Century Software</a> and <a href="http://pipelineandgasjournal.com/january-new-products?page=6#quorum">Quorum Business Solutions, Inc.</a>