Kinder Morgan Energy Partners (KMP) reported its third quarter results of 40 cents per limited partner unit versus the Zacks Consensus Estimate of 38 cents and year-earlier earnings of 54 cents. All the business segments experienced year over year growth except for the CO2 business, which was negatively impacted by significantly lower crude oil prices. Importantly, the partnership increased its quarterly distribution by 3% to $1.05 per unit ($4.20 annualized) from $1.02 per unit ($4.08 annualized) in the year-ago quarter. The new distribution is payable on Nov 13 to unitholders of record on Oct 30, 2009. Kinder Morgan’s distributable cash flow for the quarter before one-time items was $320 million, up 14% year over year. Distributable cash flow per unit was $1.12, up nearly 3% year over year. The Product Pipeline segment registered earnings before depreciation, ...

Last week, Energy Transfer Partners, L.P. (ETP) informed that it has entered into a settlement with the Federal Energy Regulatory Commission (FERC), which had accused the natural gas and propane gas distributor of unfair trading activities during Hurricane Rita in 2005. However, the partnership did not disclose the terms of the agreement as it is still subject to approval by the federal agency. The FERC had earlier alleged that Energy Transfer employed a complicated scheme to artificially suppress the price of physical natural gas at the Houston Ship Channel in September and November 2005, and then report the manipulated prices to a widely circulated trade magazine. The FERC is claiming $69.9 million in disgorgement of profits, as well as interest, and $82 million in civil penalties associated with these market manipulation claims. At the time, Energy Transfer denied any wrongdoing. We welcome the news of ...

TEPPCO Partners (TPP) will merge with Enterprise Products Partners (EPD) to forge the largest publicly traded energy partnership with an enterprise value of more than $26 billion. The merged partnership will preserve the name Enterprise Products Partners. TEPPCO unitholders, excluding certain affiliates of EPCO, will receive 1.24 common units of Enterprise for each TEPPCO unit, in consideration. This represents a 14.5% premium to the initial offer made by Enterprise on March 9, 2009.

The combined partnership will be in possession of almost 48,000 miles of pipelines. This will include over 22,000 miles of NGL, refined product and petrochemical pipelines; over 20,000 miles of natural gas pipelines; and more than 5,000 miles of crude oil pipelines. The partnership will own nearly 200 million barrels of NGL, refined product and crude oil storage capacity and 27 billion cubic feet of natural gas storage

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Avalon Oil & Gas Inc. is an independent domestic oil and natural gas producer. The company’s strategy is to use efficient reservoir maintenance and innovative technology to generate stable cash flows and production from a portfolio of oil and gas lease properties in Texas, Oklahoma, Louisiana and Arkansas.

Here is a brief overview of the rest of Avalon Oil & Gas properties:

Avalon has a 10% working interest in the New Diana Field, which is located in Upshur County, Texas. The property consists of thirteen wellbores, which include six producing oil wells, three salt water disposal wells and four shut-in or marginally producing wells. The working interest was purchased from an Oklahoma independent oil producer who continues to be a partner in the property.

These wells were originally drilled in the 1960s by various operators. This property produces significant volume of salt water and as a

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