U.S. BRIEFS

ENVIRONMENT

DU PONT reduced toxic chemical releases reported to the Environmental Protection Agency by 30% in 1990, compared with 1989. More than 80 U.S. Du Pont plants reported combined toxic releases of 236 million lb in 1990. Reductions occurred in air, water, and land emissions as well as transfers off site. Two thirds of the reported releases were due to permitted underground injection in deep wells. Du Pont said it is committed to eliminating underground injection of hazardous waste by 2000.

REFINING

UNITED REFINING CO., Warren, Pa., let contract to Brown & Root Braun, Houston, to conduct a hydroprocessing feasibility study for its 64,600 b/d Warren refinery. Brown & Root will review hydroprocessing options available to bring the refinery into compliance with new Environmental Protection Agency rules restricting sulfur content of diesel fuel.

SHELL OIL CO.'S Wilmington refinery is in Carson, Calif., not Wilmington as reported earlier (OGJ, July 1 , p. 35).

TRANSPORTATION

LEVIATHAN GAS PIPELINE CO. completed the purchase of Trunkline Offshore Co. stock from the trustee of Panhandle Eastern Corp. for $32.5 million minus certain operational considerations (OGJ, Feb. 18, p. 34). Trunkline owns a 50% interest in Stingray Pipeline Co., a gas gathering and transmission system in the Gulf of Mexico.

MARITRANS PARTNERS LP, Philadelphia, bought a 1 million bbl, deepwater product terminal on the Schuylkill River in Philadelphia for $12 million from an undisclosed seller. The full service terminal will be owned and operated by Maritrans' Tank Cleaning Inc. subsidiary, which also will install vessel cleaning equipment.

COMPANIES

SHELL OIL CO. will reduce its work force by 10-15% during the next 12-18 months in order to achieve its goal of a 12% return on investment. Shell had a 5.5% return on investment in 1990, down from 6.9% in 1989. Current staff numbers about 31,600.

MONSANTO CO.'S board of directors approved a restructuring plan that will result in a work force reduction of about 2,500 worldwide. The plan mainly involves consolidation of the chemicals unit operations and reductions in corporate staff. Chemical plants to be closed during the next few years include Carson and Long Beach, Calif., and Everett, Mass. Products at those plants include detergent ingredients, water treatment chemicals, specialty resins, and phosphorous derivatives, which Monsanto will continue to produce at other plants.

HALLIBURTON CO. is reducing personnel in its energy services group by about 1,200 to cut costs. Some of the group's administrative functions and field facilities will be combined as well. Cost reductions are aimed at better matching expenses to customer demand during the next 2 years.

CHEVRON CORP. settled several issues in the Gulf Corp. pension litigation (OGJ, Apr. 29, p. 46), including awarding plaintiffs $95.5 million of the estimated $190 million in surplus funds in Gulf's contributory retirement plan and supplemental annuity plan. The settlement does not affect a federal court ruling that Chevron is entitled to about $620 million in surplus funds in the more recent Gulf pension plan, a ruling plaintiffs plan to appeal. Chevron also agreed to vest all plan participants who were affected by a horizontal partial termination of the Gulf pension plan.

PETROCHEMICALS

BEAUMONT METHANOL CORP. signed a letter of intent to purchase Du Pont's 250 million gal/year methanol plant and related manufacturing units at Beaumont, Tex., for more than $150 million. Beaumont Methanol is a new company controlled by Agricultural Mineral Corp., Tulsa, an affiliate of Morgan Stanley Leveraged Equity Fund 11 LP. Du Pont plans to continue buying methanol from the plant.

PHILLIPS 66 CO. let the final construction phase contract to Brown & Root Braun for rebuilding of its high density polyethylene plant in its Houston chemical complex (OGJ, Aug. 8, 1988, p. 19). Phillips' HDPE capacity will be 1.8 billion lb/year when the project is complete.

DRILLING-PRODUCTION

SAMSON ENERGY CO. LTD. plans to acquire interests in 17 oil and 140 gas leases in western Oklahoma, Kansas, and the Texas Panhandle from its Samson Resources Co. affiliate, which recently acquired the leases from Mesa Limited Partnership and Mesa Operating Co. Purchase price is about $15 million. Most of the leases are operated by Samson Resources. Estimated reserves are 14.9 bcf of gas and 263,000 bbl of oil. The purchase will increase Samson Energy's gas reserves by more than 30% and oil reserves by more than 18%.

TRANSCO EXPLORATION & PRODUCTION CO., Houston, plans a development project 55 miles off Louisiana on Eugene Island Block 255 with a six slot platform capable of producing 4,000 b/d of oil. Two wells encountered oil pay sands in four zones at 9,000-10,700 ft. Further drilling is planned after installation of production facilities is complete in summer 1992. Tepco and Adobe Resources Corp. are 50-50 partners in Eugene Island 255.

SHELL OFFSHORE INC. let contract to Solar Turbines Inc. for three gas turbine packages for the ultradeepwater Auger platform complex being built for installation in the Gulf of Mexico on Garden Banks Block 426 in 2,860 ft of water. Production from the field is scheduled to begin late in 1993.

NUEVO ENERGY CO., Houston, completed the purchase of certain oil and gas leases in Texas and Louisiana in the Gulf Coast region and in Texas state waters from Kilroy Co. of Texas Inc. for $27.7 million (OGJ, May 27, p. 46). The acquisition adds about 21 bcf of gas and 900,000 bbl of oil to Nuevo's proved reserves. Nuevo also bought various interests in 75 wells in Oak Hill field, Rusk County, Tex., from ARCO for $1.79 million, adding 4.9 bcf and 26,900 bbl of oil to its proved reserves.

GAS PROCESSING

NGC ENERGY INC., Houston, purchased Shell Western E&P Inc.'s Barracuda and Stingray gas processing plants in Cameron Parish, La., with combined capacity of 495 MMcfd. Stingray Pipeline Co. and Transco Energy Co.'s North High Island offshore system supply gas to the plants, which produce more than 7,300 b/d of natural gas liquids.