The Oil and Gas Journal articles from June 2000

The Oil and Gas Journal archives from June 2000

Frac treatment earns operator $13M worth of incremental oil production.
June 26, 2000... Colombia -- After producing over 6,000 BOPD for more than 1 1/2 years, BP Amoco encountered a production drop to less than 2,000 BOPD in one of their wells. More challenging was an average well deviation of 27 and an unfavorable azimuth for...

[H2Zero.sup.TM] treatment results in gas-free well producing 1900 BOPD, valued at $1.6M.
June 26, 2000... Norway -- Shortly after initial production, a well operated by Statoil was shut in. When lifting the well, a GOR of 700 indicated contribution of free gas in the top of the gravel packed open hole section, restricting the production level....

Colombian well produces 35,000 BOPD after two-stage frac treatment, making it the highest producing well in a large, prolific field.
June 26, 2000... Colombia -- A deep, hot well operated by BP Amoco tapped into a highly permeable, clean sandstone formation with a very strong production potential. Initial production was almost 9,000 BOPD, but tests indicated production potential of at...

OPEC accord bullish for oil prices.
June 26, 2000... As expected, OPEC has compromised between the price hawks and doves, but the outcome is more likely to be bullish rather than bearish for oil prices for the rest of the year. OPEC last week quickly agreed to increase its oil production...

Gasoline price furor.
June 26, 2000... Analysts say the latest OPEC production increase will likely have little immediate impact on US gasoline prices this summer, in a market plagued by low inventories of the new reformulated gasoline (RFG) mandated for major cities by EPA (OGJ...

OPEC rebuts.
June 26, 2000... In announcing the production increase, OPEC Conference Pres. Al[acute{i}] Rodr[acute{i}]guez Araque, energy and mines minister of Venezuela, took a slap at various government policies that OPEC members claim are the real culprits behind...

TECHNOLOGICAL ADVANCES.
June 26, 2000... TECHNOLOGICAL ADVANCES are expected to increase the economic gas resource base of the US Lower 48 and Canada by 250 tcf and 125 tcf, respectively, says Gas Technology Institute. GTI, the product of the merger of Institute of Gas...

DEEP WATER ACTIVITY IN THE GULF OF MEXICO.
June 26, 2000... DEEP WATER ACTIVITY IN THE GULF OF MEXICO doesn't warrant additional environmental impact statements, says MMS A new US MMS environmental study examines potential effects of E&D and production operations in the gulf's deep waters. The...

HIGH GASOLINE PRICES HAVE SPARKED A POLITICAL FIRESTORM.
June 26, 2000... HIGH GASOLINE PRICES HAVE SPARKED A POLITICAL FIRESTORM in the US. EPA is mulling whether to waive rules requiring summertime reformulated gasoline--with its reduced volatility specifications--and allow refiners to sell conventional...

GLOBALIZATION OF THE NATURAL GAS INDUSTRY.
June 26, 2000... GLOBALIZATION OF THE NATURAL GAS INDUSTRY is a positive force that can help bridge the economic chasm between the world's affluent and poor, says Texaco Chairman and CEO Peter I. Bijur. At a World Petroleum Congress session, Bijur...

IN THE FACE OF AN ELECTION-SHORTENED LEGISLATIVE CALENDAR.
June 26, 2000... IN THE FACE OF AN ELECTION-SHORTENED LEGISLATIVE CALENDAR, the US Senate will push this summer to approve permanent normal trade relations (PNTR) with China, and China is expected to enter the WTO later this year. Last month, the House...

CHINA'S OLEFINS PRODUCTION.
June 26, 2000... CHINA'S OLEFINS PRODUCTION registered strong gains in the first 5 months of this year on strong demand for downstream derivatives such as polyethylene. Production will likely be boosted further, as China recently banned polyethylene...

IN GAS PROCESSING NEWS.
June 26, 2000... IN GAS PROCESSING NEWS, Phillips has withdrawn from a gas-to-liquids joint venture with Qatar General Petroleum and Sasol. Phillips had been participating in the GTL plant, to be built at Ras Laffan Industrial City, Qatar. QGPC and Sasol...

ON THE REFINING FRONT.
June 26, 2000... ON THE REFINING FRONT, Kazakhstan's 163,000 b/d Pavlodar refinery has suspended operations temporarily, says Aleksandr Ryumkin, deputy head of the Pavlodar regional administration. The official reason for the shutdown is maintenance, but...

A SCANDAL HEADS UP MARKETING NEWS.
June 26, 2000... Statoil and four other service station operators in Sweden are under investigation for possible illegal price fixing. The Swedish competition authority has been looking into the practices of Norsk Hydro Olje, OK-Q8 (owned by Kuwait's...

SIGNS ABOUND OF AN UPTURN IN RIG DEMAND.
June 26, 2000... Helmerich & Payne ordered four new land rigs and exercised an option to order four additional rigs. Since March 2000, H&P has ordered 12 new land rigs worth about $90 million. The first four rigs are expected to cost about $7.5 million each,...

US PRODUCERS MAY GET SOME HELP FROM DOE.
June 26, 2000... The agency launched a program to help producers identify and quickly apply "best practices" that can keep oil fields in operation. DOE's Tulsa-based National Petroleum Technology Office is seeking proposals for projects that can demonstrate a...

AN OLD AUSTRALIAN FIND IS TARGETED FOR DEVELOPMENT.
June 26, 2000... OMV Australia plans to develop Patricia and Baleen gas fields about 23 km offshore in 55 m of water in the eastern Bass Strait. First discovered by the Hudbay group in the 1980s, the fields will be developed in competition with Esso...

INTEREST IN OFFSHORE IRELAND EXPLORATION.
June 26, 2000... INTEREST IN OFFSHORE IRELAND EXPLORATION continues to build. Ramco Oil & Gas was awarded a 12-month license option for the Galley Head area, which includes parts of Block 48/18, Block 48/19, and Block 48/24 in the North Celtic Sea off...

REPERCUSSIONS FROM THE ERIKA SPILL.
June 26, 2000... REPERCUSSIONS FROM THE ERIKA SPILL continue and will likely have a profound effect on tanker travel. France's National Assembly unanimously adopted a draft law to bolster control of tanker degassing operations in France's harbors....

ROUNDING OUT TRANSPORTATION NEWS.
June 26, 2000... ROUNDING OUT TRANSPORTATION NEWS, Northern Border Pipeline reached an agreement in principle with the majority of its customers and FERC to settle its pending rate case. Terms of the settlement are confidential until a stipulation and...

Letters.
June 26, 2000... ANWR Regarding OGJ's June 5, 2000, editorial stating that a public that is energy literate will support a stable policy on ANWR. That public may say that in spite of improving domestic supply it still does not want ANWR open and it is...

Antecedents.
June 26, 2000... In May 2002, Oil & Gas Journal will observe its first century. To help the industry make sense of swirling events and conflicting reports, Holland S. Reavis began in 1902 a tradition of serving readers honestly. His Oil Investors'...

Industry's spirit of compromise.
June 26, 2000... A troubling coincidence this month maps out a difficult future for the oil and gas industry While speakers at the World Petroleum Conference in Calgary tip-toed around political issues under threat of physical protest, a genuine political...

Myanmar's upstream sector hobbled by pipeline controversy poor E&D results.
June 26, 2000... After a string of large offshore gas discoveries in the early 1990s brought it out of a long doldrums, Myanmar's oil and gas sector is sputtering once again. The main culprits are tensions between state oil company Myanma Oil & Gas...

Myanmar sanctions.
June 26, 2000... The US Supreme Court has eased one of the headaches for US companies active overseas. The court affirmed the supremacy of the US federal government in foreign policy considerations. In Crosby vs. the National Foreign Trade Council,...

Latest crude oil price cycle offers lessons, insights.
June 26, 2000... The peaks and valleys seen in oil prices the past 4 years offer insight into lessons learned in the oil price downturn of 1998-99 and future demand trends in the US market, says the Federal Reserve Bank in Dallas. Writing in the bank's...

Caspian Sea nations closer to territorial accord.
June 26, 2000... Moscow appears to be softening slightly its stance on division of the Caspian Sea territory among the states that border it. But it remains to be seen how quickly the five littoral states--Iran, Russia, Kazakhstan, Azerbaijan, and...

WPC: Deep water holds industry's greatest challenges, opportunities.
June 26, 2000... Deepwater theaters offer the world's best promise for finding and developing major oil and gas discoveries. That was the consensus of an international panel of deepwater specialists at the World Petroleum Congress in Calgary earlier this...

Canadian companies continue to ride merger wave.
June 26, 2000... A couple of large deals comprise the latest crest of the mergers and acquisitions wave in Canada. Soon to be transformed or disappear altogether are these well-known Calgary names: Husky Oil Ltd., Renaissance Energy Ltd., Ranger Oil Ltd.,...

PERSONNEL MOVES AND PROMOTIONS.
June 26, 2000... US research organizations get new leadership New leadership is taking the reins at two key oil and gas industry research-support organizations based in the US. A new management team is taking shape at Gas Technology Institute, the...

Two British Columbia basins may be opened for exploration.
June 26, 2000... British Columbia has proposed to open two new land basins for oil and gas exploration. Discussions are at a very early stage, but Provincial Minister of Energy and Mining Dan Miller said he will begin consulting with the communities of...

Infill drilling land use issues heat in SW Colorado.
June 26, 2000... Applications for infill drilling for coalbed methane in Ignacio-Blanco gas field and a proposed national monument are raising land use issues in southwestern Colorado. BP Amoco and numerous other operators proposed to drill more than 600...

Firms to reactivate developed oil field in Azerbaijan.
June 26, 2000... Commonwealth Oil & Gas Co. Ltd. sold an 11% holding in the exploration, development, and production sharing agreement for the Southwest Gobustan oil and gas concession in Azerbaijan to a unit of Oklahoma-based Sooner International Petroleum...

Australia.
June 26, 2000... Empire Oil & Gas NL's hopes for the Central Rough Range 1 wildcat on the Exmouth Peninsula have been dashed. The well intersected the main target Birdrong sandstone reservoir below the oil/water contact when compared to the nearby Rough Range...

Brazil.
June 26, 2000... Devon Energy Corp. and Chile's state Sipetrol plan to spud a wildcat on Block BSEAL-4 in the Sergipe-Alagoas basin off northeastern Brazil. Sipetrol's expenditures on the block are $4 million for seismic data and $6 million in the well,...

Czech Republic.
June 26, 2000... Geocan Energy Inc., Calgary, and Czech companies Unigeo a.s. and Ceska Naftarska Spolecnost s.r.o. signed a letter of intent to exploit the 37,000-acre Rostin Block 220 km southeast of Prague. The environment ministry issued the firms a...

Namibia.
June 26, 2000... Vanco Energy Co. Houston, plans to run 3D and 2D seismic surveys later this year on its license blocks off West Africa, including 8,93 1-sq-km license Area 1711 awarded in mid-June. Block 1711, in the Namibe basin, is partly onshore and...

Oman.
June 26, 2000... Berkley Petroleum Corp., Calgary, joined a Phillips Petroleum Co. group that plans to explore 4.2-million-acre Block 38 and 4.6-million-acre Block 36 in southwestern Oman. Berkley said the scope of leads and prospects identified as of...

Romania.
June 26, 2000... Paladin Expro Ltd. and Sterling Resources Ltd., Calgary, acquired 1,600 km of high-resolution 2D seismic data on Black Sea blocks XIII and XV off Romania. Sterling, with 20% interest, said the main goal of the program was to obtain a...

Arizona.
June 26, 2000... Ridgeway Petroleum Corp., Calgary, said it could ultimately generate $55 million/year or more in emission tax credits from its St. Johns anticline reservoir in eastern Arizona and western New Mexico by producing helium and carbon dioxide and...

Florida.
June 26, 2000... Plains Resources Inc., Houston, plans to sell most of its interests in oil fields previously acquired from Exxon Corp. in the South Florida basin Cretaceous Sunniland lime trend. Its Calumet Florida Inc. unit operates Raccoon Point,...

Tennessee.
June 26, 2000... Kingsport enacted a city ordinance that granted a subsidiary of Tengasco Inc., Knoxville, 20-year franchise authority to serve residential, commercial, and industrial customers and construct pipelines in the city flints. Tengasco plans...

Redevelopment aims to stabilize, hike oil production from Romashkinsky.
June 26, 2000... Redevelopment of AO Tatneft's operated multireservoir Romashkinsky oil field, in Tatarstan, Russia, aims not only to stabilize oil production but possibly increase it. The plan is in place, although low oil prices during the last few...

Pitting, tensile overloading produce most coiled-tubing failures.
June 26, 2000... A survey of coiled-tubing failures in various field applications shows that pitting and tensile overloads induce the greatest number of coiled-tubing failures. Fatigue and weld area failures incurred the next most common type followed by...

Replacement module set on Petronius.
June 26, 2000... Saipem's S7000 derrick barge used one of its two 7,700-ton capacity cranes to set the 3,850-ton south deck module on the Petronius compliant tower on Apr. 28, 2000. The new module replaced the original $70-million module that was dropped and...

Siam Cement plans Thai petrochemical expansions.
June 26, 2000... Cementhai Chemicals, part of Thailand's Siam Cement Group, is embarking on a $410 million investment plan to expand its petrochemical production capacities in Thailand. The investment forms part of the Thai firm's stepped-up strategy to...

Ethanol, MTBE polluting Lake Tahoe.
June 26, 2000... Plagued by leaks of both ethanol and methyl tertiary butyl ether (MTBE) from gasoline service stations that are polluting groundwater sources, the Lake Tahoe, Calif., resort area is headed into another summer of water use restrictions. ...

Australian major updates 3,600 b/d HF alkylation unit.
June 26, 2000... The Caltex Oil refinery in Brisbane, Australia, upgraded its hydrofluoric acid (HF) alkylation unit at the end of 1998 to improve safety measures. The upgraded alkylation unit, operated under license from Phillips Petroleum Co., Bartlesville,...

Japan refiners should reap consolidation rewards soon.
June 26, 2000... The sharp rise in crude oil prices over the past year has prevented Japan's oil refiners from seeing the full benefits of the extensive restructuring that they have undertaken. Most of them have revised downwards their profit estimates...

Varied pipeline conditions complicate mitigation strategies.
June 26, 2000... Statoil has initiated a comprehensive, pipeline-integrity management system for corrosion protection of buried onshore pipeline systems, taking into account the unique operation and environmental characteristics of various systems. The...

Worldwide gas processing rides industry wave into 2000.
June 26, 2000... The new century began on a very upbeat note for worldwide gas processing. Buoyed by rising world energy markets leading into 2000, Canada led the way in 1999 in increasing inlet-gas capacity and NGL production and further solidified...

Continued LPG demand growth changes historical trade patterns.
June 26, 2000... The last 15 years have seen world LPG demand growth outpace total petroleum demand. For 1985-2005, Purvin & Gertz estimates that total LPG demand growth will average over 3.5%/year, while total petroleum demand over this same period will...

Hunting Oilfield Services.
June 26, 2000... Hunting Oilfield Services, Houston, Tex., has formed a new e-commerce web site called OilfieldShop.com, of which it is a founding partner. Jim Johnson has been named president of OilfieldShop.com. The new web portal is focused on the...

International Alliance Group (IAG).
June 26, 2000... International Alliance Group (IAG) has named Harvey L. McQuiston director of project development. McQuiston will oversee business development projects at IAG. McQuiston has more than 28 years of experience, with 16 of those years spent...

Licenergy (LIC) and Wright, Logue & Associates (WLA).
June 26, 2000... Licenergy (LIC) and Wright, Logue & Associates (WLA) have merged. Both companies are suppliers of software solutions to the gas and liquids pipeline industries with significant synergies in bringing their product lines together for a total...

Zurich Global Energy.
June 26, 2000... Zurich Global Energy has named Denis H. Smith senior vice president of claims. Smith will be responsible for maintaining global claim integrity in concert with Zurich Global Energy's core philosophy. He will report to Pete Connors, president...

Crowley Maritime Corp.
June 26, 2000... Crowley Maritime Corp., Jacksonville, Fla., has named Nancy Ritter vice president of information technology. She replaces Bob Mobler, who retired from that position. Ritter is responsible for all aspects of the corporation's information...

Synthesizing New Ideas in the Energy Information Complex.
June 26, 2000... Over the past eighteen months, the energy industry in North America and the EU has seen a virtual fireworks show of new Internet enabled applications offered up by a growing number of companies, from entrepreneurial upstarts through giant...

Next Great Productivity Breakthrough in Upstream Oil & Gas.
June 26, 2000... Executive Summary. To date, the industry has focused on integrating E&P tasks and disciplines to streamline the technical process of finding, exploiting and managing hydrocarbon reservoirs. The next great productivity breakthrough in upstream...

Railways and Rolling Stock for the New Economy.
June 26, 2000... The numbers are impressive, and the prognosticators do have a track record. According to a recent Solomon Smith Barney white paper, B2B 'e-commerce in all of its present forms and functions have the potential to cut E&P industry operating...

Creating an E-Commerce Strategy.
June 26, 2000... PennWell has been covering the issues and opportunities in the new world of e-commerce for the energy sector since its advent on the industry stage in the late 1990's. Through our print and e-publications and conferences, we continue to...

The Calm Before the Storm.
June 26, 2000... With the bloom fading from hot tech and dot.com stocks, investors are turning to the business-to-business marketplace as the next frontier of opportunity. For all the glamour and hype of business-to-consumer eCommerce, it is the...

Increasing Efficiencies, Services and Economics.
June 26, 2000... Tired of forgetful customers who fail to remember to sign or enclose their checks in their payment envelope Exasperated with end-users that insist on scrawling illegible service questions on their energy bills? It's true that even the most...

It's All About Information.
June 26, 2000... One Friday afternoon, the president of a large electronics store, with thousands of locations coast-to-coast, logged onto his computer to learn how his company performed. Not just on a stock exchange. With only a few clicks, up popped a...

US INDUSTRY SCOREBOARD -- 6/26.
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OIL STOCKS OECD [*] COUNTRIES.
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WORLDWIDE GAS PROCESSING.
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WORLD SULFUR PRODUCTION.
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API IMPORTS OF CRUDE AND PRODUCTS.
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API CRUDE AND PRODUCT STOCKS.
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API REFINERY REPORT--JUNE 16, 2000.
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OGJ CRACK SPREAD.
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OGJ GASOLINE PRICES.
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REFINED PRODUCT PRICES.
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BAKER HUGHES RIGH COUNT.
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SMITH RIG COUNT.
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OGJ PRODUCTION REPORT.
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U.S. CRUDE PRICES.
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WORLD CRUDE PRICES.
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AGA NATURAL GAS STORAGE [*].
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WORLD OIL BALANCE.
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US PETROLEUM IMPORTS FROM SOURCE COUNTRY.
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OECD [*] NET OIL IMPORTS.
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