Message-ID: <14524859.1075860900388.JavaMail.evans@thyme> Date: Tue, 12 Feb 2002 21:41:12 -0800 (PST) From: enerfax@msn.com To: enerfaxgold@yahoogroups.com Subject: Enerfax Gas, Oil, Liquids,Derivatives' prices & info (text) Crude Oil Futures Slide Lower Mime-Version: 1.0 Content-Type: text/plain; charset=ANSI_X3.4-1968 Content-Transfer-Encoding: 7bit X-From: enerfax1 X-To: EnerfaxGOLD@yahoogroups.com X-cc: X-bcc: X-Folder: \Kim_Watson_Mar2002\Watson, Kimberly\E-mail Bin X-Origin: Watson-K X-FileName: kwatson (Non-Privileged).pst Enerfax GOLD NORTH AMERICA'S FREE? GAS, OIL, LIQUIDS & DERIVATIVES INFORMATION SOURCE Wednesday, February 13 2002? No. 482 Visit our website at: http://www.enerfaxgold.com PETROLEUM PRICES ??? | Bonny Light | $21.28 | Brent | $21.18 | Butane | $ 0.40 | Fuel Oil #2 | $ 0.54 | Louisiana | $21.34 | Medit. | $20.18 | Propane Non-tet | $ 0.31 | Propane Wet-tet | $ 0.31 | W. Tx Int Cush | $20.74 | W. Tx Sour | $19.58 | Euro in US equiv | 0.8769 ------------------------------------------------------------- Todays Petro Bulletins * Big Speculators Cut NYMEX Futures Net Short Crude Oil Positions * API Says Gasoline Stocks Up 1.662 Million Barrels Last Week * API Says Crude Oil Stocks Up 4.684 Million Barrels Last Week * Murphy Canada to Build Gasoline Stations at Select Wal-Mart Canada Stores * Nexen Shares fell More than 3% Yesterday After a US Warning of Possible Attacks in Yemen * Tesco Shares 11% Higher on Drilling Rig Deal * Equilon Portion of Capline Pipeline Not Full for March * BP CEO Browne Says He Expects to Stay 7 More Years Until Retirement Age * BP Says Its Off-Balance Sheet Items Limited and Reported * BP Sells Yorktown, VA Refinery to Giant Industries for $127.5 Million Plus Inventory Value of $42 Million ------------------------------------------------------------- OPEN SEASON SG Resources Mississippi, L.L.C., a wholly owned subsidiary of SGR Holdings, L.L.C., is conducting an open season for firm storage services at its new high-deliverability, salt cavern, natural gas storage facility, known as the Southern Pines Energy Center. The open season will begin at 9:00 a.m. CDT on February 4, 2002, and will continue until 5:00 p.m. CDT on March 4, 2002. The project is located at the border of Mississippi and Alabama with access to the major pipelines serving the Mid-Atlantic and the Southeastern United States. The facility is ideally located to serve as a transportation and storage hub for shippers on any one of nine major pipelines that will be interconnected directly or indirectly to the project. Information on the facility and the Open Season is available on our web site at http://www.sgr-holdings.com or contact us at 713-914-8188 -------------------------------------------------------------- NYMEX - NY Harbor Heating Oil? ? ? ? ? ? Month ??High ??Low? ? Last ? Change Mar 02 0.5660 0.5435 0.5460 -0.0159 Apr 02 0.5680 0.5480 0.5499 -0.0163 May 02 0.5690 0.5500 0.5514 -0.0163 Jun 02 0.5710 0.5540 0.5549 -0.0168 Jul 02 0.5720 0.5580 0.5599 -0.0168 Aug 02 0.5842 0.5650 0.5674 -0.0168 Sep 02 0.5910 0.5759 0.5759 -0.0168 Oct 02 0.6000 0.5844 0.5844 -0.0173 Nov 02 0.6080 0.5924 0.5924 -0.0173 Dec 02 0.6160 0.5994 0.5994 -0.0178 ------------------------------------------------------------- NYMEX Crude Oil Futures ($ / Barrel) Month ?Open ?High ??Low ?Last Change Mar 02 21.00 21.50 20.67 20.73 -0.68 Apr 02 21.50 21.80 21.05 21.12 -0.69 May 02 21.60 21.85 21.15 21.26 -0.68 Jun 02 21.60 21.85 21.25 21.27 -0.68 Jul 02 21.50 21.70 21.24 21.24 -0.68 Aug 02 21.50 21.68 21.21 21.21 -0.68 Sep 02 21.50 21.68 21.18 21.18 -0.68 Oct 02 21.43 21.52 21.16 21.16 -0.67 Nov 02 21.40 21.50 21.14 21.14 -0.66 Dec 02 21.30 21.60 21.12 21.12 -0.65 ------------------------------------------------------------- Crude Oil Futures Slide Lower Crude oil futures for March delivery on the NYMEX dipped $0.68 to $20.73 per barrel yesterday as traders waited for the latest weekly inventory data. Many expect the API to show that oil inventories grew by at least 1.5 million barrels last week. However, supplies of gasoline are expected to show a small decrease because of production cuts by refineries. Heating oil inventories were also expected to drop as many expected that winter weather last week boosted demand. Fears that government-procured additions to the SPR could lower short term supplies fueled a big jump in crude prices on Monday, but appear to have lessened. Concerns that OPEC and non-member producers will not abide by their production cuts offered little support to the market. According to Platt's, OPEC is moving closer to compliance with their quotas. Platt's said that January production by the cartel, excluding Iraq, was still more than 1 million bpd over their limits, but 640,000 bpd below Decembers exports. Heating oil futures for March delivery on the NYMEX fell $0.0159 to $0.546 per gallon. March gasoline futures on the NYMEX slid $0.0181 to $0.6019 per gallon. In London, Brent crude oil futures for March delivery on the IPE were down $0.98 to $20.46 per barrel. ------------------------------------------------------------- NYMEX Henry Hub Natural Gas Futures 12 Month Strip ?2.6872 +0.0389 ? ? ? 18 Month Strip ?2.7678 +0.0329 ? ? | Month | High | Low | Close | Change | | MAR | 2.345 | 2.265 | 2.305 | +0.019 | | APR | 2.400 | 2.325 | 2.369 | +0.024 | | MAY | 2.470 | 2.395 | 2.444 | +0.032 | | JUN | 2.530 | 2.475 | 2.507 | +0.032 | | JUL | 2.580 | 2.530 | 2.565 | +0.037 | | AUG | 2.630 | 2.575 | 2.615 | +0.040 | | SEP | 2.630 | 2.570 | 2.617 | +0.040 | | OCT | 2.660 | 2.605 | 2.644 | +0.044 | | NOV | 2.880 | 2.820 | 2.862 | +0.047 | | DEC | 3.070 | 3.010 | 3.066 | +0.050 | | JAN | 3.170 | 3.110 | 3.156 | +0.050 | | FEB | 3.110 | 3.065 | 3.096 | +0.051 | ------------------------------------------------------------- S&P Places PDVSA on CreditWatch S&P has placed the senior unsecured notes of PDVSA Finance, a subsidiary of state-owned Petroleos de Venezuela, on CreditWatch with negative implications, after placing the credit rating of Venezuelas currency, the sovereign, on CreditWatch with negative implications. The CreditWatch affects $3.6 billion of US dollar-denominated notes and 200 million in euro-denominated notes. The rating on the PDVSA Finance notes will depend on S&P's assessment of changes in the level of sovereign risk and the extent to which the structure mitigates such sovereign risk. While a downgrade of the sovereign would not trigger an automatic downgrade of PDVSA Finance, the level of political control and influence of the government on PDVSA makes such an action likely. On a separate note, the recent news regarding the breach of contract brought claim against PDVSA by its joint venture partner, Lyondell Chemical, also underscores the sovereign risk inherent in public sector cross border future flow transactions. S&P is reviewing PDVSA's claim that the lawsuit will not have a have a material effect on it. While the lawsuit was not the reason for the CreditWatch placement, when reviewing sovereign risk for a structured transaction supported by government-owned assets, S&P takes into consideration the public sector entity's unwillingness or inability to abide by its agreements or contracts because of shareholder pressure. This is true for PDVSA Finance, since as of December 31, 2001, up to 29% of the exports supporting PDVSA Finance's debt were sold to wholly owned subsidiary, CITGO Petroleum and a further 32% were sold to joint venture partners. S&P believes that during a sovereign stress scenario there is a greater likelihood that PDVSA would violate its agreements and redirect export revenues from CITGO, and to a lesser degree, its joint venture partners, than from nonaffiliated companies. Also, S&P has been notified by PDVSA that it is planning to cut production in March 2002, which could reduce crude oil deliveries to its joint venture partners and other customers by as much as 20%. While the cuts are expected to lead to lower debt service coverage levels, the extent of any reduction in coverage levels will depend on the effect the cuts have on future oil prices. S&P will continue to monitor coverage levels, which although declining, continue to be strong, with the ratio of exports revenues to debt service at a very comfortable 19 times in January 2002. ------------------------------------------------------------- ??GET REAL about energy risk management with KWI In today's fast moving energy markets you need to be able to manage risk in real time. That means knowing before you hit a risk problem, not afterwards when it may be too late to prevent big losses spreading right through your enterprise. With kW3000(tm), our multi-commodity, integrated front to back office software, you can monitor your Profit At Risk(tm), counterparty risk and mark-to-market all in real time. Keep alert to risk. Do it in real time. Call KWI -http://www.kwi.com/ Americas: +1-281-681-3301 / Europe: +44 (0) 20-7386-2700 / Asia Pacific: +61(0) 2-9976-6111 ????? ------------------------------------------------------------- Shell Says Enron Vindicates Management Style The Enron crisis has changed the way analysts view Royal Dutch/Shell, silencing critics who once dismissed the it as an anachronism in an era of fast-paced energy traders, according to Shell Chairman Phil Watts at the Cambridge Energy Research Associates conference. Two or three years ago there was a fad and a fashion about and we were being criticized for being a bit too conservative, a bit too slow, a bit too capital-intensive, he said. Watts rejects the suggestion that Shell's large cash resources need to be spent. However, he says that the company has made it absolutely clear that acquisitions, divestments, mergers as well as organic growth are all part of the number of opportunities that we can take to grow value in the company. Watts described Shell as a believer in oil industry consolidation. ------------------------------------------------------------- IPE-Brent Crude futures (US $/barrel) Month ?First ?High ?Low ??Sett ?Chg MAR 02 20.95 21.38 20.40 20.46 ?0.98 APR 02 20.90 21.20 20.50 20.60 ?0.68 MAY 02 20.90 21.22 20.70 20.74 ?0.64 JUN 02 20.69 21.00 20.45 20.53 ?0.59 JUL 02 20.80 20.90 20.43 20.43 ?0.59 AUG 02 20.80 20.88 20.41 20.41 ?0.63 SEP 02 20.81 20.84 20.40 20.40 ?0.66 OCT 02 20.80 20.80 20.39 20.39 ?0.69 NOV 02 20.38 20.38 20.38 20.38 ?0.72 DEC 02 20.53 20.83 20.37 20.37 ?0.75 ------------------------------------------------------------ NYMEX-Mont Belvieu Propane Gas Futures($ / Gallon) Month ? ?High ??Low ??Last ? Change Mar 02 0.3150 0.3140 0.3150 +0.0075 Apr 02 0.3175 0.3115 0.3175 +0.0075 May 02 0.3175 0.3100 0.3175 +0.0075 Jun 02 0.3200 0.3025 0.3200 +0.0075 Jul 02 0.3200 0.3000 0.3200 +0.0075 Aug 02 0.3225 0.3100 0.3225 +0.0075 Sep 02 0.3375 0.3125 0.3375 +0.0075 Oct 02 0.3375 0.3150 0.3375 +0.0075 Nov 02 0.3400 0.3175 0.3400 +0.0075 Dec 02 0.3400 0.3250 0.3400 +0.0075 ------------------------------------------------------------- BP 4th Quarter Earnings Dip 62% BP has reported that 4th quarter earnings fell 62% to $1.06 billion, or $0.05 per share, from $2.8 billion, or $0.12 per share a year ago due to a decline in energy prices. However, it also says that its oil and natural gas production grew by 5.5% last year, more than double that of Royal Dutch/Shell, which had a 2% increase. ExxonMobil's production was up by 1%, which does not include problems in Indonesia because of political turmoil. BP said it has about $5.8 billion in off the books debt, in addition to $21 billion of debt on its books and that the items are included in BP's annual report. BP contends that the off the balance sheet debt is transparent and as such very different from special purpose vehicles. BP said it found almost twice the amount of oil it produced in 2001 through the discovery of new fields and improved recovery rates at existing sites. Shells new reserves were only about 74% of its 2001 production. Despite the higher production, profits from oil and natural gas production were cut in half to $2.37 billion. BP received an average $17.72 per barrel for its oil, 37% below a year ago, and $2.28 per Mcf of natural gas, a drop of 39%. This year, BP is aiming at $1.4 billion in performance improvements, with $600 million of that total to come from the chemicals unit due to higher sales and a 9% cut in costs. Excluding one-time charges, the chemicals unit lost $67 million. BP plans to cut costs at the unit by $250 million this year, partially through job elimination. It will also reduce spending to $800 million from $1.2 billion last year at the unit. BP expects to invest $12-$13 billion this year, lower than last years $13.2 billion, excluding acquisitions. More cutbacks are in store for the oil and natural gas exploration unit, where BP has already cut 120 job in Alaska and 70 in Canada. Revenue in the 4th quarter fell by 21% to $42 billion. BP raised its quarterly dividend by $0.0575 per share, up 10% from a year earlier. ------------------------------------------------------------- IPE - ARA Gas Oil Futures $ / Tonne Month ??High ??Low ???Sett ?Change MAR 02 174.50 168.75 173.50 + 9.25 APR 02 175.25 170.25 175.25 + 9.75 MAY 02 176.50 171.75 176.50 + 9.50 JUN 02 178.00 173.50 178.00 + 9.50 JUL 02 179.50 176.50 179.50 + 9.25 AUG 02 181.25 177.00 181.25 + 9.00 SEP 02 183.00 183.00 183.00 + 8.75 OCT 02 184.75 184.75 184.75 + 8.50 NOV 02 185.75 182.00 185.75 + 8.50 DEC 02 186.25 186.25 186.25 + 8.50 ------------------------------------------------------------- NY HARBOR UNLEADED GAS FUTURES Month? ?High ? Low ???Last ??Change Mar 02 0.6210 0.5980 0.6019 -0.0181 Apr 02 0.6900 0.6720 0.6743 -0.0151 May 02 0.6950 0.6780 0.6803 -0.0154 Jun 02 0.6950 0.6780 0.6813 -0.0156 Jul 02 0.6875 0.6755 0.6755 -0.0154 Aug 02 0.6710 0.6630 0.6630 -0.0154 Sep 02 0.6530 0.6440 0.6440 -0.0154 Oct 02 0.6160 0.5815 0.6160 -0.0154 Nov 02 0.6060 0.5810 0.6060 -0.0154 Dec 02 0.6035 0.5860 0.6035 -0.0154 ------------------------------------------------------------- Equilon Buys Oiltanking's Pasadena Products Terminal Equilon has acquired Oiltanking's Pasadena Products Terminal. The facility located near Houston, TX was formerly included in a joint venture between Equilon and Oiltanking. The terminal has a storage capacity of 2.4 million barrels, with connections to Texas Gulf Coast refineries and major outbound products pipelines. Equilon said that the acquisition of the Pasadena Terminal represents its commitment to growing its products business. Equilon will be looking to expand the products storage, blending and transshipping business through the products terminal. Equilon refines and markets Shell and Texaco branded products in 32 Western and Midwestern states and includes nationwide transportation and lubricants businesses. ------------------------------------------------------------- ENERGY. @ENERGY(r), FEA's Complete Suite of Energy Products, BUILT FOR THE FUTURE. *Manage all your energy risks. *Build and Price deals. *Value physical assets (generation, storage, etc.) *Report and reduce your energy risks FEA FINANCIAL ENGINEERING ASSOCIATES Inc. http://www.fea.com/?cId=18 main phone number: 1 510-548-6200 email address: info@fea.com ------------------------------------------------------------- PHYSICAL GAS PRICES? ? ? Gulf/Eastern Region | Agua Dulce | 2.29 | | ANR SE | 2.37 | | Carthage TG | 2.36 | | Chicago Citygate | 2.40 | | Columbia Gulf Onshore | 2.37 | | Dominion South Point | 2.64 | | Henry Hub | 2.39 | | Houston Ship Channel | 2.40 | | Katy Hub | 2.34 | | NGPL LA Pool | 2.35 | | NGPL - Midcontinent | 2.28 | | NGPL STX | 2.32 | | NGPL TX/OK | 2.32 | | NNG Demarc. | 2.33 | | Niagara | 2.65 | | Sonat Tier 1 | 2.37 | | TCO IPP Pool | 2.48 | | Tetco ELa | 2.36 | | Tetco M-3 | 2.86 | | Tetco STX | 2.32 | | TGP Zone 0 | 2.33 | | TGP Zone 1 (500 Leg) | 2.38 | | TGT Zone SL | 2.37 | | New York Citygate | 3.05 | | Transco Station 65 | 2.42 | | Transco Zone 6 (NY) | 3.06 | | Trunk ELa | 2.36 | | Western Region | California Border | 2.40 | | El Paso Keystone | 2.29 | | El Paso San Juan-Blanco | 2.28 | | Waha Hub | 2.30 | | Canadian/Rockies Region | Nova/Aeco (C$/gig) | 3.12 | | Dawn Hub/Union | 2.49 | | Northwest Stanfield | 2.19 | | Wyoming Pool | 2.14 | | Opal | 2.14 | | PGT-Malin | 2.30 | | Sumas | 2.15 | Flow Date 2/13 ------------------------------------------------------------- Nymex Option Volatility Supplied by "The Daily Hedger" http://www.energyinstitution.org WTI Futures Days Left Implied Month Settlement to Exp Volatility Mar $20.73 2 66.5% Apr $21.12 31 47.1% May $21.26 64 45.2% Jun $21.27 93 43.5% Jul $21.24 125 41.8% Aug $21.21 155 39.9% Sep $21.18 184 40.0% Oct $21.16 217 36.6% Nov $21.14 247 36.5% Dec $21.12 276 34.3% HEATING OIL Futures Days left Implied Month Settlement to Exp Volatility Mar $0.5460 13 45.7% Apr $0.5499 41 42.5% May $0.5514 72 41.3% Jun $0.5549 105 40.2% Jul $0.5599 133 38.3% Aug $0.5674 164 37.1% Sep $0.5759 196 36.1% Oct $0.5844 225 34.6% Nov $0.5924 258 32.5% Dec $0.5994 283 32.7% UNLEADED Futures Days left Implied Month Settlement to Exp Volatility Mar $0.6019 13 43.7% Apr $0.6743 41 42.0% May $0.6803 72 40.7% Jun $0.6813 105 39.7% Jul $0.6755 133 38.1% Aug $0.6630 164 35.2 NATURAL GAS Futures Implied Month Settlement Days Left Volatility Mar $2.305 13 67.9% Apr $2.369 41 56.8% May $2.444 72 49.5% Jun $2.507 105 46.3% Jul $2.565 133 45.9% Aug $2.615 164 45.3% Sep $2.617 196 43.8% Oct $2.644 225 44.9% Nov $2.862 258 45.2% Dec $3.066 286 47.9% ------------------------------------------------------------- Mad Dog Field Receives Approval BP says development of the Mad Dog oil field in the Gulf of Mexico has received approval. BP owns 60.5% of the field. BHP Billiton owns 23.9% and Unocal owns 15.6%. Development of the field would help BHP Billiton, Australia's biggest oil company, towards its goal of increasing oil production by 38% by 2006. Last November it sais it would spend $300 million on Mad Dog. An appraisal well has indicated Mad Dog may contain as much as 450 million barrels of oil. ------------------------------------------------------------- ENERGY MANAGEMENT INSTITUTE Higher Education for refined product professionals NOW ENROLLING RISK MANAGEMENT COURSES: PROFESSIONAL GASOLINE AND DISTILLATE MANAGEMENT, PETROLEUM MARKETER, and ADVANCED GASOLINE AND DISTILLATE MASTER LEVEL. REGISTER NOW, CLASS SIZES ARE LIMITED. SEE COMPLETE DETAILS CLICK HERE: http://www.energyinstitution.org ------------------------------------------------------------- Have your ad seen by over 45,000 energy professionals for $500. Write GOLDADS@enerfax.com for more information or call 800-809-8289 -------------------------------------------------------------- FINANCIAL SUMMARY The TSE 300 dropped 60.75 points to 7543.76 The CRB Index slipped 0.24 points to 191.72 The US Dollar decreased 0.06 points to 118.34 The Dow declined 21.04 points to 9863.74 The S&P 500 dipped 4.44 points to 1107.50 The Nasdaq was down 12.45 points to 1834.21 March NYMEX Crude Oil fell 0.68 to 20.73 Canadian-US Exchange rose 0.0020 to 1.5918 ------------------------------------------------------------- For information on advertising on Enerfax GOlD or Enerfax Daily please write advertise@enerfax.com or call 800-809-8289 ------------------------------------------------------------- Past issues available on Divine's Sagewave. Go to http://www.sagewave.com/D2/autolog/common/log.asp?KEY=enerfax for a free membership to view past issues. Past issues are also available on http://www.egroups.com, sign up for a free id with password. 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