Earnings

Higher prices and overall record production boosted Apache Corp. earnings by 30 cents a share in the first quarter to $1.97/diluted share or $660 million, up from $559 million in 1Q 2005.

A software glitch led Oneok to reduce its 2005 net income by $8.1 million (8 cents/share) and its energy services operating income by $13.2 million and raise its 1Q2006 earnings by similar amounts.

Higher commodity prices and the acquisition of Unocal Corp. pushed Chevron Corp.’s 4Q2005 net income 21% higher and the company’s reported earnings to $4.1 billion ($1.86/share) from $3.4 billion ($1.63) in 4Q2004. However, with new projects still under development, the San Ramon, CA-based major booked almost no additional organic reserves in 2005.

While the Senate successfully fought off Democratic efforts to levy a windfall profits tax on the earnings of major energy companies in the $60 billion tax reconciliation bill that was passed early Friday, lawmakers added nearly $5 billion to the tax burden of oil companies and repealed tax benefits that were approved in the energy bill in August.

In a week filled with earnings news and the announced departure of its CEO (see Daily GPI, Oct. 27), EnCana Corp. on Thursday said it has reached an agreement with some of its affiliates to sell substantially all of its natural gas liquids (NGL) business to Provident Energy Trust for $586 million (C$697 million). The sale is expected to close by the end of the year.

In the first third quarter earnings report by a major producer, BP plc on Tuesday reported a 34% hike in 3Q2005 net profit, but it blamed a 2% production loss on the devastating hurricanes that struck the Gulf of Mexico. In the storms’ aftermath, the London-based major warned that its deepwater Thunder Horse platform may not ramp up until the second half of 2006 — a year later than scheduled — and the producer cut its production forecast for 2005 by 100,000-200,000 boe/d.

Noting it has “three teams” of negotiators talking to Russia’s Gazprom, Sempra Energy divulged during a first-quarter earnings conference call Wednesday that it is exploring power generation and energy marketing deals with the gas producer in addition to processing some of its liquefied natural gas (LNG) through one or more North American receiving terminals.

Noting it has “three teams” of negotiators talking to Russia’s Gazprom, Sempra Energy divulged during a first-quarter earnings conference call Wednesday that it is exploring power generation and energy marketing deals with the gas producer in addition to processing some of its liquefied natural gas (LNG) through one or more North American receiving terminals.

Burlington Resources Inc. said Thursday that “higher commodity prices” helped the company report record estimated quarterly earnings of $471 million, or $1.21 per diluted share, during the first quarter of 2005, a 33% increase over the $354 million, or $0.89 per diluted share on a post-stock-split basis, earned during the first quarter of 2004.