Weak Economy And Energy Price Uncertainty Continue To Hamper Product Consumption

The report states that a number of deepwater discoveries in the Gulf of Mexico have begun to ramp up production recently or are expected to begin production shortly. The largest include Shenzi, Atlantis, Blind Faith, and Thunder Horse.
In its forecast of total consumption of liquid fuels and other petroleum product, the EIA sees this decreasing by about 730,000 bpd (3.7%) in 2009 compared with 2008. During the first half of the year, consumption declined by almost 1.25 MMbpd (6.3%) from the same period last year, one of the steepest declines on record. The year-over-year projected decline in petroleum consumption slows to 210,000 bpd (1.1%) in the second half of 2009 as economic recovery begins to take hold. Monthly average motor gasoline consumption since June has shown year-over-year increases for the first time since September 2007 and continues to grow over year-ago levels throughout the forecast. The modest economic recovery projected for 2010 contributes to a 320,000 bpd (1.7%) increase in total liquid fuels consumption, led by an increase of 110,000 bpd (3.0%) in distillate consumption.

2009 Results
Distribution’s Top Ten. Little change has been seen in the distribution rankings over the past year. The top three companies in terms of gas customers are again Southern California Gas, Pacific Gas & Electric and CenterPoint Energy. The fourth position is claimed by National Grid with 3,464,266, reflecting its acquisition of Keyspan Energy Delivery. Atmos Energy, which added 43,354 customers since our last report, moved from the fourth to fifth position, while the sixth through tenth-positions are once again AGL Resources, Nicor Gas, Oneok, Xcel Energy and Southwest Gas.

Liquids’ Top Ten. The top three companies in terms of barrels of product deliveries by liquids companies remained basically unchanged over the past year, with Colonial Pipeline, SFPP and Magellan Pipeline claiming the top three spots. Buckeye Pipeline moved from the sixth to fourth position, reporting 317,337, while Marathon Pipe Line claimed the fifth spot at 309,508. Mid-America Pipeline managed to move from seventh to sixth position this year, reporting 306,259. The seventh-through-tenth spots were claimed by ExxonMobil Pipeline, 300,705, ConocoPhillips, 239,592, Sunoco Pipeline, 219,049 and Plantation Pipe Line, 175,804.

Transmission’s Top Ten. Over the past year very little change was seen in the top 10 companies in terms of gas throughput. While the gas throughput figures changed, the first through eighth place rankings have been claimed by the same companies. The new rankings saw El Paso report 6,351,675 Dth* to claim the first spot followed by Columbia Gulf Transmission with 4,616,336, Columbia Gas Transmission at 4,486,490, Transcontinental Gas Pipe Line 3,187,983, ANR Pipeline 2,469,420, Natural Gas Pipeline Company of America, 2,419,818 Texas Gas Transmission, 2,349,344, and Tennessee Gas Pipeline 2,108,523. This year’s ninth position went to Gulf South Pipeline that moved 1,736,501, while CenterPoint Gas Transmission claimed the tenth spot with 1,643,289.

*Transmission production figures that appear in the report are reflected in dekatherms.

CORRECTION
Ameren, the parent company of AmerenCILCO, AmerenCIPS, AmerenIP and AmerenUE was incorrectly identified in the print version of the 2009 500 Report as “Ameren IP” instead of “Ameren”.