The Oil Daily articles from August 2003

The Oil Daily archives from August 2003

Opec Keeps Output Steady in "Confusing" Market.
August 1, 2003... VIENNA -- Puzzled by a "confusing and complicated" oil market where prices remain stubbornly high despite sluggish demand, Opec decided on Thursday in Vienna to keep its output steady at 25.4 million barrels per day, but indicated that it stood...

Fat Downstream Profits Fuel Strong 2Q for Exxon.
August 1, 2003... Riding the back of exceptionally strong downstream results that outshined those of top rivals BP and Royal Dutch/Shell, Exxon Mobil posted robust second quarter earnings on Thursday that exceeded Wall Street forecasts. Healthy market...

Bush Panel to Speed Drilling.
August 1, 2003... The Bush administration is forming a committee to find faster ways for oil and natural gas companies to obtain drilling permits on federal lands in the Rocky Mountains. Environmental groups have criticized the White House for being too...

Futures Down Slightly as Opec Decides to Maintain Quota.(Brief Article)
August 1, 2003... Crude oil prices weakened slightly on Thursday, still hovering above $30/barrel but unable to move higher as Opec's decision to maintain current quotas confirmed market expectations. September light, sweet crude oil on the New York...

Iraqi Output at 1.55 Million Barrels per Day, al-Ghadban Says.
August 1, 2003... LONDON -- Iraq's production capacity has risen to unprecedented levels since the war ended in April, reaching 1.7 million barrels per day, according to the head of the country's oil ministry, Thamer al-Ghadban. Production is actually...

Carroll Steps Down as Chair of Moribund Oil Advisory Body.
August 1, 2003... LONDON -- Early US plans for management of Iraq's oil sector are unraveling, as initial proposals for a strong outside advisory influence lose momentum. Philip Carroll, the former Shell Oil head who was brought in to guide the management...

Improved Margins and Iraq Contracts Lift Halliburton Earnings.
August 1, 2003... Halliburton reported improved second-quarter earnings on Thursday as a result of better margins in its oil field service operations and work that it is performing for US and UK military forces in Iraq. Halliburton reported net income of $26...

Lower Oil Sands Production a One Quarter Blip for Canada's Suncor.
August 1, 2003... Looking strictly at the numbers, it appeared as though Calgary-based oil sands producer Suncor Energy didn't have that great of a quarter. But in fact, Suncor had to sacrifice some production and profit in the quarter to complete planned...

Murphy's Output Dips, But Shortfall Saved by High Gas Prices.
August 1, 2003... Integrated oil and gas company Murphy Oil reported strong second-quarter earnings late Wednesday, driven by higher natural gas prices and lower exploration expenses in Malaysia. The El Dorado, Arkansas-based integrated recorded a second-...

Anadarko Axes 400 Jobs, Five Senior Executives Leave.
August 1, 2003... Anadarko Petroleum -- tipped by some analysts as a potential takeover target after a recent fall from grace -- said on Thursday it will close two offices in Texas and cut 400 jobs in a move intended to cut costs by $100 million a year. The...

Senate to Vote on Speeding Consideration of Energy Bill.
August 1, 2003... WASHINGTON -- A broad energy bill was tangled in a partisan fight late Thursday as Senate Republicans and Democrats caucused to develop strategies on the legislation that could best serve their interests. At press time things remained very...

EIA Storage Report.(Brief Article)(Illustration)
August 1, 2003... Stocks of working natural gas in US storage facilities rose 83 Bcf for the week ended Jul. 25, leaving storage levels of 2,032 Bcf, according to the Energy Information Administration (EIA). The injection left the storage deficit from a year...

Daily Oil & Gas Price Review.(Illustration)
August 1, 2003... Daily Oil & Gas Price Review Prices for Thursday, July 31, 2003 Light Sweet Futures -- Prompt Month ($/barrel) 1st 5-Day 2nd 3rd Chg Month Avg. ...

Stock Market Scorecard.(Illustration)
August 1, 2003... Stock Market Scorecard Close 1-Day. % Chg.? Jul 31 Chg. % Chg. 10-Day 52-Wk YTD Integrated Majors Statoil 9.00 +0.12 ...

Tesoro Q2 Loss Narrows.(Brief Article)
August 1, 2003... Independent US oil refiner Tesoro Petroleum on Thursday reported a loss after a large write-off, but showed improvement from last year thanks to wider refining and marketing margins. The San Antonio, Texas, company posted a net loss of $7...

Gas Prices Boost Petro-Canada.(Brief Article)
August 1, 2003... Petro-Canada, the country's No. 2 oil producer and refiner, said Thursday its second-quarter profit jumped on higher natural gas prices and a gain on foreign currency translation. Petro-Canada's profit rose to US$417.6 million from US$228...

DOE Solicits Hydrogen Bids.(Brief Article)
August 1, 2003... The Department of Energy on Thursday released two solicitations for research and development in hydrogen production, delivery, and storage technologies. The solicitations will provide funding of up to $200 million over four to five years to...

Exxon Hits Again Off Angola.(Brief Article)
August 1, 2003... Exxon Mobil said Thursday that its subsidiary, Esso Exploration Angola Limited, and Sociedade Nacionale de Combustiveis de Angola (Sonangol) made another deepwater oil discovery, the fourteenth oil find on Angola Block 15. The discovery...

Meridian Biloxi Well Produces.(Brief Article)
August 1, 2003... Meridian Resource said Thursday the initial production test results from its Biloxi Marshlands No.1-2 well. The well was tested from the Lower Cris I sand interval through 40 feet of perforations between 9,102 and 9,150 feet at a stabilized...

Alaska to Issue Licenses.(Brief Article)
August 1, 2003... The Alaska Department of Natural Resources is soliciting exploration license proposals within an area encompassing approximately three million acres of state-owned and state- selected lands located in the Bristol Bay region. The area of...

Canadian Oil Sands Issues Debt.(Brief Article)
August 1, 2003... Calgary-based Canadian Oil Sands Trust said Thursday that Canadian Oil Sands Ltd., a wholly owned subsidiary of the trust, has agreed to issue US$300 million of senior notes in the US under a private placement exemption. The notes mature on...

Gas Natural Wins Enron Assets.(Brief Article)
August 1, 2003... Spain's dominant gas distributor Gas Natural said Thursday it was buying half the Puerto Rican gas company Ecoelectrica from collapsed energy trader Enron. A New York court, auctioning Enron's assets, ruled Gas Natural the winner. Enron...

Pioneer Drilling Buys Rigs.(Brief Article)
August 1, 2003... Texas-based Pioneer Drilling said it has agreed to purchase two mechanical land drilling rigs from Texas Interstate Drilling for $2.5 million in cash and 477,000 shares of common stock; for a total transaction value of approximately $4.6...

Conoco Buys Premcor Assets.(Brief Article)
August 1, 2003... ConocoPhillips has purchased select assets at Premcor's Hartford, Illinois, refinery for its Wood River, Illinois refiner for $40 million. The purchase includes the coker, crude unit, catalytic cracker, alkylation unit, isomerization unit,...

Exxon Books VLCC for Iraq Oil.(Brief Article)
August 1, 2003... Exxon Mobil, one of five US oil companies to win post-war supply contracts with Iraq, has booked a VLCC to carry crude from the port of Mina al-Bakr to the US in August, shipping brokers said. They said Exxon had provisionally booked the...

Chevron Plans Asset Sales to Boost Returns.
August 4, 2003... HOUSTON -- ChevronTexaco still has a ways to go before its quarterly returns match those of fellow supermajors Exxon Mobil and Royal Dutch/Shell Group. Still, a combination of new, high-growth upstream projects and sales of up to $2 billion in...

Senate Passes Democrats' Energy Bill.
August 4, 2003... WASHINGTON -- After days of sometimes bitter partisan fighting, the Republican-controlled Senate late last week took the extraordinary step of approving a broad energy bill 84-14 crafted and passed when Democrats were in charge last year. But...

Futures Stage Rally as Prospect for Iraq Oil Looks Grim.
August 4, 2003... Following Thursday's muted response to Opec's expected decision to maintain current output levels, crude futures shot up nearly $2.00 on Friday after a pipeline fire in Iraq, suspected to be caused by sabotage, dashed market hopes that Iraq can...

US Sour Crudes Continue to Fall as Iraq Opens Up the Taps; Exports to US Rise.
August 4, 2003... US sour crudes continued their month-long slide last week, as the return of Iraqi crude continues to put downward pressure on prices. The first shipment of Iraqi crude since May arrived in the US late last month, and barring any major acts...

Big Second-Quarter Profits Do Little to Spur Big Oil Shares in July.
August 4, 2003... Many leading worldwide oil and gas companies posted strong second-quarter earnings last month that were typically 50% higher or more, but investors clearly did not care. EIG's International Petroleum Finance Oil and Gas Index, which is...

Industrial Demand for Natural Gas Rises as Prices Decline.
August 4, 2003... Market watchers believe a bottom is near after a steady fall in gas prices since early June. But bulls are receiving no cooperation from Mother Nature, with a lack of interregional hot weather keeping prices and demand soft. There are...

Anadarko Mum on Takeover Talk, Denies it Lacks Prospects.
August 4, 2003... HOUSTON -- Anadarko Chief Executive Robert Allison was tight- lipped on Friday when asked about recent speculation that his company could soon be acquired by one of the majors, saying he was unable to respond despite the persistent prodding of...

Canadian Gas Storage.(Brief Article)(Illustration)
August 4, 2003... Canadian Enerdata reported that the amount of natural gas in Canadian storage facilities rose 14.4 Bcf to 314.1 Bcf for the week ended Jul. 25. Storage caverns are 65% full, up from 62.1% full one week ago, but down from 81.6% full a year ago....

Baker Hughes Rig Count.(Brief Article)(Illustration)
August 4, 2003... US Rig Count Rises by Six The number of rigs searching for oil and gas in the US rose by six to 1,097 for the week ended Aug.1, according to Baker Hughes. A year ago there were 848. The number of rigs searching for oil fell by two to...

Daily Oil & Gas Price Review.(Illustration)
August 4, 2003... Daily Oil & Gas Price Review Prices for Friday, August 1, 2003 Light Sweet Futures -- Prompt Month ($/barrel) 1st 5-Day 2nd 3rd Chg Month Avg. ...

Stock Market Scorecard.(stock prices, various energy companies)(Illustration)
August 4, 2003... Stock Market Scorecard Close 1-Day. % Chg.? Aug 01 Chg. % Chg. 10-Day 52-Wk YTD Integrated Majors Occidental 32.72 +0.03 ...

Iraqi Fuel Pipeline Set Afire.(Brief Article)
August 4, 2003... Firefighters tried in vain to extinguish a blaze at a gasoline pipeline near the Baiji refinery in northern Iraq on Friday and US authorities said they would have to shut down the line briefly. A spokesman for the US-led administration for...

Oneok Q2 Earnings Slip.(Brief Article)
August 4, 2003... Oneok reported lower second-quarter earnings because of accounting changes, but said the company continues to look for production, transportation and storage, and distribution acquisition opportunities. The Tulsa, Oklahoma-based company...

Nicor Earnings Up Slightly.(Brief Article)
August 4, 2003... Nicor announced higher second-quarter earnings that the company attributed to a one-time gain for the winding down of its energy marketing joint venture, Nicor Energy, and significant insurance-related recoveries. Second-quarter net income...

Remington Earnings Up 96%.(Remington Oil and Gas)(Brief Article)
August 4, 2003... Remington Oil and Gas said Friday that second-quarter earnings almost doubled to $12.3 million, compared with $643 million in the same quarter of 2002. Revenue for the period was $46 million versus $31.7 million in the year-ago period. Net...

Iran Keeps Door Open for Japan.(Azadegan oil field development)(Brief Article)
August 4, 2003... Iran continues negotiating with a Japanese consortium to develop the massive Azadegan oil field, although the deadline for negotiations ended a month ago amidst severe political pressure from the US to block the deal. Iranian oil minister...

Another Nigerian Abduction.(Brief Article)
August 4, 2003... A British man working for an oil services company has been taken hostage in the fourth reported abduction case this month in southern Nigeria, source of most of the Opec's member's crude output of over two million b/d. Security sources...

Williams Sells More Assets.(Brief Article)
August 4, 2003... Williams announced Friday a number of assets sales valued together at more than $100 million and termination of a long- term power contract. For an undisclosed amount the Tulsa, Oklahoma-based company sold West Stoddart, its natural gas...

FTC OKs Suncor Acquisition.(Suncor Energy to purchase refinery from ConocoPhillips)(Brief Article)
August 4, 2003... Calgary-based Suncor Energy said Friday that its US subsidiary, Suncor Energy, has received Federal Trade Commission approval of its planned purchase of ConocoPhillips' Denver, Colorado refinery, along with 43 Phillips-branded retail stations...

MarkWest to Buy Pipeline.(MarkWest Energy Partners agreement with Power-Tex Joint Venture)(Brief Article)
August 4, 2003... MarkWest Energy Partners, through its subsidiary MarkWest Pinnacle, said Friday that it entered into an agreement with Power-Tex Joint Venture, a subsidiary of ConocoPhillips, to acquire a 68 mile long intrastate gas transmission pipeline near...

Curacao Refinery Down.(Brief Article)
August 4, 2003... Curacao's Venezuelan-run refinery will shut a 30,000 b/d crude distillation unit in September for planned maintenance, a plant spokeswoman said on Friday. "It won't effect our customers because it is planned and we have stored up...

Marathon's Gasoline Unit Up.(Brief Article)
August 4, 2003... Marathon Oil restarted its 115,000 b/d gasoline unit at its 252,000 b/d refinery in Garyville, Louisiana late Thursday after two weeks of unplanned repairs, a source with knowledge of the operations said Friday. "The restart was...

Flint Hills to buy Williams' Alaska refinery.
August 5, 2003... HOUSTON -- Williams apparently has found a buyer for its 220,000 barrels per day refinery at Fairbanks, Alaska. Flint Hills Resources, the refining unit of Koch Industries, is the likely buyer, Alaska Gov. Frank Murkowski said Monday. ...

Any way you slice it, US will need foreign oil.
August 5, 2003... [GRAPHICS OMITTED] Despite all the populist rhetoric in the US about the need to reduce dependence on foreign oil, anybody who does the math has to conclude it would take nothing short of a miracle to reverse more than 30 years of...

Another LNG project suddenly proposed to serve New England region.
August 5, 2003... On Jul. 29, within a few hours of a public hearing on a proposed liquefied natural gas (LNG) terminal in Fall River, another plan for a similar facility in a neighboring town surfaced unexpectedly (OD Jul. 24,p.5). A news release on the second...

Futures shed some of last week's gains, upside limited by length.(Brief Article)
August 5, 2003... Energy futures staged a late sell-off on Monday, erasing some of the ground gained on Friday in what traders consider largely a technically led play amid limited short-term market fundamental shifts. After hitting an intraday high of $32.40...

Daily oil & gas price review.
August 5, 2003... Daily Oil & Gas Price Review Prices for Monday, August 4, 2003 Crude Oil Nymex Light Sweet US Domestic Crudes ($/barrel) Cash/Spot Change Spot Price 5-Day Avg. Month-Ago WTS (Midland) -0.13 ...

Dominion buys Calpine plant.(Brief Article)
August 5, 2003... Dominion Virginia Power, an affiliate of Dominion, said Monday that it would acquire Calpine's 50% interest in the 240-megawatt Gordonsville, Virginia, power station for approximately $52 million in cash. The deal is expected to close in the...

Yukos silent on news reports of suitor.(Brief Article)
August 5, 2003... MOSCOW -- Yukos, Russia's biggest oil producer, refused to comment on rumors based on press reports that ChevronTexaco was going to buy a stake in the Russian major, but confirmed that its planned merger with Sibneft was still on track. ...

Norwegian services firm Fred. Olsen leads energy stock winners.
August 5, 2003... Norwegian energy services provider Fred. Olsen Energy was one of the biggest winners among energy stocks last week, lifted by news that its Dolphin Drilling unit has won contracts in Mexico and India, according to data compiled by energy...

Oil & gas share gainers and decliners.
August 5, 2003... Oil & Gas Share Gainers and Decliners Week Ended Aug. 1, 2003 Top 15 Gainers Close Close Company Ticker 8/1 7/25 %Chg Northern Offshore ...

Chevron inks MOU with Gorgon.(Brief Article)
August 5, 2003... ChevronTexaco on Monday said that an affiliate had signed a Memorandum of Understanding (MOU) with the Gorgon Joint Venture in Australia for the supply of Liquefied Natural Gas (LNG) for distribution to markets on the West Coast of North...

Magnum Hunter earnings rise. (Earnings).(Brief Article)
August 5, 2003... Irving, Texas-based Magnum Hunter Resources said Monday that net income for the second quarter ended Jun. 30 was $4.2 million on revenue of $78.4 million, compared with net income of $2.3 million on revenue of $76.2 million for the same period...

Apache producing in China. (Exploration & Production).(Brief Article)
August 5, 2003... Houston-based Apache and its partner PetroChina said Monday that first production is on stream at their shallow-water Zhao Dong block in Bohai Bay, China at the rate of 6,000 b/d from three wells. Production is expected to reach its peak...

Devon closes $500M debt sale. (Finance).(Brief Article)
August 5, 2003... Devon Energy, the largest independent US oil and gas producer, said Monday it closed the sale of $500 million in three-year notes paying 2.75% and entered into an interest rate swap, steps that let the company trim its interest expenses. ...

PDV Finance files with SEC. (Latin America).(Brief Article)
August 5, 2003... Petroleos de Venezuela (PDV) Monday filed first-quarter financial statements for PDVSA Finance, its overseas funding arm, to the US Securities and Exchange Commission (SEC). However, the long-awaited Form 20-F, which would detail results for...

Stock market scorecard.
August 5, 2003... Stock Market Scorecard Integrated Close 1-Day Majors 8/4 Chg. % Chg. Statoil 9.08 +0.10 +1.11% Total 73.66 +0.71 +0.97 Exxon...

Edge expands Texas holdings. (Mergers & Acquisitions).(Brief Article)
August 5, 2003... Houston-based Edge Petroleum said Monday it entered into an agreement with a private oil and gas company to acquire $9.1 million worth of oil and gas properties in South Texas. Closing is expected to occur in mid-September. Based on Edge's...

Dolphin gets Pemex contract. (Oil Field Service).(Brief Article)
August 5, 2003... Mexican oil company Pemex has contracted two drilling rigs from Fred. Olsen Energy subsidiary Dolphin Drilling, the Aberdeen-based drilling contractor said Friday. The $126 million term contract for two semi-submersible rigs will begin early in...

Parker trying to sell assets. (Oil Field Service).(Brief Article)
August 5, 2003... Parker Drilling said Monday that although it has not met its self-imposed goal for asset sales, it continues to expect to reach agreements to sell a significant package of assets, including 16 land rigs in Latin America and seven jackup and...

Speculators boost net longs. (Oil and Gas Markets).
August 5, 2003... New York Mercantile Exchange oil speculators boosted their net long futures positions in the week ended Jul. 29 in a bet that prices would rise, the Commodity Futures Trading Commission (CFTC) said on Friday. The CFTC's weekly Commitments...

IPE sets July trading record. (Oil and Gas Markets).(Brief Article)
August 5, 2003... The International Petroleum Exchange said Monday that trading volumes in July hit record levels. Brent crude futures traded 1,972,165 contracts, a 13.8% increase over the previous July best set in 2002. Natural gas futures also...

Petrochemical data released. (Refining).(Brief Article)
August 5, 2003... The National Petrochemical and Refiners Assn. said Monday the total second-quarter production of the 18 petrochemicals surveyed and reportable was 46.7 billion pounds, an increase of 1% compared with first-quarter production of 46.5 billion...

Cooling degree days.
August 5, 2003... Cooling Degree Days For the week ended Aug. 2, 2003 -Week Dev- From Week From Year State/City (PADD) Total Norm Ago ...

BP Exec Reassures Rocky Mountain Gas Producers.
August 6, 2003... DENVER--The head of BP's North American natural gas and power business calmed the nerves of many Rocky Mountain gas producers, saying Tuesday that gas from new frontier areas - - mainly the deepwater Gulf of Mexico, East Coast of Canada, the...

KBR Employee Killed in Iraq; Oil Output on Target.(Kellogg Brown and Root )
August 6, 2003... Halliburton unit Kellogg Brown & Root (KBR) confirmed Tuesday that one of its employees was killed in Iraq near Saddam Hussein's hometown of Tikrit "as a result of injuries sustained when his truck hit an anti-tank mine while on a routine mail...

Rockies' Natural Gas Reserves Locked in by Politics, Red Tape.
August 6, 2003... DENVER -- There has been considerable interest in Rockies natural gas, with many industry experts betting that the Rockies may be the salvation for a country that is desperately in need of places to drill. The Rockies coalbed methane play...

Crude Rallies as Market Wary of Tensions in Opec Countries.(Brief Article)
August 6, 2003... Oil prices soared to a two-month high on another technical rally Tuesday, although news of a car bombing in Indonesia, the delay in the return of oil in Iraq, and ethnic tensions in Nigeria renewed concerns that instability in oil-rich Opec...

Petrie Parkman Takes Contrarian, Upbeat View on US Gas Output.
August 6, 2003... Energy investment bank Petrie Parkman is taking a contrarian view of the medium-term outlook for US gas production, predicting that new deepwater Gulf of Mexico fields will help add more than 2 billion cubic feet per day to domestic output by...

Environmental, Safety, Security Issues Add to Cost of Offshore LNG.
August 6, 2003... Offshore liquefied natural gas (LNG) receiving terminals may seem the best solution to potential "NIMBY" (not in my backyard) or "BANANA" (build absolutely nothing anywhere near anybody) problems, but they have their own disadvantages that...

Strong Rates Support Bottom Line at Independent Tanker Owners.
August 6, 2003... Second-quarter results for two of the world's leading independent tanker owners, Frontline and Teekay Shipping, were buoyed by this year's strong tanker market. While tanker rates slipped from the buoyant levels of the first quarter, they...

Gorgon Venture Signs Second Deal to Sell LNG in US Market.
August 6, 2003... SINGAPORE -- Australia's Gorgon liquefied natural gas project, which is waiting for environmental clearance from authorities, has signed a second initial agreement to sell LNG into the US market. The Gorgon venture, which is led by...

Daily Oil & Gas Price Review.
August 6, 2003... Daily Oil & Gas Price Review Prices for Tuesday, August 5, 2003 Light Sweet Futures -- Prompt Month ($/barrel) 1st 5-Day 2nd 3rd Chg Month Avg. ...

Stock Market Scorecard.
August 6, 2003... Stock Market Scorecard Close 1-Day. % Chg.? Aug 05 Chg. % Chg. 10-Day 52-Wk YTD Integrated Majors Total 74.55 +0.89 ...

Saudi Cuts US, Asia Term Prices.(Brief Article)
August 6, 2003... To remain competitive with rival crudes into the key US market, Saudi Arabia has cut the official selling prices for September exports of its crude to the US and Asia. But reflecting improved demand for sour grades in the European market,...

Italy to Join Hydrogen Push.(International Partnership for the Hydrogen Economy )(Brief Article)
August 6, 2003... Secretary of Energy Spencer Abraham announced Italy's intention to join the International Partnership for the Hydrogen Economy (IPHE). Italy has a well-developed research and development program addressing hydrogen and fuel cell technology...

Smuggled Iraqi Oil Seized.(Brief Article)
August 6, 2003... US authorities said on Tuesday they had detained around 150 people and seized scores of fuel trucks and a dozen oil barges in the past two weeks to try to stem rampant smuggling of oil out of Iraq. Naval patrols from Bahrain, home of the US...

Camisea Gas Contract Signed.(Brief Article)
August 6, 2003... Spanish power company Endesa Friday signed a contract to supply electricity to ElectroPeru, from gas developed as part of the Camisea project. Peru's Mines and Energy Ministry said the signing ceremony indicated continued confidence in the...

Shell Pays $49M to US.(for illegaly venting natural gas)(Brief Article)
August 6, 2003... Shell Oil, a unit of Royal Dutch/Shell Group, will pay a $49 million fine for illegally venting and flaring natural gas at its drilling fields in the Gulf of Mexico, the US Justice Department said on Tuesday. The settlement resolves a...