The Oil Daily articles from August 2004

The Oil Daily archives from August 2004

Kerry Energy Vows Provoke Praise and Protest.
August 2, 2004... WASHINGTON -- US energy independence is the keystone of Democratic presidential nominee John Kerry's ambitious energy policy. That should come as no surprise since the candidate's political career is heavily marked by efforts to reduce oil...

Oil Reaches New High, Breaches $43/bbl Barrier.
August 2, 2004... WASHINGTON -- Oil prices continue to astound. Crude futures climbed to new record of $43.85 per barrel Friday on worries that global supply may be stretched to its limits, as tensions linger over Russian oil producer Yukos' fight with the...

Anadarko Raises Spending to Put K2 North Field on Fast Track.(Anadarko Petroleum Corp.)
August 2, 2004... HOUSTON -- Anadarko Petroleum has increased capital spending for the current year to accelerate development of its K2 North deepwater field in the Green Canyon area of the Gulf of Mexico. Anadarko also disclosed that it recently bought back...

Record Crude Prices Support Gas Despite Cool Weather.
August 2, 2004... WASHINGTON -- After weathering an unusually weak demand period in late July, indicators are trending more bullish in natural gas markets with supportive weather in forecasts, crude hitting record highs and tropical storm activity heating up in...

Profits Impress, But Production Disappoints at ChevronTexaco.
August 2, 2004... HOUSTON -- ChevronTexaco reported second-quarter earnings that blew away Wall Street forecasts on Friday. Despite the strong financial results, some analysts expressed concerns about the US major's declining oil and gas production volumes,...

Sweet-Sour Spread Widens in US As Yukos Threat Fails to Support Sour Market.(YUKOS Oil Co.)
August 2, 2004... WASHINGTON -- The premium for sweet crudes over sour grades widened to about $6 per barrel in the US spot market last week, as refiners showed a preference for gasoline-rich sweets while Opec continued to supply the market with additional...

Gap in Near-Term Natural Gas Supply Widens Ahead of LNG Boom.
August 2, 2004... HOUSTON -- So far North America has dealt with the ongoing decline in US lower-48 gas production by letting price allocate supply. At $6 per million Btu, industrial and chemical manufacturers have moved operations offshore whenever possible to...

Canadian Gas Storage.(Brief Article)
August 2, 2004... Canadian Enerdata reported that the amount of natural gas in Canadian storage facilities rose 9.8 Bcf to 371.8 Bcf for the week ended Jul. 23. Storage caverns are 74.9% full, up from 72.9% the previous week and 65% a year ago. (Bcf) ...

Baker Hughes Rig Count.(Brief Article)
August 2, 2004... US Rig count Rises by 13 The number of rigs searching for oil and gas in the US rose by 13 to 1,229 last week, oil services firm Baker Hughes said Friday. During the same week last year, there were 1,097 rigs in operation. The number...

Daily Oil & Gas Price Review.(Illustration)
August 2, 2004... Daily Oil & Gas Price Review Prices for Friday, July 30, 2004 Light Sweet Futures -- Prompt Month ($/barrel) 1st 5-Day 2nd 3rd Chg Month Avg. ...

Stock Market Scorecard.(petroleum industry)(Illustration)
August 2, 2004... Stock Market Scorecard Close 1-Day % Chg. 7/30 Chg. % Chg. 10-Day 52-Wk YTD Integrated Majors Statoil 12.50 +0.27 +2.21% -1.81%...

Yukos Given Month to Pay.(YUKOS Oil Co.)(Brief Article)
August 2, 2004... Russian bailiffs on Friday gave oil major Yukos a month to pay its $3.4 billion tax debt, easing fears of an imminent break-up of the company. Chief bailiff Andrei Belyakov told Interfax news agency that the company had paid 20% of its...

Traders Lower Net Longs.(Brief Article)
August 2, 2004... Noncommercial crude oil speculators on the New York Mercantile Exchange (Nymex) decreased their net long positions in the week ended Jul. 27, the Commodity Futures Trading Commission (CFTC) said Friday. Noncommercial crude speculators...

Plains to Swap $250M in Notes.(Plains All American Pipeline L.P., PAA Finance )(Brief Article)
August 2, 2004... Plains All American Pipeline announced Friday that its financial subsidiary PAA Finance will exchange $250 million in 5.625% senior unregistered notes for registered senior notes of the same interest rate. The notes were issued in December 2003...

AEP Earnings Fall 43%.(American Electric Power Company Inc. )(Brief Article)
August 2, 2004... American Electric Power, the top US power producer, reported Friday that second quarter net income fell 43%, hurt by higher maintenance costs stemming partly from severe storms in several states. But the company's core utility operations...

Corocoro Output Seen in 2006.(ConocoPhillips)(Brief Article)
August 2, 2004... ConocoPhillips expects to begin producing 70,000 b/d of oil at its Corocoro field in northeastern Venezuela in 2006, a company official said. "We are expecting to have production between the third and fourth quarter of 2006," Nelson...

Marathon to Develop Norway Field.(Marathon Ashland Petroleum L.L.C.)(Brief Article)
August 2, 2004... US integrated oil firm Marathon has filed a plan for developing the North Sea Alvheim oilfield off Norway and expects it to produce over 70,000 b/d beginning in 2007, Norwegian officials said on Friday. Oslo's Oil and Energy Ministry said...

Sixth LNG Train OK'd in Nigeria.(Nigeria LNG Ltd.)(Brief Article)
August 2, 2004... Nigeria LNG (NLNG) has given the formal go-ahead for the construction of a sixth LNG train at its facility at Bonny in Nigeria, NLNG partners Eni, Total and Royal Dutch/Shell announced Friday. The sixth train, which will begin operations in...

Audit Criticizes Iraq Spending.(Brief Article)
August 2, 2004... An audit released this week accused the former US-led Coalition Provisional Authority (CPA) of failing to keep proper control of nearly $1 billion in funds earmarked for reconstruction in Iraq. The CPA, which handed over authority to an...

Enterprise, GulfTerra Approve Merger.(GulfTerra Energy Partners and Enterprise Products Partners )(Brief Article)
August 2, 2004... Unitholders of GulfTerra Energy Partners and Enterprise Products Partners approved the merger of the two publicly traded partnerships Thursday. However, the Federal Trade Commission must still approve the proposal before the merger can be...

Offshore LNG Hub Examined.(Freeport McMoran's planned LNG terminal )(Brief Article)
August 2, 2004... The Coast Guard and the Maritime Administration (MARAD) have started the environmental impact assessment for Freeport McMoran's planned LNG terminal offshore Louisiana. The company proposes to build the Main Pass Energy Hub, which can hold...

Total Plans Refinery Outage.(Brief Article)
August 2, 2004... French major Total will shut its 156,000 b/d Mardyck refinery in the third week of August for eight weeks of scheduled maintenance, a source familiar with the refinery's operations told Reuters on Friday. "It's a full shutdown, all units...

Contractors Face Land Disputes in Mexico.
August 3, 2004... Potential bidders for Mexico's second round of multiple service contracts (MSC) are keeping a close eye on first- round contractors' progress. Drilling gets underway this summer in the Burgos basin, and some contractors are finding that the...

Unocal Lowers 2004 Output Forecast.
August 3, 2004... Leading US independent producer Unocal is scrapping a policy of providing investors with its best forecast of future oil and gas production after watching actual volumes fall short of its estimates too often. "Because recent actual...

Schwarzenegger May Have Trump To End LNG Terminal Dispute.
August 3, 2004... The ongoing dispute between the federal government and the California Public Utilities Commission (CPUC) over who has the legal right to determine the location of liquefied natural gas (LNG) terminals may end in a whimper -- not a bang --...

Oil Futures Inch Up to a New Record Close of $43.82.(Brief Article)
August 3, 2004... Crude oil futures reached a new record high of $43.94 per barrel Monday on the Department of Homeland Security's new terrorism alert and the continued uncertainty surrounding the future of Russian oil major Yukos. Prices surged initially...

Evergreen Yet to Find Buyer For Kansas Assets Ahead of Pioneer Merger.
August 3, 2004... Coalbed methane producer Evergreen Resources has not yet found a buyer for its Forest City Basin acreage in eastern Kansas ahead of its acquisition by Pioneer Natural Resources, which is expected to close in September. Denver-based...

UK Indie Northern Petroleum Posts Week's Best Share Gain; Yukos' Tax Fiasco Sinks Stock.
August 3, 2004... Independent producers from the UK and Canada posted the top share price gains in the energy sector last week, while beleaguered Russian oil giant Yukos suffered the worst loss, according to data compiled by consultant John S. Herold. ...

Saudi Output Capacity Needs to Rise Soon.
August 3, 2004... The time has come for Saudi Arabia to move forward with a significant expansion of its oil production capacity. Such a move has been under consideration within the government and Saudi Aramco for some time, but there has been a reluctance...

Cooling Degree Days.(Illustration)
August 3, 2004... Cooling Degree Days Week Dev Cum Dev For week of From From From July 31, 2004 Week From...

Oil & Gas Share Gainers and Decliners For The Week Ended Jul. 30, 2004.(Illustration)
August 3, 2004... Oil & Gas Share Gainers and Decliners For The Week Ended Jul. 30, 2004 Top 15 Gainers Close Close Company Ticker 30-Jul 23-Jul %chg Northern Petroleum NOP LN 7.5 6.3...

Daily Oil & Gas Price Review.(Illustration)
August 3, 2004... Daily Oil & Gas Price Review Prices for Monday, August 2, 2004 Light Sweet Futures -- Prompt Month ($/barrel) 1st 5-Day 2nd 3rd Chg Month Avg. Month ...

Stock Market Scorecard.(Illustration)
August 3, 2004... Stock Market Scorecard Close 1-Day % Chg. 8/2 Chg. % Chg. 10-Day 52-Wk YTD Integrated Majors Shell T & T 44.22 +0.42 +0.96% -1.99%...

Entergy-Koch Sale Heats Up.(Brief Article)
August 3, 2004... Entergy on Monday said it is in advanced talks for the sale of Entergy-Koch LP, a marketing and trading joint venture with privately held Koch Industries, and the two partners also plan to sell Gulf South Pipeline Co. LP. Since Entergy...

Carrizo Ups Output 18%.(Brief Article)
August 3, 2004... Carrizo Oil & Gas announced Monday that it produced an estimated 1.99 Bcfe (20.8 MMcfe/d) during the second quarter of 2004, an increase of 18% from the 1.68 Bcfe (18.4 MMcfe/d) it produced during the same period in 2003. According to...

Hess Equatorial Guinea Plan OK'd.(Brief Article)
August 3, 2004... Amerada Hess announced Monday that the government of Equatorial Guinea has approved its development plans for the four reservoirs of its offshore Northern Block G concession (OD Jul.29,p5). The $1.1 billion plan for the Okume, Oveng, Ebano...

Fuel Oil Spilled on Texas River.(Brief Article)
August 3, 2004... A collision between a refueling barge and a gasoline tanker on a southeast Texas river spilled more than 30,000 gallons of fuel oil early on Monday and halted shipping traffic, according to the Coast Guard. The Neches River was closed near...

CMS Sells Australian Gas Pipes.(Brief Article)
August 3, 2004... Australia Pipeline Trust (APA) has signed an agreement to buy US-based CMS Energy's interest in the Parmelia and Goldfields gas pipeline assets in Western Australia for US$145 million. APA Managing Director Jim McDonald said: "The...

Yukos Investigation Widens.(Brief Article)
August 3, 2004... Russia's Tax Ministry has begun its investigation into the 2002 accounts of embattled oil firm Yukos, the company's spokesman told Reuters on Monday. "We have received notification about the checks and a request to supply the relevant...

Peru Eyes 10% Gas Tax.(Brief Article)
August 3, 2004... Peru is considering a 10% consumer tax on local consumption of its massive Camisea gas reserves to increase revenues for the cash-strapped government, the Economy Ministry said on Monday. But the Energy and Mines Ministry criticized the...

Pemex Sees Big Campeche Outlay.(Brief Article)
August 3, 2004... Mexican state oil firm Pemex will invest $4.56 billion this year to produce and explore for oil in Campeche Bay, Reuters reported late Friday. Pemex, which plans to invest a record $12 billion this year in total, mainly in exploration and...

NPRA Favors NSR Reform.(Brief Article)
August 3, 2004... The National Petrochemical and Refiners Association (NPRA) on Monday urged federal regulators to stay the course on clean air regulatory reforms relating to refineries, contending that the reforms would lead to increased supplies of clean...

Transocean, FMC Get Angola Work.(Brief Article)
August 3, 2004... BP has selected Transocean's semisubmersible drilling rig Sedco Express to drill at the supermajor's Greater Plutino offshore project in Angolan waters, according to a Transocean news release. The three-year contract is worth an estimated...

Tidelands Seeks US-Mexico Pipe.(Brief Article)
August 3, 2004... Independent pipeline operator Tidelands Oil & Gas is preparing to submit permit applications to the Federal Energy Regulatory Commission to build two new natural gas pipelines connecting the US to Mexico. The new pipelines would consist of...

Barton Still Clinging to Fading Energy Bill.(Joe Barton)
August 4, 2004... House Energy and Commerce Committee Chairman Joe Barton (R- Texas) is unabashed in his support of oil industry interests -- be it a broad energy bill or legislation to increase US refining capacity. Since taking over the reins of the...

Treaty Allows Bolivia to Export Gas Via Peru.
August 4, 2004... Peru and Bolivia signed a treaty Tuesday to create a special economic zone that is expected to allow for exports of landlocked Bolivia's natural gas through a Peruvian port and on to the US and Mexico. Bolivian President Carlos Mesa and...

Debt Financing, Heavy Tax Load Push Pemex First Half Results Deep Into Red.
August 4, 2004... Pemex, Mexico's state-owned oil and gas company and a major government cash cow, is feeling pain after stretching losses to a staggering $1.7 billion in the first half of 2004. The loss comes after Pemex reported a $1.4 billion loss in the...

Another Day, Another Record As Nymex Oil Surges Past $44/bbl.
August 4, 2004... Red-hot oil prices blew past the $44 per barrel barrier on Tuesday and are showing no signs of letting up any time soon. Crude futures on the New York Mercantile Exchange (Nymex) hit another all-time high of $44.24 per barrel Tuesday, as...

Exxon Mobil, Qatar Revise LNG Strategy in North America.(Exxon Mobil Corp., Qatar Petroleum Corp., liquified natural gas)
August 4, 2004... Exxon Mobil and RasGas-3 partner state Qatar Petroleum are making significant adjustments to their North American LNG strategy, specifically regarding ownership of receiving terminals, Oil Daily has learned. Initially, the RasGas-3...

PetroChina Terminates Joint Venture With Partners on West- East Gas Line.
August 4, 2004... China's state-controlled PetroChina has terminated a joint venture agreement with Royal Dutch/Shell, Exxon Mobil and Russia's Gazprom for the country's 2,520-mile West-to-East gas pipeline, Shell said Tuesday. "The joint venture agreement...

EOG Ups Capital Spending, Expands Barnett Shale Acreage.
August 4, 2004... EOG Resources has raised its capital spending for this year by about 18% and has further expanded its acreage in the red- hot Barnett Shale gas play of North Texas. Planned capital spending for 2004 -- excluding acquisitions -- has risen...

Exxon Mobil Admits to Cost Overrun at Sakhalin-1 Project.
August 4, 2004... Exxon Mobil has admitted that early costs at its Sakhalin-1 project on Russia's Pacific shelf are running over budget. The Royal Dutch/Shell-led Sakhalin-2 development earlier unveiled that its second-phase budget had rocketed by more than...

NLNG Awards Train 6 Contract as Bribery Probe Continues.
August 4, 2004... Nigeria LNG (NLNG) has awarded a controversial contract, thought to be worth around $1.6 billion, to a joint venture known as TSKJ for the construction of a sixth LNG train at its facility at Bonny in Nigeria. TSKJ -- which includes...

Daily Oil & Gas Price Review.(Illustration)
August 4, 2004... Daily Oil & Gas Price Review Prices for Tuesday, August 3, 2004 Light Sweet Futures -- Prompt Month ($/barrel) 1st 5-Day 2nd 3rd Chg Month Avg. ...

Stock Market Scorecard.(Illustration)
August 4, 2004... Stock Market Scorecard Close 1-Day % Chg. 8/3 Chg. % Chg. 10-Day 52-Wk YTD Integrated Majors ChevronTexaco 98.66 +2.18 +2.26% +4.10%...

Halliburton Settles With SEC.(Brief Article)
August 4, 2004... Halliburton will pay $7.5 million to settle charges it failed to disclose a 1998 accounting change at a time when Vice President Dick Cheney headed the company, authorities told Reuters on Tuesday. The US Securities and Exchange Commission...

Oneok Profits Drop 21%.(Brief Article)
August 4, 2004... Tulsa-based Oneok said Tuesday that its second-quarter net income fell to $17.8 million (17cents/share) from $22.5 million (23cents/share) for the same period in 2003, largely due to higher natural gas costs and lower energy trading profits....

Texas River Still Closed After Spill.(Brief Article)
August 4, 2004... The Neches River in southeast Texas remained closed to shipping Tuesday as efforts to clean up a 30,000-gallon oil spill continued, leaving 10 ships and 20 barges waiting for the river's reopening, the Coast Guard told Reuters. About 150...

Oil Lending Policy Attacked.(Brief Article)
August 4, 2004... New York-based environment pressure group Environmental Defense (ED) criticized the World Bank Board of Executive Directors' endorsement Tuesday of what it sees as "a business-as-usual approach" to lending for oil, gas and mining projects. ...

Unocal Delays West Seno.(Brief Article)
August 4, 2004... Unocal has delayed construction of the second phase of its West Seno offshore oil and gas field in Indonesia due to cost concerns. The El-Segundo-based company recently opened bids for the Phase Two development, including offshore...

FERC Mulls Daily Gas Reports.(Federal Energy Regulatory Commission)(Brief Article)
August 4, 2004... Federal energy market regulators said Tuesday they will consider requiring interstate pipeline companies and other operators of natural gas storage facilities to make daily reports of the gas inventory levels in their systems, potentially...

Exxon Settles on Utah Spills.(Brief Article)
August 4, 2004... Mobil Exploration and Producing U.S. Inc.-- now part of Exxon Mobil -- has settled with the federal government to pay fines and improve operations in a deal worth over $5.5 million for oil and water spills from its production activities on the...

J.P. Morgan Gets Settlement.(Brief Article)
August 4, 2004... J.P. Morgan Chase said Tuesday that a London court ordered WestLB to pay $165 million plus interest and costs to the US bank in a suit related to the collapse of energy trader Enron. WestLB had not honored a $165 million letter of credit...

Halliburton Sells Test Unit.(Brief Article)
August 4, 2004... Oilfield services company Halliburton said Tuesday it has sold part of its well-testing service to an affiliate of private equity group First Reserve Corp. for $128.5 million. Well testing is performed during the exploration and development...

Duke Holds Open Seasons.(Brief Article)
August 4, 2004... Duke Energy unit Duke Energy Gas Transmission said Tuesday it would conduct open seasons on its natural gas transportation and storage units for demand-driven expansion opportunities in the eastern US and Canada. The company's eastern North...

Parker Completes Rig Deal.(Brief Article)
August 4, 2004... Houston-based Parker Drilling on Tuesday closed the sale of nine rigs in the Gulf of Mexico to Hercules Assets LLC in a deal worth $40 million. Parker will use the proceeds to retire some of its debt. Parker sold five jack-up rigs and four...

Front Runner Spar Delivered.(Brief Article)
August 4, 2004... Houston-based J. Ray McDermott has completed the Front Runner Spar platform in the deepwater Gulf of Mexico and turned it over to Murphy Oil in a project valued in excess of $250 million. McDermott said Tuesday the offshore production...

Fire Strikes MAP Offices.(Brief Article)
August 4, 2004... A fire displaced about 40 administrative workers at a Marathon Ashland Petroleum office building near the company's Texas City refinery overnight, a company spokesman said Tuesday. "There was no one hurt and there was no impact on the...

Ecuador Moves on Oil Tax Refund.
August 5, 2004... Ecuador's Congress passed a law Tuesday that specifically excludes oil operators from a refund of the value added tax (VAT) on exports. The move comes at a time when the country is trying to attract private investment to reverse a drop in...

SEC to Continue Shell Query Despite Deal.
August 5, 2004... The Securities and Exchange Commission (SEC) will continue interviewing Royal Dutch/Shell witnesses next month in connection with the group's reserves downgrades despite the deal in principle struck between the two sides last week to halt the...

Canadian Natural to Seek Board Approval For Horizon.(Canadian Natural Resources, Horizon oil sands project)
August 5, 2004... Canadian Natural Resources said Wednesday it is keeping two high-profile development projects on budget and on track while also ensuring that its bread-and-butter operations continue to perform smoothly. Executives told analysts they...

Futures Drop 3% on Gasoline Inventories, Opec Statement.
August 5, 2004... The New York Mercantile Exchange (Nymex) crude futures contract tumbled about 3% Wednesday on an unexpected build in gasoline stocks and positive developments surrounding Yukos and Opec. The losses came after the market set an all-time...

Slapped With More Taxes, Yukos Seeks Sale of Rospan Stake.
August 5, 2004... The outlook for Russia's Yukos has continued to deteriorate as tax bills mount, pushing the company further toward bankruptcy. But for the time being, the government does not appear to be looking to disrupt the company's everyday operations....

Opec's Purnomo Changes Tack on Spare Capacity.
August 5, 2004... Opec President Purnomo Yusgiantoro has shifted his official position on the organization's ability to pump more oil, after declaring in off-the-cuff comments Tuesday that Saudi Arabia could not raise production immediately. His statement,...

Stronger Tesoro to Look East For New Refinery Deals.
August 5, 2004... Exceptionally strong refining margins and higher throughput volumes at its refineries in the western US drove record profits for Tesoro in the second quarter. The San Antonio- based independent refiner has reduced debt by nearly 40% over the...

Citgo Moves Ahead With Lake Charles Expansion as Margins Soar.
August 5, 2004... Betting that the good times for refiners will continue, US refiner Citgo has restarted a once abandoned expansion of its refinery in Lake Charles, Louisiana, that will lift capacity by 105,000 barrels per day to 430,000 b/d as early as May...

EIA Weekly Statistics.(Energy Information Administration)(Illustration)
August 5, 2004... Summary of Weekly Petroleum Data for the Week Ending July 30, 2004 Crude Oil: StocksCrude Oil: Production and Imports (millions of bbl)(Average, thousands of bbl) DomesticCurrent WeekPrevious ...

Daily Oil & Gas Price Review.(Illustration)
August 5, 2004... Daily Oil & Gas Price Review Prices for Wednesday, August 4, 2004 Light Sweet Futures -- Prompt Month ($/barrel) 1st 5-Day 2nd 3rd Chg Month Avg. ...

Stock Market Scorecard.(Illustration)
August 5, 2004... Stock Market Scorecard Close 1-Day % Chg. 8/4 Chg. % Chg. 10-Day 52-Wk YTD Integrated Majors Occidental 49.75 -0.22 ...

Comstock Increases Capex.(Brief Article)
August 5, 2004... High commodity prices have induced Texas-based Comstock to boost overall 2004 capital outlays by $40 million to $150 million, the company said in its second quarter results on Wednesday. Roughly $80 million will be spent on development while...

Citgo Profits Soar.(Brief Article)
August 5, 2004... US refiner Citgo posted a 115% increase in second quarter profits due to record refining margins. Second-quarter net income registered at $172 million, or about $80 million higher than in the same period of 2003. For the first six months...

Plains Pipeline Earnings Up.(Brief Article)
August 5, 2004... Houston-based pipeline firm Plains All American Pipeline posted net income of $35.7 million (54cents/share) for the second quarter, an increase of 52% over net income of $23.4 million (42cents/share) in the second quarter of 2003. ...

Profits, Capex Rise at Noble.(Noble Energy)(Brief Article)
August 5, 2004... Noble Energy reported higher earnings and production for the second quarter of this year, driven by strong commodity prices and increased output of oil in the US, natural gas in Israel and condensate in Equatorial Guinea. Houston-based...

Study Sees More Smog.(Brief Article)
August 5, 2004... A new study suggests that 15 cities in the eastern US would see a 60% increase in the number of days when ozone levels exceed the federal government's air quality standard, as hotter temperatures caused by global warming trigger more smog. ...