Profits

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 Petroleum Corp., the largest domestic independent oil and gas producer, reported Friday that net income for the fourth quarter dipped 4.8% due mostly to higher operating expenses, administrative costs, depreciation and taxes. But it said that 2003 overall was a “good year” for the Houston-based company.

Anadarko Petroleum Corp., the largest domestic independent oil and gas producer, reported Friday that net income for the fourth quarter dipped 4.8% due mostly to higher operating expenses, administrative costs, depreciation and taxes. But it said that 2003 overall was a “good year” for the Houston-based company.

Initial third quarter reports from producers are showing huge gains on higher commodity prices, a trend that is expected to continue in the coming days as the largest, including BP plc, Exxon Mobil Corp., ChevronTexaco Corp. and ConocoPhillips, issue their financials. However, oil and gas production has not been as strong — especially in North America — and once the numbers are complete, analysts are forecasting a natural gas sequential decline of 1.5-2% in North America, leading to U.S. supply falling 5% this year.

With little in the way of fresh fundamental information, natural gas futures traders quietly took profits Friday in sparse pre-weekend trading. In contrast to the previous Friday’s frenzied long liquidation, the selling late last week was light, evidence that traders like the market’s chances of climbing higher when trading resumes this week. The October contract finished at $4.771, down 3.9 cents for the day, but up 4 cents for the week. At 39,107, estimated volume was extremely light.

Due to a host of items that negatively affected its results, Fort Worth, TX-based Quicksilver Resources Inc. reported second quarter 2003 net income of $1.1 million, or 5 cents per diluted share, a substantial decline from the company’s 2Q2002 results of $3.7 million (18 cents per diluted share).

Due to a host of items that negatively affected its results, Fort Worth, TX-based Quicksilver Resources Inc. reported second quarter 2003 net income of $1.1 million, or 5 cents per diluted share, a substantial decline from the company’s 2Q2002 results of $3.7 million (18 cents per diluted share).

The combined net profit of 22 surveyed independent oil and natural gas producers rocketed to $449 million in the first quarter of this year from a deficit of $10 million in the comparable period in 2002 amid escalating gas and oil prices, according to the Energy Information Administration (EIA) in a new report.

The combined net profit of 22 surveyed independent oil and natural gas producers rocketed to $449 million in the first quarter of this year from a deficit of $10 million in the comparable period in 2002 amid escalating gas and oil prices, according to the Energy Information Administration (EIA) in a new report.