Max Petroleum Encounters Hydrocarbons at Zhana Makat Well

Max Petroleum plc, an oil and gas exploration and production company focused on Kazakhstan, announced that the ZMA-E6 development well in the Zhana Makat Field has successfully reached a total depth of 2,943 feet (897 meters), encountering hydrocarbons in Jurassic sandstone reservoirs in line with expectations. The Company plans to complete the well and then place it on production as soon as practicable. The Zhanros ZJ-20 rig will now move to drill the UTS-5 exploration well in the Uytas North Prospect on Block A, targeting resource potential of 11 million barrels of oil with a current geological chance of success of 24 percent.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

New CFO for Faroe Petroleum

North Sea and Norway-focused junior explorer Faroe Petroleum announced Friday that it has appointed a new Chief Financial Officer.

Faroe’s new financial director, Jonathan Cooper, previously served as CFO at oil and has engineering firm Lamprell. In the past he has served as a director at both Gulf Keystone Petroleum and Sterling Energy.

Cooper takes up the role of CFO at Faroe on July 1. His predecessor, Iain Lanaghan, will remain in the role of CFO until June 30.

Faroe Chairman John Bentley commented in a company statement:

"I am very pleased to welcome Jonathan Cooper to the board of directors of Faroe Petroleum.  His knowledge of the sector and business pedigree is first rate and his appointment strengthens the team as we move to an exciting new phase of growth.”

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

New CFO for Faroe Petroleum

North Sea and Norway-focused junior explorer Faroe Petroleum announced Friday that it has appointed a new Chief Financial Officer.

Faroe’s new financial director, Jonathan Cooper, previously served as CFO at oil and has engineering firm Lamprell. In the past he has served as a director at both Gulf Keystone Petroleum and Sterling Energy.

Cooper takes up the role of CFO at Faroe on July 1. His predecessor, Iain Lanaghan, will remain in the role of CFO until June 30.

Faroe Chairman John Bentley commented in a company statement:

"I am very pleased to welcome Jonathan Cooper to the board of directors of Faroe Petroleum.  His knowledge of the sector and business pedigree is first rate and his appointment strengthens the team as we move to an exciting new phase of growth.”

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Ratification of Mozambique Petroleum Law Seen By Year-End

The Mozambique government currently is revising its legal and fiscal packages for exploration and production, but anticipates its new petroleum law to be ratified by year-end in time for the upcoming licensing round, said Arsenio Mabote, chairman of the Instituto Nacional de Petroleo. Mozambique will seek to promote exploration in offshore areas 4, 5 and 6 in its upcoming licensing round.

The government is also developing a master plan for development of the nation's gas resources, including asset development options, optimal locations, pricing structures and social improvements.

Mozambique's significant offshore natural gas resources in the Rovuma Basin, where 12 gas discoveries have been made to date within a 31 miles (50 kilometers) radius area.

Thanks to exploration activity, the estimate of Rovuma Basin gas resources has been raised from 5 trillion cubic feet (Tcf) in 2009 to 170 Tcf in 2012.

The additional gas resources are located in two main concession areas, 1 and 4. However, more resources may exist as both areas are not fully explored and exploration efforts offshore neighboring Tanzania and Kenya will support the construction of several liquefied natural gas (LNG) plants in the region.

The development of Mozambique's gas resources will help support a number of investment opportunities within the country, including fertilizer, petrochemical, gas-to-liquids, power generation, as well as development if railways, ports and telecommunications infrastructure.

"We understand the challenges that companies face, and we want them to know that the government supports their initiatives," said Mabote.

Anadarko Petroleum Corporation, Eni S.p.A., Statoil ASA and Petroliam Nasional Berhad (Petronas) are the international operators who hold interests in Mozambique. For Anadarko, the cost associated with producing Mozambique's deepwater gas means it must pursue development of gas resources there as an LNG project. The company has no domestic use obligations in its contract, meaning that LNG exports will be its main focus.

"The government understands the stable legal framework needed, but laws need to be finalized before the project can move forward," said John Peffer, president of Anadarko Mozambique.

Despite the cost, Anadarko President and CEO Al Walker sees Mozambique and its tremendous gas resources as the right opportunity for Anadarko to meet its goal of becoming a major LNG player.

Anadarko believes its Afungi LNG development, which it is developing with Italy's Eni S.p.A, offers a cost-competitive source of LNG and a long-term strategic supply for premium Pacific Basin markets. Afungi will also be able to supply the Atlantic market as well, Peffer said.

Anadarko's recoverable gas reserves of between 35 and 65 Tcf from the Prosperidade and Atum are enough to support a two-train LNG development. Anadarko will initially focus on Prosperidade for its two LNG trains. The company expects to safely meet the 12 Tcf of gas it needs for reserve certification. It will also have between 16,000 and 17,000 acres at the project site, with plenty of room for a large scale 50 million tones per annum LNG facility. Anadarko's offshore Mozambique gas resources are enough to support its initial development several times over, and represent a "remarkable accumulation" of gas, Pepper estimated.

The discoveries that will underpin the development are located between 18 to 25 miles (30 to 40 kilometers) offshore. Peffer said the company has successfully route pipelines and flowlines around the active submarine canyons that lie offshore and are up to 1 kilometer deep.

The project currently is in the front end engineering and design phase; results of call for bids are anticipated next year. Afungi will initially deliver 20 million tonnes per annum of LNG when it comes online in 2018. The start of operations at Afungi will make Mozambique the third largest LNG exporter worldwide.

Anadarko expects to submit an environmental impact assessment for the project later this year.

The company is active throughout Africa, including Kenya and Mozambique's deepwater, and in South Africa, where the company recently acquired interests in two blocks.

"Government officials down to the district level recognize that these types of projects take time," Peffer commented. "The population doesn't quite understand this point, but the communication strategy is in place to educate the local communities."

Logistics have improved slightly since Anadarko entered Mozambique, and security offshore and onshore does not pose a major issue at this point, Peffer commented. The limited number of workers, particularly in Pemba and Palma, means Anadarko has had to bring in necessary workers. The Mozambique government sees development of its gas assets as a means of bolstering job creation and education opportunities within the country.

"We have a shared vision, and Anadarko has more than filled its commitment to promoting social and capacity building within the country," Peffer commented.

Barriers to development of Mozambique's natural gas resources include:

lower gas demand and prices due to recessioncompetition from shale gas resources, particularly those in Chinacapital availabilitycompetition from other LNG projects in the Middle East and Australia

The Mozambique government's current efforts to reform and update fiscal and regulatory terms governing oil and gas could be a factor as well, said R. Michael Haney, director of Douglas-Westwood's Houston firm.

Despite the challenge, "we see a lot we like in the Mozambique picture," Haney told conference attendees.

Mozambique could also hold significant oil resources as well, if estimates by Total, which holds interest in offshore areas 3 and 6, are correct.

Karen Boman has more than 10 years of experience covering the upstream oil and gas sector. Email Karen at kboman@rigzone.com.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Executive Chairman Irani Leaving Occidental Petroleum

The rising wave of shareholder activism has claimed another corporate chieftain: Ray Irani, the executive chairman of Occidental Petroleum Corp. (OXY) and one of the most highly paid executives of the last decade.

Mr. Irani, who spent three decades at Occidental, will leave his post at the helm of the board, the company said in a statement released after its shareholder meeting Friday. The 78-year-old, who was forced to step aside as CEO two years ago over his outsized pay, recently angered shareholders by trying to oust the oil-and-gas company's current chief executive.

Occidental said in a regulatory filing Friday that eight of the 10 board members up for re-election won the approval of a majority of shareholders. The list didn't include Mr. Irani. The filing said that independent director Aziz Syriani, who was close to the chairman and also sought re-election, had resigned on Thursday.

In a follow-up statement, Occidental said one of the re-elected board members, Edward Djerejian, would assume the role of independent chairman. He is a former U.S. ambassador to Syria and Israel. Former Energy Secretary Spencer Abraham will become vice chairman, the company said.

Under Mr. Irani's leadership, Los Angeles-based Occidental grew into the fourth-largest U.S. oil-and-gas company by market value. As executive chairman, he retained considerable clout within the company. But it all came to an end after weeks of growing shareholder discontent over Mr. Irani's effort to remove CEO Steve Chazen earlier this year and the board's handling of succession planning for the CEO post.

Mr. Irani's defeat "is a pretty amazing thing. It happens very rarely, particularly for a company of this size and reputation," said Charles Elson, head of the Weinberg Center for Corporate Governance at University of Delaware's business school.

"It shows how far shareholder activism has come," added Mr. Elson, who is a board member at HealthSouth Corp. "The day of the management-dominated corporation may be on its way out, replaced by a much more balanced approach" that also reflects investor views, he said.

Mr. Irani's ouster comes in the wake of several successful coups led by activist shareholders and backed by investment advisory firms. A long-simmering rebellion at Chesapeake Energy Corp. (CHK) led to the departure in April of co-founder and longtime CEO Aubrey McClendon, and dissident investors shook up SandRidge Energy Inc.'s board in March.

At Occidental's Friday meeting in the Los Angeles area, Mr. Chazen, the CEO, spent several minutes eulogizing Mr. Irani as a photo of the two men together was projected on the screen, said shareholder John Chevedden, who attended the meeting.

"He talked about [Irani's] knowledge of global politics, how they'd have disagreements but the next day call each other to say the other was right," Mr. Chevedden said.

Now Mr. Chazen, who is slated to retire in late 2014, has the freedom to continue to pursue cost-cutting measures and perhaps a restructuring of the business, such as selling off assets, said Guy Baber, vice president of equity research at Houston-based investment bank Simmons & Co.

"His departure signifies the end an era for Oxy," Mr. Baber said.

Mr. Irani joined Occidental in 1983 as chairman and CEO of its chemicals business. He took on those roles for the entire company in 1990, succeeding legendary Occidental founder and philanthropist Armand Hammer upon his death.

Mr. Irani has long been among the highest paid executives. He realized more than $1.1 billion in compensation from Occidental since 1994, according to calculations by The Wall Street Journal and Kevin Murphy of the University of Southern California. The total includes salaries, bonuses, perks and realized gains on both restricted stock and stock options. A 2010 analysis by the Journal and Mr. Murphy found that Mr. Irani was the third-highest paid CEO of the prior decade.

He was scheduled to the retire at the end of 2014, a departure imposed on him two years ago when investors unhappy with his oversized compensation forced him from the CEO post and replaced him with longtime heir-apparent Mr. Chazen.

The latest developments at Occidental don't ensure Mr. Chazen smooth sailing, however. "This is not a vote of confidence in Chazen," Mr. Elson suggested. But the CEO does get "some breathing room to attempt to improve his relationships with his investors," said Mr. Elson, adding that "you're going to see some rather significant changes in management" as Mr. Chazen tries "to find common ground with investors."

The company's performance has lagged under Mr. Chazen's leadership as efforts to increase oil and gas production ran into problems with cost overruns. Despite those challenges, a Feb. 14 announcement by the company that it would begin searching for a new CEO struck many analysts and investors as unexpected and unnecessary.

In March, The Wall Street Journal reported that the surprise announcement was preceded by Mr. Irani's trying to replace Mr. Chazen with a former company executive. Two Occidental investors, First Pacific Advisors LLC and Matrix Asset Advisors Inc., then said in open letters that they were troubled by the report and supported keeping Mr. Chazen.

Advisory firms Institutional Shareholder Services and Glass, Lewis & Co. recommended votes against Mr. Irani and against the company's pay plans ahead of the shareholder meeting.

That prompted the Occidental board to make a highly unusual move earlier this week, saying that Mr. Chazen would stay on through 2014, that CEO and board pay would be cut and that former company CEOs would be prohibited from serving as chairman. At the same time, the company said Mr. Irani would be replaced by an independent board member sometime in the future.

It is rare for chairmen to lose their jobs. Hewlett-Packard Co. Chairman Ray Lane was narrowly re-elected earlier this year with 58.9% of the vote, but he chose to give up the title, though not his board seat, soon after. In 2009, Bank of America Corp. Chairman and CEO Ken Lewis was effectively voted out of the chairmanship when investors voted to separate the two roles. He stepped down as CEO later that year.

Mr. Irani will remain a large shareholder at Occidental. He currently holds about 8.1 million shares worth $639 million, more than 1% of the shares outstanding of the company, putting him in the top 15 of shareholders. That stake could grow depending on what kind of a parting package he receives.

According to the company's most recent proxy statement, if Mr. Irani had retired from the company at the end of last year he could have received a package worth more than $20 million. This includes more than $15 million in company shares tied to his long-term incentive pay package, $5.7 million in life insurance coverage, ongoing medical and dental coverage for his wife and him, about $2.2 million annually to cover security services, tax preparation and financial planning services, club dues and travel benefits, and $800,000 for unused vacation time.

--Scott Thurm contributed to this article.

Copyright (c) 2013 Dow Jones & Company, Inc.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Executive Chairman Irani Leaving Occidental Petroleum

The rising wave of shareholder activism has claimed another corporate chieftain: Ray Irani, the executive chairman of Occidental Petroleum Corp. (OXY) and one of the most highly paid executives of the last decade.

Mr. Irani, who spent three decades at Occidental, will leave his post at the helm of the board, the company said in a statement released after its shareholder meeting Friday. The 78-year-old, who was forced to step aside as CEO two years ago over his outsized pay, recently angered shareholders by trying to oust the oil-and-gas company's current chief executive.

Occidental said in a regulatory filing Friday that eight of the 10 board members up for re-election won the approval of a majority of shareholders. The list didn't include Mr. Irani. The filing said that independent director Aziz Syriani, who was close to the chairman and also sought re-election, had resigned on Thursday.

In a follow-up statement, Occidental said one of the re-elected board members, Edward Djerejian, would assume the role of independent chairman. He is a former U.S. ambassador to Syria and Israel. Former Energy Secretary Spencer Abraham will become vice chairman, the company said.

Under Mr. Irani's leadership, Los Angeles-based Occidental grew into the fourth-largest U.S. oil-and-gas company by market value. As executive chairman, he retained considerable clout within the company. But it all came to an end after weeks of growing shareholder discontent over Mr. Irani's effort to remove CEO Steve Chazen earlier this year and the board's handling of succession planning for the CEO post.

Mr. Irani's defeat "is a pretty amazing thing. It happens very rarely, particularly for a company of this size and reputation," said Charles Elson, head of the Weinberg Center for Corporate Governance at University of Delaware's business school.

"It shows how far shareholder activism has come," added Mr. Elson, who is a board member at HealthSouth Corp. "The day of the management-dominated corporation may be on its way out, replaced by a much more balanced approach" that also reflects investor views, he said.

Mr. Irani's ouster comes in the wake of several successful coups led by activist shareholders and backed by investment advisory firms. A long-simmering rebellion at Chesapeake Energy Corp. (CHK) led to the departure in April of co-founder and longtime CEO Aubrey McClendon, and dissident investors shook up SandRidge Energy Inc.'s board in March.

At Occidental's Friday meeting in the Los Angeles area, Mr. Chazen, the CEO, spent several minutes eulogizing Mr. Irani as a photo of the two men together was projected on the screen, said shareholder John Chevedden, who attended the meeting.

"He talked about [Irani's] knowledge of global politics, how they'd have disagreements but the next day call each other to say the other was right," Mr. Chevedden said.

Now Mr. Chazen, who is slated to retire in late 2014, has the freedom to continue to pursue cost-cutting measures and perhaps a restructuring of the business, such as selling off assets, said Guy Baber, vice president of equity research at Houston-based investment bank Simmons & Co.

"His departure signifies the end an era for Oxy," Mr. Baber said.

Mr. Irani joined Occidental in 1983 as chairman and CEO of its chemicals business. He took on those roles for the entire company in 1990, succeeding legendary Occidental founder and philanthropist Armand Hammer upon his death.

Mr. Irani has long been among the highest paid executives. He realized more than $1.1 billion in compensation from Occidental since 1994, according to calculations by The Wall Street Journal and Kevin Murphy of the University of Southern California. The total includes salaries, bonuses, perks and realized gains on both restricted stock and stock options. A 2010 analysis by the Journal and Mr. Murphy found that Mr. Irani was the third-highest paid CEO of the prior decade.

He was scheduled to the retire at the end of 2014, a departure imposed on him two years ago when investors unhappy with his oversized compensation forced him from the CEO post and replaced him with longtime heir-apparent Mr. Chazen.

The latest developments at Occidental don't ensure Mr. Chazen smooth sailing, however. "This is not a vote of confidence in Chazen," Mr. Elson suggested. But the CEO does get "some breathing room to attempt to improve his relationships with his investors," said Mr. Elson, adding that "you're going to see some rather significant changes in management" as Mr. Chazen tries "to find common ground with investors."

The company's performance has lagged under Mr. Chazen's leadership as efforts to increase oil and gas production ran into problems with cost overruns. Despite those challenges, a Feb. 14 announcement by the company that it would begin searching for a new CEO struck many analysts and investors as unexpected and unnecessary.

In March, The Wall Street Journal reported that the surprise announcement was preceded by Mr. Irani's trying to replace Mr. Chazen with a former company executive. Two Occidental investors, First Pacific Advisors LLC and Matrix Asset Advisors Inc., then said in open letters that they were troubled by the report and supported keeping Mr. Chazen.

Advisory firms Institutional Shareholder Services and Glass, Lewis & Co. recommended votes against Mr. Irani and against the company's pay plans ahead of the shareholder meeting.

That prompted the Occidental board to make a highly unusual move earlier this week, saying that Mr. Chazen would stay on through 2014, that CEO and board pay would be cut and that former company CEOs would be prohibited from serving as chairman. At the same time, the company said Mr. Irani would be replaced by an independent board member sometime in the future.

It is rare for chairmen to lose their jobs. Hewlett-Packard Co. Chairman Ray Lane was narrowly re-elected earlier this year with 58.9% of the vote, but he chose to give up the title, though not his board seat, soon after. In 2009, Bank of America Corp. Chairman and CEO Ken Lewis was effectively voted out of the chairmanship when investors voted to separate the two roles. He stepped down as CEO later that year.

Mr. Irani will remain a large shareholder at Occidental. He currently holds about 8.1 million shares worth $639 million, more than 1% of the shares outstanding of the company, putting him in the top 15 of shareholders. That stake could grow depending on what kind of a parting package he receives.

According to the company's most recent proxy statement, if Mr. Irani had retired from the company at the end of last year he could have received a package worth more than $20 million. This includes more than $15 million in company shares tied to his long-term incentive pay package, $5.7 million in life insurance coverage, ongoing medical and dental coverage for his wife and him, about $2.2 million annually to cover security services, tax preparation and financial planning services, club dues and travel benefits, and $800,000 for unused vacation time.

--Scott Thurm contributed to this article.

Copyright (c) 2013 Dow Jones & Company, Inc.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Range Proposes Tie-up with International Petroleum

Range Resources is proposing a tie-up with International Petroleum that will see the combined group focused on the expansion and development of projects in Russia, Trinidad and onshore Africa. Range said Thursday that a share-swap deal between the companies would see International Petroleum taken over for approximately $108 million.

Range already holds assets in the Republic of Georgia, Texas, Trinidad, Colombia and Guatemala, while International Petroleum has assets in Russia, Kazakhstan and Niger. The merged entity would hold estimates proved (1P) reserves of 23.6 million barrels, with proved, probable and possible (3P) reserves amounting to 264 million barrels.

The combined production for the enlarged group would be approximately 1,000 barrels of oil equivalent per day, based on current output.

Key assets for the new business will include International Petroleum's interests in five projects in Russia. During the period from August 2012 to December 2012, the firm produced 25,000 barrels of oil from well number 52 at its 100-percent owned Zapadno-Novomolodezhny Project at an average flow rate of 197 barrels of ol per day.

The new business will see Chris Hopkinson appointed as managing director. Hopkinson, the current CEO of International Petroleum, has more than 23 years' experience in the oil and gas industry, including management positions with BG Group, TNK-BP, Yukos, Imperial Energy Corporation and Lukoil.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Range Proposes Tie-up with International Petroleum

Range Resources is proposing a tie-up with International Petroleum that will see the combined group focused on the expansion and development of projects in Russia, Trinidad and onshore Africa. Range said Thursday that a share-swap deal between the companies would see International Petroleum taken over for approximately $108 million.

Range already holds assets in the Republic of Georgia, Texas, Trinidad, Colombia and Guatemala, while International Petroleum has assets in Russia, Kazakhstan and Niger. The merged entity would hold estimates proved (1P) reserves of 23.6 million barrels, with proved, probable and possible (3P) reserves amounting to 264 million barrels.

The combined production for the enlarged group would be approximately 1,000 barrels of oil equivalent per day, based on current output.

Key assets for the new business will include International Petroleum's interests in five projects in Russia. During the period from August 2012 to December 2012, the firm produced 25,000 barrels of oil from well number 52 at its 100-percent owned Zapadno-Novomolodezhny Project at an average flow rate of 197 barrels of ol per day.

The new business will see Chris Hopkinson appointed as managing director. Hopkinson, the current CEO of International Petroleum, has more than 23 years' experience in the oil and gas industry, including management positions with BG Group, TNK-BP, Yukos, Imperial Energy Corporation and Lukoil.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Max Petroleum Starts Drilling Ops at ZMA-E5

Max Petroleum Plc, an oil and gas exploration and production company focused on Kazakhstan, announced that it has commenced drilling the ZMA-E5 development well in the Zhana Makat Field on Block E using Zhanros Drilling's ZJ-20 rig. Total vertical depth of the well will be approximately 2,904 feet (885 meters) targeting Jurassic reservoirs.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Max Petroleum Reaches TD at Zhana Makat Well

Max Petroleum Plc, an oil and gas exploration and production company focused on Kazakhstan, announced that the ZMA-A24 development well in the Zhana Makat Field has successfully reached a total depth of 2,858 feet (871 meters), encountering hydrocarbons in Jurassic sandstone reservoirs in line with expectations.

The Company plans to complete the well and then place it on production as soon as practicable. The Zhanros ZJ-20 rig will now move to drill the ZMA-E5 development well in the Zhana Makat Field.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Centrica, Qatar Petroleum to Buy Suncor Gas, Oil Assets

LONDON - U.K.-based energy firm Centrica PLC and state-owned Qatar Petroleum International said Monday they have reached an agreement with Suncor Energy Inc. to acquire a vast chunk of its natural gas and crude oil business in Canada for $1 billion Canadian dollars (US$0.986 billion), marking the first investment the two companies have made together since signing an agreement to explore such purchases two years ago.

The deal is in line with Centrica's quest to become a more self-sufficient retail energy provider in North America where it owns the retail business Direct Energy, and marks its first big purchase after announcing two months ago that it would no longer invest in a new U.K. nuclear power plant, thus freeing up cash to invest elsewhere in its business.

For QPI, the international arm of Qatar Petroleum, the deal represents an attempt to diversify its business, which is heavily concentrated in oil and gas production in the Persian Gulf.

The assets will be jointly held by Centrica and QPI in a joint venture that will own be 60% owned by Centrica and 40% owned by QPI, with Centrica acting as the operator. The transaction is expected to close in the third quarter of 2013, subject to regulatory approval.

The assets are located in the Canadian regions of Alberta, northeastern British Columbia and southern Saskatchewan.

The business is forecast to produce about 250 million cubic feet of natural gas equivalent a day in 2013 or 15 million barrels of oil equivalent a year, and has proven and probable reserves of 978 billion cubic feet equivalent of natural gas of which 10% is crude oil.

"Growing our upstream gas operations is an important step to ensuring the company is a solid long-term partner to millions of residential and business customers across North America," said Wes Morningstar, senior vice president at Centrica in Calgary.

Once the transaction is closed, Centrica will be able to cover about 60% of its unregulated daily gas requirements from its growing North American Direct Energy retail energy business.

Nasser Al-Jaidah, chief executive officer of QPI, said the deal "is a significant step in the development of QPI's global upstream business. We look forward to continuing to advance QP's overall North American energy business."

Copyright (c) 2013 Dow Jones & Company, Inc.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Bankers Petroleum Welcomes CEO

Bankers Petroleum Ltd. announced the appointment of Mr. David Lawrence French as President and CEO effective April 2013, subject to regulatory approvals. Abdel ("Abby") Badwi who is retiring from his current executive role will continue to serve as a Director and Vice Chairman of the Board.

David French, aged 43, is an international energy executive with 22 years of experience in the development and production of oil and gas fields in North America and overseas. He graduated from Rice University in Mechanical Engineering and has a Master of Business Administration from Harvard Business School. Before this appointment he was Vice President of Business Development, coordinating acquisitions and divestments with Apache Corporation in Houston. With Apache, he has also served as Region Production Manager for Apache Canada in Calgary where he was involved in all areas of gas and oil operations including secondary and enhanced oil recovery, in Alberta and Saskatchewan; he has also served as Director of global HS&E in Houston. Mr. French worked for several years with McKinsey & Company in Houston, a management consulting firm where his work focused on energy firm growth, portfolio management, and capital efficiency. He started his career with Amoco where he gained extensive experience in oilfield operations with secondary and enhanced oil recovery projects in Texas and New Mexico.

"Mr. French's expertise in enhanced oil recovery, merger and acquisitions, capital management, and health, safety and environment stewardship will prove very valuable for Bankers' future development and growth strategy," commented Robert Cross, Bankers' chairman of the Board, he added, "Abby will continue to provide assistance where needed, particularly in Albania and in the capital markets where his relationships are a key asset for the Company. Abby and his team have taken Bankers from 5,000 barrels of oil per day to 17,000 bopd in just over five years despite two financial crises and the challenges associated with brownfield development. He is leaving his executive role at a time when Bankers is very well positioned on all fronts, with an excellent technical team, quality management at all levels, a strong balance sheet, and a diversified group of buyers for our crude oil. Probably most importantly, Bankers is currently producing free cash flow, net of capital spending. The Board and Management of Bankers would like to extend their best wishes for Abby and his wife, Sandy, in their retirement and to David and his family on his new appointment and future with Bankers."

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Northern Petroleum Could Sell Netherlands Operations

Northern Petroleum is considering the sale of its operations in the Netherlands as part of an extensive corporate review of its activities, the firm said Tuesday. The firm also announced that it plans to enter Canada and that it has upgraded its resource estimate at its Cygnus prospect in Italy.

Northern said that in the past year a number expressions of interest have been made to purchase its Netherlands assets and the firm has held negotiations with two parties. One party has made an offer for the Netherlands subsidiary while the other wants to buy both the Netherlands subsidiary and Northern's UK assets.

The company said that it has begun a new light-oil production redevelopment project in northern Alberta, Canada. It has acquired over 5,300 acres with an estimate potential to yield in excess of one million barrels of oil in place. The leased area contains 22 abandoned wells with 11 candidates currently identified as being capable of re-entry for further production.

Meanwhile, Northern said that its Cygnus prospect offshore Italy has now been mapped as an estimated un-risked prospective resource of up to 790 million barrels of recoverable oil within its F.R39.NP permit. The prospect is adjacent to and up-dip of the producing Aquila oil field.

"This project is materially valuable to shareholders and our efforts in Italy have now been concentrated upon this. Discussions are currently progressing with major industry partners to join with Northern to drill the prospect," Northern Managing Director Derek Musgrove said in a company statement.

A former engineer, Jon is an award-winning editor who has covered the technology, engineering and energy sectors since the mid-1990s. Email Jon at jmainwaring@rigzone.com.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Northern Petroleum Could Sell Netherlands Operations

Northern Petroleum is considering the sale of its operations in the Netherlands as part of an extensive corporate review of its activities, the firm said Tuesday. The firm also announced that it plans to enter Canada and that it has upgraded its resource estimate at its Cygnus prospect in Italy.

Northern said that in the past year a number expressions of interest have been made to purchase its Netherlands assets and the firm has held negotiations with two parties. One party has made an offer for the Netherlands subsidiary while the other wants to buy both the Netherlands subsidiary and Northern's UK assets.

The company said that it has begun a new light-oil production redevelopment project in northern Alberta, Canada. It has acquired over 5,300 acres with an estimate potential to yield in excess of one million barrels of oil in place. The leased area contains 22 abandoned wells with 11 candidates currently identified as being capable of re-entry for further production.

Meanwhile, Northern said that its Cygnus prospect offshore Italy has now been mapped as an estimated un-risked prospective resource of up to 790 million barrels of recoverable oil within its F.R39.NP permit. The prospect is adjacent to and up-dip of the producing Aquila oil field.

"This project is materially valuable to shareholders and our efforts in Italy have now been concentrated upon this. Discussions are currently progressing with major industry partners to join with Northern to drill the prospect," Northern Managing Director Derek Musgrove said in a company statement.

A former engineer, Jon is an award-winning editor who has covered the technology, engineering and energy sectors since the mid-1990s. Email Jon at jmainwaring@rigzone.com.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Petroleum Safety Authority Appoints New Director General

Norway's Petroleum Safety Authority announced Monday that Anne Næss Myhrvold has been appointed to serve as its director general for a term of six years.

Myhrvold is currently at BP Norge, which she joined in 2002. She has served as its head of health, safety and the environment since 2009. Earlier in her career, Myhrvold worked in safety at the Norwegian Petroleum Directorate.

The PSA said that Myhrvold will take over the role of director general on May 1, 2013.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Petroleum Safety Authority Appoints New Director General

Norway's Petroleum Safety Authority announced Monday that Anne Næss Myhrvold has been appointed to serve as its director general for a term of six years.

Myhrvold is currently at BP Norge, which she joined in 2002. She has served as its head of health, safety and the environment since 2009. Earlier in her career, Myhrvold worked in safety at the Norwegian Petroleum Directorate.

The PSA said that Myhrvold will take over the role of director general on May 1, 2013.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Petroleum Safety Authority Appoints New Director General

Norway's Petroleum Safety Authority announced Monday that Anne Næss Myhrvold has been appointed to serve as its director general for a term of six years.

Myhrvold is currently at BP Norge, which she joined in 2002. She has served as its head of health, safety and the environment since 2009. Earlier in her career, Myhrvold worked in safety at the Norwegian Petroleum Directorate.

The PSA said that Myhrvold will take over the role of director general on May 1, 2013.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Ithaca Makes Takeover Offer for Valiant Petroleum

North Sea-focused Ithaca Energy has made a $309 million offer for Valiant Petroleum that it expects will result in the establishment of a leading mid-sized oil and gas operator in the region.

Ithaca is focused on production, appraisal and development activities in the North Sea, while Valiant has what Ithaca's management describes as "a balanced portfolio" of assets with a primary focus on the UK and Norway.

Ithaca expects that the acquisition will see a more than doubling of its current forecast for 2013 production to between 14,000 and 16,000 barrels of oil equivalent per day (boepd), increasing to approximately 27,000 boepd in 2015. It would also see Ithaca's 2P reserves double to 74 million boe.

Ithaca reported that the Valiant board of directors, which is advised by Morgan Stanley, considers the terms of the acquisition to be fair and reasonable.

Ithaca Chairman Jack Lee commented in a statement:

"This proposed acquisition represents a significant step forward in the execution of Ithaca's strategy to build a highly profitable 25kboe/d North Sea oil and gas company. The combined assets of the two groups have a strong strategic fit, with the acquisition materially increasing and broadening Ithaca's producing asset base and reserves portfolio."

Valiant Chairman Kevin Lyon added:

"We are pleased to announce Ithaca's recommended offer to our shareholders… The combination with Ithaca will create a leading North Sea oil and gas operator with a diverse production and reserves asset base from which to pursue new and exciting growth opportunities."

In a separate announcement Friday Valiant said that drilling on the Timon prospect in the northern UK sector of the North Sea, on blocks 211/11b and 211/16b, has finished and the well will be plugged and abandoned after Jurassic sands there were found to be poorly developed. Valiant has a 10-percent share in the P1633 license on which Timon is located. 

A former engineer, Jon is an award-winning editor who has covered the technology, engineering and energy sectors since the mid-1990s. Email Jon at jmainwaring@rigzone.com.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Ithaca Makes Takeover Offer for Valiant Petroleum

North Sea-focused Ithaca Energy has made a $309 million offer for Valiant Petroleum that it expects will result in the establishment of a leading mid-sized oil and gas operator in the region.

Ithaca is focused on production, appraisal and development activities in the North Sea, while Valiant has what Ithaca's management describes as "a balanced portfolio" of assets with a primary focus on the UK and Norway.

Ithaca expects that the acquisition will see a more than doubling of its current forecast for 2013 production to between 14,000 and 16,000 barrels of oil equivalent per day (boepd), increasing to approximately 27,000 boepd in 2015. It would also see Ithaca's 2P reserves double to 74 million boe.

Ithaca reported that the Valiant board of directors, which is advised by Morgan Stanley, considers the terms of the acquisition to be fair and reasonable.

Ithaca Chairman Jack Lee commented in a statement:

"This proposed acquisition represents a significant step forward in the execution of Ithaca's strategy to build a highly profitable 25kboe/d North Sea oil and gas company. The combined assets of the two groups have a strong strategic fit, with the acquisition materially increasing and broadening Ithaca's producing asset base and reserves portfolio."

Valiant Chairman Kevin Lyon added:

"We are pleased to announce Ithaca's recommended offer to our shareholders… The combination with Ithaca will create a leading North Sea oil and gas operator with a diverse production and reserves asset base from which to pursue new and exciting growth opportunities."

In a separate announcement Friday Valiant said that drilling on the Timon prospect in the northern UK sector of the North Sea, on blocks 211/11b and 211/16b, has finished and the well will be plugged and abandoned after Jurassic sands there were found to be poorly developed. Valiant has a 10-percent share in the P1633 license on which Timon is located. 

A former engineer, Jon is an award-winning editor who has covered the technology, engineering and energy sectors since the mid-1990s. Email Jon at jmainwaring@rigzone.com.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Max Petroleum Reaches TD at Zhana Makat Well

Max Petroleum Plc, an oil and gas exploration and production company focused on Kazakhstan, announced that the ZMA-A20 development well in the Zhana Makat Field has successfully reached a total depth of 3,032 feet (924 meters), encountering hydrocarbons in Necomian and Jurassic sandstone reservoirs in line with expectations. The Company plans to complete the well and then place it on production as soon as practicable. The Zhanros ZJ-20 rig will now move to drill the ZMA-A22 development well in the Zhana Makat Field.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here