production

Producers exceeded their initial exploration and production (E&P) spending plans this year in every region of the United States, resulting in a 38% jump in spending compared to levels in 2005, according to a survey by Citigroup analyst Geoff Kieburtz. Producers also overspent in Canada (15.6% growth) and overseas (24.2% growth), resulting in about 26.4% total spending growth compared to an initial expectation of 14.1% growth.

Producers exceeded their initial exploration and production (E&P) spending plans this year in every region of the United States, resulting in a 38% jump in spending compared to levels in 2005, according to a survey by Citigroup analyst Geoff Kieburtz. Producers also overspent in Canada (15.6% growth) and overseas (24.2% growth), resulting in about 26.4% total spending growth compared to an initial expectation of 14.1% growth.

North America’s onshore and offshore assets will continue to be prized not only by U.S.-based exploration and production (E&P) companies, but increasingly, by global competitors, energy executives said last week.

As expected, the changing of the guard in the Alaska governor’s mansion has brought with it a rethinking of plans for a natural gas pipeline to carry production from the state’s gas-rich North Slope to the Lower 48. The state has thrown open the doors to new proposals for monetizing its gas resource, and one project backer is calling the change in approach “a breath of fresh air.”

As expected, the changing of the guard in the Alaska governor’s mansion has brought with it a rethinking of plans for a natural gas pipeline to carry production from the state’s gas-rich North Slope to the Lower 48. The state has thrown open the doors to new proposals for monetizing its gas resource.

Despite a 4% drop in natural gas production last year primarily because of Hurricanes Rita and Katrina, U.S. proved natural gas reserves rose about 6% in 2005, the largest annual increase since 1970, the Energy Information Administration (EIA) said in a report Tuesday.

Brent J. Smolik, currently president of ConocoPhillips Canada, will take over as president of El Paso Exploration & Production Co. on Nov. 1, replacing Lisa Stewart, who resigned in August. Smolik earned a bachelor’s degree in petroleum engineering from Texas A&M University in 1983 and worked for ARCO as a drilling and reservoir engineer. In 1990, he joined Burlington Resources as a reservoir engineer and acquisition coordinator. He went on to hold engineering supervisory and management positions in the Denver, Offshore, San Juan and Gulf Coast Divisions. He then served as vice president, chief engineer in Houston until relocating to Calgary in 2004, where he became president of Burlington Resources Canada. Following the merger in March, he remained in Calgary and became president of ConocoPhillips Canada.

Brent J. Smolik, currently president of ConocoPhillips Canada, will take over as president of El Paso Exploration & Production Co. on Nov. 1, replacing Lisa Stewart, who resigned in August (see Daily GPI, Aug. 4). Smolik earned a bachelor’s degree in petroleum engineering from Texas A&M University in 1983 and worked for ARCO as a drilling and reservoir engineer. In 1990, he joined Burlington Resources as a reservoir engineer and acquisition coordinator. He went on to hold engineering supervisory and management positions in the Denver, Offshore, San Juan and Gulf Coast Divisions. He then served as vice president, chief engineer in Houston until relocating to Calgary in 2004, where he became president of Burlington Resources Canada. Following the merger in March, he remained in Calgary and became president of ConocoPhillips Canada.

Citing the mild hurricane season, increased U.S. natural gas production and its “proactive procurement” program, Baltimore Gas and Electric Co. (BGE), a utility subsidiary of Constellation Energy, announced last week that its residential customers can anticipate a 15% decrease from last winter in the gas portion of their total bill during the upcoming winter heating season, which begins Nov. 1, 2006 and runs through March 31, 2007.