UPDATE 1-Forest Oil to spin off Gulf of Mexico operations
Forest Oil Corp. (FST.N: Quote, Profile, Research) on Monday said it would spin off to shareholders its offshore operations in the Gulf of Mexico and then combine them with independent oil and gas explorer Mariner Energy Inc.
Shareholders of U.S. natural gas producer Forest Oil will receive about 0.8 share of Mariner stock for each Forest Oil share they hold.
The spun-off entity will borrow from a third party and pay Forest $200 million, which the company plans to use to pay down debt.
Mariner, which said the deal would boost its scale in the Gulf of Mexico, plans to apply to list its shares on the New York Stock Exchange.
After the deal, Mariner’s board will consist of its five current directors plus two new directors to be mutually agreed by Forest and Mariner.
More: today.reuters.com
Mexico's Imsa to spin off units, list new company
Mexican conglomerate Imsa plans to spin off its plastics and aluminum units and list them in a new holding company on the local bourse, a restructuring that separates out its steel business.
Imsa said its plastics and aluminum subsidiaries, which make products like frames and ladders for the construction industry, will form a new company called G2, according to a prospectus published on Friday.
Shares of Imsa (IMSAUBC.MX: Quote, Profile, Research), which also processes steel for the auto and construction industries, soared on the split news. Shareholders of Imsa will receive one share of
BP, Shell say Gulf of Mexico ops still suspended
BP PLC and the Royal Dutch Shell said their operations at the Gulf of Mexico remained suspended even as initial inspection showed the offshore facilities sustained little damage from Hurricane Rita.
'The (US Gulf) facilities as of Monday are still completely shut. The situation is still the same,' said a BP spokeswoman.
BP continues to check the facilities and will not allow operations to resume until it is completely certain that it is safe to do so.
'Initial assessment on Sunday via aerial overflights and small crews placed on several BP-operated deepwater
Gulfsands Announces Offshore Discovery in the Gulf of Mexico
Exploration Discovery and Drilling Update for the Gulf of Mexico Gulfsands participated at a 12.5% working interest in an exploration well on Eugene Island 58. This well has been drilled to a total measured depth of 11,655 feet and the wireline logs of the well indicated the presence of hydrocarbons within several zones with approximately 170 feet of potential net pay.
This well tested natural gas at a rate of 8.2 million cubic feet per day and 134 barrels of condensate per day. Production casing has been set and completion operations
Shell, BP evacuate Gulf of Mexico workers due to Hurricane Katrina
Royal Dutch Shell PLC and BP PLC have evacuated workers from their platforms in the Gulf of Mexico as Hurricane Katrina heads towards the area.
Shell, in a statement, said it will evacuate around 120 non-essential staff from the eastern part of its Gulf operations as a 'precaution'.
A BP spokesman said it will also evacuate a still undetermined number of workers.
Both companies said the move will not affect their Gulf production.
Katrina came ashore in Florida on Thursday, killing at least three people and leaving about 1.5 mln
UPDATE 1-Houston Exploration to sell Gulf of Mexico assets
Houston Exploration Co. (THX.N: Quote, Profile, Research) on Tuesday said it plans to sell its entire asset base in the Gulf of Mexico, which has historically accounted for about 40 percent of its total production.
The company said it would open a data room for the offshore assets in January and expects to complete a sale in the first quarter. Wachovia Securities is acting as financial adviser on the sale.
The company said it would use the proceeds to potentially acquire new onshore assets, reduce debt or buy back stock. Its year-end 2004 offshore
Baker Receives Gulf of Mexico Contract From Stone Energy Corporation
Baker Energy, a unit of Michael Baker Corporation (Amex: BKR), announced today it has been awarded a two-year, multimillion dollar contract from Stone Energy Corporation for the provision of more than 50 operations and maintenance (O&M) labor personnel for Stone Energy's state and inland waters operations, offshore Louisiana in the U.S. Gulf of Mexico.
Under the terms of this contract, which took effect on Jan. 1, 2006, Baker will manage the transition of the existing workforce, enhance future recruiting activities, conduct competency-based assessments of the workforce, and provide Health, Safety, Environmental
UPDATE 2-Mexico's Pemex resumes full production after Emily
Mexico resumed its full production of crude oil on Friday by bringing its wells in the Gulf of Mexico back on tap after they were closed by a powerful hurricane, state oil monopoly Pemex said.
Pemex slashed output and halted exports as Hurricane Emily pounded the Yucatan Peninsula and then moved into the Gulf of Mexico earlier this week.
The storm shut down 2.95 million barrels of day of crude oil as well as 1.87 million bpd of exports, the bulk of them to the United States.
Pemex typically produces about 3.4 million bpd of crude,
UPDATE 2-Risk of Ophelia entering Gulf of Mexico drops
The risk that Tropical Storm Ophelia will enter the Gulf of Mexico and threaten the U.S. oil and natural gas rigs over the next several days declined as the storm strengthened off the east coast of Florida.
Of the seven major weather models, two -- the Beta and Advection Model Medium (BAMM) and the National Hurricane Center 98 Statistical-Dynamical model (A98E) -- projected the storm, which could become a hurricane during the next 24 hours, would turn south toward Cuba and the Florida Keys.
Four models, including the NHC model, meanwhile
US Gulf of Mexico oil output 100 pct shut-MMS
Offshore U.S. crude oil production in the Gulf of Mexico was totally shut for the second straight day on Sunday with natural gas output also lower, the U.S. Minerals Management Service said in its daily report logging the impact of Hurricane Rita and the prior Hurricane Katrina.
The MMS said the percentage of oil output shut was 100 percent for both Sunday and Saturday, up from 99.125 percent on Friday. The normal daily oil output from Gulf of Mexico operations is 1.5 million barrels per day.
For natural gas, 8.047 billion cubic feet
Pulte sells Mexico operations to investment firm
Home builder Pulte Homes Inc.(PHM.N: Quote, Profile, Research) on Tuesday said it sold its Mexico home-building operation to investors led by affiliates of Walton Street Capital, allowing the company to focus on its U.S. expansion.
Pulte, the No. 2 U.S. home builder, did not release financial terms of the deal.
"As previously announced, we have been evaluating long-term strategic alternatives with regard to all of Pulte's international operations," Roger Cregg, Pulte chief financial officer, said in a statement. "With the sale of our Mexico home-building operation, we have effectively exited our international business allowing us to
