ConocoPhillips Merger Completed
ConocoPhillips has completed the merger of Conoco Inc. and Phillips Petroleum Company, following clearance by the U.S. Federal Trade Commission earlier today. Shareholders of both companies and all U.S. and foreign regulatory authorities cleared the merger earlier this year. ConocoPhillips is the third-largest integrated U.S. energy company. On a global basis, it is the sixth-largest publicly held energy company based on hydrocarbon reserves and production, and it is the fifth-largest global refiner. ConocoPhillips has net proved reserves of 8.7 billion barrels of oil equivalent (BOE), daily oil and natural gas production of 1.7 million BOE, and a refining capacity of 2.6 million barrels per day, and has assets of $75 billion.
ConocoPhillips Reports 3Q Results
ConocoPhillips has reported third-quarter net operating income of $456 million, or 94 cents per share, compared with $373 million, or $1.33 per share, for the same period a year ago. Including special items of $572 million, the company had a loss of $116 million, or 24 cents per share, compared with net income of $364 million, or $1.30 per share, for the same period a year ago. Total revenues were $15.7 billion, versus $6 billion a year ago. "We are extremely pleased with the progress we've made thus far in integrating the operations of Conoco and Phillips," said Jim Mulva, president and chief executive officer. "We continue to work toward finalizing our operating plans and synergy targets, which we look forward to sharing with the investment community on November 22.
USCG to Trial Unmanned Aircraft Systems
The U.S. Coast Guard (USCG) will evaluate unmanned aircraft system (UAS) capabilities, benefits, risks and technical limitations of operating UAS from land and/or off a Coast Guard Cutter in a maritime environment. The USCG said it intends to enter a Cooperative Research and Development Agreement (CRADA) with Conoco Phillips Company for the assessment, under which it will conduct flight testing and evaluation of UASs under a variety of simulated but realistic and relevant real-world maritime operational scenarios, such as ice operations, marine environmental monitoring, marine safety, search and rescue and potentially other coast guard mission sets.
ConocoPhillips and Bechtel Renew Worldwide LNG Alliance
ConocoPhillips and Bechtel Corp. have agreed to renew their collaboration of pursuing worldwide liquefied natural gas (LNG) projects. The collaboration will build upon the recent success of ConocoPhillips as a major owner and participant in the worldwide LNG industry, and Bechtel's recent awards in the engineering and construction of major projects in Trinidad and Egypt. "The ConocoPhillips-Bechtel collaboration continues our commitment to providing our LNG technology while leveraging our position as a pre-eminent participant in the LNG industry worldwide," said Rick Hernandez, ConocoPhillips' manager of worldwide LNG technology licensing.
Artificial Lift Rigless ESP System Approved
The Artificial Lift Company Ltd. (ALC) announced that its Rigless ESP solution developed in cooperation with ConocoPhillips had been approved by the operator for commercialization. ALC has been working closely with ConocoPhillips for more than five years to develop its groundbreaking artificial lift solution for the oil and gas industry. The ALC RIGLESS ESP technology met the commercial terms of the contract with ConocoPhillips and passed the final acceptance test in September 2009. The fully commercialized Rigless ESP system will undergo additional testing with ConocoPhillips in Q1 2010 in West Texas, and the first commercial installation for ConocoPhillips is scheduled for Q2/Q3 2010 in Alaska. (www.alcesp.com)
ENSCO DS-9 Drillship Contract Update
ConocoPhillips today for its convenience provided a notice of termination for the three-year ENSCO DS-9 drillship contract. Under the terms of the contract, ConocoPhillips is obligated to pay Ensco termination fees monthly for two years equal to the operating day rate of approximately $550,000, which may be partially defrayed should Ensco re-contract the rig within the next two years and/or mitigate certain costs during this time period while the rig is idle and without a contract.
Darwin LNG Launches Sell Tender
Australia's Darwin liquefied natural gas (LNG) export plant, operated by Conoco Phillips, has launched a tender to sell one cargo loading April 6-7, according to traders familiar with the matter. The 3.5-million-tonne-per-annum facility has asked sellers to arrange their own shipping requirements, although it is willing to consider delivering the cargo to buyers. Bids are due March 3. Reporting by Oleg Vukmanovic
Luquette Tapped as President of Chevron North America Exploration & Production
Chevron Corporation said that Raymond I. Wilcox, president of Chevron North America Exploration and Production Co., will retire from the company on March 31, 2006, to become president and chief executive officer of Chevron Phillips Chemical Company LLC, a company owned equally by Chevron and ConocoPhillips. Wilcox will be succeeded by Gary P. Luquette, currently managing director of the European strategic business unit of Chevron International Exploration and Production Co., effective April 1, 2006.
Valdez Oil Tanker Tax Ruled Unconstitutional
According to a June 15 report on ktuu.com, the U.S. Supreme Court has struck down a tax the city of Valdez has been collecting from oil tankers. A Conoco Phillips subsidiary, Polar Tankers, fought the tax and the high court ruled the tax unconstitutional. It argued that under a provision known as the "tonnage clause," Valdez must first get permission from Congress for the tax – something it did not do. (Source: ktuu.com)
ConocoPhillips Confirms North Sea Discovery
ConocoPhillips confirmed the discovery of a new gas condensate field in blocks 30/6 and 30/7 in the United Kingdom sector of the North Sea, approximately five miles (nine kilometres) west of the Judy field. ConocoPhillips UK Limited is the Operator and holds a participating interest of 36.5 percent in the new discovery along with ENI SpA (33.0 percent) and BG Group (30.5 percent). Exploration well 30/6-6, which ConocoPhillips drilled earlier this year in a water depth of 265 feet (81 meters), confirmed the presence of a hydrocarbon accumulation. An immediate sidetrack of the well, drilled to a total depth of approximately 16,000 feet (4800 meters) True Vertical Depth Subsea (TVDSS), further delineated the discovery.
U.S. LNG Cargo Shipped From Alaska to Japan
ConocoPhillips ships third LNG cargo from Alaska to Japan. ConocoPhillips (COP) has shipped a third cargo of liquefied natural gas to Japan from the only U.S. LNG plant permitted to sell domestically produced fuel to the Asian country, reports Bloomberg. ConocoPhillips’ license allows it to sell U.S.-produced gas to countries with which the nation has no free trade agreement. The Department of Energy awarded a similar authorization last year to Cheniere Energy Inc. (LNG), which plans a terminal in Sabine Pass, Louisiana. Source: Bloomberg
ConocoPhillips, Qatar Petroleum Sign MOU
ConocoPhillips and Qatar Petroleum International (QPI) announced that the two companies have signed a Memorandum of Understanding (MOU) to pursue and develop international energy projects outside of Qatar. The MOU was signed on behalf of QPI by His Excellency Abdullah bin Hamad Al-Attiyah, Deputy Prime Minister and Minister of Energy and Industry of Qatar, and by James J. Mulva, ConocoPhillips chairman and chief executive officer. Senior officials from both parties also attended the event, including Nasser Al-Jaidah, QPI chief executive officer, and William Bullock Jr., ConocoPhillips president, Middle East and North Africa. "Today's signing marks another milestone in Qatar Petroleum's realizing our ambition of becoming a leading global energy company…
ConocoPhillips Donates $1 Mln to Univ. of Texas, Austin
ConocoPhillips (NYSE: COP) continued its commitment of funding quality higher education at The University of Texas at Austin yesterday with a contribution of $1.185 million. A portion of the donation, $685,000, is intended to support a variety of programs and activities that stimulate interest and professional development among students and faculty in their chosen disciplines within the Cockrell School of Engineering, the McCombs School of Business, the College of Natural Sciences and the Jackson School of Geosciences.
Hornbeck Offshore New Directors, Promotion of Exec Officer
Hornbeck Offshore Services, Inc. (NYSE: HOS) announced today that John T. Rynd and Kevin O. Meyers, Ph.D. have been appointed to its Board of Directors (the "Board"), effective June 23, 2011. Mr. Rynd and Dr. Meyers were appointed to fill the vacancies created by a prior resignation and the Board's decision to increase the number of its directors from seven to eight members. In addition, at the Company's Annual Meeting on June 23, 2011, the shareholders reelected Todd M. Hornbeck and Patricia B. Melcher to the Board. John T. Rynd. Since June 2008, Mr. Rynd, 54, has served as the Chief Executive Officer and President, and as a director, of Hercules Offshore, Inc. (NASDAQ: HERO), a publicly traded global provider of offshore contract drilling, liftboat and inland barge services.
ConocoPhillips Finalizes Agreement with Freeport LNG
ConocoPhillips announced the finalization of its transaction with Freeport LNG Development, L.P. to participate in a proposed liquefied natural gas (LNG) receiving terminal in Quintana, Brazoria County, Texas. ConocoPhillips has acquired 1 billion cubic feet (BCF) per day of regasification capacity in the terminal, has obtained a 50 percent interest in the general partner managing the venture and will provide substantial construction funding to the venture. The terminal is designed with storage capacity of nearly 7 BCF and send-out capacity of 1.5 BCF per day. Natural gas will be transported through a 9.4-mile pipeline to Stratton Ridge, Texas, which is a major point of interconnection with the Texas intrastate gas pipeline system.
ConocoPhillips Marine Donatation to Help LNG Training
SUNY Maritime College has received a corporate donation of $10,000 from ConocoPhillips Marine to advance Maritime’s Liquefied Natural Gas (LNG) training and educational program. Maritime will make upgrades to its liquid cargo simulator, increase the number of student stations within the simulator and purchase software for use in LNG tanker simulations. The program will also be expanded to include product tanker and crude oil tanker operations and training. Anthony Palmiotti ’79, acting chairman of the department of marine transportation (MT) and director of continuing education says this donation is significant “for it provides the seed money we need to develop LNG training and curriculum for our undergraduates…
ConocoPhillips, Hess Profits Rise
ConocoPhillips, Amerada Hess Corp. and Kerr-McGee Corp. posted gains in third-quarter earnings as surging energy prices more than made up for output disruptions caused by Hurricanes Katrina and Rita, Bloomberg reported. Net income at ConocoPhillips, the third-largest U.S. oil producer, jumped 89 percent to a record $3.8 billion, or $2.68 a share, the company said in a statement. Amerada Hess Corp., the No. 5 U.S. oil company, said its profit rose 53 percent to $272 million, or $2.60 a share. At Kerr-McGee, net income soared 48-fold to $359 million, or $3.09 a share. Houston-based ConocoPhillips and New York-based Hess are the first of the seven largest U.S. oil companies to report earnings for a quarter that saw crude, natural-gas and gasoline prices soar to new highs.
ConocoPhillips to Acquire Burlington Resources
Already one of the most aggressive spenders on future supplies, ConocoPhillips CEO James J. Mulva is now poised to make another huge deal: a $30-billion plus acquisition of Burlington Resources (BR), according to a Business Week report. Buying BR would be a giant bet on a red-hot U.S. natural gas market. While Burlington has international operations in Algeria, China, and Latin America, 84% of its reserves are in North America. With U.S. gas prices at record highs, ConocoPhillips is betting that supplies will remain tight for many years, according to the report. The move by ConocoPhillips would round out its expansion strategy. The company recently added capital spending to boost output at its U.S.
Qatar Petroleum and ConocoPhillips Agree to Develop LNG Project
Qatar Petroleum and ConocoPhillips has signed a Heads of Agreement for the development of Qatargas 3, a large-scale liquefied natural gas (LNG) project located in Qatar servicing the U.S. natural gas market. The signing ceremony took place at the Qatari Embassy in Washington, D.C., and was attended by Qatar's Minister of Energy and Industry and Chairman of Qatar Petroleum H.E. Abdullah Bin Hamad Al Attiyah, U.S. Secretary of Energy Spencer Abraham, and ConocoPhillips President and Chief Executive Officer Jim Mulva. The agreement provides the framework for the necessary project agreements and the completion of key feasibility studies. "We welcome this prospect of a long-term partnership with ConocoPhillips," said H.E. Al Attiyah.
ConocoPhillips Put Arctic Drilling Plans on Hold
Regulatory uncertainty leads ConocoPhillips to call a halt to its 2014 Chukchi Sea exploration drilling plans. ConocoPhillips say it will put its 2014 Alaska Chukchi Sea exploration drilling plans on hold given the uncertainties of evolving federal regulatory requirements and operational permitting standards. The company has determined it would not be prudent at this time to make the significant monetary commitments needed to preserve the option to drill in 2014. “While we are confident in our own expertise and ability to safely conduct offshore Arctic operations, we believe that more time is needed to ensure that all regulatory stakeholders are aligned,” said Trond-Erik Johansen, President, ConocoPhillips Alaska.
ConocoPhillips Indonesia Q1 Output Rises
ConocoPhillips Indonesia, a unit of U.S.-based ConocoPhillips , posted an 11 percent rise in crude oil output in the first quarter of this year at 10,000 barrels of oil per day, said Director Daren Beaudo. The firm also said its liquefied natural gas (LNG) output reached 5,000 barrels of oil equivalent per day, up 25 percent from 4,000 bopd a year earlier. ConocoPhillips Indonesia produces crude and gas from its two blocks - South Natuna Sea Block B and Corridor South Sumatra block. Note: Reuters has not verified this story and does not vouch for its accuracy.
PetroChina Takes Stake in Australian Offshore Exploration
PetroChina Company signs agreements with ConocoPhillips to take interests in W. Australian exploration assets & a JSA in China. Under these agreements, PetroChina will acquire 20% interest in the Poseidon offshore discovery in the Browse Basin, and 29% interest in the Goldwyer Shale onshore Canning Basin. In addition, PetroChina and ConocoPhillips will enter into a Joint Study Agreement (JSA) to study unconventional gas resource in the Neijiang-Dazu Block in China’s Sichuan Basin. The agreements still require government and partner approvals. The signing of these agreements marks a significant step toward increased global collaboration between PetroChina and ConocoPhillips.
Oil Platform Hook-up, Commissioning Contract for Kvaerner
ConocoPhillips confirms options in the Eldfisk 2/7 S topside contract for Kvaerner to perform offshore hook-up & commissioning assistance. In March 2011, Kvaerner was awarded a contract by ConocoPhillips to perform engineering, procurement and construction (EPC) of the topside for the Eldfisk 2/7 S platform in the North Sea, with an estimated contract value of NOK 5.5 billion. ConocoPhillips has now confirmed options in the contract to perform offshore hook-up and commissioning assistance, which will add approximately NOK 400 million to the contract value. The topside consists of one combined living quarter and utility module and a combined process and wellhead module, with a total weight of 15,500 tons.