The Oil Daily articles from May 2005

The Oil Daily archives from May 2005

Refinery downtime, lower margins hurt Chevron.
May 2, 2005... ChevronTexaco reported Friday a first-quarter profit higher than a year ago, but like rival Exxon Mobil the day before, the California-based major failed to live up to Wall Street expectations. Chevron posted a first-quarter profit of $2.7...

Bolivia's Senate hikes taxes on oil companies.
May 2, 2005... Bolivia's Senate approved a controversial new hydrocarbons law on Friday that establishes steeper taxes for foreign oil operators, as well as a requirement that forces them to switch their current risk contracts over to other types of...

ANWR drilling and energy bill make headway in Congress.(Arctic National Wildlife Refuge)
May 2, 2005... President Bush's energy policy priorities are making headway, with Congress late last week approving a $2.6 trillion budget resolution that paves the way for oil and gas drilling in the Arctic National Wildlife Refuge (ANWR). Momentum is...

Nymex crude slips below $50, lowest level since Feb 18.(New York Mercantile Exchange)
May 2, 2005... Crude futures prices in New York dropped sharply on Friday, closing below $50 per barrel for the first time since Feb. 18, amid talk of rising Opec supplies, record US stockpiles of crude and a slowing US economy. After staging a brief...

Daily oil & gas review.(Illustration)
May 2, 2005... Daily Oil & Gas Review Prices for Friday, April 29, 2005 [GRAPHIC OMITTED] US Domestic Crudes ($/barrel) Cash/Spot Change Spot Price 5-Day Avg. Month-Ago WTS (Midland) -2.70 44.45 46.75 ...

Wide crude contango closes Atlantic basin arbitrage but imports still surge.
May 2, 2005... Despite a closed trans-Atlantic arbitrage, crude oil imports to the US closed in on record levels for the week ending Apr. 22, according to data from the Energy Information Administration (EIA). Imports reached their third highest level ever at...

US rig count falls by 18.(Baker Hughes Drilling Report)(Brief Article)(Illustration)
May 2, 2005... The number of rigs searching for oil and gas in the US fell by 18 to 1,325 last week, oil services firm Baker Hughes said Friday. During the same week last year, there were 1,161 rigs in operation. The number of rigs searching for oil in...

Anadarko squeezes higher profits out of smaller asset base.
May 2, 2005... Anadarko Petroleum reported a 25% increase in first-quarter earnings on Friday despite selling off assets in the second half of last year that accounted for almost one quarter of its production. Reported production fell 18% to 455,000 barrels...

Alon plans refinery outage.(Brief Article)
May 2, 2005... A sulfur recovery unit at Alon USA's 62,000 b/d refinery in Big Spring, Texas, may be shut in May while work is done on another refinery unit, according to a filing on Friday with Texas environmental regulators. The No. 1 sulfur recovery...

Mexico's Senate considers major reforms for Pemex.
May 2, 2005... The Mexican Senate approved a draft of a bill last week that, if approved, could result in lower taxes and greater independence for Mexican state oil company Pemex. After the lower house of Congress, which first introduced the legislation in...

Emerging bears push down energy contracts, more downside seen.
May 2, 2005... Increasingly bearish fundamental and technical indicators throughout the petroleum complex took the steam out of energy futures last week, sinking Nymex June crude oil futures below $50 a barrel by Friday, which in turn helped pressure the June...

US refiners stand ready to sop up any extra West African crude.
May 2, 2005... The appetite of the US and its western hemisphere neighbors for light, sweet West African crudes is growing as refiners prepare for the summer driving season. West African sales to the Americas in April will total at least 51 cargoes, or 1.615...

Burlington earnings up 33%.(Earnings)(Brief Article)
May 2, 2005... Burlington Resources posted a 33% year-over-year increase in first-quarter earnings as higher commodity prices offset flat production of oil and gas. The company's combined output of oil and gas was steady at 2.85 Bcfe/d, as higher...

Sinopec, CNOOC post Q1 output.(Earnings)(China National Offshore Oil Corp)(Brief Article)
May 2, 2005... Two of China's largest oil companies reported earnings for the first quarter of 2005. Sinopec, China's largest refiner, said its net profit in the first quarter rose to US$1.16 billion (9.6 billion yuan), up 16% from the year earlier...

Canadian gas storage.(NEWS ALERT)(Brief Article)(Illustration)
May 2, 2005... Enerdata reported that the amount of natural gas in Canadian storage facilities rose 14.3 Bcf to 169.3 Bcf for the week ended Apr. 22. Storage caverns are 35% full, up from 32.1% the previous week, and up from 31.7% from a year ago. (Bcf)...

California sets smog standard.(Environment)(Brief Article)
May 2, 2005... With children's health in mind, the California Air Resources Board (ARB) last week approved new smog or ozone standards, setting the eight-hour-average standard at 0.070 parts per million (ppm). ARB, however, retains the one-hour-average...

Shell seeks oil sands expansion.(Exploration & Production)(Brief Article)
May 2, 2005... Shell Canada has filed regulatory applications to expand capacity at both its Muskeg River oil sands mine and its Scotford upgrader. The Muskeg River expansion includes adding another bitumen extraction train to the existing plant and a...

Stock market scorecard.(NEWS ALERT)(Illustration)
May 2, 2005... Stock Market Scorecard Integrated Close 1-Day Majors 4/29 Chg. % Chg. Statoil 17.49 +0.46 +2.70% Occidental 69.00 +1.70 +2.53 ConocoPhillips 104.85 +2.09 ...

Burlington gets Peru deal.(Latin America)(Brief Article)
May 2, 2005... Houston-based Burlington Resources plans to sign a $40 million contract to explore Peru's 2.47 million acre Block 104, located in the jungle region of Loreto, northeast of the capital city Lima. The contract, which Burlington signed with...

Kappa lands in Colombia.(Latin America)(Black Rock Oil and Gas)(Brief Article)
May 2, 2005... Kappa Resources has finalized an agreement with Black Rock Oil and Gas for joint development of the Arce oilfield, located in Colombia's prolific Middle Magdalena Valley, according to a Kappa statement released on Friday. Under the agreement,...

PDV to expand refining.(Latin America)(Petroleos de Venezuela)(Brief Article)
May 2, 2005... Venezuela's state oil company Petroleos de Venezuela (PDV) will spend $1.27 billion over the next five years to revamp its 140,000 b/d El Palito refinery, according to a company statement released on Friday. The goal of the investment...

Senate confirms EPA chief.(Legislation/Regulation)(Brief Article)
May 2, 2005... Stephen Johnson, President Bush's nominee to head the Environmental Protection Agency (EPA), was confirmed by the Senate on Friday after overcoming some procedural hurdles. The nomination of Johnson, the first career employee to head the...

Transocean wins BP contracts.(Offshore)(Brief Article)
May 2, 2005... Transocean said BP has awarded it contracts for two of its high-specification deepwater drilling rigs for work in the US Gulf at dayrates well above $200,000. The Deepwater Horizon, a fifth-generation, dynamically positioned...

Traders cut net longs.(Oil & Gas Markets)(Brief Article)
May 2, 2005... Crude oil speculators on the New York Mercantile Exchange cut their net long positions in the week ended Apr. 26, continuing a reduction since hitting a record three weeks ago, the Commodity Futures Trading Commission (CFTC) said Friday. ...

Court rules for Holly in dispute with Frontier.
May 3, 2005... A Delaware court has ruled in favor of Holly Corp. over Frontier Oil in a dispute related to a merger agreement between the two rival refiners that lasted roughly two years. Although the court ruled Frontier breached the merger agreement, it...

Oil's fall takes toll on share prices in April.
May 3, 2005... April is a month most investors would probably like to forget. Not only did the broader S&P 500 and FT World indexes trade lower last month, but oil shares--which have been the stars of the stock market so far this year--struggled last...

Independents see no drop in Gulf of Mexico opportunities.
May 3, 2005... Independents are still finding plenty of opportunities to keep them busy in the Gulf of Mexico, executives from a trio of companies told reporters during a briefing at the Offshore Technology Conference in Houston on Monday. Noble Energy...

Short covering helps propel Nymex crude back above $50.(New York Mercantile Exchange)(Brief Article)
May 3, 2005... Crude futures climbed back up to almost $51 per barrel on Monday, boosted by short covering from investors betting the market has been oversold and that constraints in the US refining system could support another rally. "The (hedge) funds...

Daily oil & gas price review.(Illustration)
May 3, 2005... Daily Oil & Gas Price Review Prices for Monday, May 2, 2005 [GRAPHIC OMITTED] US Domestic Crudes ($/barrel) Spot 5-Day Cash/Spot Change Price Avg. Month-Ago WTS (Midland)...

House proposal on oil lease buybacks kicks up controversy.
May 3, 2005... A seemingly innocuous provision in the voluminous energy bill passed by the House of Representatives could have far-reaching ramifications, as it would require the federal government to pay billions of taxpayer dollars to oil companies as...

Heating degree days.
May 3, 2005... Heating Degree Days For the week of April 30, 2005 Week Dev From Week From Year Cum State/City (PADD) Total Norm...

Big offer from Valero Boosts rival Premcor's share price.
May 3, 2005... Takeover target and US independent refiner Premcor was last week's big share gainer in the energy sector, rising slightly more than 12% in value, according to a survey by energy consultancy John S. Herold. On Friday, Premcor reported that...

Occidental signs another Oman deal, mounts challenge to shell.
May 3, 2005... Occidental and the UAE's Mubadala Development, partners in upstream projects in Libya and Qatar, have struck again in Oman, signing an agreement with the sultanate at the end of last week to operate the onshore Mukhaizna oil field and increase...

Exxon advances Italy LNG.(State Qatar Petroleum)(liquefied natural gas)(Brief Article)
May 3, 2005... State Qatar Petroleum (QP), Exxon Mobil, and Italian power generator Edison on Monday announced that they have signed key agreements to advance a proposal to build a liquefied natural gas (LNG) terminal offshore Rovigo, on Italy's North...

TransCanada ups share.(Corporate News)(Brief Article)
May 3, 2005... Canada's National Energy Board (NEB) increased TransCanada's share of the Canadian Mainline System to 36% from the previous 33% stake retroactive to the beginning of 2004.TransCanada had sought a 40% stake in the pipeline system. "TransCanada...

Williams LP to go public.(Corporate News)(Williams Partners LP)(Brief Article)
May 3, 2005... Williams Partners LP, a limited partnership that owns and operates energy assets, filed for an initial public offering of 5 million common units on Monday. The Tulsa, Oklahoma-based company said in a preliminary prospectus filed with the...

Parker shows Q1 profit.(Earnings)(Parker Drilling Co.)(Brief Article)
May 3, 2005... Parker Drilling on Monday reported a first-quarter profit of $3.9 million (4 cents/share) compared with a loss of $4.9 million (5 cents/share) during the same period last year. The company reported significantly higher revenue on the back of a...

Stock market scorecard.(NEWS ALERT)(Illustration)
May 3, 2005... Stock Market Scorecard Integrated Close 1-Day Majors 5/10 Chg. % Chg. Marathon 47.85 +1.28 +2.75% ChevronTexaco 53.21 +1.21 +2.33 Murphy Oil 91.02 +1.93...

Calvalley advances in Yemen.(Earnings)(Brief Article)
May 3, 2005... Calgary-based Calvalley announced its financial results for 2004 and drilling plans for 2005 on Friday, indicating this year could be a milestone for its Yemen Block 9 operations. The company sold off all of its operating interests in...

ANS output falls in April.(Exploration & Production)(Brief Article)
May 3, 2005... Alaskan production slipped seasonally in April, with total oil output dropping below 1 million b/d for the first time since September, according to data from the Alaskan Department of Revenue's Tax Division through the 27th of the month. ...

Algeria to offer new blocks.(International)(Brief Article)
May 3, 2005... Algeria will offer a new round of oil and gas blocks for exploration by the fourth quarter of this year, said a source at state energy group Sonatrach, as the Opec member country seeks to boost capacity in coming years. Sonatrach, which is soon...

PetroKaz in new dispute.(International)(PetroKazakhstan Inc.)(Brief Article)
May 3, 2005... Lukoil is accusing Calgary-based independent oil and gas producer PetroKazakhstan of diverting more than 3 million bbl produced by the two company's joint venture, Tugai Petroleum, without permission during the first three months of this year....

Total gets OK for Akpo.(International)(Brief Article)
May 3, 2005... Total said Monday that it had been authorized to start developing the deepwater Akpo field in Nigeria, capping long negotiations over the project. Discovered in 2000, the gas and condensate field is located around 125 miles offshore Port...

UK court to hear Ecuador suit.(Latin America)(Brief Article)
May 3, 2005... A British court has agreed to hear Ecuador's claim against Occidental Petroleum over $75 million in disputed taxes, the country's Attorney General Jose Maria Borja said over the weekend. The company won the $75 million tax rebate from...

Chevron orders LNG tankers.(Natural Gas)(Brief Article)
May 3, 2005... Chevron Transport, a unit of US major ChevronTexaco, has ordered two liquefied natural gas (LNG) tankers from Korea's Samsung Heavy Industries. The two ships are to be delivered in May and July 2009, respectively, and are worth a combined...

Duke, Conoco name MLP Chief.(Personnel)
May 3, 2005... Duke Energy and ConocoPhillips on Monday named Michael J. Bradley to lead their efforts to form a new energy master limited partnership (MLP) from their combined North American midstream assets. The companies also said that Jim Mogg, chief...

PDV denies plan to sell Citgo in US.(Petroleos de Venezuela S.A.)
May 4, 2005... Venezuela's Energy and Petroleum Minister Rafael Ramirez denied rumors Tuesday that his country's state run oil company Petroleos de Venezuela (PDV) is planning to sell Citgo, its refining and marketing subsidiary in the US. The official...

Officials entice firms back to Atlantic Canada.
May 4, 2005... Canadian government officials at both the federal and provincial levels not only heard complaints from oil and gas producers about regulatory processes and policies that stymied efforts to drill and develop, they have done something about them....

Crude exports fall short, but Pemex posts profit in first quarter.(Petroleos Mexicanos)
May 4, 2005... Mexican state oil company Pemex's crude exports averaged 1.86 million barrels per day during the first quarter of 2005, up 2% from the first quarter of 2004 but below the company's targeted level of 1.95 million b/d for 2005. Pemex's...

Trio form energy trust.(Thunder Energy)(Mustang Resources )(Forte Resources )(Brief Article)
May 4, 2005... Thunder Energy, Mustang Resources and Forte Resources have approved a proposal to merge the three companies and create a new oil and gas trust, two exploration-focused producers, and a coal bed methane resource company. The new trust will...

Nymex crude, gasoline prices fall on bearish stocks forecast.(New York Mercantile Exchange)(Brief Article)
May 4, 2005... Forecasts for another build in US petroleum inventories knocked off about $1.50 from crude futures on Tuesday, pushing down the June contract on the New York Mercantile Exchange (Nymex) to below $50 per barrel for the second time since Feb. 18....

Daily oil & gas price review.(Illustration)
May 4, 2005... Daily Oil & Gas Price Review Prices for Tuesday, May 3, 2005 [GRAPHIC OMITTED] US Domestic Crudes ($/barrel) Cash/Spot Change Spot Price 5-Day Avg. Month-Ago WTS (Midland) -0.73 45.47 45.97...

Bulls and bears debate state of red hot crude oil market.
May 4, 2005... Oil price bulls and bears locked horns and claws early this week at a conference organized by the Canadian Energy Research Institute in Kananaskis, Alberta entitled "What Next?" Paul Horsnell, director of energy research at Barclays Capital...

Petroleum engineers put focus on improving business ethics.
May 4, 2005... The issue of business ethics is not limited to the accounting and corporate management sides of the petroleum industry in the era following a wave of corporate scandals throughout American business. The Offshore Technology Conference (OTC) has...

Remote Gulf of Mexico fields edge toward development.
May 4, 2005... Are two of the industry's biggest players edging towards a decision to sanction the development of a cluster of oil discoveries in ultradeep water in the remote Alaminos Canyon area of the western Gulf of Mexico? Chris Oynes, the Minerals...

Royal Dutch/Shell clinches integrated gas deal in Libya.(Royal Dutch-Shell Group of Cos.)(National Oil Corp. (Tripoli, Libya))
May 4, 2005... Royal Dutch/Shell on Tuesday said it had agreed to an integrated upstream and LNG deal with Libya's state National Oil Corp. The deal involves revamping and upgrading Libya's 35-year-old Marsa al-Brega LNG plant on the Libyan coast, plus...

Transocean posts stunning Q1.(Brief Article)
May 4, 2005... Offshore drilling contractor Transocean on Tuesday posted a sharp jump in firstquarter profit on strong demand and higher prices for its fleet of rigs. The Houston company reported net income of $91.8 million (28 cents/share) versus $22.7...

Pioneer Q1 net rises 41%.(Pioneer Natural Resources Co.)(Brief Article)
May 4, 2005... Oil and gas exploration company Pioneer Natural Resources on Tuesday posted a 41% rise in first-quarter profit, boosted by higher oil and gas prices, but voiced caution about future investment. Net income in the first quarter rose to $84.7...

PetroKazakhstan Q1 doubles.(Brief Article)
May 4, 2005... PetroKazakhstan first-quarter profit soared as the Canadian company, which operates solely in the central Asian republic, reported higher production and revenue, it said on Tuesday. PetroKazakhstan, which is embroiled in a series of...

Talisman Q1 jumps 18%.(Talisman Energy Inc.)(Brief Article)
May 4, 2005... First-quarter profit at Talisman Energy, Canada's third-largest independent oil explorer, jumped 18% on higher commodity prices, the company said on Tuesday. Talisman, known for operations in North America, the North Sea and Southeast...

Stock market scorecard.(Illustration)
May 4, 2005... Stock Market Scorecard Integrated Close 1-Day Majors 5/3 Chg. % Chg. Total 112.06 +0.33 +0.30% BP 60.77 -0.46 -0.75 Royal Dutch Pet. 58.35 -0.54...

Members press for drilling ban.(Brief Article)
May 4, 2005... Over 100 members of the House of Representatives are pressing the Appropriations Committee to ensure the current congressional ban on offshore drilling in certain areas off the US West and East coasts. "We are writing to express our strong...

Drilling near rock art opposed.(Brief Article)
May 4, 2005... A coalition of conservation organizations on Tuesday protested the Bureau of Land Management's (BLM) decision to offer for oil and gas development land outside of an area known as the "Parowan Gap"--valued for its Native American rock art--in...

Chevron reviews Nigeria aid.
May 4, 2005... US oil giant ChevronTexaco has overhauled the aid it gives to oil producing communities in Nigeria after its investments were found to be "inadequate, expensive and divisive", the company said in a statement on Tuesday. Western oil...

Brazil launches cleaner diesel.(Latin America)
May 4, 2005... Brazilian state controlled oil company Petrobras announced Monday the introduction of a new diesel fuel with 75% less sulfur than the conventional blend in the domestic market. Petrobras has invested $750 million to develop the low-sulfur...

Ecuador halts bidding round.(Petroleos del Ecuador)(Brief Article)
May 4, 2005... Ecuador has indefinitely suspended a bidding round to attract investment to revamp output from four fields now being developed by state owned Petroecuador, according to press reports. The tender was postponed until Ecuador's newly arrived...

Peru output surges.(Brief Article)
May 4, 2005... Peru produced an average of about 116,000 b/d of oil and other hydrocarbon liquids in April, an increase of 37.1% compared with the same month a year earlier, amounting to a total output of 3.46 million barrels, according to state hydrocarbon...

Fox eyes Bolivia gas.(Vicente Fox )(Brief Article)
May 4, 2005... Mexican President Vicente Fox on a state visit to Bolivia on Tuesday showed interest in eventually importing gas from the South American nation although it still has no pipeline to the Pacific. Bolivian President Carlos Mesa said his landlocked...

Shell delays Mars repairs.(Royal Dutch-Shell Group of Cos.)(Brief Article)
May 4, 2005... Oil major Royal Dutch/Shell on Tuesday said it would delay repairs to its Mars platform in the Gulf of Mexico because of "loop" ocean currents. The repairs on the Mars tension leg platform will take about two weeks and the company said...

Petrobras targets Gulf of Mexico.(Petroleo Brasileiro S.A.)(Brief Article)
May 4, 2005... Brazilian state oil company Petrobras plans to invest $1.9 billion on upstream projects in the Gulf of Mexico over the next five years. Speaking at the Offshore Technology Conference (OTC) in Houston, Renato Bertani, head of Petrobras...

US refining margins mostly flat.(Brief Article)
May 4, 2005... US refining margins were mixed last week, with the East Coast and Gulf Coast higher while Midwest and West Coast numbers declined, according to analysts at AG Edwards. For the entire US, the national average fell slightly, down 13 cents to...

Conoco restarts Texas coker.(ConocoPhillips )(Brief Article)
May 4, 2005... ConocoPhillips said it would restart on Tuesday a delayed coker unit at its 223,000 b/d refinery in Sweeny, Texas, after it was shut Monday, according to a filing with the Texas Commission on Environmental Quality. The unit was shut due to...

Venezuela cops to lower oil production.
May 5, 2005... Venezuelan President Hugo Chavez has admitted for the first time that crude output from the country's western fields has declined substantially--an observation that international organizations and industry pundits have upheld for some time. The...

API to expand MTBE lobbying effort.
May 5, 2005... Shifting to top gear to ensure the successful congressional passage of a comprehensive energy bill that includes limited liability protection for oil companies against methyl tertiary butyl ether (MTBE) lawsuits, the American Petroleum...

Kinder Morgan names president.(Park Shaper, Steve Kean and Richard Kinder)(Brief Article)
May 5, 2005... Kinder Morgan said on Wednesday that its board of directors has appointed Park Shaper as the company's new president and Steve Kean as executive vice president for operations. Chief Executive Richard Kinder will continue his day-to-day...

Nymex crude makes gain on mixed inventory data.(New York Mercantile Exchange)
May 5, 2005... In a volatile session, the front-month crude contract rose 63 cents to close at $50.13 per barrel on the New York Mercantile Exchange (Nymex) on Wednesday after losing more than $1 in early trading. Crude prices initially fell sharply to...

Daily oil & gas price preview.(Illustration)
May 5, 2005... Daily Oily & Gas Price Review Prices for Wednesday, May 4, 2005 [GRAPHIC OMITTED] US Domestic Crudes ($/barrel) Cash/Spot Change Spot Price 5-Day Avg. Month-Ago WTS (Midland) +1.06 46.53 ...

Hefty hedging charge hits Canadian Natural in first quarter.
May 5, 2005... Canadian Natural Resources' (CNR) production jumped 11% in the first quarter of 2005, but a handful of charges led the Calgary-based company to post a loss in the period. CNR's first-quarter result was dragged down because of a C$679 million...

EIA weekly statistics.(Illustration)
May 5, 2005... EIA Weekly Statistics For Week Ended April 29, 2005 US Crude Oil: Stocks (1) (millions of bbl) Current Previous Week Week Chg. PADD 1 15.0 15.1 -0.7%...

Higher pump prices, interest rates cut into US demand growth.
May 5, 2005... US gasoline demand has started to slow in response to record-high prices, according to data from both the American Petroleum Institute (API) and the Energy Information Administration (EIA). While there many concerns about pump prices affecting...

Devon wraps up Canadian asset sales, moves swiftly on buybacks.
May 5, 2005... Devon Energy said on Wednesday it has completed the sale of some of its Canadian assets, realizing higher than expected after-tax proceeds of $1.1 billion, and has moved swiftly to implement the share buyback program it launched in October. The...

Canada's oil sands producers weigh global marketing options.
May 5, 2005... With Canadian oil sands output set to increase by 1.5 million barrels per day over the next decade, Canadian producers are busily figuring out where this incremental production will be sold, with early signs pointing to US markets--including...

Oil sands developers face many near-term challenges.(Brief Article)
May 5, 2005... Fewer places have benefited more from high oil prices than the Canadian province of Alberta. In less than two years, Alberta saw its proven oil reserves increase by more than 40 fold to 178 billion barrels, thanks to the growing acceptance...

Total's frustration mounts over stalled Novatek deal in Russia.
May 5, 2005... Despite releasing some of the most impressive first-quarter results of its peers, French major Total failed Wednesday to hide its frustration over its stalled acquisition of 25% of Russian independent Novatek and the negative effect this could...