The Oil and Gas Journal articles from October 2001

The Oil and Gas Journal archives from October 2001

OGJNewsletter.
October 29, 2001... Market Movement OPEC faces dilemma The outlook is getting gloomier for oil markets as demand continues to sag in the wake of the Sept. 11 terrorist attacks on the US. The IEA again trimmed its forecast for global oil demand,...

Raymond James & Associates.
October 29, 2001... NORTH AMERICAN drilling activity is expected to continue dropping through early next year and then rebound after the first quarter. That word comes from Raymond James & Associates, which revised its drilling forecast downward because of...

US OIL.
October 29, 2001... US OIL industry executives remain bullish that commodity prices will rise and that drilling activity will rebound in early 2002. That was the conclusion reached by a panel of corporate executives speaking at a recent oil field breakfast...

SENATE REPUBLICAN LEADERS.
October 29, 2001... SENATE REPUBLICAN LEADERS last week were expected to introduce a streamlined energy security bill that includes a provision to lease a portion of the Arctic National Wildlife Refuge coastal plain. The Homeland Energy Security Act of 2001...

UK ENERGY MINISTER.
October 29, 2001... UK ENERGY MINISTER Brian Wilson said his department is considering seven new development projects under the "fallow fields program." Among the most significant developments under the program is BP's Clair field, discovered in the early...

ITALY'S ENI.
October 29, 2001... ITALY'S ENI confirmed what it is calling the "first significant discovery" of oil in the Norwegian Barents Sea. Well 7122/7-1 was drilled on ENI's Goliath field, which lies in 318 m of water 85 km north of Hammerfest. Tests performed on...

Kazakhstan International Operation Co.
October 29, 2001... Elsewhere on the exploration front, Offshore Kazakhstan International Operation Co. (OKIOC) partners drilled the Kashagan East 2 well in the North Caspian Sea to 4,142 m. On a constrained test, the well flowed 7,400 b/d of oil, said...

Kerr-McGee.
October 29, 2001... Kerr-McGee made a gas-condensate discovery at its Red Hawk prospect in the deepwater Gulf of Mexico. The 23,500 ft wildcat, which was drilled in more than 5,300 ft of water on Garden Banks Block 877, encountered more than 135 ft of gas and...

Conoco.
October 29, 2001... Conoco made another oil discovery off Viet Nam. The Sutu Yang (Golden Lion) discovery well was drilled on Block 15-1 in the shallow waters of Viet Nam's Cuu Long basin 120 miles southeast of Ho Chi Minh City. The Sutu Yang IX well tested a...

US INDUSTRY SCOREBOARD -- 10/29.
October 29, 2001... US INDUSTRY SCOREBOARD -- 10/29 4 wk. 4 wk. avg. Change, YTD Latest week 10/19 average year ago [1] % average [1] Demand, 1,000 b/d Motor gasoline 8,768 8,381...

Vintage Petroleum.
October 29, 2001... Vintage Petroleum said its Carapal Ridge No. 1 wildcat drilled on Trinidad's onshore Central Block flowed more than 50 MMcfd of gas and 1,500 b/d of condensate. The flow was from five separately tested intervals totaling 1,000 ft in the...

TOTALFINAELF.
October 29, 2001... TOTALFINAELF plans to develop Carina and Aries gas fields off Tierra del Fuego at a cost of $400 million. TotalFinaElf Austral is operator of the Cuenca Marina Austral 1 consortium, with a 37.5% interest. Partners are Wintershall Energia...

SABOTAGE.
October 29, 2001... SABOTAGE to an oil pipeline early last week has caused the closure of the Warn refinery, said Jackson Gaius Obaseki, group managing director of Nigerian state oil firm NNPC. Obaseki said the Kaduna refinery and petrochemical complex would...

Lukoil.
October 29, 2001... In other refining news, Lukoil won two auctions for stakes in the Nizhni Novgorod (Norsi-Qil) refinery. The Russian company now holds 85.3 6% of the refinery after paying $26 million for the plant and assuming 1.5 billion rubles ($50.8...

RENTECH.
October 29, 2001... RENTECH said it has begun full feasibility study work with Indonesia's Pertamina on a potential 15,000 b/d gas-to-liquids plant in that nation. The small-scale project would use Rentech's proprietary technology to convert Pertamina's...

CNOOC.
October 29, 2001... CNOOC brought Qinhuangdao field on stream in Bohai Bay. Qinhuangdao 32-6 field is scheduled to be in full production at a rate of 65,000 b/d by the middle of next year. Current output is near 20,000 b/d. The field is in north central...

Suncor Energy.
October 29, 2001... In other production news, Suncor Energy said Oct. 18 mechanical problems have forced a 10-day shutdown of its northern Alberta Project Millennium oil sands development. Suncor will repair the fractionator and perform routine maintenance...

Abu Dhabi Marine Operations Co.
October 29, 2001... Abu Dhabi Marine Operations Co. (ADMA-OPCO) awarded a major gas injection project to expand the output of Zakum oil field, the primary Abu Dhabi offshore field. Gas will be moved from giant Umm Shaif field to the Zakum West complex for...

Correction.
October 29, 2001... GlobalView Software Inc., Chicago, was incorrectly reported as being bankrupt (OGJ, Oct. 8, 2001, p. 21). GlobalView is not engaged in or a party to any pending bankruptcy proceedings.

Letters.
October 29, 2001... Oil shortage Twenty-eight years ago, on Oct. 6, 1973, the third Arab-Israeli war occurred since the establishment of Israel in 1948. Shortly after this war started, the US supplied $2.2 billion of special supplemental military aid to...

Celebrating new faces.
October 29, 2001... Any progressing college student, particularly those studying science or engineering, will define success as the semester just completed. The semester ahead is the next big hurdle between him or her and that big job. Each step along the way is...

Oil's rock and hard place.
October 29, 2001... There's one sure way out of squeezes between proverbial rocks and hard places--such as a staffing dilemma now confronting the oil and gas industry The rock is today's market collapse. The hard place is tomorrow's market growth. The...

Climate change policy critical to US energy, economic security.
October 29, 2001... The Kyoto Protocol to the United Nations Framework Convention on Climate Change, negotiated in December 1997, calls for industrial economies such as the US, Canada, Europe, and Japan (Annex B countries) to reduce their collective emissions of...

WEC stresses deepwater, social responsibility trends.
October 29, 2001... Oil and gas companies increasingly are adopting comprehensive programs of social responsibility in their operations worldwide. Such programs are now seen as essential both to good relations in the areas in which industry operates and also...

Chinese pipeline talks.
October 29, 2001... The vast Chinese energy market is about to move to the center stage of world oil industry activity and senior oil company executives are likely to be spending the coming months signing contracts running into billions of dollars. The...

Safety vs. Security.
October 29, 2001... Keeping pipelines operating safely and bolstering national security are not mutually exclusive goals, but given the US government's budget limitations, they could be. The oil industry has been working with key government agencies to...

They paid how much for that producing property?
October 29, 2001... How often have you uttered those words on learning the price of a winning bid for an oil and gas producing property, especially one you have evaluated or even submitted a bid? On many occasions, however, subsequent events justify the...

SOCO's Mongolian exploration program seen as encouraging.
October 29, 2001... SOCO International PLC, London, has concluded its four-well 2001 drilling program in the Tamtsag basin in Mongolia, OGJ Online reported. Ed Story, CEO and President of SOCO, said, "The 2001 drilling campaign in Mongolia confirmed the...

Lundin Petroleum.
October 29, 2001... Lundin Petroleum AB, Stockholm, agreed to take a 40% interest in the Munir Block operated by Edison International, Milan, in the Zagros basin. Edison plans to acquire at least 800 km of seismic data next year and drill three wildcats...

TGS-NOPEC Geophysical Co.
October 29, 2001... TGS-NOPEC Geophysical Co. began a nonexclusive 2D seismic program in the eastern Mediterranean Sea. The company said the state of the art, 6,700 km survey is the first stage of a much larger regional project, named Mega-Med, designed to...

Kerr-McGee du Maroc Ltd.
October 29, 2001... Kerr-McGee du Maroc Ltd., a wholly owned subsidiary of Kerr-McGee Corp., acquired an exclusive reconnaissance permit covering the Boujdour block along the Atlantic margin, OGJ Online reported. The block covers more than 27 million acres,...

Kenham Holdings Ltd.
October 29, 2001... Crown Minerals issued six coalbed methane permits on the South Island to Kenham Holdings Ltd., Christchurch. PEP 38216 covers 86 sq km in the Mataura coal field south of Gore, and PEP 38217 covers 104 sq km in the Ashers-Waituna coal...

Corridor Resources Inc.
October 29, 2001... Corridor Resources Inc., Halifax, NS, farmed out interests in its McCully natural gas discovery area to EOG Resources Canada Inc. Separately, Corridor said the 4 McCully, drilled to 3,150 m TD, encountered gas bearing sands in the Upper...

Miller Exploration Co.
October 29, 2001... Miller Exploration Co., Houston, is developing Pine Grove field on the Moselle salt dome in southwestern Jones County. The discovery well, I Miller-Price, went on line Sept. 27 at 500 b/d of oil and 700 Mcfd of gas on a 14/64 in. choke...

Nance Petroleum Corp.
October 29, 2001... Nance Petroleum Corp., a unit of St. Mary Land & Exploration Co., Denver, was to acquire properties from Choctaw II Oil & Gas Ltd., Houston, for $41 million, closing Dec. 1. The properties, producing 1,200 b/d of oil and 4.6 MMcfd of gas,...

Carrizo Oil & Gas Inc.
October 29, 2001... Carrizo Oil & Gas Inc., Houston, was to start production by late October from a discovery in Goliad County and expects full development to require three more wells. The 2 Riverdale on the Cabeza Creek project area flowed 7.5 MMcfd of gas...

Burlington Resources Inc.
October 29, 2001... Burlington Resources Inc., Houston, and Gasco Energy Inc., Denver, plan to explore and develop seven areas of mutual interest on 332,000 acres in the Greater Green River basin. Burlington at its sole cost is to acquire 180 miles of 2D...

Sincor nears upgrading, plateau production phase.
October 29, 2001... Nearing completion at Jose, an industrial complex on Venezuela's eastern Caribbean coast near Barcelona, is a heavy crude upgrader that is part of a $4.2 billion integrated upstream and downstream project. One-third of the investment is for...

Saudi gas plant site for study of NGL-recovery processes.
October 29, 2001... The Saudi Arabian Oil Co. has long recognized that the natural gas being produced from its fields is significantly richer than gas produced in North America and the North Sea, where the NGL- recovery technologies were primarily developed. ...

O-ring modification on North Sea platform cuts time, expense.
October 29, 2001... Shell UK Exploration and Production, London, saved time and money last year when Furmanite International modified and strengthened an O-ring configuration on an offshore platform in less than 24 hr. Shell Expro operates in the UK sector...

Tariff agreement signals important step for natural gas line to Turkey.
October 29, 2001... Government officials from Azerbaijan and Georgia signed an agreement late last month in Baku that signals another important step toward construction of a gas export pipeline into Turkey. Azerbaijan President Heydar Aliyev and Georgia...

Liquefied natural gas construction projects gain momentum.
October 29, 2001... Interest in LNG regasification terminals and storage capacity is gaining momentum in the US. Several projects, either new-builds or expansions, are under serious consideration. Historically, only about 1% of US natural gas consumption has...

WORLDWIDE CONSTRUCTION.
October 29, 2001... Listed are major construction projects by processing and pipeline categories. Contractors, estimated completion date, and added capacity are provided when available. (*.) Designates projects listed for the first time. Construction...

New trunk mount communication setup.
October 29, 2001... The new TM8GPS trunk mount combines a global positioning system and mobile communications together in a system that provides the user with two way communication capabilities and a GPS receiver. The Micro GPSx receiver is a durable,...

Products monitor, analyze rotating equipment.
October 29, 2001... Now being marketed by DresserRand are stress wave analysis products from Swantech LLC, Fort Lauderdale, Fla., for early detection of damage to rotating equipment. These products promise to identify faults well before other methods, thus...

New machinery alignment kits.
October 29, 2001... A new series of Laser Microgage 1000 alignment kits promises precision mechanical alignment of machinery and equipment used in process operations. Kits feature a compact transmitter and a remote digital receiver. Measurement and...

Lined visual flow indicators.
October 29, 2001... Designed to handle a wide variety of common corrosive chemicals, the new lined visual flow indicators are offered in Teflon PFA and Tefzel models. These new flanged units provide clear viewing and dependable service even at high pressures and...

ABB Low Voltage Products Systems.
October 29, 2001... Wichita Falls, Tex., has announced the acquisition of Lyon, France-based company, Entrelec. Entrelec is a provider of industrial automation and control products that will complement the products of ABB. The company operates in 17...

Anvil International Inc.
October 29, 2001... Portsmouth, NH, has acquired Beck Manufacturing Co. Inc., a manufacturer of steel, PVC, and aluminum fittings. Beck will operate as a stand-alone division of Anvil. Anvil International Inc., a wholly owned subsidiary of Mueller Holdings...

Dunlaw Engineering Ltd. and Flotation Technologies Inc.
October 29, 2001... Aberdeen, UK, and Biddeford, Me., respectively, have announced an alliance to jointly offer their products to offshore and marine markets. Flotation Technologies specializes in low-density, conservatively rated syntactic foams and...

Foster Wheeler Ltd.
October 29, 2001... Hamilton, Bermuda, has named Raymond J. Milchovich president, chief executive officer, and chairman of the board of directors. He will succeed Richard J. Swift, who is retiring. Before joining Foster Wheeler, Milchovich held the same...

Schlumberger Oilfield Services.
October 29, 2001... Houston, has announced its acquisition of Phoenix Petroleum Services, based in Inverurie, Scotland. Phoenix is a provider of tools, technologies, and techniques for optimizing production in artificially lifted wells, particularly those using...

API IMPORTS OF CRUDE AND PRODUCTS.
October 29, 2001... API IMPORTS OF CRUDE AND PRODUCTS Districts 1.4 District 5 10-19 10-12 [1] 10-19 2001 2001 2001 ...

OGJ CRACK SPREAD.
October 29, 2001... OGJ CRACK SPREAD 10-19-01 [*] 10-20-00 [*] Change Change, $/bbl % SPOT PRICES Product value 24.87 40.56 -15.69 ...

API CRUDE AND PRODUCT STOCKS.
October 29, 2001... API CRUDE AND PRODUCT STOCKS Motor gasoline Crude oil Total 1,000 bbl PAD I ...

API REFINERY REPORT -- OCTOBER 19, 2001.
October 29, 2001... API REFINERY REPORT -- OCTOBER 19, 2001 REFINERY OPERATIONS Total Input refinery Crude to crude Operable ...

OGJ GASOLINE PRICES.
October 29, 2001... OGJ GASOLINE PRICES Price Pump Pump ex tax price [*] price 10-17-01 10-17-01 10-18-00 ...

BAKER HUGHES RIG COUNT.
October 29, 2001... BAKER HUGHES RIG COUNT 10-19-01 10-20-00 Alabama 8 7 Alaska 14 11 Arkansas 1 9 California ...

REFINED PRODUCT PRICES.
October 29, 2001... REFINED PRODUCT PRICES 10-12-01 [cts.]/gal Spot market product prices Motor gasoline (Conventional-regular) New York Harbor 59.45 Gulf Coast...

SMITH RIG COUNT.
October 29, 2001... SMITH RIG COUNT 10-19-01 10-20-00 Proposed depth, Rig Percent Rig Percent ft count footage [*] count footage [*] 0-2,500 55 1.8 ...

OGJ PRODUCTION REPORT.
October 29, 2001... OGJ PRODUCTION REPORT 10-19-01 [1] 10-20-00 [2] 1,000 b/d (Crude oil and lease condensate) Alabama 25 27 Alaska 943 ...

US CRUDE PRICES.
October 29, 2001... US CRUDE PRICES $/bbl [*] 10-19-01 Alaska-North Slope 27[degrees] 16.50 South Louisiana Sweet 20.25 California-Kern River 13[degrees] 14.50 Lost Hills 30[degrees] ...

WORLD CRUDE PRICE.
October 29, 2001... WORLD CRUDE PRICE $/bbl [1] 10-12-01 United Kingdom-Brent 38[degrees] 20.50 Russia-Urals 32[degrees] 19.50 Saudi Light 34[degrees] 20.25 Dubai Fateh 32[degrees] ...

US NATURAL GAS STORAGE [1].
October 29, 2001... US NATURAL GAS STORAGE [1] 10-12-01 10-5-01 Change Bcf Producing region 857 842 15 Consuming region east 1,807 1,771 36 Consuming region...

OGJ Newsletter.
October 22, 2001... Everything's changed for oil demand "On the demand side, everything has changed." With these words, IEA sums up the state of the oil market in the aftermath of the Sept. 11 terrorist attacks while noting that, on the supply side,...

FINDING AND DEVELOPMENT.
October 22, 2001... FINDING AND DEVELOPMENT cost increases in the Western Canadian Sedimentary Basin were driven by strong gas drilling and strong oil production replacement rate but were offset by higher input costs, according to Ziff Energy Group. Ziff...

China National Petroleum Corp.
October 22, 2001... CHINA amended its oil and gas legislation earlier this month to allow Sinopec to invite foreign exploration and production companies to bid for onshore oil and gas blocks. Under the previous law, only China National Petroleum Corp. had that...

THE AMERICAN GAS ASSOCIATION.
October 22, 2001... THE AMERICAN GAS ASSOCIATION's recent announcement to discontinue its weekly report on working natural gas effective Jan. 2 had industry speculating over possible cause and effect scenarios as a result of the change (see Watching Government,...

SMALL MARKET CAPITALIZATION.
October 22, 2001... SMALL MARKET CAPITALIZATION exploration and production companies will likely report a decrease in earnings per share of 47% vs. second quarter levels and a decline of 41% vs. a year ago, according to a forecast by Lehman Bros. analyst Jeffrey...

THE UK GOVERNMENT.
October 22, 2001... THE UK GOVERNMENT has ordered a review of all energy research, development, and demonstration activities. David King, the government's chief scientific adviser, will head the evaluation of the level of expenditures on energy related...

QATAR'S RASGAS.
October 22, 2001... QATAR'S RASGAS has awarded a Technip-Chiyoda joint venture a 100 million euro contract to expand the Ras Laffan LNG plant on the northeastern coast of Qatar. The JV will conduct detailed engineering, procurement, and construction for the...

LNG developments.
October 22, 2001... Elsewhere in LNG developments, FERC has given the nod to Williams to reactivate import facilities at its Cove Point LNG terminal in Lusby, Md. That terminal operated during 1978-80 and was partially reactivated in 1995 to provide natural gas...

Royal Dutch/Shell.
October 22, 2001... Royal Dutch/Shell is expected to become the first user of heat exchange technology that was jointly developed by Statoil and Linde. Shell plans to use part of the technology in its North West Shelf LNG project in Karratha, Australia. Statoil...

KVITEBJORN gas-condensate field development.
October 22, 2001... KVITEBJORN gas-condensate field development is progressing off Norway. Statoil has signed well services contracts that will total 400 million kroner, providing that all 11 of the planned wells are drilled in the North Sea field. The...

Petrobras has awarded a unit of FMC Technologies.
October 22, 2001... In other development action, Petrobras has awarded a unit of FMC Technologies an $18 million contract to supply subsea facilities for Albacora Leste field in the Campos basin off Brazil. FMC will supply three subsea water injection manifolds,...

QATAR PETROLEUM.
October 22, 2001... QATAR PETROLEUM has signed a preliminary deal for construction of what could eventually become the world's largest ethane cracker. The 1 million tonne/year plant at Ras Laffan is expected to come on stream in second half 2006. If expanded...

Shell Chemical.
October 22, 2001... Elsewhere on the petrochemicals front, Shell Chemical awarded Halliburton unit Kellogg Brown & Root a contract to debottleneck its olefins plant in Deer Park, Tex. Work will include integrated engineering, procurement, construction, and...

PETROBRAS.
October 22, 2001... PETROBRAS is considering how it might acquire refining capacity abroad. The acquisition might involve US refining capacity, said Petrobras Pres. Henri Reichstul. He emphasized Petrobras is looking for additional capacity but is not...

Petro China.
October 22, 2001... In other refining news, PetroChina unit Jinzhou Petrochemical has begun building a jet fuel hydrotreater in northeastern China's Liaoning Province. The 400,000 tonne/year unit at the 110,500 b/d Jinzhou refinery is expected to be completed in...

INDIA'S OIL & NATURAL GAS CO.
October 22, 2001... INDIA'S OIL & NATURAL GAS CO. is negotiating participation in 14-15 oil exploration properties abroad. ONGC Videsh was investigating projects in Iraq, Algeria, Myanmar, Indonesia, Nepal, Libya, Iran, Russia, Venezuela, the UAE, Sudan, and...

ROCKY MOUNTAIN GAS (RMG).
October 22, 2001... ROCKY MOUNTAIN GAS (RMG) and partners have completed 20 coalbed methane (CBM) wells in Wyoming and plan to drill up to 25 more this fall. Of the total, 16 wells are on Clearmont, Wyo., area CBM properties, and 4 wells are in the Frontier...

Tipperary Oil & Gas.
October 22, 2001... Tipperary inked a deal to sell CBM to Australian company Queensland Fertilizer Assets. At current exchange rates, the deal is worth at least $300 million. Queensland Fertilizer agreed to buy up to 260 bcf of CBM over 20 years beginning in...

WILLIAMS GAS PIPELINE.
October 22, 2001... WILLIAMS GAS PIPELINE has started work on its Sundance expansion project, which includes the retrofit and expansion of four pipeline compression stations in the southeastern US. Service is expected to begin in May 2002. The expansion will...

Mackenzie Delta Producers Group.
October 22, 2001... In other pipeline happenings, the Mackenzie Delta Producers Group signed a memorandum of understanding with the Northwest Territories' indigenous peoples that provides a framework to develop the proposed Mackenzie Valley gas pipeline in...