California-based Berry Petroleum Co. raised its 2006 capital expenditure budget 15% to $160 million, with about 60% of the total going to exploration and production in the Rocky Mountains and Midcontinent assets. The other 40%, or $62 million, will be used to develop Berry’s California assets. Berry is targeting production growth of 9% to average about 25,000 boe/d before acquisitions. Production in 2006 is expected to be about 70% heavy oil, 15% light oil and 15% natural gas.

For signing up as the 200,000th Ohio customer of Direct Energy, 82-year-old Flora Bloomfield will receive a year’s supply of natural gas for free. The gift will begin with the January 2006 bill, Direct Energy said. Mike Beck, vice president of sales and marketing, said the company had exceeded a “significant milestone in customer growth in Ohio,” and wanted to do something to commemorate the success. “The idea we liked best was to provide this customer with relief from the higher heating bills that most of us will face next year.” Bloomfield, who is on a fixed income, is expected to save several thousand dollars in 2006 based on her historical gas usage, Direct Energy said.

Stone Energy Corp., under a cloud since it revised downward its proven reserves by 171 Bcfe two months ago, said Monday its bank group has extended its waivers from Dec. 15 to March 31. Additionally, Stone agreed to secure borrowings under its bank credit agreement with a security interest in its oil and gas properties. Stone currently has a borrowing base under the credit agreement of $300 million, $176 million of which is borrowed or committed, leaving $124 million of availability. Stone delayed filing its 3Q2005 10-Q and restated annual financial statements for 2004 until March 31 to enable it to have its reserves independently audited. The Lafayette, LA-based independent announced it would revise downward its reserves and restate some of its financial statements in November (see Daily GPI, Nov. 10). Since then, board member and former CEO D. Peter Canty has resigned, the Securities and Exchange Commission has launched an informal inquiry, and the Philadelphia Stock Exchange also is conducting an inquiry regarding trading activity prior to Stone’s reserves announcement (see Daily GPI, Dec. 6).

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