The Oil Daily articles from March 2009

The Oil Daily archives from March 2009

Oil demand took severe tumble in December.(Statistical data)
March 2, 2009... US oil demand fell to its lowest level since the late 1990s last year as it underwent its sharpest year-on-year decline since 1980, according to monthly data released by the Energy Information Administration (EIA) on Friday. The agency...

Total takes another stab at Azerbaijan block.(Socar)
March 2, 2009... France's Total is to take another stab at a block in Azerbaijan that it and operator Chevron abandoned in 2003. And this time it seems to be gunning for gas rather than oil. The French major on Friday said it had signed an exploration and...

Report: Latin America not making most of green energy potential.
March 2, 2009... Latin America and the Caribbean have tremendous scope to increase production of renewable energy and biofuels, but most countries are not living up to their green energy potential due to regulatory and financial obstacles, according to a report...

Oil prices hold firm, but analysts warn of premature bulishness.
March 2, 2009... Crude oil finished the week with a fairly steady performance on Friday after signs of a possible recovery in demand led to solid gains for gasoline on Thursday and Friday. But technical analysts are warning against premature bullish...

Daily oil & gas price review.(Statistical table)
March 2, 2009... Daily Oil & Gas Price Review Prices for Friday, February 27, 2009 North American Crudes ($/barrel) Cash/Spot Change Spot Price 5-Day Avg. Month-Ago WTS (Midland) +0.67 43.75 40.78 40.32 LLS (St....

Misreading of latest production report causes commotion in gas futures market.
March 2, 2009... Natural gas futures got a surprising boost late last week as traders focused on statistics released Friday that showed a dip in gas production. However, a closer look at the data suggested it was not as bullish as some market players were...

Baker Hughes drilling report.(Statistical data)
March 2, 2009... Rig Count Falls by 57 The number of drilling rigs searching for oil and gas in the US fell by 57 last week to 1,243, Baker Hughes said. During the same week last year, there were 1,763 rigs at work. The number of rigs searching for oil...

After recent turmoil, investors embrace integrated majors again.
March 2, 2009... After several years in which investors and lenders favored national oil companies and players from emerging markets, the recent turmoil in global financial markets has triggered a shift of preferences back toward the integrated oil majors. ...

Shell expects LNG industry to utilize underground storage in US.(liquefied natural gas )
March 2, 2009... Given the strong element of seasonality in the liquefied natural gas (LNG) business, Royal Dutch Shell believes the industry will start to make use of underground storage, particularly in the US. "It is potentially interesting to use the...

Talisman ramps up in Asia.(International)(Talisman Energy Inc.)(Brief article)
March 2, 2009... Canada's Talisman Energy will ramp up oil production at its Malaysia/Vietnam Northern fields to 40,000 b/d within three months after the field starts producing in late March, a company official said on Friday. "We'll start up gently and...

Japan crude imports fall.(International)(Brief article)(Statistical data)
March 2, 2009... Japan's crude oil imports in January fell 19% from a year earlier to just under 3.8 million b/d, according to data released Friday by the Ministry of Economy, Trade and Industry. Saudi Arabia hung on to the No. 1 spot, despite a 9% drop...

Cyclone shuts Australia fields.(International)(Brief article)
March 2, 2009... US producer Apache said Friday it had begun shutting in two oil fields off Western Australia because of cyclone threats. The fields, Stag and Ocean Legendre, have a combined capacity of 13,200 b/d, Reuters reports. Gas production at the...

Statoil eyes second Snohvit train.(International)(Brief article)
March 2, 2009... Norway's StatoilHydro is considering building a second train at its Snohvit LNG plant in the far north of Norway. "There is space and room for another train," Statoil's head of trading and operations, Richard Eriksen, told an LNG...

Ecuador spill pollutes river.(Latin America)(Brief article)
March 2, 2009... A rupture in Ecuador's second largest oil pipeline has polluted the Santa Rosa river in the lush Amazon jungle and shut off the flow of crude to a Pacific port in the city of Esmeraldas. A spokesman for the firm running the pipeline said on...

BG raises Pure bid again.(Mergers & Acquisitions)(Pure Energy Resources)(Brief article)
March 2, 2009... In what it said was its final offer, BG on Friday raised its bid for Australian coalbed methane (CBM) producer Pure Energy Resources. The UK gas giant upped its offer to A$8.25 (US$5.34) per share in what is seen as an attempt to persuade...

Stock market scorecard.(Mergers & Acquisitions)(Statistical table)
March 2, 2009... Integrated Close 1-Day % Chg. Majors 2/27 Chg. % Chg. 10-Day 52-Wk YTD Hess 54.69 +0.86 +1.60% -2.96% -44.50% +1.96% Eni 40.01 -0.15 -0.37 ...

GE Energy teams up with ATP.(Offshore)(ATP Oil and Gas Corp.)(Brief article)
March 2, 2009... GE Energy said it will invest $150 million in a partnership with Houston-based ATP Oil & Gas. The partnership will own and operate a floating oil and gas production unit in deepwater Gulf of Mexico. The transaction will give GE Energy a 49%...

US oil unaware of CFTC probe.(Oil & Gas Markets)(United States Oil Fund)(Commodity Futures Trading Commission )(Brief article)
March 2, 2009... United States Oil Fund on Friday said it was unaware of an investigation the US Commodity Futures Trading Commission said it had launched against the exchange-traded fund. The CFTC said on Thursday it was investigating the fund--which has...

Sunoco workers may strike.(Refining)
March 2, 2009... The United Steelworkers union said on Friday it will strike at noon Sunday at Sunoco's two refineries in Pennsylvania if an agreement cannot be reached in line with a new national contract for refinery workers. "Sunoco is the only refiner...

Chesapeake halts some Midcontinent output.(Chesapeake Energy Corp.)
March 3, 2009... Chesapeake Energy said Monday it is shutting in a portion of its oil and natural gas production due to weak prices at hubs in the Midcontinent region. Output from the Haynesville Shale play of East Texas and northwest Louisiana is being...

Oil equities take cue from earnings reports.(Statistical table)
March 3, 2009... Fourth-quarter earnings results and management comments about prospects for the coming year largely dictated how oil and gas share prices performed in the month of February. Overall, share prices for the top 13 oil and gas equities that...

Reliance to buy out Chevron as part of refining consolidation.(Reliance Industries Ltd.)
March 3, 2009... Reliance Industries (RIL) is set to buy Chevron's 5% stake in Reliance Petroleum (RPL) as part of the Indian energy and materials giant's plan to merge with RPL and establish one of the world's top 10 privately owned oil refiners. The boards of...

Crude falls sharply as worries about global economy snowball.(Brief article)
March 3, 2009... Crude oil fell sharply on Monday as mounting concerns about the fragile state of the world economy triggered big losses for equities. April Brent on ICE Futures fell $4.14 to close at $42.21 per barrel, nearly wiping out last week's gains....

Daily oil & gas price review.(Statistical table)
March 3, 2009... Daily Oil & Gas Price Review Prices for Monday, March 2, 2009 North American Crudes ($/barrel) Cash/Spot Change Spot Price 5-Day Avg. Month-Ago WTS (Midland) -3.77 39.98 41.51 40.25 LLS (St. James)...

California plays key role in shaping US environmental policy.
March 3, 2009... California has always carried considerable clout in Washington and that has probably never been truer than right now. The Golden State's congressional delegation is playing a key role in drumming up support for President Barack Obama's push...

Heating degree days.(Statistical table)
March 3, 2009... Heating Degree Days For the week of February 28, 2009 Week Dev Cum Dev From From From Week From Year Cum From...

Exxon works on Singapore plant.(Exxon Mobil Corp.)(Brief article)
March 3, 2009... Exxon Mobil said it shut a couple of units at one of its Singapore refineries and a chemical plant for a six-week routine maintenance on Monday. A spokeswoman declined to identify the refinery or the affected units, but said most units would...

Venezuela resumes payments to contractors--at reduced rates.
March 3, 2009... Petroleos de Venezuela (PDV) has begun paying its outstanding bills to service contractors--but at reduced rates, the national oil company said on Sunday. Oil Minister Rafael Ramirez said PDV had reached agreements with over 90% of the...

Argentina ups gas exports to Chile, region appears well supplied.
March 3, 2009... Having seen a dramatic rise in its own natural gas imports from Bolivia over the past two months, Argentina has increased its exports of gas to Chile, according to the Chilean energy ministry. As a result, the Southern Cone region will this...

NRG, Reliant ink retail deal.(NRG Energy Inc.)(Reliant Energy Inc.)(Brief article)
March 3, 2009... Independent power producer NRG Energy said on Monday it agreed to buy Reliant Energy's Texas retail business for $287.5 million in cash plus working capital. NRG, which is currently trying to fend off a hostile takeover bid from Exelon,...

Gazprom quits Uzbek fields.(International)(Brief article)
March 3, 2009... Gazprom is pulling out of three fields in northern Uzbekistan, an Uzbek government official said Monday. Overseas subsidiary Zarubezhneftegas will return the exploration licenses to the Kuanysh, West-Urgin and Akchalak fields in Ustyurt to the...

PNG Antelope may be elephant.(International)(Papua New Guinea)(Brief article)
March 3, 2009... The Antelope discovery in Papua New Guinea's (PNG) PPL 238 permit could hold more than 10 Tcf of gas reserves, according to the PNG government. The government said in a statement Monday that the Antelope-1 appraisal well holds a gas reef...

Korea's crude imports jump.(International)(Brief article)(Statistical data)
March 3, 2009... South Korea imported 3.01 million b/d of crude oil in January-13.4% more than 12 months earlier, according to latest data from state Korea National Oil Corp. (KNOC). Saudi Arabia led the surge, with volumes jumping 47.7% to 1.08 million...

Apache to restart Australia field.(International)(Apache Energy and Minerals Co.)(Brief article)
March 3, 2009... US energy firm Apache Energy was restarting two of its Australian oilfields with a combined capacity of 13,200 b/d after a storm passed, the firm said on Monday. Spokesman David Parker said Apache was in the process of resuming operations...

Stock market scorecard.(International)(Statistical table)
March 3, 2009... Stock Market Scorecard Integrated Close 1-Day % Chg. Majors 3/2 Chg. % Chg. 10-Day 52-Wk YTD Repsol YPF 14.56 -0.66 -4.34% -18.84% -58.81% -32.31% Exxon Mobil...

Pemex posts $7.5 billion loss.(Latin America)(Petroleos Mexicanos)(Financial report)(Brief article)
March 3, 2009... Mexico's state oil company Pemex said it posted a fourth-quarter net loss of 115 billion pesos ($7.5 billion) due largely to the peso's depreciation against the dollar. The peso lost 21% of its value against the dollar during 2008. The...

Peru court halts drilling.(Latin America)(Brief article)
March 3, 2009... Peru's top court has ruled that foreign petroleum companies must halt exploration work at a site in the Andes Mountains where environmentalists have complained about possible water pollution. The oil concession in question is located in lot...

H&P details rig terminations.(Oil Field Service)(Helmerich and Payne Inc.)(Brief article)
March 3, 2009... US drilling contractor Helmerich & Payne said contracts have been terminated early on 23 of its rigs in the past month. Chief Executive Hans Helmerich said there had now been 28 early terminations on contracts, up from five when the company...

Riyadh discloses incentives.(Refining)(Brief article)
March 3, 2009... Saudi Oil Minister Ali Naimi has unveiled a package of incentives being dangled by the government to drum up interest in the slow-moving Jizan refinery project. It says six international oil companies are eying participation. The...

Strike averted at Sunoco refinery.(Refining)(Brief article)
March 3, 2009... A strike by more than 1,000 workers was temporarily averted at Sunoco's two refineries in Pennsylvania on Sunday as the United Steelworkers union and the company extended talks for a new contract, the union said. Union members were...

White House defends oil industry tax hike.
March 4, 2009... President Obama's budget director has defended plans to increase the burden of taxes borne by the oil and gas industry as a necessary initiative to boost federal revenues and reduce dependence on fossil fuels. Peter Orszag, director of the...

BP adjusts game plan, targets lower growth.(British Petroleum Company PLC)
March 4, 2009... BP is now targeting average annual production growth of 1%-2% through to 2013, down from a previous target of 3% per year, as the UK supermajor adjusts its game plan in response to the gloomy investment environment, low oil prices and falling...

Push to build smart power grid faces some practical problems.
March 4, 2009... Excitement over the push to create a "smart" power grid is giving way to concerns that the federal government may not be able to hire enough people to oversee the program. Doubts are also being expressed as to whether agreement can be reached...

Crude recovers from mid-session losses to close moderately firmer.(Brief article)
March 4, 2009... Crude oil futures finished higher after being tugged lower by further weakness in the stock market towards the middle of the session. Early trading on Tuesday appeared somewhat bullish, following the sharp losses experienced at the...

Daily oil & gas price review.(Statistical table)
March 4, 2009... Daily Oil & Gas Price Review Prices for Tuesday, March 3, 2009 North American Crudes ($/barrel) Cash/Spot Change Spot Price 5-Day Avg. Month-Ago WTS (Midland) +1.20 41.18 41.89 39.89 LLS (St. James)...

Pemex steps up borrowing to fund its capital spending plans.(Petroleos Mexicanos)
March 4, 2009... Pemex, Mexico's national oil company, will increase its debt this year in order to finance an increase in capital spending, after reporting a huge net loss in 2008. Pemex reported a net loss of 109 billion pesos ($7 billion) in 2008,...

UK sees slump in energy listings on Alternative Investment Market.
March 4, 2009... For the first time in five years, no oil or gas company listed on London's junior Alternative Investment Market (AIM) in the fourth quarter of 2008 as investors steered clear amid the global economic meltdown. A report from Ernst & Young...

Panelists: Brazil and Venezuela stand at energy policy crossroads.
March 4, 2009... Panelists at a Baker Institute conference in Houston last week argued that Brazil and Venezuela are currently standing at an energy policy crossroads. Their respective national oil companies (NOCs) both face game-changing circumstances that...

Shell agrees to sell stake in Australian CBM producer to UK's BG.(coalbed methane)(Royal Dutch-Shell PLC acquited with BG PLC)
March 4, 2009... UK gas giant BG on Tuesday moved closer to winning control of Australian coalbed methane (CBM) player Pure Energy Resources after Royal Dutch Shell said it would sell its 11.2% stake in Pure to BG, provided a higher offer doesn't emerge. ...

Alaskan output rises.(Exploration & Production)(Brief article)
March 4, 2009... Alaskan crude oil production rallied in February, gaining more than 35,000 b/d compared to a weather-plagued January and coming in at just over 750,000 b/d, according to data from the state's Department of Revenue Tax Division. Output was...

Eni delays Alaska oil project.(Exploration & Production)(ENI Corp.)(Brief article)
March 4, 2009... Italian oil company Eni is suspending work on its $1.5 billion Nikaitchuq oil development on Alaska's North Slope due to the slump in crude prices, according to local media reports. The project was on track to start producing oil late in...

Russian oil output falls.(International)(Brief article)
March 4, 2009... Russia produced 9.72 million b/d of crude and condensate in February, down 0.8% down on the same month of 2008 and 0.6% lower than in January, according to preliminary government data. Production for the first two months of 2009 averaged 9.74...

Oman to award gas blocks.(International)(Petroliam Nasional Bhd. contract with Harvest Energy Trust)(Brief article)
March 4, 2009... Oman is set to award two gas exploration blocks to Malaysia's Petronas and Canada-based Harvest Energy, an Omani oil official tells Oil Daily. The awards are likely before the end of March or early April. Petronas will be awarded the Natih...

BP scores in Angola.(International)(British Petroleum Company PLC)(Brief article)
March 4, 2009... BP and its partners in Angola have notched up their 17th discovery--and fifth subsalt find--in the country's ultra-deepwater Block 31, the UK supermajor said Tuesday. BP has yet to decide whether its new Leda discovery will be tied into...

Khodorkovsky trial begins.(International)(Brief article)
March 4, 2009... A Moscow court on Tuesday started hearing a new case against Mikhail Khodorkovsky, the former chief executive of now defunct Yukos, on charges of embezzling tens of billions of dollars from the company. The trial has sparked a fresh round of...

Jordan reoffers oil blocks.(International)(Brief article)
March 4, 2009... Jordan this week reoffered two remaining exploration blocks for competitive bidding, its Natural Resources Authority (NRA) said. Offers were invited on the Northern Highlands and Al-Jafr Blocks, both of which have seen little exploration...

Stock market scorecard.(NEWS ALERT)(Statistical table)
March 4, 2009... Stock Market Scorecard Integrated Close 1-Day % Chg. Majors 3/3 Chg. % Chg. 10-Day 52-Wk YTD ConocoPhillips 35.27 +0.14 +0.40% -22.77% -57.36% -31.91% Marathon ...

Venezuela shuffles cabinet.(Latin America)(Brief article)
March 4, 2009... Venezuela's President Hugo Chavez fired his defense minister on Tuesday in a minor cabinet reshuffle that left unchanged the key cabinet positions of oil minister, finance minister and vice-president. Presidential spokesman Jesse Chacon...

GDF Suez shelves LNG project.(Natural Gas)(liquefied natural gas)(Brief article)
March 4, 2009... GDF Suez has informed the Maritime administration (Marad) and the US Coast Guard that it will cease all license processing work on the Calypso Deepwater Port liquefied natural gas (LNG) project. GDF Suez's announcement came after comments...

Platts plans new Gulf Coast sour marker.
March 4, 2009... Energy information firm Platts plans to introduce a new sour crude marker for the US Gulf Coast that could become a key benchmark price for US and international crudes. In a note to clients, Platts said its new Americas Sour Marker (ASM)...

Sunoco close to labor deal.(Refining)(Brief article)
March 4, 2009... Sunoco and the United Steelworkers union (USW), negotiating on behalf of workers at the company's 335,000 bl/d Philadelphia refinery, have reached a tentative verbal agreement on a new labor contract, a spokeswoman for the union said. The...

Correction: Chesapeake Energy.(Correction)(Correction notice)
March 4, 2009... A story published in the Mar. 3 edition of Oil Daily incorrectly stated that Chesapeake Energy is suspending some of its production in the Haynesville Shale area of East Texas and northwest Louisiana. In fact Chesapeake is suspending some of...

Alberta takes steps to revive drilling.
March 5, 2009... The Canadian province of Alberta has introduced several incentives intended to boost job growth and production of conventional oil and natural gas. The move is an attempt to put the brakes on a sharp slowdown in drilling activity. The...

Data shows Opec cuts gaining traction.(Organization of the Petroleum Exporting Countries)
March 5, 2009... While global demand for oil has continued to fall compared to a year earlier, so has supply, as Opec cuts gain traction and the fourth-quarter rally in non-Opec supply begins to peter out. Global Snapshot (million b/d) ...

Obama administration says policies will raise cost of fossil fuels.
March 5, 2009... President Obama's Treasury Secretary Timothy Geithner has reiterated the administration's desire to place a price on carbon through the development of an emissions trading system that will start in 2012. He also acknowledged that this will...

Crude prices rise as traders see evidence of market recovery.(Market overview)
March 5, 2009... Crude oil prices rose Wednesday on growing sentiment that Opec cuts are gaining traction and the market is becoming strong enough to weather the economic storm and detach itself from sharp movements in the stock market. The Energy Information...

Daily oil & gas price review.(Statistical table)
March 5, 2009... Daily Oil & Gas Price Review Prices for Wednesday, March 4, 2009 North American Crudes ($/barrel) Cash/Spot Change Spot Price 5-Day Avg. Month-Ago WTS (Midland) +3.29 44.47 42.49 39.22 LLS (St....

EIA weekly statistics.(Statistical table)
March 5, 2009... EIA Weekly Statistics For Week Ended February 27, 2009 US Crude Oil: Stocks (1) (millions of bbl) Current Previous Week Week Chg. PADD 1 14.1 13.5 4.4% PADD 2 ...

Report: cap-and-trade will push up costs of gasoline and electricity.
March 5, 2009... President Barack Obama's proposed cap-and-trade program for greenhouse gas emissions would increase the cost of gasoline by 12 cents per gallon, a rise of around 6%, starting in 2012, according to independent consultant Point Carbon. For...

Recession ends big oil's winning streak.(Statistical data)
March 5, 2009... Fourth-quarter earnings reports from the integrated oil companies provided a foretaste of the stormy operating environment in which the industry now finds itself. They also put an abrupt end to a streak of quarterly earnings records. ...

Decline in gas prices squeezes independents.(Brief article)
March 5, 2009... Most independent producers reported reduced fourth-quarter earnings or losses as a continuing ramp-up in unconventional natural gas production coincided with a decline in gas prices and a recession-fueled decrease in industrial demand. ...

After difficult year, future also looks tough for independent refiners.(Brief article)
March 5, 2009... Last year was not a good one for independent refiners, prompting some analysts to conclude that the industry has now been plunged into the "Dark Ages" after briefly experiencing a "Golden Age" during the middle of the decade. Profit...

Integrated oil companies.(Statistical table)
March 5, 2009... Integrated Oil Companies (millions of dollars, except per-share, production, and product sales figures) Overall Results Adjusted Earnings ...

Berry to sell assets.(Corporate News)(Berry Petroleum Co.)(Brief article)
March 5, 2009... Independent oil and gas producer Berry Petroleum said it has agreed to sell essentially all its property in Northeastern Colorado for about $154 million. The company said the deal includes natural gas reserves, midstream assets and an...

BP may freeze dividend.(Corporate News)(Brief article)
March 5, 2009... BP Chief Executive Tony Hayward says the UK supermajor plans to freeze its dividend in 2009. It would be the first freeze in 10 years. Because of the tough times facing the industry, Hayward told the UK's Financial Times that "we don't at...

Brazil sells gasohol in Japan.(International)(Brief article)
March 5, 2009... Brazil's state-controlled Petrobras has started producing and selling gasohol--a gasoline-ethanol blend--at pump stations across Japan. The fuel, dubbed E3 because of its 3% ethanol content, is being produced by Brazil Japan Ethanol, a...

Japanese crude stocks fall.(International)(Brief article)(Statistical data)
March 5, 2009... Japanese stocks of refined products rose 2.5% in the week ended Feb. 28 to 80.58 million bbl, according to data released by the Petroleum Association of Japan on Wednesday. Refinery throughput edged up to 86.6%, or 4.24 million b/d, from...

Gorgon LNG costs may swell.(International)(liquefied natural gas)(Brief article)
March 5, 2009... Western Australia Premier Colin Barnett has hung a massive price tag on Chevron's proposed Gorgon LNG facility, claiming in a speech in Perth this week that the project is now worth A$50 billion (US$32 billion). That would make it the most...

Libya delays oil wealth plans.(International)(Libya's National Oil Corp.)(Brief article)
March 5, 2009... Libya's Basic People's Congresses have voted to delay implementation of plans advocated by leader Muammar Qaddafi to distribute oil wealth directly to the people. Only 64 of 468 bodies called for the plan to be enacted now. Qaddafi raised...

Russian oil flows disrupted.(International)(Brief article)
March 5, 2009... Russia has halted deliveries of crude oil to the Black Sea ports of Novorossiysk and Tuapse after a major leak and fire on a key trunk pipeline in central Russia. The accident also halted deliveries to Lukoil's big Volgograd refinery and...

Stock market scorecard.(International)(Statistical table)
March 5, 2009... Stock Market Scorecard Integrated Close 1-Day % Chg. Majors 3/4 Chg. % Chg. 10-Day 52-Wk YTD Statoil 16.51 +1.40 +9.27% -1.08% -46.20% -0.90% Total ...

Panama seeks Petrocaribe entry.(Latin America)(Brief article)
March 5, 2009... Panama formally requested to join Petrocaribe, a Venezuela-led energy cooperation program, during a meeting in Caracas this week between the leaders of the two Latin American nations. Panama would become the 18th member of Petrocaribe, a...

Sunoco averts refinery strike.(Refining)(Brief article)
March 5, 2009... The United Steelworkers union and top Northeast US refiner Sunoco signed tentative contract agreements for workers at the company's two Pennsylvania refineries, narrowly averting a strike at the plants. Late Tuesday, the president of the...

Exxon stands by plans to increase spending.(Exxon Mobil Corp.)
March 6, 2009... Exxon Mobil told its annual analyst meeting on Thursday that it will plow ahead with its aggressive capital spending plans this year despite sharply lower oil and gas prices and the deteriorating global economy. The Texas-based supermajor...