Path: bloom-picayune.mit.edu!snorkelwacker.mit.edu!news.media.mit.edu!americast.com!americast.com!usa-post Newsgroups: usa-today.energy From: usa-post@AmeriCast.Com Organization: American Cybercasting Approved: usa-post@AmeriCast.com Subject: energy Thu, Jul 16 1992 Date: Thu, 16 Jul 92 05:07:59 EDT Message-ID: 07-16 0000 DECISIONLINE: Energy USA TODAY Update July 16, 1992 Source: USA TODAY:Gannett National Information Network OIL UP ON TECHNICAL RALLY: Oil futures rose Wendesday in a technical rally on the New York Mercantile Exchange. Traders started buying after the price didn't fall as they expected. Light sweet crude oil for delivery in August settled at $21.71 a barrel, up 25 cents, at the New York Mercantile Exchange. Many traders expected oil to drop on an industry report that showed supplies of home heating oil and crude oil. REFINED PETROLEUM PRODUCTS UP: Unleaded gasoline for delivery in August settled at 59.91 cents a gallon, up .88 cent Wednesday on the New York Mercantile Exchange. Home heating oil for delivery in August settled at 60.34 cents a gallon, up .44 cent. Natural gas prices were mostly higher, with contracts for delivery in August settling at $1.971 per 1,000 cubic feet, up 2.5 cents. EPA SUES SEVEN FOR CLEANUP: The Environmental Protection Agency said Wednesday that it is suing seven companies for up to $80 million in cleanup costs at a Superfund site in New Jersey. The EPA said the companies dumped hazardous wastes at Bridgeport Rental and Oil Services in Gloucester County. The companies disagree. A lawyer for four of the companies named said military waste oil is to blame. (For more, see special EPA package below.) CRUDE OIL OUTPUT AT 31-YEAR LOW: U.S. crude oil production fell to a 31-year low the first half of this year and the slump is expected to continue, the American Petroleum Institutes says. Oil production dropped 3.3% to 7.2 million barrels a day from 7.5 million a day the first six months of 1991, the lowest level since the second half of 1961 when daily output averaged 7.1 million barrels. STALL ATTEMPTS CAUSE TROUBLE: Nevada Sens. Richard Bryan and Harry Reid are causing trouble in their attempts to stall an energy policy bill, Linda Stuntz of the Department of Energy said Wednesday. The Bush administration is concerned over a threatened filibuster. The Democrats are fighting a provision that would let the DOE bypass Nevada's right to require a state permit before the agency can study nuclear-waste storage. PROVISION WILL MEAN VETO: A coal mining provision in the national energy bill almost certainly will lead to a presidential veto, according to Linda Stuntz of the Department of Energy. The proposal by Sen. John Rockefeller IV, D-W.Va., would tax coal operators to bail out an industry health-care fund. The energy bill also includes proposals to provide tax incentives for cars using alternative fuels. COMPANY TO REMOVE RESIDUES: Rochester Gas and Electric Corporation Wednesday announced plans to begin to remove coal tar residues this month from its old West Station, now part of Beebee Station, on the west bank of the Genesee River. Because the facility is an active power station, the company is forbidding public access. The residues can be toxic, but because there is no public contact there is little risk, RG&E said. BELLWETHER ACQUISITION CLOSED: Bellwether Exploration Co. Wednesday said that on June 30 the company closed the acquisition of certain working interests in the Alabama Ferry Field in Leon County, Texas, for a purchase price of $2.5 million effective Feb. 15. Payment of the purchase price was by a promissory note due payable Aug. 1. Bellwether said it will use working capital and borrow $1 million under its credit line. U.S. DEMAND BOOSTS ALBERTA: Strong demand from U.S. markets and low prices allowed sales of Alberta natural gas to continue to increase at a record pace in the first half of the year. NOVA Corporation of Alberta said Wednesday it transported 1.7 trillion cubic feet of gas through its Alberta pipeline system in the first six months, up 10% from 1.5 trillion cubic feet a year ago. LYONDELL, CITGO PLAN VENTURE: Lyondell Petrochemical Co. said Wednesday it has signed a letter of intent for a proposed venture with Citgo Petroleum Corp. The investment, which could lead to a $500 million expansion of heavy crude processing at Lyondell's Houston refinery, would take place over three to four years, Lyondell said. It would make the refinery one of the most sophisticated heavy crude processors. SPECIAL PACKAGE ON EPA: COMPANIES IN SUIT HAD SUED FIRST: Seven companies are being sued by the Environmental Protection Agency over a New Jersey site. The companies: Allied-Signal Inc.; Atlantic City Electric Co.; E.I. Du Pont De Nemours and Co.; Rohm and Haas Co.; International Flavors and Fragrances Inc.; Monsanto Co.; and Rollins Environmental Services. They and others sued the government in March to establish government liability for the site. COSTS COULD ESCALATE TO $80M: The EPA says the seven companies are liable for at least $29 million in governmental cleanup costs at Bridgeport Rental and Oil Services in Gloucester County, N.J. The EPA also wants to make them responsible for further costs, likely to bring total costs up to $80 million. The EPA has not set relative liabilities and said the companies would determine those. EPA SAYS COMPANIES WON'T HELP: The EPA said it's paid for the cleanup so far, because it hasn't been able to make the companies finance the cleanup. A lawyer for four of the companies said the EPA has rejected several of his clients' offers. The EPA says contaminated groundwater under the site is threatening local water supplies. As a result, some area residents have already switched to other water sources. (End of package.) Energy Editor: Beth Mann. (1-919-855-3491) Making copies of USA TODAY Update (Copyright, 1992) for further distribution violates federal law. This article is copyright 1992 Gannett News Service. Redistribution to other sites is not permitted except by arrangement with American Cybercasting Corporation. For more information, send-email to usa@AmeriCast.COM