The Oil Daily articles from February 2007

The Oil Daily archives from February 2007

Venezuela grants decree powers to Chavez.(Hugo Chavez)
February 1, 2007... Venezuela's National Assembly granted special powers to President Hugo Chavez on Wednesday that will allow him to rule by decree for 18 months. The special powers are part of the president's plan to deepen his leftist revolution through a...

Opec set to begin second round of cuts.(Organization of the Petroleum Exporting Countries)
February 1, 2007... Opec, which began slashing output on Nov. 1, is set to implement another round of production cuts starting today, Feb. 1. Members agreed to slash output by 500,000 barrels per day at the group's last meeting in Nigeria in December, but as with...

Democrat wants Malaysia trade talks suspended over Iran deal.
February 1, 2007... A Democratic committee chairman in the House of Representatives is calling on the Bush administration to suspend trade talks with Malaysia over a natural gas deal between that country and Iran. He is also mulling punitive actions against oil...

Crude futures rally despite mixed US inventory data.
February 1, 2007... Crude futures rebounded Wednesday after early losses to close above $58 per barrel as traders moved to cover their short positions, betting that the market could tighten amid so many uncertainties. Market sentiment was bullish despite US weekly...

Daily oil & gas price review: prices for Wednesday, January 31, 2007.(Statistical table)
February 1, 2007... Crude Oil [GRAPHIC OMITTED] US Domestic Crudes ($/barrel) Cash/Spot Change Spot Price 5-Day Avg. Month-Ago WTS (Midland) +1.15 53.91 51.58 56.25 LLS (St. James) +1.15 60.41 58.20 ...

EIA weekly statistics: for week ended January 26, 2007.(Energy Information Administration)(Statistical table)
February 1, 2007... US Crude Oil: Stocks (1) (millions of bbl) Current Previous Week Week Chg. PADD 1 13.1 13.0 0.8% PADD 2 68.2 69.2 -1.4% Cushing, OK 22.5 23.8...

Downstream weakness hurts Hess but upstream growth stays on track.(Hess financial report)(Financial report)
February 1, 2007... Investors in Hess had an abundance of information to digest Wednesday, as the New York-based company reported its fourth-quarter earnings, year-end reserve additions and an increase in its 2007 capital budget on the same day. ...

Marathon increases budget.(Marathon Oil Co)(Brief article)
February 1, 2007... Marathon Oil has set its 2007 capital expenditure budget at $4.2 billion, a rise of 32% from last year's spending of $3.2 billion. Much of the spending increase this year is devoted to the expansion of the company's Garyville, Louisiana,...

Enbridge sees stronger profits.(Earnings)(Financial report)
February 1, 2007... Reporting a slight drop in fourth-quarter earnings, Canadian pipeline firm Enbridge said on Wednesday it expects profits to rise by up to 6% this year and by up to 10% annually through 2012 as it completes a series of new pipeline projects. ...

Singapore readies LNG scheme.(liquefied natural gas)(Brief article)
February 1, 2007... Singapore plans to seek proposals in the third quarter from investors interested in operating the country's first LNG terminal, with a selection decision expected in the first quarter of 2008. Construction would start in 2009. Ear Chow...

Shtokman talks to reopen soon.(International)(Brief article)
February 1, 2007... Gazprom hopes to resume talks in February with companies it previously short-listed--but rejected--for a role in developing the giant Shtokman gas field in the Barents Sea, the Russian company said Wednesday (OD Oct.10,p1). The gas giant...

Ecuador ups Oxy field spending.(Latin America)
February 1, 2007... The monthly budget to operate the fields that were formerly operated by Occidental Petroleum in Ecuador will rise by 19% in 2007 to $528 million, according to a Petroecuador official. With production at Block 15 and the Eden-Yuturi and...

Biofuel research bill approved.(Legislation/Regulation)(Brief article)
February 1, 2007... With little debate but overwhelming support, a House of Representatives panel Wednesday passed legislation that initiates research and development of fuel additives and other technologies to make biofuels more compatible with petroleum-based...

Tougher smog rules sought.(Brief article)
February 1, 2007... Environmental Protection Agency (EPA) scientists are calling for tightening existing smog standards, a recommendation that could have significant cost implications for US oil refiners if it is adopted by the agency. Federal scientists said...

Anadarko, Exco get FTC nod.(Mergers & Acquisitions)(Anadarko Petroleum)(Exco Resources)(Brief article)
February 1, 2007... US antitrust authorities said on Wednesday they approved plans by Anadarko Petroleum to sell two gas fields in Louisiana to Houston-based independent Exco Resources for $1.6 billion in cash. Officials have completed their investigation of...

West Africa crudes seen firmer.(Oil & Gas Markets)(Brief article)
February 1, 2007... The West African crude market appears set for stronger trading in March loading cargoes, amid a fast take-up of heavier grades and bullish price forecasts for lighter Nigerian crude. However, it is too early to say whether sentiment on Nigerian...

Feds ask for corroded BP pipe.(British Petroleum Company PLC)(Brief article)
February 1, 2007... Federal authorities have asked BP to turn over more samples of the corroded pipeline that led to last year's partial shutdown of Alaska's giant Prudhoe Bay oil field. To comply with the request, the UK-based supermajor plans to cut a 40...

Stock market scorecard.(Statistical table)
February 1, 2007... Integrated Close 1-Day % Chg. Majors 1/31 Chg. % Chg. 10-Day 52-Wk YTD Hess 53.99 +1.21 +2.29% +10.91% +5.33% +8.92% ConocoPhillips 66.46 +0.81 +1.23 +5.81 ...

Exxon Mobil has nearly $40 billion year.
February 2, 2007... Exxon Mobil's fourth-quarter net income again topped $10 billion as the Texas-based oil giant performed better than expected in all business units. The company's net income hit $10.25 billion ($1.76/share) in the final period of 2006, marking...

Senate panel considers biofuels subsidies.(United States Congress Senate)
February 2, 2007... A Senate panel brainstorming on policy options to promote biofuels was told Thursday to strip the current tax subsidy for fast-growing corn ethanol and channel it to cellulosic ethanol and other biofuels still in their infancy. Experts...

Record year for refiners despite weaker fourth quarter.(financial report)(Financial report)
February 2, 2007... Some independent refiners aren't setting records like they had been for the past several years, but they're still enjoying relatively strong market conditions. Leading independent refiner Valero beat Wall Street expectations for the fourth...

Crude futures retreat slightly, but sentiment is changing.(Brief article)
February 2, 2007... With the lack of fresh news Thursday, oil prices fell back slightly after posting gains of $4.13 in the previous two sessions. Crude futures on the New York Mercantile Exchange (Nymex) finished down a modest 84cents after reaching a session...

Daily oil & gas price review: prices for Thursday, February 1, 2007.(Statistical table)
February 2, 2007... Crude Oil [GRAPHIC OMITTED] US Domestic Crudes ($/barrel) Cash/Spot Change Spot Price 5-Day Avg. Month-Ago WTS (Midland) -0.49 53.42 52.37 53.82 LLS (St. James) -0.79 59.62 58.91 ...

Apache eyes service costs, sees growth of up to 10% in 2007.
February 2, 2007... Houston-based independent Apache Corp. said Thursday that it expects production growth of 6% to 10% this year, excluding the impact of its recently announced $1 billion acquisition of Anadarko Petroleum's Permian Basin assets (OD Jan.19,p1)....

Shell cuts '07 output guidance, increases capital investment.
February 2, 2007... Royal Dutch Shell cut its guidance for 2007 output by 200,000-300,000 barrels of oil equivalent per day on Thursday, mainly because of the continued shut-in of significant volumes in Nigeria, and warned investors to expect only "modest"...

Latin America's revolutionary style tempered by reality.
February 2, 2007... It is one year to the week since Evo Morales, a former coca farmer, took office as Bolivia's first indigenous president. His election in December 2005 signaled the start of a remarkable 12 months in which voters in almost a dozen Latin American...

Chavez sets May deadline for nationalization of Orinoco fields.(Hugo Chavez)
February 2, 2007... Venezuelan President Hugo Chavez on Thursday set a May deadline for the world's biggest oil firms to surrender their control of multibillion-dollar crude projects, speeding up nationalizations a day after receiving powers to rule by decree. ...

Iran unveils new buyback terms at Vienna conference.
February 2, 2007... Iran on Thursday revealed details of a new version of its buyback contract with improved terms on the duration and risk taken by international oil firms--but company executives said the changes, although positive, did not amount to a...

Moscow denies playing politics with energy resources.
February 2, 2007... Russia's President Vladimir Putin, making his annual speech to the Russian and international media Thursday, denied Moscow uses its oil and natural gas resources to put political pressure on other countries, and confirmed approval for a new...

E & P returns hurt Murphy.(Earnings)(Financial report)(Brief article)
February 2, 2007... Oil and natural gas producer Murphy Oil said Thursday that earnings had dropped in the fourth quarter as exploration and production returns fell along with retail and refining margins. The El Dorado, Arkansas-based company said net income...

Helmerich & Payne profits climb.(financial report)(Financial report)(Brief article)
February 2, 2007... Contract driller Helmerich & Payne reported higher first-quarter earnings on improved activity in US land operations and margins improvement in its international business. Earnings more than doubled to $110.8 million ($1.06/share),...

Marathon's quarterly profit dips.(financial report Marathon Oil Co.)(Financial report)(Brief article)
February 2, 2007... Marathon Oil on Thursday reported lower fourth-quarter profits due largely to a weaker downstream environment versus a year ago. In the fourth quarter, the Houston-based company posted a net income of $1.1 billion ($3.06/share) versus...

EOG posts strong reserve gains.(EOG Resources Inc. financial report)(Financial report)(Brief article)
February 2, 2007... EOG Resources posted a strong reserve replacement performance in 2006, ending the year with 6.8 Tcfe of proved gas reserves, up from 6.2 Tcfe at the end of 2005. From drilling alone, the company added 1.4 Tcfe of reserves, replacing 246%...

Pioneer records strong quarter.(Pioneer Drilling financial report)(Financial report)(Brief article)
February 2, 2007... Pioneer Drilling on Thursday reported higher quarterly results driven by a rise in revenue per day and an increase in the number of rigs operating during the quarter. The San Antonio, Texas-based company said there was a 28% rise in...

Imperial's Q4 earnings drop.(Earnings)(Financial report)
February 2, 2007... Imperial Oil's fourth-quarter profit fell 22% because of lower prices, Canada's biggest oil producer and refiner said Thursday. Imperial earned C$794 million (US$673 million), or C83cents/share, down from a year-earlier C$1.02 billion, or...

NOAA: Exxon Valdez oil lingers.(Environment)(National Oceanic and Atmospheric Administration)(Brief article)
February 2, 2007... An estimated 85 tons of oil still remains in Prince William Sound and the Gulf of Alaska--and may remain for decades to come, according to a report released Wednesday by the National Oceanic and Atmospheric Administration. Oil remaining...

BP launches biofuels institute.(British Petroleum Company PLC)
February 2, 2007... BP announced Thursday that universities in California and Illinois will join company scientists in a $500 million energy research program focused on cleaner, alternative fuels. The University of California at Berkeley and the University of...

Petroplus buys Coryton plant.(mergers and acquisitions)(Brief article)
February 2, 2007... Swiss-based refiner Petroplus has bought BP's 172,000 b/d Coryton refinery in the UK in a $1.4 billion deal. The acquisition will crystallize Petroplus' status as Northwest Europe's leading "pure play" downstream group, the company said...

UK has record upstream round.(International)(Brief article)
February 2, 2007... The UK awarded 150 oil and natural gas permits across the UK Continental Shelf to 104 companies in its 24th upstream round, matching the record number offered last year, the UK's Department of Trade and Industry (DTI) said Thursday. The...

Peru groups protest bid process.(Latin America)(Brief article)
February 2, 2007... Indigenous leaders from Peru's Amazon region are urging their government to suspend the upcoming tendering of oil blocks because they are located in environmentally protected areas. The country's contracting agency, Perupetro, plans to...

BP names upstream chief.(appointment of Andy Inglis)(British Petroleum Company PLC)(Brief article)
February 2, 2007... BP has appointed Andy Inglis to its board as a group managing director. He also succeeds Tony Hayward as chief executive of BP's upstream business. Both appointments are effective immediately, so Hayward can focus on his role as BP's chief...

Oneok to expand gas gathering.(Pipelines)(Brief article)
February 2, 2007... Fort Union Gas Gathering is doubling its existing gathering pipeline capacity by adding 148 miles of new gathering lines, and 649 MMcf/d of additional capacity, according to Oneok Partners' subsidiary, Crestone Powder River, which has a 37%...

BP sets Texas City deadline.(British Petroleum Company PLC)(Brief article)
February 2, 2007... BP's North American chairman and president, Robert Malone, said Thursday that the 460,000 b/d Texas City oil refinery will be back to full operations by the end of 2007. "We expect to restore Texas City to full financial performance by the...

EIA gas storage report.(Energy Information Administration)(Brief article)
February 2, 2007... Gas in Storage Falls 186 Bcf Stocks of working natural gas in US storage facilities fell 186 Bcf for the week ending Jan. 26, leaving storage levels at 2,571 Bcf, according to the Energy Information Administration (EIA). Gas stocks are...

Stock market scorecard.(Statistical table)
February 2, 2007... Integrated Close 1-Day % Chg. Majors 2/1 Chg. % Chg. 10-Day 52-Wk YTD Shell-B 69.33 +1.62 +2.39% +2.27% -2.52% -2.56% Chevron 74.47 +1.59 +2.18 +5.15...

Climate change report faults humans.
February 5, 2007... In the first of four reports due out this year--taking into account the findings of 2,500 scientists in 130 countries--the UN's Intergovernmental Panel on Climate Change (IPCC) concluded that it is "very likely," or more than 90% certain, that...

Bush embraces IPCC climate report.
February 5, 2007... The Bush administration on Friday "embraced" the United Nations Intergovernmental Panel on Climate Change (IPCC) report with enthusiasm, joining in the swelling stream of lawmakers and companies--including Exxon Mobil--endorsing it. ...

Weaker downstream market, low prices hurt Chevron's Q4.
February 5, 2007... Chevron continued the trend of lower fourth-quarter earnings, announcing Friday that--much like rivals ConocoPhillips and Exxon Mobil--its quarterly profit was down versus a year ago. Although lower year-over-year, Chevron's fourth-quarter...

Crude futures near $60, buoyed by Opec cuts and cold weather.(Organization of the Petroleum Exporting Countries)
February 5, 2007... Oil prices made a major push upward last week, with the market buoyed by cold weather, implementation of another round of Opec cuts, stronger demand figures and short-covering. Crude futures are now eyeing $60 per barrel, and many analysts feel...

Daily oil & gas price review: prices for Friday, February 2, 2007.(Statistical table)
February 5, 2007... Crude Oil [GRAPHIC OMITTED] US Domestic Crudes ($/barrel) Cash/Spot Change Spot Price 5-Day Avg. Month-Ago WTS (Midland) +1.84 55.26 53.10 51.28 LLS (St. James) +1.84 61.46 59.54 ...

US spot crude market remains bullish while differentials grow tighter.
February 5, 2007... US spot crude remained firm as refineries ramped up production of middle distillates for rising heating demand throughout most of the US. The sweet crude differentials were much stronger than sour crudes, which lost due to surging imports and a...

Speculators build net shorts.(Brief article)
February 5, 2007... In a bet prices would fall, speculators on the New York Mercantile Exchange built their net short positions for crude oil to 14,342 in the week ended Jan. 30, from 8,499 the prior week, Commodity Futures Trading Commission data showed Friday....

Baker Hughes drilling report.(Brief article)
February 5, 2007... US Rig Count Rises by 15 The number of drilling rigs searching for oil and gas in the US rose by 15 to 1,714 last week, Baker Hughes said Friday. During the same week last year, there were 1,513 rigs at work. The number of rigs...

Winter natural gas rally could continue with coming cold.
February 5, 2007... After a bullish start for natural gas and the rest of the energy complex, March natural gas futures slid into negative territory late last week. However, with intensely cold weather blanketing most of the country east of the Rockies, it's...

Anadarko seals Genghis deal.(Anadarko Petroleum Corp.)(Brief article)
February 5, 2007... Anadarko Petroleum announced Friday the completion of the previously announced sale of its interests in the deepwater Gulf of Mexico Genghis Khan discovery to the owners of the adjacent Shenzi field for $1.33 billion (OD Nov.14,p1). The...

Exco buys Oklahoma and South Texas assets from Anadarko.
February 5, 2007... Dallas-based Exco Resources has struck another deal to acquire assets from Anadarko Petroleum, this time agreeing to pay $860 million for properties in Oklahoma and South Texas. The latest deal with Anadarko is part of a rapid...

GAO examines federal leasing program for flaws.(Government Accountability Office)
February 5, 2007... Top Democrats are questioning why energy companies continue to push the federal government to open more public lands to oil and natural gas drilling while tens of millions of acres already under lease sit idle. New Mexico Democratic Sen....

Ecuador pulls out of Occidental arbitration in US court.(Occidental Petroleum Corp.)
February 5, 2007... Ecuador's refusal to recognize an arbitration claim filed by the US' Occidental Petroleum following the government's seizure last May of its 100,000 barrels per day operating blocks could increase Oxy's chance of a favorable verdict from the...

Alaskan oil output holds up.(Exploration & Production)(Brief article)
February 5, 2007... Alaskan crude oil production did much better than expected in January as BP's work to repair corroded pipes in the Prudhoe Bay field continues to be delayed by procedural tie-ups with federal pipeline authorities, according to Alaska Department...

Hibernia mulls full closure.(Exploration & Production)(Hibernia oil field)(Brief article)
February 5, 2007... Canada's Hibernia oil field may be shut down to fix operational problems on the offshore platform, a spokeswoman said Friday. Production at the 180,000 b/d field has been cut to between 100,000 and 110,000 b/d since last month because of...

Collision to delay production.(Exploration & Production)(Brief article)
February 5, 2007... The first oil flow from a wellhead in Bayou Perot, Louisiana, probably will be delayed by a few months after an unidentified ship damaged the wellhead last week, an attorney for the wellhead operator told Reuters. On Jan. 21, a vessel...

Murphy qualifies Malaysia find.(Murphy Oil Corp.)(Brief article)
February 5, 2007... US firm Murphy Oil has found about 1 Tcf of natural gas in deep water offshore Malaysia, its largest such discovery in the area but not yet enough to develop, a Murphy executive said Friday. Murphy announced Monday that it had struck gas at...

Addax worker killed in Nigeria.(Addax Petroleum)(Brief article)
February 5, 2007... Addax Petroleum said Friday that it had increased security at its Nigerian operations following the death of a contract employee who was kidnapped from one of the company's offshore platforms. "Persons from a local community" seized the...

Ukraine, Russia eye asset swap.(International)(Brief article)
February 5, 2007... In a major turnaround from the chilly relations of a year ago, Ukraine has opened talks with Moscow on access to Russia's upstream natural gas assets in exchange for giving Gazprom partial control over Ukraine's natural gas pipelines, which...

Firms target Iran, ignore US.(oil companies carry on with investments in Iran)(Brief article)
February 5, 2007... Unfazed by mounting US political pressure aimed at dissuading international oil companies from investing in Iran, Austria's OMV is planning to proceed with development of its Mehr Block discovery, while France's Total and India's state Oil and...

US oil demand down again.(Oil & Gas Markets)(Brief article)
February 5, 2007... US oil demand in November came in a massive 440,000 b/d lower than initially thought, data from the Energy Information Administration (EIA) shows, with gasoline, middle distillates and heating oil reported well below earlier weekly estimates....

Report critical of Alaska progress.(Pipelines)(Brief article)
February 5, 2007... A new report by the Federal Energy Regulatory Commission (FERC) claims the prospect of an Alaska natural gas pipeline being built has slipped considerably in the past year. In it's third semi-annual report on the progress made in licensing...

Leak shuts down Enbridge pipe.(Pipelines)(Brief article)
February 5, 2007... A large crude oil pipeline operated by Canada's Enbridge sprung its second leak of the year in Wisconsin on Friday, forcing its temporary closure, an Enbridge spokesman said. Line 14, which transports up to 310,000 b/d of Canadian crude oil...

Canadian gas storage.(Brief article)
February 5, 2007... The amount of natural gas in Canadian storage facilities fell 28.4 Bcf to 347.8 Bcf for the week ending Jan. 26. Storage caverns were 72.7% full, compared to 78.6% the previous week and 63.4% a year ago, according to Enerdata. (Bcf) ...

Stock market scorecard.(Statistical table)
February 5, 2007... Integrated Close 1-Day % Chg. Majors 2/2 Chg. % Chg. 10-Day 52-Wk YTD BG 67.97 +0.52 +0.77% +6.87% +19.69% -0.69% Exxon Mobil 75.54 +0.46 +0.61 +4.97...

Bush ups funding for renewables and SPR.
February 6, 2007... President Bush on Monday presented a $2.9 trillion fiscal 2008 budget to Congress that increases funding for alternative energy and for expansion of the Strategic Petroleum Reserve, two priorities that he outlined in his State of the Union...

Algeria windfall tax hits Anadarko hard.(Financial report)
February 6, 2007... US independent Anadarko said Monday it would record a large, special charge of around $100 million in earnings for the fourth quarter of last year, after Algeria imposed a new windfall tax on foreign oil companies. The company could also...

In surprise move, PDV secures $1B credit line from foreign Banks.
February 6, 2007... Venezuela's state-owned oil company Petroleos de Venezuela (PDV) has secured a $1 billion credit facility in the international markets, a move that surprised many financial observers because of the risks involved for the lenders. French...

Despite cold, Nymex crude rally fizzles after Opec Comments.(Brief article)
February 6, 2007... Crude futures on Monday flirted with $60 per barrel during an early rally that fizzled later in the session on profit taking after Opec President Edmund Daukoru ruled out further production cuts and Nigerian oil workers called off a strike...

Daily oil & gas price review: prices for Monday, February 5, 2007.(Statistical table)
February 6, 2007... Crude Oil [GRAPHIC OMITTED] US Domestic Crudes ($/barrel) Cash/Spot Change Spot Price 5-Day Avg. Month-Ago WTS (Midland) -0.26 55.00 54.07 51.46 LLS (St. James) -0.61 60.85 60.32 ...

Low commodity prices push oil equities lower in January.
February 6, 2007... The sell-off in oil in the first half of January hit energy equities hard, with most oil company shares tumbling during the early part of the month. Before rebounding later in the month, oil prices got off to a rocky start in January. Oil...

Gulf of Mexico exploration delivered strong results in 2006.
February 6, 2007... Deepwater exploration in the US Gulf of Mexico delivered exceptional results in 2006, with estimated discoveries reaching much higher levels than in the preceding two years, according to energy research firm Wood Mackenzie. Woodmac Gulf of...

Compression firms Hanover and Universal merge to create $3.8 billion company.(Hanover Compressor)(Universal Compression Holdings Inc.)
February 6, 2007... Hanover Compressor and Universal Compression have announced plans for a merger that will create a company with a market capitalization of about $3.8 billion that will be the dominant player in the natural gas compression business. "The...

Heating degree days: for the week of Feb. 3, 2007.(Statistical table)
February 6, 2007... Week Dev Cum Dev From From From Week From Year Cum From Norm Year State/City (PADD) Total Norm Ago Total...

Alaska pipeline operator searches for fragment of missing cleaning device.(Alyeska Pipeline Service)
February 6, 2007... The company that operates the trans-Alaska oil pipeline is looking for a 20-inch diameter metal ring that's been missing in the oil pipeline for nearly two months. The ring was part of a pipeline cleaning device known as a scraper or paraffin...

Chesapeake's reserves rise 20%.(Corporate News)(Chesapeake Energy)(Brief article)
February 6, 2007... Oklahoma-based independent Chesapeake Energy said Monday it expects its 2006 proven reserves to rise 20% from 2005 levels. The company said reserves at the end of the year amounted to about 9 trillion cubic feet of gas equivalent, compared...

Oxy ups proved reserves.(Corporate News)
February 6, 2007... Occidental Petroleum said its 2006 worldwide proved reserves rose to 2.87 billion boe from 2.57 billion boe at the end of 2005. The company spent $8.83 billion on acquiring oil and gas properties last years. This includes a related step-up...

Talisman adds UK assets.(Exploration & Production)(Talisman Energy Inc.)(Brief article)
February 6, 2007... Talisman Energy said on Monday it has added a dozen new oil and gas exploration properties to its holdings in the North Sea. Talisman, Canada's No. 3 independent oil explorer, said it had been awarded 10 blocks in the UK North Sea, with the...

FX re-enters Poland wells.(International)(FX Energy)(PL Energia)(Brief article)
February 6, 2007... FX Energy said it plans to re-enter three Rotliegend wells in the Grabowka gas field in Poland that were tested for production about two decades ago but never commercialized. The Salt Lake City, Utah-based company has entered into a joint...