Table of Contents

• Ivanhoe completes first phase of China pilot
  Sunwing Energy Ltd.-a wholly owned subsidiary of Ivanhoe Energy Inc., Calgary-and its partners have completed the first phase of a pilot oil field redevelopment program in East China.
• MMH-bentonite fluids provide outstanding performance in oil field drilling
  Mixed metal hydroxides (MMH) with suspended bentonite particles give industry a cost-effective fluid system with excellent shear-thinning rheological properties.

• DOE selects two stripper gas R&D projects
  The US Department of Energy has selected two research projects to assist production from the 192,000 stripper gas wells in the US.
• BLM to mediate coal mine, coalbed methane conflicts
  The US Bureau of Land Management has launched an initiative to resolve leasing conflicts between coal producers and coalbed methane producers.

• Watching Government
  After Erika
  Much like the repercussions from the Exxon Valdez disaster in the US, the loss of a tanker off France is prompting Europe to reexamine its maritime safety regulations.

• ExxonMobil's Japanese affiliates to merge
  Japan's General Sekiyu KK and Tonen Corp.-both affiliates of ExxonMobil Corp.-have agreed to merge in a bid to streamline operations and cut costs.
• Valero acquires California refinery, outlets
  Valero Energy Corp.'s $895 million-plus purchase of ExxonMobil Corp.'s Benicia refinery and 340 marketing outlets in California marks the San Antonio independent refiner's entry into retail operations, along with a major geographic diversification of its business.
• Processed-crude quality in US continues downward trend
  A review of historical 10-year data on crude oil gravity and sulfur content shows that generally poorer-quality crudes are being processed in the US.

• Timor gas to feed Aussie syngas megaproject
  Efforts by offshore northern Australian gas developers to secure a market for their gas have evolved beyond LNG and other conventional supply options to encompass a world-scale synthesis gas (syngas) generation plant with downstream opportunities that include a gas-to-liquids facility.

• BP Amoco-Sinopec to up ethylene capacity
  BP Amoco PLC and a unit of China National Petrochemical Corp. (Sinopec) have agreed to boost planned capacity at their proposed Shanghai ethylene complex by a third to 850,000 tonnes/ year.

• Integrated reconnaissance model scores on Midland basin eastern shelf
  As oil and gas profit margins continue to be unpredictable and volatile, proper screening and evaluation of prospects will become even more essential.

• Prices and regulation
  The refining industry should try to parlay concern over the price of oil into attention to the costs of environmental regulation.

• Restructuring, consolidation top solutions for Russia's major oil companies' woes
  How does a country with such a vast natural resource base as Russia find itself on the verge of fiscal and economic insolvency?
• Russian oil price-setting mechanism evolving toward world standard
  As a result of the privatization process under the direction of former President Boris Yeltsin, Russia's petroleum assets have changed hands over the past 9 years from a centrally controlled state monopoly to an oligopoly of 11 major, regionally defined oil companies.
• ExxonMobil seen as top player in Caspian Sea region
  ExxonMobil Corp. has taken a leading position among players in the Caspian Sea region.
• Growth rate in E&P investments slowed to 3% since 1998
  Low crude prices in the spring of 1998 caused oil companies to tighten the reins on investments in 1999.

• Industry Briefs
  Totalfina Elf and the French government plan to use a novel approach to pump out the 146,000 bbl of heavy fuel oil that remains in the sunken Erika tanker, which broke up Dec. 12 off the coast of France (see Watching Government, p. 34, and OGJ, Jan. 24, 2000, p. 28).

Area Drilling

• Area Drilling
  Onarep signed a 12-month reconnaissance contract with Conoco (UK) Ltd. for its Mediterranean offshore territory.

Services/Suppliers

• TECHNOLOGY BUSINESS
  Weatherford International, Inc., Houston, Tex., has announced that its gas compression division, Weatherford Global Compression Services, has acquired Gas Services International (GSI), Ltd.

Equip/Software/Lit

• Equipment/Software/Literature
  Here's the Model 2000 soap stick launcher, which holds 34 soap sticks and will drop on command from a CPU device based on the needs of the well.

Journally Speaking

• Energy in the real world
  Petroleum industry calendars this time of year swarm with conventions and conferences.

Letters

• Corporate social responsibility
  I'm writing this letter in response to the article by Richard Dion (OGJ, Feb. 21, 2000, p. 21).
• Core preservation
  Mr. Scott Montgomery's article on oil well core preservation (OGJ, Nov. 15, 1999, p. 84) reminded me of my first oil field job: core analyst for Core Laboratories Inc. in Midland, Tex.

OGJ Newsletter

• OGJ Newsletter
  Oil prices are showing the greatest volatility since the 1990-91 Persian Gulf crisis amid heavy US pressure on key OPEC nations and conflicting signals from OPEC ministers.

Personals

• PERSONALS
  David T. Lawrence has been named vice-president, exploration and development, of Shell Exploration & Production Co., a unit of Shell Oil Co., Houston. He joined Shell in 1984.