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Politics : The Environmentalist Thread -- Ignore unavailable to you. Want to Upgrade?


To: James Calladine who wrote (3449)5/12/2004 1:14:17 PM
From: Elmer Flugum  Read Replies (1) | Respond to of 36917
 
James,

Do you think the oil and gas industry is justifying this need by overstating the reserves in the ground?

Recently, Royal Dutch and its subsidiary, Shell Transport were caught embellishing their proven reserves.

Instead of bolstering their company's net worth, the companies are going for the strategic reserve angle and America's growing energy needs and short-fall.

len



To: James Calladine who wrote (3449)5/12/2004 3:37:39 PM
From: Elmer Flugum  Read Replies (1) | Respond to of 36917
 
Gas Driller Hits Its Mark In Rocky Mountains

biz.yahoo.com

It's shaping up to be an old-fashioned land rush out in the Rocky Mountains.
Local natural gas exploration companies are getting plucked for billions of dollars as larger players look to tap productive properties.

Last month Kerr-McGee Corp. spent $3.4 billion for Denver-based Westport Resources. A week later, EnCana ponied up $2.7 billion for Tom Brown Inc.

The deal making continued this month, with Pioneer Natural Resources announcing plans to buy Evergreen Resources for $2.1 billion.

Who's next?

One candidate is Denver-based Prima Energy, (NasdaqNM:PENG - News)which has stakes in big plays in Colorado and in Wyoming's Powder River basin.

Those assets are attractive, analysts say.

"The one thing (Prima has) in common with (recent) takeover targets is a large concentration of properties in the Rocky Mountains, with good upside potential from existing reserves and production," said analyst Joe Allman of RBC Capital Markets. "From that perspective, they're a good target."

That doesn't mean it'll have any suitors, however.

"From a valuation perspective, I don't see it being a good takeover target at this point," Allman said. "The stock's overvalued."

Ode To The Rockies

Analyst David Tameron of Stifel Nicolaus says rivals such as Patina Oil & Gas and Western Gas Resources might go first.

Prima Chief Executive Richard Lewis is tight-lipped about the prospects of his firm getting bought out, choosing instead to point out the benefits of its geographic market.

"The activity we've seen points out what we've said for some time: The Rocky Mountains are a great place to be," Lewis said. "It's one of the few areas in the country that is actually growing production. We think there is a considerable amount of reserves and development left to do."

Prima holds mineral leases in more than 390,000 net acres. At the end of last year the company estimated its proven reserves at 125.8 billion cubic feet. Three-quarters of that is natural gas.

In Colorado, it operates in the Denver-Julesburg Basin. In Wyoming, it has stakes in the Powder River basin.

Those two properties hold 90% of Prima's reserves. It also has a few properties in Utah.

Prima's natural gas business got its biggest boost last year from Powder River, where production more than doubled - despite the fact that early drilling there was hampered by regulatory and environmental issues.

Most operations are now up and running.

"Their biggest upside is in the Powder River coal bed methane play," said Allman.

Several new wells there are slated to come online by the third quarter, replacing production from depleted wells in other areas.

Prima also is working in conjunction with Western Gas Resources on a gas-gathering system in Power River to get its gas to market.

Plans are afoot to get most of the wells it's working on there hooked to the pipeline in the second half of the year.

Price Sensitive

Prima's specialty is mining tight sand and coal bed methane properties. These are small, shallow wells with low outputs. They're more trickles than gushers, so high prices for oil and gas are important to profitability.

The company also drills exploratory wells at other locations that could yield new reserves later on.

Results at a property called Coyote Falls are encouraging, Lewis says. Tests continue there, and a multi-well pilot program is slated for later this year.

Prima also expects to get permits to drill at Utah's East Clear Creek Field late this year.

"They've got some exploration projects in other parts of the Rockies, but they're in very early stages," Allman said. "It's too early to say if they'll be successful or not. But they've got some exposure to upside through exploration."

Hot Fun In The Summertime

Prima saw first-quarter production volume rise 25% from the prior year. The product mix was 83% natural gas and 17% oil. Average realized gas prices rose to $3.96 per thousand cubic feet vs. $3.22 a year earlier.

Revenue gained 32% to $20.6 million. Earnings were up 37% to 52 cents a share.

First Call analysts see full-year earnings rising 11% to $1.99 a share, though 2005 profit is expected to slide back to $1.94.

Prima and other oil and gas firms saw their shares plunge on Monday. One reason: Leading OPEC producer Saudi Arabia called on the oil cartel to raise supply limits by at least 1.5 million barrels per day to prevent high crude prices derailing global economic growth.

Still, Prima should see prices spike this summer as power generation picks up, Tameron says.

Meanwhile, there's likely to be continued speculation about the firm's future as an independent. If it does stay independent, it has the financial wherewithal - no debt and around $60 million in cash - to make a buy or two itself.

"They looked at acquisition opportunities, and they got close on a few," Allman said. "But those transactions fell apart."

CEO Lewis says he's looked at a few buys, but couldn't speak to any pending deals.



To: James Calladine who wrote (3449)5/15/2004 2:44:37 PM
From: Skywatcher  Read Replies (1) | Respond to of 36917
 
BUSH and FACISTS CONTINUE TO TRY TO STOP ALL MANNER OF PROTEST
Ashcroft Fishes Out 1872 Law in a Bid to Scuttle
Protester Rights Sailor-mongering act rises from history as the feds try to cripple Greenpeace.
By Bill McKibben
Bill McKibben, a scholar in residence at Middlebury College, is the author of many books on the environment, including "Enough: Staying Human in an Engineered Age" (Times Books, 2003).

fairuse.1accesshost.com

May 14, 2004

In April of 2002, a cargo ship, the Jade, was steaming toward Miami carrying a cargo of mahogany illegally cut from the Brazilian Amazon. Two Greenpeace activists tried to clamber aboard the ship and hang a banner that read "President Bush: Stop Illegal Logging." None of which is unusual.

The trees of the Amazon are logged day after day, year after year, despite a host of treaties and laws and despite the fact that scientists agree that an intact rain forest is essential for everything from conserving species to protecting the climate. And Greenpeace, day after day, tries to call attention to such crimes. It pesters rich, powerful interests about toxic dumping and outlaw whaling and a hundred other topics that those interests would rather not be pestered about. The Miami activists were arrested, spent a weekend in jail, pleaded guilty and were sentenced to time served. All in a day's work.

But here's where it starts getting weird: More than a year after the ship boarding, the Justice Department indicted Greenpeace itself. According to the group's attorneys, it's the first time an organization has been prosecuted for "the speech-related activities of its supporters."

How far did the government have to stretch to make its case? The law it cited against boarding ships about to enter ports was passed in 1872 and aimed at the proprietors of boardinghouses who used liquor and prostitutes to lure crews to their establishments. The last prosecution under the "sailor-mongering" act took place in 1890. The new case could be like something straight out of "Master and Commander."

The matter goes to trial next week in a federal district court in Miami, and if Greenpeace loses, the organization could be fined $20,000 and placed on probation. The money's no big deal; outraged supporters would probably turn such a verdict into a fundraising bonanza. But the probation would be. The group might well be prevented from engaging in any acts of civil disobedience for years to come. If it crossed the line, the group's officers might be jailed and its assets seized. Since civil disobedience is what Greenpeace does best, the Justice Department might in effect be shutting the group down.

That would be too bad, and not just for Greenpeace. The potential precedent here — that the government can choke off protest by shutting down those who organize it — undermines one of the most important safety valves of our political life.


During the civil rights era, Southern sheriffs used every law they could think of to jail protesters — loitering was a favorite charge.
Imagine some group being put on probation because it had helped organize sit-ins. But even J. Edgar Hoover didn't try to criminalize the NAACP. As the veteran civil rights campaigner Julian Bond said recently, "If John Ashcroft had done this in the 1960s, black Americans would not be voting today, eating at formerly all-white lunch counters, or sitting on bus front seats."


As is the norm, this attack on political liberties is excused by the need for "port safety" in the wake of 9/11. But I've watched Greenpeace for years, and its members are the furthest thing from terrorists; according to the group, "no Greenpeace activist has ever harmed another individual," despite a record of direct action dating to its founding. in 1971.

If port safety truly were the issue, the federal government would have made far more progress toward inspecting cargo arriving by sea. Confidence in the vigor of governmental scrutiny was not enhanced when it managed not to find the Jade's illegal mahogany and let it sail on from Miami. Two days later it unloaded 70 tons of the wood in Charleston, S.C.

The real threat Greenpeace represents is that its members tell the truth, and do it obnoxiously, out in public, where it can't be missed.

The Bush administration knows its environmental record is poor, and it knows that hanging banners matters. (That's why the White House printed up the "Mission Accomplished" flag for the president's May 1, 2003, aircraft carrier photo op). To spare itself embarrassment, the administration is willing to endanger core political freedoms that go back to the very founding of the republic.


How far back? Dec. 16, 1773, at least, when a crew of patriots disguised as Mohawks illegally boarded three ships in Boston Harbor and dumped overboard all the cargo of tea. As the raiders paraded away from the docks, British Adm. John Montague shouted: "Well, boys, you have had a fine pleasant evening for your Indian caper, haven't you. But mind, you have got to pay the fiddler yet."

Now 230 years later, it's Atty. Gen. Ashcroft playing the part of the British officer, and the words are just as chilling.

CC