Houston-based independent Anadarko Petroleum Corp. on Friday reported a 25% increase in 1Q profit on strength in oil and gas prices and better-than-expected production. It beat Wall Street estimates by 6 cents, with earnings of $490 million ($2.05/share), up from $392 million ($1.55) in 1Q2004.
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Peoples Gas Denies Overcharging Customers by $149M
Peoples Gas, a subsidiary of Chicago-based Peoples Energy, allegedly overcharged customers by at least $149 million as the result of an illegal profit-sharing deal with an affiliate of now-bankrupt Enron Corp. during the winter of 2000-2001, according to a study commissioned by the city of Chicago and a consumer watchdog group.
Nicor Terminates Four Employees for Possible PBR Misconduct
Stung by reduced demand, natural gas distributor Nicor Inc. reported an 18% decline in second quarter profit on Monday. The company also revealed that it has terminated four employees in connection with their involvement in “potentially fraudulent” conduct in its performance-based rate (PBR) gas supply program that may have violated Securities and Exchange Commission (SEC) rules.
Nexen 2Q Earnings Off 46%, Lower-than-Expected Production
Nexen Inc., Canada’s fourth largest oil and gas producer, saw its profit nearly halved in the second quarter on lower-than-expected production results and charges on stock option plan changes. The independent, which focuses on oil and gas production in the Gulf of Mexico (GOM), Canada, Yemen and Nigeria, as well as oil sands in Canada, also took an earnings hit from new accounting rules that govern natural gas in storage.
Futures Return to Gains as Temperature Becomes Key Focus
Shrugging off a 9.1-cent loss Thursday related to profit-taking, the June natural gas futures contract climbed right back into things Friday, closing up 7.5 cents on the day to settle at $6.294. Friday capped a wild week that saw a 36.9-cent breakout gain on Monday, vaulting the prompt month well over the psychological $6 mark.
Nicor Earnings Impacted by Lawsuit Charges
Naperville, IL-based Nicor Inc. on Thursday reported its quarterly profit took a hit after it took charges to settle a class-action lawsuit. The gas distributor reported first quarter net income of $1.9.6 million (44 cents/share), down from $45.9 million ($1.04) for the same period of 2003.
Peoples Blames Warm Weather for Expected Shortfall in 2Q Earnings
Chicago-based Peoples Energy said Wednesday it still expects to reach its profit target this year, but second quarter earnings will be down 15-20% from a year ago. Analysts had been forecasting a 10% decline in quarterly earnings.
EnCana Scores 49% U.S. Gas Production Increase in ’03, Records Huge Profit Increase
North American natural gas, which helped propel EnCana Corp. to huge profits last year, will continue to be the “primary focus” for the Calgary-based company, CEO Gwyn Morgan said last week. The company on Thursday reported 2003 earnings of US$2.36 billion ($4.92/share), up 183% from pro forma 2002.
Anadarko Execs Tout Focus on Increased Production
As it sells off some of its lower-margin properties to focus attention on plays with more profit potential, Anadarko Petroleum Corp. will spend more on finding and development (F&D) costs this year, executives said last week.
EnCana Scores 49% U.S. Gas Production Increase in ’03, Records Huge Profit Increase
North American natural gas, which makes up two-thirds of EnCana Corp.’s current production, will continue to be its “primary focus” for the long term, CEO Gwyn Morgan said Thursday, while reporting 2003 earnings of US$2.36 billion ($4.92/share), up 183% from pro forma 2002.