The Oil and Gas Journal articles from April 2000

The Oil and Gas Journal archives from April 2000

OGJ Newsletter.(Brief Article)
April 3, 2000... What effect, if any, will OPEC's decision early last week to raise its production ceiling have on gasoline prices later this year? While some analysts have warned of a gasoline crisis this summer, the potential for a gasoline shortage and a...

US INDUSTRY SCOREBOARD 4/3.(Brief Article)(Statistical Data Included)
April 3, 2000... US INDUSTRY SCOREBOARD 4/3 4 wk. 4 wk. avg. % Year-to-date Latest week 3/24 average year ago [1] change average [1] Demand (1,000 b/d) Motor gasoline 8,315...

LETTERS.(Brief Article)
April 3, 2000... Fix broken US energy policy Truck drivers and consumers in the Northeast and across America are screaming about high fuel prices. Politicians are complaining and discussing the option of selling oil from the Strategic Petroleum Reserve....

Washington quotebook.(Brief Article)
April 3, 2000... If you think writing is difficult, you should try having to do it all day, every day. That's one reason journalists appreciate snappy quotations that expose the heart of the issue, expressing in 9 words what we have trouble explaining in...

OPEC too slow.
April 3, 2000... Forget squabbles among individual members of the Organization of Petroleum Exporting Countries. Forget minor controversies stirred up by a US energy secretary testing the limits of his influence. The important problem for the oil market is that...

US interstate natural gas pipelines begin to cope with firm-capacity turnback dilemma.(Statistical Data Included)
April 3, 2000... Even as the number of US interstate natural gas pipeline companies continues to dwindle through mergers and acquisitions, the survivors must grapple with what is arguably the most critical issue they face: capacity turnback. Capacity...

US Midwest gas line slated for conversion.(Brief Article)
April 3, 2000... CMS Energy Corp., Marathon Ashland Petroleum LLC, and TEPPCO Partners LP have formed the Centennial Pipeline joint venture to convert a 26-in., 720-mile natural gas pipeline to carry refined products from Longville, La., to Bourbon, Ill. ...

OPEC to boost production, correct market.(Statistical Data Included)
April 3, 2000... Nine members of the Organization of Petroleum Exporting Countries voted at their meeting last week in Vienna to increase the group's production by 1.45 million b/d effective Apr. 1. The action returns the nine nations to the total 21.069...

Slew of regulations top NPRA meeting agenda.(Statistical Data Included)
April 3, 2000... Discussions of pending and issued regulations were rife at the 98th National Petrochemical & Refiners Association (NPRA) annual meeting in San Antonio last week. Refiners were particularly concerned about the impact of the US Environmental...

ExxonMobil sues to block ARCO-Phillips deal.(Statistical Data Included)
April 3, 2000... ExxonMobil Corp. has filed suit in a Los Angeles court to block the sale of ARCO's Alaska assets to Phillips Petroleum Co. ARCO and Phillips struck the $7 billion deal in mid-March (OGJ, Mar. 27, 2000, p. 32). But ExxonMobil has stepped...

Venezuelan LNG export project back on track.(Brief Article)(Statistical Data Included)
April 3, 2000... Venezuela's LNG export project is back on track, albeit in a scaled-down version. Petroleos de Venezuela SA (PDVSA), Royal Dutch/Shell, ExxonMobil Corp., and Mitsubishi Corp. have signed a memorandum of understanding to develop a $2...

Lukoil has Russia's first Caspian oil discovery.(Statistical Data Included)
April 3, 2000... Lukoil has made the first commercial discovery of oil in the Russian sector of the Caspian Sea. Upon announcing the strike, the giant Russian oil company outlined a tentative development plan for the field, a move that immediately alters...

Laggard loans.(Brief Article)
April 3, 2000... A year ago, as small US oil producers were suffering from rock-bottom oil prices, Sen. Pete Domenici (R-NM) had an idea. Legislation had been proposed to help steel producers get loans. Why not apply the concept to oil companies too? ...

Phillips Petroleum Co.(Brief Article)
April 3, 2000... An explosion and fire Mar. 27 at Phillips Petroleum Co.'s K-Resin styrene-butadiene copolymer (SBC) plant at its Houston Chemical Complex (HCC) near Pasadena, Tex., killed one worker and injured 71 others. Of those injured, 32 were company...

PetroChina Co. Ltd.(Brief Article)
April 3, 2000... PetroChina Co. Ltd. is to begin construction this month of a 953km natural gas pipeline in northwestern China from the Sebei area gas fields in Qinghai province to Qinghai's capital, Xining, and Lanzhou, the capital of Gansu province. The line...

An explosion and fire.(Brief Article)
April 3, 2000... An explosion and fire killed 50 people who were tapping a products pipeline to steal gasoline in southeastern Nigeria. Firefighters were unable to contain the fire, and the immediate cause of the blast was still unknown at presstime. Police...

The Cuenca Marine Austral-1.(Brief Article)
April 3, 2000... The Cuenca Marine Austral-1 consortium (CMA-1) reported first shipments of LPG Mar. 7 from the newly completed gas processing plant at Tierra del Fuego, Argentina, via pipeline to Chilean state firm ENAP's Cabo Negro, Chile, fractionation...

Forcenergy Inc.(Brief Article)
April 3, 2000... Forcenergy Inc., Miami, reported a blowout during completion operations on a natural gas exploratory well on West Cameron Block 317, about 65 miles south of Lakes Charles, La., in the Gulf of Mexico. All personnel were safely evacuated from the...

Crestar Energy Ltd.(Brief Article)
April 3, 2000... Crestar Energy Ltd., Calgary, successfully capped its Little Bow 2-27-14-18 W4M wild well, which blew out Mar. 12 near Enchant, Alta. (OGJ, Mar. 27, 2000, p. 43). It was capped Mar. 26 when 2,500 bbl of weighted water was introduced from a...

Husky Oil Operations Ltd.(Brief Article)
April 3, 2000... Husky Oil Operations Ltd., Calgary, and joint owner Petro-Canada selected a steel floating production, storage, and offloading system (FPSO) for the proposed White Rose oil field development project on the Grand Banks off Newfoundland (OGJ,...

Petroleo Brasileiro SA.(Brief Article)
April 3, 2000... Petroleo Brasileiro SA let a 3-year, $108 million contract to R&B Falcon Drilling (International & Deepwater) Inc. for use of the Peregrine Ill dynamically positioned drillship off Brazil in 1,200 m of water. The drillship is currently at...

Triton Energy Ltd.(Brief Article)
April 3, 2000... Triton Energy Ltd., Dallas, let contract to Stolt Offshore Services SA to supply and install flowlines, risers, and control umbilicals to connect the first four development wells to an FPSO in Ceiba field off Equatorial Guinea (OGJ, Feb. 21,...

Qatar General Petroleum Corp.(Brief Article)
April 3, 2000... Qatar General Petroleum Corp. let a $200 million contract to ENI SPA unit Snamprogetti SPA for construction of a gas lift plant in Dukhan onshore field on Qatar's west coast. Snam is to supply detailed engineering, materials, equipment,...

Chevron Overseas Petroleum Azerbaijan Ltd.(contract with Aker Marine Contractors Inc.)(Brief Article)
April 3, 2000... Chevron Overseas Petroleum Azerbaijan Ltd. (COPAL) let contract to Aker Marine Contractors Inc. (AMC), Houston, for the provision of a preset mooring system that will support COPAL's drilling program off Azerbaijan. The contract involves...

National Iran Tanker Corp.(contracts with China shipbuilding companies)(Brief Article)
April 3, 2000... National Iran Tanker Corp. let a $370 million contract to China Ship Heavy Industry Group Corp. and China Ship Industry Trade Co. for the construction of five 300,000-dwt very large crude carriers (VLCCs) for Iran. The VLCCs will be built at...

Shell Exploration & Production Co.(and BP Amoco sign contract with Greystar)(Brief Article)
April 3, 2000... Shell Exploration & Production Co. and BP Amoco PLC let a 3-year contract to GreyStar Corp., Houston, to operate a group of oil and gas producing properties on High Island, Sabine Pass, and West Cameron block areas in the Western Gulf of...

Midcoast Canada Operating Corp.(acquires natural gas plant from NovaGas Canada LP)(Brief Article)
April 3, 2000... Midcoast Canada Operating Corp., a unit of Midcoast Energy Resources Inc., Houston, purchased the Provost natural gas plant and gathering system in east-central Alberta from NovaGas Canada LP, a division of TransCanada PipeLines Ltd., for an...

Hurricane Hydrocarbons Ltd.(acquires refinery in Kazakhstan)(Brief Article)
April 3, 2000... Hurricane Hydrocarbons Ltd., Calgary, says it will pay $51 million (US) and an undetermined number of shares for a refinery in Kazakhstan, where it is an oil producer. Original terms for the purchase in September 1999 were $57 million for the...

Krescent Energy Co. LLC.(acquires oil field holdings)(Brief Article)
April 3, 2000... Krescent Energy Co. LLC, Houston, recently made several transactions with an undisclosed seller involving the acquisition of the majority working interest in Hordes Creek field in Goliad County, Tex., and a 2% override in OCS South Timbalier...

Enterprise Products Partners IP.(begins operation of processing plant)(Brief Article)
April 3, 2000... Enterprise Products Partners IP, Houston, began commercial operation of its Neptune natural gas processing plant in St. Mary Parish, La. The Neptune plant is designed to process 300 MMcfd of natural gas and produce 25,000 b/d of NGL. The plant...

Tesoro Northwest Co.(signs contract with Kellogg Brown and Root)(Brief Article)
April 3, 2000... Tesoro Northwest Co., a unit of Tesoro Petroleum Corp., San Antonio, let contract to Halliburton unit Kellogg Brown & Root (KBR), Houston, to provide its residuum oil supercritical extraction (ROSE) and fluid catalytic cracking technologies for...

OMV Deutschland GMBH.(signs contract with Kellog Brown and Root)(Brief Article)
April 3, 2000... OMV Deutschland GMBH let contract to Kellogg Brown & Root to use its MAKFining Premium Distillates technology (MPDT) for the production of premium diesel at its Burghausen, Germany, refinery. The applications of MPDT will use a combination of...

Canada-Newfoundland Offshore Petroleum Board.(requests bids)(Brief Article)
April 3, 2000... Canada-Newfoundland Offshore Petroleum Board will call for bids on 14 parcels covering a total of 2,251,670 hectares off Newfoundland. Three parcels (1, 2, and 3) are located in Jeanne d'Arc basin, four in Carson Bonnition basin (4, 5, 6, and...

Anadarko Petroleum Corp.(drills well in the Hickory field)(Brief Article)
April 3, 2000... Anadarko Petroleum Corp. and partners drilled a delineation well in Hickory field on Grand Isle Block 116 off Louisiana in the Gulf of Mexico (OGJ, Oct. 26, 1998, Newsletter). Drilled to 18,000 ft TD, the No. 2 well cut main field pay zones...

Swift Energy Co.(makes oil/gas discover in New Zealand)(Brief Article)
April 3, 2000... Swift Energy Co., Houston, claims to have made a significant oil and natural gas discovery on the west coast of New Zealand's North Island. Swift Pres. Terry Swift claimed the find could hold as much as 200-500 million boe. The find is on the...

UK and Sweden.(sign contract to allow pooling of reserve oil)(Brief Article)
April 3, 2000... The UK and Sweden signed a strategic agreement that will allow oil companies in each country to pool their reserve oil stocks. The European Commission requires all EC member states to hold contingency oil stocks equivalent to 90 days of their...

Sithe Energies Inc.(receives financing for power plant in Mexico)(Brief Article)
April 3, 2000... Sithe Energies Inc., New York, obtained $277 million in financing needed to build the 230-Mw Termoelectrica Del Golfo power plant at Tamuin in Mexico's San Luis Potosi state. Sithe will operate the plant over a 20-year period, and ABB Alstom...

Taiwan Styrene Monomer Corp.(plans joint venture with Mitsubishi, Powergen)(Brief Article)
April 3, 2000... Taiwan Styrene Monomer Corp. (TSM) plans to form a joint venture with Japan's Mitsubishi Group and Powergen PLC, London, to build a 600-Mw power plant in central Taiwan. TSM will hold a 51% stake in the project--which will call for $650 million...

Successful frac packs require careful planning.(Brief Article)
April 3, 2000... Because operators usually pump frac-pack treatments in an offshore environment, a successful job requires extensive planning and preparation. Frac-pack treatments are difficult completions to perform correctly due to the complexity of...

Cost reductions yet to pull refiners out of doldrums.(Brief Article)
April 3, 2000... Weak demand for oil in spring 1998 reduced margins for the refining industry to record low levels in 1999. This article, based on a study published by IFP in December 1999, documents the effects of the crash on industry investment. After a...

Atypical planning process cuts drilling costs for Shell.(Brief Article)
April 3, 2000... A new planning process that defines an ideal well under optimum conditions, then works to eliminate all barriers to that perfect state, has cut drilling times and costs for units of the Royal Dutch/Shell Group. The Shell group's "Drilling...

Isolation valves aid Bombay High riser replacements.(Brief Article)
April 3, 2000... UNDER A CONTRACT FROM OIL & National Gas Corp., Bombay, Asian Marine Contractors (AMC) recently completed replacement of two risers and subsea isolation valves on the NF platform, Bombay High, with use of remotely operated pipeline isolation...

Tanker orderbook could still spell oversupply in 2000.(Brief Article)
April 3, 2000... At yearend 1999, prospects for newbuilding in the world's tanker fleet would suggest a disturbing oversupply, according to Clarkson Research Studies' semiannual Shipping Review & Outlook. "After the 20-year record contracting of 58.3...

NELSON-FARRAR COST INDEXES.(Brief Article)
April 3, 2000... NELSON-FARRAR COST INDEXES Refinery construction (1946 Basis) Dec. Nov. 1962 1980 1997 1998 1999...

Indexes for selected equipment items.(Brief Article)
April 3, 2000... Continuing a trend starting in 1983, the Nelson-Farrar refinery construction index rose slowly from 1,466.8 in January 1998, to 1,520.1 in December 1999. The labor component of the index rose at a more rapid rate than did the material...

Ethylene capacity growth flat in 1999; large increase expected in 2000.(Brief Article)
April 3, 2000... Global ethylene production capacity increased by only 1.9% in the past year, reflecting the smallest annual increase in capacity in the past decade since 1996. Despite this dismal growth, the industry is poised for a huge increase in...

Carbon steel steam traps.(Brief Article)
April 3, 2000... A new line of carbon steel float and thermostatic steam traps is suited for new and replacement applications in hydrocarbon and chemical processing operations. The new CS Series traps are intended for high pressure modulating steam...

Portable detection and monitoring instrumentation.(Photovac 2020 PID)(MicroFID)(Voyager portable gas chromatograph)(Brief Article)
April 3, 2000... A new brochure, free for the asking, highlights portable detection and monitoring instrumentation. The Photovac family of analytical instruments, including the Photovac 2020 PID, the MicroFID, and the Voyager portable gas chromatograph...

New, smaller interface.(Allen-Bradley Micrologix NEMA 12/4 interface)(Brief Article)
April 3, 2000... A new, smaller Allen-Bradley Micrologix NEMA 12/4 interface has been added to this firm's line of "through the door" convenience interface products. This product utilizes an exclusive specially keyed eight pin MiniDIN 10 ft extension cable that...

Gas management tool.(Flow Tracker 1000)(Flow Tracker 2000)(Brief Article)
April 3, 2000... A new family of gas management devices--the Flow Trackers 1000 and 2000--consists of versatile, hand-held gas chromatography tools that combine traditional flowmeter functions with good value, the firm says. These instruments can precisely...

pennNET.(Brief Article)
April 3, 2000... pennNET (www.pennNET.com), a leader in creating secure, reliable e-marketplaces for business professionals in critical global markets, has acquired Global Logistics Partners L.L.C., an international broker of used and surplus oil and gas and...

Baker Hughes.(Brief Article)
April 3, 2000... Baker Hughes, Houston, Tex., has announced the formation of a new business unit, Exploration and Reservoir Services (ERS), to provide high-end surface seismic and borehole geophysics interpretation services to the oil and gas industry. Composed...

Weatherford International, Inc.(Brief Article)
April 3, 2000... Weatherford International, Inc. has announced that its natural gas compression division, Weatherford Global Compression Services, has purchased Alpha Gauge & Instrument, Inc., (AGI) of Bakersfield, Calif., a manufacturer and provider of process...

Geotech Environmental Equipment, Inc.(Brief Article)
April 3, 2000... Geotech Environmental Equipment, Inc., Denver, Colo., has expanded its product design, manufacture and distribution business following the acquisition of Keck Instruments, Inc., Williamston, Mich. The acquisition provides an additional location...

Heavy oil production rising, but exploration low in Cuba.(Brief Article)
April 3, 2000... Exploratory drilling is at a low level in Cuba, but development drilling by one group has boosted domestic production to its highest level in years. The country generated little interest last year when it first offered Gulf of Mexico...

Technologies found to hike reserves, benefit HSE.(Statistical Data Included)
April 3, 2000... Application of new technologies led to substantial commercial reserve additions during 1990-97 on the Northwest Europe continental shelf, and further additions are possible. Exploration and development projects in which new technologies...

Australia.(Brief Article)
April 3, 2000... Empire Oil & Gas NL, Perth, is to drill near Australia's first significant post-World War II oil discovery at Rough Range on the Exmouth Peninsula. Empire has a 100% interest in permit EP 41 Part 3 and has received approval to drill on the...

Venezuela.(Brief Article)
April 3, 2000... The Vinccler unit of Benton Oil & Gas Co., Carpinteria, Calif., plans to have drilled 75 wells during 2000-01 on the South Monagas Unit in eastern Venezuela. Crude oil from the unit brought $5.65/bbl on Dec. 31, 1998. During 1999 Vinccler...

Nova Scotia.(Brief Article)
April 3, 2000... Corridor Resources Inc., Halifax, Nova Scotia, plans to file for regulatory approval this month for a 2D seismic program in the southern Gulf of St. Lawrence. The 10-day program in fall 2001 would delineate potential natural gas prospects...

Louisiana.(Brief Article)
April 3, 2000... Hunt Oil Co., Dallas, completed the ninth well in Northwest Myette Point field since discovery in late 1994. The 1 State Lease 14522, St. Mary Parish, flowed 9.9 MMcfd of gas, 676 bc/d, and 14 bw/d with 6,476 psi FTP on a 17.5/64 in. choke...

Texas.(Brief Article)
April 3, 2000... Offshore Spinnaker Exploration Co., Houston, is developing the first commercial hydrocarbon discovery in North Padre Island state waters (OGJ, Feb. 21, 2000, p. 81). The 2 NPI 883 cut four productive Frio sands and confirmed a total...

OGJ CRACK SPREAD.(Brief Article)(Statistical Data Included)(Illustration)
April 3, 2000... OGJ CRACK SPREAD 3-24-00 [*] 3-26-99 [*] Change % $/bbl change SPOT PRICES Product value 32.90 18.45 14.45 78.3...

API IMPORTS OF CRUDE AND PRODUCTS.(Brief Article)(Statistical Data Included)(Illustration)
April 3, 2000... API IMPORTS OF CRUDE AND PRODUCTS Districts 1-4 District 5 3-24 3-17 [1] 3-24 3-17 [1] 2000 2000 2000...

API CRUDE AND PRODUCT STOCKS.(Brief Article)(Statistical Data Included)(Illustration)
April 3, 2000... API CRUDE AND PRODUCT STOCKS Motor gasoline Blending Jet fules Crude oil Total Comp. [2]...

API REFINERY REPORT--MARCH 24, 2000.(Brief Article)(Statistical Data Included)(Illustration)
April 3, 2000... API REFINERY REPORT--MARCH 24, 2000 REFINERY OPERATIONS Total Input refinery Crude to crude Operable % District ...

OGJ GASOLINE PRICES.(Brief Article)(Statistical Data Included)
April 3, 2000... OGJ GASOLINE PRICES Price Pump Pump ex tax price [*] price 3-22-00 3-22-00 3-24-99 ...

BAKER HUGHES RIG COUNT.(Brief Article)(Statistical Data Included)
April 3, 2000... BAKER HUGHES RIG COUNT 3-24-00 3-26-90 Alabama 0 6 Alaska 5 5 Arkansas 0 3 California 22 13 ...

OGJ PRODUCTION REPORT.(Brief Article)(Statistical Data Included)
April 3, 2000... OGJ PRODUCTION REPORT 3-24-00 [1] 3-25-99 [2] (1,000 b/d) (Crude oil and lease condensate) Alabama 31 31...

U.S. CRUDE PRICES.(Brief Article)(Statistical Data Included)(Illustration)
April 3, 2000... U.S. CRUDE PRICES ($/bbl) [*] 3-17-00 Alaska-North Slope 27[degrees] 19.82 Southern Louisiana Light 26.85 California-Kern River 13[degrees] 21.75 Lost Hills...

WORLD CRUDE PRICES.(Brief Article)(Statistical Data Included)
April 3, 2000... WORLD CRUDE PRICES ($/bbl) [1] 3-17-00 United Kingdom-Brent 38[degrees] 27.61 Russia-Urals 32[degrees] 26.80 Saudi light 34[degrees] 26.30 Dubai...

REFINED PRODUCT PRICES.(Brief Article)(Statistical Data Included)
April 3, 2000... REFINED PRODUCT PRICES 3-17-00 ([cent]/gal) Spot market product prices Motor gasoline (Conventional-regular) New York Harbor 86.60...

SMITH RIG COUNT.(Brief Article)(Statistical Data Included)
April 3, 2000... SMITH RIG COUNT 3-24-00 3-26-99 Proposed depth Rig % Rig % (ft) count footage [*] count footage [*] 0-2,500 22 13.6 15...

AGA NATURAL GAS STORAGE [*].(Brief Article)(Statistical Data Included)
April 3, 2000... AGA NATURAL GAS STORAGE [*] 3-17-00 3-10-00 Change (bcf) Producing region 355 370 -15 Consuming region east 473 511 -38 Consuming region...

PACE REFINING MARGINS.(Brief Article)(Statistical Data Included)
April 3, 2000... PACE REFINING MARGINS Jan. Feb. Mar. Mar. % 2000 2000 2000 1999 Change change $/bbl U.S. Gulf Coast West Texas Sour ...

U.S. NATURAL GAS BALANCE DEMAND/SUPPLY SCOREBOARD.(Brief Article)(Statistical Data Included)
April 3, 2000... U.S. NATURAL GAS BALANCE DEMAND/SUPPLY SCOREBOARD Dec. Total YTD Dec. Nov. Dec. change YTD change ...

WORLDWIDE NGL PRODUCTION.(Brief Article)(Statistical Data Included)
April 3, 2000... WORLDWIDE NGL PRODUCTION 12 month Chg. vs. average previous Dec. Nov. Production year...

OXYGENATES.(Brief Article)(Statistical Data Included)
April 3, 2000... OXYGENATES Jan. Dec. YTD YTD 2000 1999 Change 2000 1999 Change 1,000 bbl Fuel ethanol Production 3,329 3,102 227 3,329 3,159 170...

U.S. HEATING DEGREE DAYS [1].(Brief Article)(Statistical Data Included)
April 3, 2000... U.S. HEATING DEGREE DAYS [1] 1999 % change Total degree days Jan. Jan. from July 1 through Jan. 31 ...

Newsletter.(natural gas supply)(Brief Article)
April 10, 2000... With oil prices dominating industry news in recent months, the continuing strength in US natural gas prices seems to be getting overlooked. PaineWebber has raised its projected composite spot natural gas price forecast for 2000 by 10[cent]...

US INDUSTRY SCOREBOARD 4/10.
April 10, 2000... US INDUSTRY SCOREBOARD 4/10 4 wk. 4 wk. avg. % Year-to-date Latest week 3/31 average year ago [1] change average [1] Demand (1,000 b/d) Motor gasoline 8,318 ...

LETTERS.(Brief Article)
April 10, 2000... No energy policy Oil's importance to economic and national security cannot be taken lightly. Volatility will affect global oil markets if the world's supplies fail to manage crude output and market expectations. The world market...

Special expenditures.(Brief Article)
April 10, 2000... Oil & Gas Journal's 2000 Capital Spending Outlook, beginning on p. 44, shows recent trends in oil company spending and estimated expenditures for the current year. Outside of the daily expenses involved in exploration and production,...

The oil resource grows.(Brief Article)
April 10, 2000... The discouraging politics of oil prices clouds the encouraging science of potential supply. Oil and gas companies must not let good supply news smother in price malarkey. Thanks to a late-March agreement by members of the Organization of...

Venezuela's new constitution gives rise to new legal issues on oil, gas investment.
April 10, 2000... Whatever broader concerns may exist regarding the constitution of the Bolivarian Republic of Venezuela, investors in the Venezuelan oil and gas business may feel agreeably surprised. In our view, the constitution approved by the people on...