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NAT GAS Act Runs Out Of Momentum
March 13, 2012 | by Michael Bates | NGT News
The U.S. Senate voted today 51 to 47 in the affirmative to amend the behemoth transportation bill to include the NAT GAS Act, but that majority fell short of the 60 affirmative votes necessary to add the amendment to the bill.
The overall transportation bill will proceed to a full vote in the Senate without the amendment, leaving the future of the NAT GAS Act uncertain. The legislation is not necessarily dead, but there are few options to reintroduce the bill before the November elections.
Sen. Robert Menendez, D-N.J., submitted the NAT GAS Act as a possible amendment to the transportation bill on March 5, with Sens. Richard Burr, R-N.C., and Harry Reid, D-Nev., as co-sponsors. The Senate approved Menendez's measure - along with 29 others, out of more than 300 proposals - for consideration last Wednesday.
The NAT GAS Act is a policy mechanism aimed at increasing the use of natural gas as a transportation fuel and boosting domestic production of natural gas vehicles. The bill seeks to reinstate tax credits for NGV purchases and conversions that expired at the end of 2010, as well as to extend credits for fueling infrastructure that expired at the end of December 2011. Other measures include the creation of a production tax credit for NGV manufacturers.
Sens. Menendez, Burr, Reid, and colleague Saxby Chambliss, R-Ga., put the act into the Senate's queue in November 2011 with pay-for measures included. But as today's vote suggests, that carrot did not entice a sufficient number of naysayers to cross the aisle.
"Congress wants to do something, but you have people who say you shouldn't be picking winners and losers," Richard Kolodziej, president of trade group NGVAmerica, told NGT News. "Of course we should be. The loser is foreign oil; the winner is domestic fuel."
A companion bill to the NAT GAS Act, H.R.1380, is still alive in the House.
EAGLE FORD OIL ACQUIRES WORKING INTEREST IN BAYOU CHOCTAW
AUGUST 16, 2011 | Eagle Ford Oil & Gas
Eagle Ford Oil & Gas Corp. (ECCE.OB) (the “Company”), Houston, Texas, August 16, 2011 announced that today acquired 1.5% Working Interest in the Bayou Choctaw Project.
The Bayou Choctaw Project (“Bayou Choctaw”) involves working interests in approximately 1,500 acres of leases in the Bayou Choctaw Field (“Bayou Choctaw”), located 13 miles southwest of Baton Rouge, Louisiana in West Baton Rouge and Iberville Parishes, Louisiana. The field is a salt dome structure that has radial trapping faults. The field was discovered by Exxon in 1931 and, to date, a total of 373 wells have produced over 30 million barrels of oil and 30 Bcf of natural gas. The majority of oil production was from sands that range in depth from 2,000 to 9,000 ft. and are located near the flanks of the dome. The age of these sands is Miocene to Oligocene. The majority of production to date has come from the Cib Haz formation.
Bayou Choctaw is believed to be an example of the additional development opportunities remaining in a number of salt dome structures onshore Louisiana. The vast majority of the drilling in the Bayou Choctaw Field and surrounding domes occurred during the time period from the 1930s through the 1980s. The prevalent seismic data gathering technologies during this time frame was single fold data acquisition which upgraded to multifold data acquisition in the 1970s. The use of 3D seismic data did not become prevalent in the onshore Gulf Coast area until the mid-1990s with transition zone shoots in Louisiana beginning in the second half of the 1990s. Re-processing of high-quality 3D seismic data with the latest generation of algorithms and the following geophysical analysis of the reprocessed seismic data and correlation to other available geological and analogous well production has resulted in an improved sub-surface view of the configuration and size of the salt formation. On the basis of extensive geological, geophysical and engineering evaluations of these leases, including review of reprocessed 3-D seismic data, an initial six (6) well bores of currently shut-in oil wells, suitable for immediate workover and recompletion operations, were identified for workover / recompletion operations with an additional 18 shut-in wells identified for further engineering potential workover / recompletion operations. To date, the initial six (6) wells have been reworked / recompleted with production restored on four (4) wells with two (2) wells in the final stage of workover and testing procedures. Another well has been converted to a salt water disposal well to optimize field operating cost efficiencies. Ongoing engineering and geological / geophysical study is underway to prioritize additional well workovers in the field.
In addition, the Bayou Choctaw development program provides for the drilling of four (4) wells to approximately 9,500 feet, with the primary objective of completion in the Upper Bol Mex geological formation and secondary objectives of the Lower Bol Mex, Marg Tex, C-29 and Cib Haz formations. One (1) well has been drilled, logged and is awaiting completion in the Cib Haz formation for initial production operations. A second well was begun as a side-track from an existing well bore with operations currently suspended pending additional engineering assessment of further drilling expected to be carried out by year end, 2011. A third well was spud August 3, 2011 with formation objectives of the Cib Haz, Upper Bol Mex and Lower Bol Mex. Drilling operations are currently on schedule. The fourth well is expected to be drilled during the fourth calendar quarter, 2011. Up to three (3) additional wells may be drilled in the future in order to produce concurrently from multiple zones and accelerate cash flow. The oil we produce is light sweet Louisiana crude which is currently being sold at a premium to published WTI pricing. Northwind Oil & Gas, LLC, a wholly-owned subsidiary of Houston, Texas based Northwind Energy Partners, LLC (“Northwind”), is the operator of Bayou Choctaw.
Mr. Paul Williams, the Chief Executive Officer of Eagle Ford Oil and Gas said, “The acquisition of the working interest and strategic alliance with Northwind Energy and the subsequent ability to develop the field will provide Eagle Ford the ability to grow our company and achieve sustainable profitability. The properties, as well as the prospects, will provide our company with much of the needed cash flow to achieve our goals.” Mr. Williams went on to say; “This acquisition provides a solid foundation to grow the Company and build shareholder value through both drilling and additional acquisitions.”
Forward Looking Statements
The information may include forward-looking statements, which are subject to known and unknown risks and uncertainties that could cause actual results to differ materially. We refer you to the discussion of risk factors that could affect future operating or financial performance in our most recent prospectus and Form 10-K at December 31, 2010, 10-Q at March 31, 2011 and other SEC Filings. In addition, the Company intends to file reports on Form 8-k as to the acquisition and Sandstone’s financial information in accordance with SEC requirements.