SOMERSET REFINERY, ABLE ENERGY NEGOTIATING-As this newsletter goes to press, Able Energy, Inc. is in negotiations with owners of Somerset Refinery to acquire the refinery. On September 15th, 2005, the Associated Press reported that Able Energy was negotiating to purchase the refinery for $9 million, plus the assumption of $10.5 million in debt. Somerset owners have confirmed that negotiations remain ongoing.
TOGA MEETS IN OAK RIDGE, FEB 24TH -The Tennessee Oil & Gas Association Board of Directors will meet at 5:00 p.m., Thursday, February 24th at the Double Tree Hotel in Oak Ridge, Tennessee. Universal Well Services will host the director's meeting and the 6:00 p.m. reception following the board meeting. All members and guests are invited to attend.
NGAS TO ACQUIRE GAS GATHER LINE FROM DUKE ENERGY-NGAS Resources (Nasdaq:
NGAS), formerly Daugherty Petroleum, Inc., announced on January 19th, 2006,
that it has reached an agreement with Duke Energy Gas Services LLC, to purchase
a 116-mile gas gathering system for $18 million. The system that spans part
of southeastern Kentucky and southwestern Virginia, and ties into Duke Energy's
Natural Gas pipeline system, has a capacity of 24,000 mcf per day. The current
through-put currently is 12,000 mcf per day, of which NGAS controlled gas represents
8,000 mcf per day. With additional compression upgrades, through-put can be
increased to 60,000 mcf per day. Certain aspects of the transaction are subject
to FERC approval.
In December 2005, NGAS completed construction if its 23-mile 8" gas gathering
system and 16-mile 6" gathering line that connects to the Duke Energy system.
THREAT OF STORM WATER PERMITTING ENDED-A more than decade-long effort to regulate storm water drainage at oilfield construction sites has ended. On Friday, January 9th, 2006, a proposed rule exempting the oil and gas industry from federal storm water permitting was published in the Federal Register. To conform with provisions of the recently enacted Energy Policy Act of 2005, the U.S. Environmental Protection Agency has proposed what we have always argued, that the Clean Water Act exempts oil and gas activity from storm water permitting requirements. The exemption would apply to construction of drilling sites, waste management pits and access roads as well as construction of transportation and infrastructure such as pipelines, natural gas treatment plants, natural gas pipeline compressor stations and crude oil pumping stations. The EPA is encouraging oil and gas operators to implement and maintain best-management practices to minimize soil erosion and control sediment during and after construction activities to help ensure protection of surface water quality during storm events.
EXTERRA RESOURCES OFFER LAND SERVICES- TOGA member David Holt of Nashville, and partner Larry Lang, announce that Resources Land & Exploration LLC, is offering a range oil and gas land services, including lease acquisition, title examination & curative, reports, acquisitions & divestitures, due diligence, right of way acquisition, surface inspection, seismic permitting, project management, BLM research, state & federal leases and sales representation. Contact them at: 615-395-0054 or on the web at www.exterraresource.com
OIL & GAS BOARD HEARING, APRIL 11, 2006-A Tennessee Oil & Gas Board hearing has been scheduled for 9 a.m., Tuesday, April 11, 2006 at the L&C Towers, 401 Church, Nashville, to hear a Bill Soldner contested case. The hearing may not be held if the matter can be resolved administratively.
2006 CONVENTION, RENAISSANCE NASHVILLE, May 4-5, 2006- Don't wait until the last minute to get your room for the 2006 TOGA Convention, to be held at the Renaissance Hotel in downtown Nashville Thursday, May 4th-5th. The hotel has agreed to a great rate of $149 but the reservations must be made by April 4th. That is the cut off date, the date the hotel will release the unreserved rooms to the general public. Reservations can be made by calling 800-327-6618 or 615-255-8400. Some members are reporting a difference in price and others are reporting that there are no rooms left for Friday. So don't wait to contact the hotel.
FRENCH FIRM LOOKING FOR REPS- A Paris-based firm reports that it AUTELEC makes and commercializes instrumentations for rigs and CCTV systems. They are looking for people who can help us to develop our sales by drilling companies. Payment is on a commission basis. Contact: autelec@autelec-drill.com.
DUES DUE- TOGA annual dues are now due. Please send in your check right away so you can be included in the soon-to-be published TOGA Directory.