Companies in the news

Exxon South Caspian Ltd. signed an exploration and production-sharing contract with State Oil Company of the Azerbaijan Republic (SOCAR) for 15% interest to explore the Alov exploration block, formerly referred to as the Abikh Trend. The 550-sq mi tract is about 110 mi south-southeast of Baku in water depths ranging from 1,312 to 2,952 ft.

TIW Corp. purchased the assets of the liner hanger division of ENACO P.L.C., a division of Tuboscope UK Ltd. The name was changed to TIW (UK) Ltd.

Oil Technology Services, Inc., its sister company Onca Petroleum Development, Inc., and B. T. Operating, Inc., signed a production-sharing contract for Block A-2-96 in Guatemala’s southern Peten basin. The 70,000-acre block is bounded on the south, east and north by producing fields with reserve estimates of up to 15 million bbl of oil per field and on the northwest in Mexico by a 4,400-bopd shut-in discovery.

Chevron announced the relocation of employees in its technology unit in La Habra, California, primarily to the San Francisco Bay Area, to achieve more efficient coordination with internal customers and reduce costs. About 330 scientists, engineers and technical support people will be moved to Chevron’s professional offices in San Ramon, and its technology center in Richmond, California.

Weatherford International will market progressing cavity pumping (PCP) systems to YPF S.A. in the west and south regions of Argentina for five years. Meanwhile, Weatherford and GE Capital formed a joint venture between their compression groups. The new Weatherford Global Compression Services is 64% owned by Weatherford and 36% owned by GE Capital.

Collins & Ware, Inc., acquired four major producing properties and other minor production properties in Nueces County, about 30 mi southwest of Corpus Christi, Texas. The purchase adds 12.3 million bbl of oil and 223.3 Bcfg to its proven reserves, significantly changing the firm’s reserve mix from about 75% oil and 25% gas to 45% oil and 55% gas. Output from the properties is 500 bpd of oil and condensate, 26.8 MMcfgd and 1,100 bpd NGL.

Western Geophysical will market offshore Minh Hai non-exclusive seismic data for PetroVietnam, including over 3,728 mi of non-exclusive 2-D offshore data. Gravity and magnetic surveys are available covering both the offshore South Nam Con Son and Mekong Delta basins.

Morrison Middlefield Resources Ltd. has prepared its preliminary development plan for onshore Saltfleetby gas field on the UK east cost. Two development wells are planned before first production. Gas will be shipped via pipeline to the Theddlethorpe plant about five miles from the field. Output of 33 MMcfgd and 1,500 bpd of NGLs is expected in the first year.

MERA Petroleums Inc. discovered two excellent gas wells yielding about 6 MMcfgd in North Darwin field, north of Edmonton, Canada.

Dynamic Graphics, Inc., opened a Bakersfield office to serve customers in the California area.

United Heritage Corp. acquired an option for over 3,200 acres in Minerva-Rockdale field, Milam County, Texas. During the 120-day option term, the firm will operate the leasehold, evaluate the field’s 200 wellbores and 33 producing wells and update the 1995 estimate of 56 million bbl of oil-in-place reserves.

Cal Dive International subsidiary Energy Resource Technology, Inc., acquired interests in ten blocks involving seven separate fields from Sonat Exploration Co. Located in water depths of 40–150 ft, the properties lie between High Island and the Ship Shoal area in the Gulf of Mexico. With this acquisition, ERT now owns interests in 21 offshore leases. Ten platforms, nine caissons and 76 wells are producing about 9.5 MMcfgd and 600 bopd. ERT will operate all seven fields.

Santos Ltd. acquired a 31% interest in PDL 1 in Papua New Guinea, containing the majority of the Hides gas field. Estimated proven and probable reserves are about 5 Tcf.

Mobil Corp. replaced 165% of its production with new proved reserves in 1998 at an average finding cost of $3.70/bbl. Since 1997, the firm has replaced about 148% of its production with an average finding cost of about $4.20/bbl. Proved reserves in 1998 were 7.6 billion boe, up 408 million boe from 1997. Output was 625 million boe for 1998, resulting in a reserve life of just over 12 years. Additions to proved reserves totaled 1.0 million boe from exploration and extensions and other additions, 417 million boe from revisions to ongoing projects, less 25 million boe from purchases and sales.

Dundee & Angus Oil Venture Group formed a new company named ODIN (Caledonia) Ltd. to concentrate on deepwater and ultra-deepwater applications for its pipeline corrosion-coating technology.

Moncla Well Service Inc. purchased all of the assets of Harris Services, including four daylight rigs, one daylight rig on a keyway barge and one 24-hour rig.

Remington Oil and Gas Corp. announced year-end 1998 reserves were 5.5 million bbl of oil and 52.9 Bcfg, an increase of 24% in oil reserves and 45% increase in gas reserves at a replacement cost of $6.29/boe. Output for 1998 was 2.3 million bbl, resulting in a 264% production replacement.

Rising Star Energy, L.L.C. purchased $69 million worth of properties comprising 780 producing wells in 18 fields in West Texas and Eastern New Mexico from Altura Energy Ltd. Proved reserves are estimated to be 15.8 million boe with other possible and probable reserves.

Dominion Energy Inc. acquired San Juan Partners L.L.C., doubling Dominion’s existing production and reserves in the Rocky Mountain region. The firm’s reserves are now about 750 Bcfg. Meanwhile, Dominion Energy announced its intention to make a cash tender offer of about $34 million to acquire Remington Energy Ltd., headquartered in Calgary, Alberta, Canada.

Pogo Producing Co. signed an agreement with Chevron Corp. regarding future exploration and development of Gulf of Thailand’s Block B8/32. The agreement gives Chevron a 46.34% interest in the license and removes a principal precondition to Chevron’s proposed merger with Rutherford Moran Oil Corp. Following governmental approval, Chevron will operate the tract.

Copyright © 1999 World Oil
Copyright © 1999 Gulf Publishing Company