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Natural Gas Production #250460

CBS Evening News for Thursday, Feb 17, 1977
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(Studio) Investigation has found extra amts. of natural gas along Gulf Coast that are not being produced and put on market Interior Secretary Cecil Andrus orders inquiry.
REPORTER: Walter Cronkite

(DC) After preliminary probe findings that gas produced in fields off LA coast substantially below max.efficient rates, Andrus orders extensive investigation into possibility gas being deliberately withheld to get higher prices. [ANDRUS - says prelim. probe produced more questions than answers.] [Investigator George DONKIN - cites views with regard to question of intentional withholding of gas.] Companies responding to network inquiry re: holdbacks listed; noted especially are Texaco and Gulf. Louisiana governor says after current crisis he may slow production down, as state and producers getting bad name. [Governor Edwin EDWARDS - says he'll look into ways to slow production down till rest of country responds and federal government takes more responsible attitude to energy use and production.] Edwards says he'll check legality of move.
REPORTER: Nelson Benton

(Studio) Ohio governor leads group going to Texas to try to get gas for Ohio.
REPORTER: Walter Cronkite

(Houston, Texas) [MAN - asks who in room can offer to sell gas to Ohio.] [Ohio Governor James RHODES - says he has no new rules for gas producers.] Rhodes and members of group who came to Houston say they're ready to deal. [2nd MAN - says they'd prefer contract where they don't go through FPC, and will sell gas at market price.] No deals announced; some producers say they're reluctant to sell until it's known what government will do after current crisis over. [Producer Gil PRESCOTT - says regulations will have to be changed to allow gas to flow north without federal agency disruption.] [Producer Rick PUGLISI - says others haven't explored for reserves in own areas and producers here being exploited because of it.] Concerns of Texas producers in piping gas to Ohio noted.
REPORTER: Eric Engberg

Benton, Nelson;
Cronkite, Walter;
Engberg, Eric

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