Silent on acquisitions of new head of BP’s U.S. unit
Source:
By LYNN COOK and KRISTEN HAYS Copyright 2009 Houston Chronicle
The incoming head of BP’s U.S. operations said Tuesday that he’s committed to developing ongoing projects on the continent but was mum about possible future oil and gas acquisitions in a volatile economy.
The company said Tuesday that Lamar McKay will succeed Robert Malone, who announced his retirement effective Feb. 1 as chairman and president of BP America, the Houston-based U.S. arm of the British oil giant.
Malone, 56, led the division through the cleanup of a string of serious blunders that savaged the company’s reputation.
He took the helm of BP America in June 2006, when the company was grappling with operational troubles that had sapped BP’s competitive edge as well as public and investor confidence in the London-based company.
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Indexes Point to Bleakness
By Dirk van Dijk, CFA, Zacks
During such times, turn to stocks like Johnson & Johnson (JNJ) and Exxon Mobil (XOM).
The new year is starting in much the same way that the old year left off, with dismal economic data. The Institute for Supply Management’s Manufacturing Index fell to a reading of 32.4. This is the 5th month in a row that the index has fallen. It is far below the 50 mark that separates expansion from contraction.
As the chart from Briefing.com below shows, it has not been this low for a long, long time. Last month, the total index was at 36.4, a reading that at the time was considered shockingly low. This month’s reading was also well below expectations of 35.0.
Looking at the sub-indexes, there is little reason for optimism.? The new orders index continues to run lower than the production index, as it has for each of the last five months. For December, the orders index was at 22.7, down from 27.9 in November and 48.3 as recently as August. The Production index fell to 25.5 from 31.5 in November and 52.1 in August. The employment index is holding up a little bit better, but is also on a steep downward slope, falling to 29.9 from 34.2 in November and 49.7 in August. Read more
India schedule exploring for oil off shores of Mannar
Dr. Neil De Silva, Director General Petroleum Resources Development Secretariat, said that Cairn India is on schedule exploring for oil off the shores of Mannar.
“They signed the agreement with the government in October and they have six months from then in which to begin explorations for oil,” Dr. De Silva told the Island Financial Review.
“There is a gamut of office related work and preparations that needs to be done before they actually get vessels on the water to conduct seismic research and we hear Cairn India is on schedule,” he said.
Dr. De Silva said that Cairn Lanka (Pvt.) Ltd, a fully owned subsidy of Cairn India, had already called for tenders for various operations in relation to the forthcoming seismic exploration.
Early last July Cairn India was awarded the license to explore for oil in a 3,000 square kilometer block on the sea bed of the Mannar Basin where water depths range from 200 to 1,800 metres.
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BreitBurn Announces Adoption of Unit Purchase Rights Plan
BreitBurn Energy Partners L.P. announced today that the Board of Directors of its general partner, BreitBurn GP, LLC (“BreitBurn GP”), has approved the adoption of a Unit Purchase Rights Plan (the “Rights Plan”) to increase the likelihood that its unitholders receive fair and equal treatment in the event of a takeover proposal.
“The adoption of the rights plan is intended to give the BreitBurn GP board of directors adequate time to respond to any potential unfriendly actions that the current depressed market conditions might encourage,” said Hal Washburn, Co-Chief Executive Officer of BreitBurn GP. “The adoption of similar rights plans has been common practice and is an accepted approach to ensuring that all investors are treated equally.”
Under the Rights Plan, each holder of common units of BBEP at the close of business on December 31, 2008 will automatically receive a distribution of one right representing the right to purchase one additional common unit of BBEP. The issuance of the rights is not taxable to the holders of BBEP’s common units, has no dilutive effect, will not affect BBEP’s reported earnings per common unit, and will not change the way the common units are currently traded. The rights will not trade separately from the common units unless the rights become exercisable.
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Bolivia: Two dead and 29 injured in road accident
Two people died and 29 were injured in traffic accidents caused yesterday on the road to Oruro and the route to the Yungas.
The Transit Operating Agency reported that both incidents were cases of lack of drivers.
The first case was related to detainee subjected to shock and was presented at 4.00 pm in the road linking La Paz to Oruro, at the height of El Thola.
The case involved a bus with plate 949-SCR control of the company “El Dorado”, which was led by Alberto Encinas Rodriguez.
The motorized crashed against the truck with control plate 1199-CER, led by Edwin Florencio Quispe.
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Indonesia Mining Energy : Premier Oil Announces Signature of Gas Transportation Agreement
Further to the signing of three Gas Sales Agreements (GSAs) for gas sales from the Premier operated West Natuna Sea Block A Production Sharing Contract (PSC) area to Batam Island in Indonesia and to Singapore, Premier and its PSC co-venturers are delighted to announce that a fully termed Gas Transportation Agreement (GTA) was signed in Jakarta earlier today for the gas deliveries to Singapore and that further agreements for the gas deliveries to Batam are expected to follow shortly.
These gas supplies will fulfill the energy needs of the economically growing Batam region and sales to Singapore will add further economic value from West Natuna for the Government of Indonesia.
One of the GSAs is for gas into the Singapore market and this newly signed GTA provides contractual rights to transport gas in excess of the delivery volumes. The GTA was agreed among all of the West Natuna Transportation System (WNTS) pipeline partners. Read more
Marathon Awarded Second Indonesian Offshore Exploration Block
Marathon Oil Corporation announces that its subsidiary, Marathon Indonesia New Ventures Limited, has been awarded a 49 percent interest and operatorship in the Bone Bay Block offshore Indonesia.
The Bone Bay Block is approximately 1.23 million acres (or equivalent to 213 Gulf of Mexico lease blocks) and is located predominantly offshore southern Sulawesi Island, in the Bone Bay region. It is a high potential, under-explored area with water depths ranging between 165 to 6,500 feet.
“Marathon is pleased to be awarded the Bone Bay block and we are looking forward to commencing exploration activities in 2009,” said Annell R. Bay, Marathon senior vice president of Worldwide Exploration. “Marathon is committed to a strong exploration program in Indonesia and this block is part of a continued effort to grow our portfolio of large-scale, high-potential blocks in the country.”
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