INTERNATIONAL BRIEFS

COMPANIES

LASMO PLC and Phillips Petroleum Co. U.K. agreed to exchange certain U.K. North Sea assets. Lasmo will acquire Phillips' 35% working interest in the portion of Block 16/27A containing Andrew field. Phillips will receive Lasmo's 3.195% interest in Blocks 30/7A, 30/12A, and 30/17A, hiking its working interest in the blocks to 35.875%. Block 307A contains Joanne and Judy oil and gas fields, now under development study.

DRILLING-PRODUCTION

NEAL ADAMS FIREFIGHTERS INC., Houston, started work on an international joint industry program for floating vessel blowout control. Sponsored by oil companies and agencies in the U.S., U.K., and Norway, the program will focus on drilling relief wells and vertical intervention from floating vessels for blowouts as well as pollution control for underwater blowouts.

OCCIDENTAL PETROLEUM CORP. let contract to John Brown E&C Inc. for a 100,000 kw, four turbine, associated gas fired power plant for the Piper field redevelopment project in the U.K. North Sea.

PETROMAR SA suspended a $15 million contract with Peruana de Perforacion SA and Suits Drilling South America Ltd. to drill 15 wells off Peru's northern coast (OGJ, Mar. 26, p. 46). Petromar cited financial and legal reasons following protests from other companies because Petromar awarded the contract without asking for bids.

SPAIN'S oil production fell 30% to 20,800 b/d in 1989, continuing a decline of recent years. Casablanca offshore field accounted for 84% of Spain's oil production. Gas production last year rose 64.3% to 145 MMcfd, mainly from Gaviota offshore field, where flow was 143 MMcfd.

SUEZ OIL CO. (SUCO), a joint venture of Egyptian General Petroleum Corp. and a combine of Deminex, British Petroleum Co. plc, and Royal Dutch/Shell Group, hiked production from Ras Budran field in the Gulf of Suez to 50,000 b/d from 40,000 b/d with a workover program. SUCO also will move in a jack up to drill one or two appraisal wells on the flanks of its 20,000 b/d Ras Fanar field in the Gulf of Suez.

SHELL EGYPT plans to develop an oil discovery on its East Gemsa concession in Zeit Bay off Egypt through SUCO's production facilities for Zeit Bay field. The 25 million bbl reservoir likely will produce about 5,000 b/d.

BASIC PETROLEUM INTERNATIONAL LTD. purchased Repsol Exploracion SA's 50% interest in the 1-85 permit in Guatemala for $3.2 million, boosting its stake in the block to 100%. Production is 3,350 b/d.

ESSO EXPLORATION & PRODUCTION KHORAT INC. and Petroleum Authority of Thailand signed a sales agreement covering the first joint development of gas reserves in Northeast Thailand. Esso will develop and produce gas reserves in a 1,000 sq mile contract area about 300 miles northeast of Bangkok (OGJ, Apr. 2, p. 22). The deal calls for the government to receive 20% of any block on which there is a commercial discovery.

ENVIRONMENT

QUEBEC'S environment department charged Shell Canada Ltd. and Petro-Canada with violating provincial standards for contaminants in effluent at their Montreal refineries in 1988-89. Petro-Canada pleaded not guilty, and Shell will enter a plea at a June 20 preliminary court hearing.

PETROCHEMICALS

E.I. DU PONT DE NEMOURS & CO. plans a $1 billion petrochemical complex at Oviedo, Asturias, northern Spain, to produce engineering plastics, advanced fibers, and other products. Most of the output will be shipped to countries in the European Community. The first plant, to produce Nomex aramid fiber, is to start up in 1992. The entire complex won't be complete before 2000.

FINLAND'S NESTE DY will expand high density polyethylene capacity at its Portuguese affiliate Empresa de Polimeros de Sines at Sines, south of Lisbon, to 120,000 tons/year from 80,000 tons/year and build a compounding unit on the site. Neste also plans to raise capacity of Cia. Nacional Petrochimica's Sines ethylene cracker, which it operates under a 15 year lease, to 350,000 tons/year from 300,000 tons/year. Both projects are scheduled for completion in 1992.

EXPLORATION

HALLIBURTON GEOPHYSICAL SERVICES INC. began a seismic survey in the Huallaga basin of Peru's north central jungle for Mobil Exploration & Producing Peru. Plans call for 1,600 line km of seismic and 1,600 gravimetric stations in the first 2 years of Mobil's exploration contract with state owned Petroleos del Peru SA at a cost of as much as $1 million/month.

IRAQ OIL EXPLORATION CO. (IOEC) let contract to Halliburton Geophysical Services Inc. to help upgrade its seismic capability. Halliburton will purchase all equipment and provide training assistance for surveys by IOEC to begin in June.

PETRO-CANADA INTERNATIONAL ASSISTANCE CORP. (Pciac) will provide $9 million (Canadian) to fund seismic surveys in Senegal and Gambia. Pciac will use a Canadian contractor for a $7 million onshore survey in both countries to begin in the fourth quarter. Pciac also will furnish $2 million in technical assistance.

CONOCO (U.K.) LTD.'S 15/24B-3 wildcat, drilled to 11,100 ft, flowed 3,800 b/d of 36 gravity oil and 1.26 MMcfd of gas from Tertiary sandstone about 160 miles northeast of Aberdeen in the U.K. North Sea. Conoco plans more seismic surveys on Block 15/24B beginning this month before deciding on further drilling. Conoco holds a 60% interest in the block, Lasmo North Sea plc 40%.

PROCESSING

ALGERIA'S SONATRACH will build a plant to recover 16 million cu m/year of liquid helium and 33,000 metric tons/year of liquid and gaseous nitrogen from waste gases from the gas liquefaction plant at Bethioua. Helios, a joint venture of Sontatrach, Air Products & Chemicals Inc., and Air Liquide, will construct and operate the plant near Oran.

MARKETING

QUAKER STATE CORP. will market premium grades of motor oil and automatic transmission fluids in Japan through new unit Quaker State Japan Co. Ltd., Tokyo. Plans also call for new products to be developed in Japan, notably premium motorcycle lubricants.