Path: bloom-picayune.mit.edu!snorkelwacker.mit.edu!news.media.mit.edu!americast.com!americast.com!usa-post Newsgroups: usa-today.energy,americast.usa-today.energy From: usa-post@AmeriCast.Com Organization: American Cybercasting Approved: usa-post@AmeriCast.com Subject: energy Thu, Sep 24 1992 Date: Thu, 24 Sep 92 04:37:35 EDT Message-ID: 09-24 0000 DECISIONLINE: Energy USA TODAY Update Sept. 24, 1992 Source: USA TODAY:Gannett National Information Network NATURAL GAS CONTINUES TO RISE: Natural gas prices rose again Wednesday as the Hurricane Andrew-inspired rally pushed prices further into record territory. The October-delivery contract for natural gas rose 9.7 cents Wednesday to settle at $2.743 per 1,000 cubic feet, a new high on the New York Mercantile Exchange, where natural gas futures first started trading in April 1990. OIL, UNLEADED GAS UP: Heating oil rose on the New York Mercantile Exchange Wednesday in reaction to U.S. supply statistics that showed a modest increase in stocks of the fuel last week. October heating oil jumped 1.33 cents to 63.96 cents a gallon. Light sweet crude oil for delivery in November settled at $22 per barrel, up 22 cents. October unleaded gasoline settled at 59.08 cents a gallon, up 0.66 cent. WELL TESTS ARE COMPLETED: International Petroleum Corp. said Wednesday that it has completed drilling and testing operations on the Pandora B1-X well on Petroleum Prospecting License 82 in the Gulf of Papua. The well was drilled to 7,050 feet. Two drill stem tests were conducted. The first recovered formation water. The second flowed at a stable rate and surface pressure of 43 million cubic feet of gas. DOE APPROVES ENERGY GRANT: The Department of Energy has approved a preliminary grant of $200,000 for the New England Governors' Conference, the conference said Wednesday. The grant will allow the conference to begin the first portion of Phase II of its plan to create an energy strategy for New England. The Department of Energy is reviewing a conference request for the additional $800,000 it has requested. FLA. POWER GETS RATE HIKE: The Florida Public Service Commission Wednesday approved a 9% base rate increase for the Florida Power Corp. The rate increase is the first for the investor-owned utility in eight years. The increase will be phased in with incremental adjustments in November and in April and November 1993. The PSC approved a rate increase of $86 million. Florida Power had asked for $145.9 million. UNION TEXAS STAKE TO BE SOLD: Allied-Signal Wednesday announced it will sell its stake in Union Texas Petroleum. The public offering is expected to raise $600 million. The industrial technology company is in the midst of a restructuring and has also announced that it will redeem $200 million of preferred Union Texas shares and $155 million of warrants. The proceeds will be used to reduce debt. SCHOOLS TO BE CONVERTED: Officials in Columbus, Miss., say they will use a $34,999 federal energy-saving grant to convert some Lowndes County schools to natural gas from electricity. Seventeen other state schools and hospitals also received grants totaling $325,651. CENTRAL CRUDE TO ISSUE SHARES: Central Crude Ltd. Wednesday announced that it has agreed to issue up to 545,4555 common shares on a flow-through basis to Hemlo Gold Mines Inc. Flow-through means Hemlo will get a tax credit for the purchase. The issue is subject to regulatory approval. The purchase is by way of private agreement and the price per share is 55 cents. OIL FUTURES SHORED UP: Brokers said Wednesday that buyers preempting further turmoil in the currency market helped shore up an otherwise weak market for oil futures in London. Most oil transactions are concluded in dollars, so the stronger the dollar, the higher the real cost of oil to buyers whose domestic currency is weaker. Brokers said oil products futures rose on the International Petroleum Exchange. MAESA TAKES RIGHTS OPTION: Peter Wardle, president of Maesa Petroleum Inc., Wednesday announced that the company has taken an option from another oil operator to obtain drilling rights to a 2,000 gross acre tract in Washington County, Col. This tract will provide Maesa the opportunity to drill an extension well just south of the DeNova Field which has produced 7.6 billion cubic feet. NEW BATTERIES BEING DEVELOPED: Two of Japan's largest companies, Toshiba and Asahi Chemical, are forming a joint venture to develop longer-lasting rechargeable batteries. They hope to make lithium-ion batteries that have about twice the capacity of nickel-cadmium batteries. The popularity of laptop computers, camcorders and cellular phones has boosted demand for lighter, longer-lasting rechargeable batteries. GA. POWER TO SELL BONDS: Georgia Power Company Wednesday accepted bids for the sale of $100 million of first mortgage bonds due Oct. 1, 2000. An underwriting group headed by Morgan Stanley & Co. Inc. submitted the winning bid. The cost to Georgia Power will be 7.14% annually. The bonds will bear interest at 7% annually and will be initially offered to the public at 99.585% of face value. Energy Editor: Beth Mann. (1-919-855-3491) Making copies of USA TODAY Update (Copyright, 1992) for further distribution purposes 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