Shakes

In what is rumored to be an attempt to expand international operations and sell off more domestic oil and gas operations, Anadarko Petroleum Corp. on Wednesday announced it will split the duties for its worldwide exploration and production (E&P) operations between two veteran executives. Meanwhile, Jim Emme, who had aggressively stepped up the company’s North American business and had overseen its worldwide operations as well, has resigned.

Amerada Hess Corp. on Monday sold 26 of its Gulf of Mexico shelf properties to Anadarko Petroleum Corp., transferred ownership of North Sea properties to EnCana Corp. and announced the lay off of about 30% of its workforce in a shakeup to reduce costs and improve its bottom line.

Duke Energy’s new president and COO, Fred Fowler, wasted no time in beginning a structural reorganization of Duke management to help the company weather the industry’s financial and credit crisis and restore investor confidence (see Daily GPI, Nov. 26). Harvey Padewer, former group president of Energy Services, and Jim Donnell, former president and CEO of Duke Energy North America (DENA), both resigned last week.

Duke Energy’s new president and COO, Fred Fowler, wasted no time in beginning a structural reorganization of Duke management to help the company weather the industry’s financial and credit crisis and restore investor confidence (see Daily GPI, Nov. 26). Harvey Padewer, former group president of Energy Services, and Jim Donnell, former president and CEO of Duke Energy North America (DENA), both resigned. Other key organizational and management changes were made in the company’s Energy Services and Gas Transmission businesses. Duke shares were down 7% Wednesday to $19.70.

The sharp downturn in the economy since the Sept. 11 terrorist attacks caused a significant reassessment of quarterly and annual earnings expectations among energy companies last week. AES had the worst news with expectations of dramatically lower earnings because of its currency exposure in Brazil, changes in the power market in the United Kingdom and events affecting some of its domestic operations. Exelon also will suffer and will reduce its work force by another 450 jobs. Meanwhile, Duke Energy, PPL, NRG and Entergy all reaffirmed their earnings expectations.

Energy industry giants, consumers and state energy policymakersmay all get their wishes fulfilled following a daylong “emergencysummit” last Wednesday in San Diego that was called to grapple withthe electricity supply and price crunch that has characterizedsummer 2000 in the southern end of California.

Energy industry giants, consumers and state energy policymakersmay all get their wishes fulfilled following a daylong “emergencysummit” Wednesday in San Diego that was called to grapple with theelectricity supply and price crunch that has characterized summer2000 in the southern end of California.

Despite Tuesday’s large opening gap and 11.8-cent collapse, theMarch contract found support in the high $2.40s yesterday andmanaged a small 1.5-cent gain to end the regular trading day at$2.530. It hit bottom at $2.465 and reached a high for the day of$2.545. April was down 0.3 cents to $2.541, and nearly all of theremaining months were unchanged from the day prior.

Cross Timbers Oil Co. executed a series of acquisitions, salesand closings last week in an attempt to tidy its portfolio andreduce debt. Through all the activity, the Texas-based producergained full control of Oklahoma City-based Spring Holdings Co. andclosed a previously announced $231 million deal with Ocean Energy.Cross Timbers said the net result of all this activity was anincreased reserve base, without deviation from its debt reductionplan.