SAN FRANCISCO/HOUSTON (Reuters) – When U.S. natural gas producers release their 2012 annual reports in the next several weeks, many companies may have to drastically reduce a key indicator of their financial health: reserves.
Even though U.S. natural gas prices have bounced away from the decade lows of last April, the country’s Securities and Exchange Commission requires companies to calculate and report year-end oil and gas reserves using 12-month average prices.
(Reuters) – Chevron Corp (CVX.N: Quote, Profile, Research, Stock Buzz), the second-largest U.S. oil company, said on Thursday its fourth-quarter profit would be “notably higher” than the previous quarter as oil and gas output bounced back and it booked a $1.4 billion gain on an asset transaction.
Chevron is also preparing to bring its refinery in Richmond, California, back to full production this quarter, after the crude unit of the 245,000-barrels-per-day plant was badly damaged in an August fire.
Dec 14 (Reuters) – Vacant industrial land
near salt marshes and a derelict rail bridge seem like an odd
setting for the beginnings of a lifestyle revolution in scenic
California, but planners in the San Francisco Bay suburb of
Newark view it as just that.
With an eye on the state’s new land-use laws to cut carbon
output, Newark’s city council just voted to convert 200 acres
owned largely by chemical companies into a development that
should set the trend for a state bent on decarbonizing its
economy, the world’s ninth largest.
Dec 5 (Reuters) – Chevron Corp added $15 billion to
the cost of the Gorgon liquefied natural gas (LNG) export
complex, as the U.S. oil company’s largest single development
joins a growing list of Australian LNG projects to run over
The new $52 billion estimate for Gorgon, now 55 percent
complete, came on Wednesday alongside Chevron’s $36.7 billion
overall 2013 budget for capital and exploratory spending. That
compares with a 2012 budget of $32.7 billion, and is just shy of
the $37 billion annual budget of far-larger Exxon Mobil Corp
Dec 4 (Reuters) – Oilfield activity outside North America
will drive a 7 percent increase in 2013 global energy
exploration and production (E&P) spending to a record high of
$644 billion, according to a Barclays survey.
While budgets will grow 9 percent in international markets
to $460 billion, North America spending will “take a breather”
after years of growth and be roughly flat in 2013, Barclays
found in a survey of more than 300 oil and gas companies.
(Reuters) – Duke Energy Corp’s (DUK.N: Quote, Profile, Research, Stock Buzz) chief executive will step down at the end of 2013 as part of a settlement with North Carolina regulators over the utility’s leadership after it took over Progress Energy.
The dispute began when Duke CEO Jim Rogers assumed control of the combined company after the $18 billion purchase closed in July, even though Bill Johnson of Progress had long been slated to take the helm of what became the largest U.S. power utility.
Nov 18 (Reuters) – Railroads, pipeline companies and
refiners stand to do especially well from a U.S. drilling
bonanza that is upending the energy trade balance for the
world’s largest economy.
An anticipated surge in U.S. oil output to the highest
levels in the world would give a boost to those who move crude
to where it can be turned into finished products and even
WASHINGTON (Reuters) – Federal Reserve Vice Chair Janet Yellen said on Tuesday that U.S. interest rates may need to stay near zero until early 2016 to forcefully lift employment, and she strongly backed adopting inflation and unemployment thresholds to guide policy.
Yellen, viewed as a front-runner to succeed Fed Chairman Ben Bernanke when his term expires in January 2014, argued that an optimal path for U.S. monetary policy would keep rates on hold for longer than expected, at the cost of a bit more inflation.
(Reuters) – Albert Einstein once wrote that he would rather have been a plumber than a physicist because of the independence it would allow him. Faced with the growing power of big oilfield service firms – playfully derided as “plumbers” by some in the industry – many oil men might now feel the same way.
Breakneck expansion across the energy business in the past decade has seriously leveled the global playing field, leaving the oil “majors” exposed to competition in areas where they once reigned supreme.
Nov 13 (Reuters) – Albert Einstein once wrote that he would
rather have been a plumber than a physicist because of the
independence it would allow him. Faced with the growing power of
big oilfield service firms – playfully derided as “plumbers” by
some in the industry – many oil men might now feel the same way.
Breakneck expansion across the energy business in the past
decade has seriously leveled the global playing field, leaving
the oil “majors” exposed to competition in areas where they once