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To: Elroy Jetson who wrote (48743)	3/27/2006 6:25:53 PM
From: mishedlo	Respond to of 116555

Chevron and Exxon strike it big in Africa By Richard Orange 26 March 2006 US giants Chevron and Exxon Mobil have made an African oil discovery that could hold more than a billion barrels worth of oil and gas. The find promises to be one of the largest finds this year, potentially opening up a new province off the shore of the West African island state of São Tomé and Principe. A source who has seen the results told The Business that the Obo-1 well, completed on 15 March, had found oil and gas in significant qualities. He said: “It is an encouraging result. Everyone is pleased.” Geological studies of the prospect suggest it could hold even more oil and gas than the Akpo field in the Nigerian waters to the north, which is thought to have recoverable reserves of more than a billion barrels. The source said Chevron and Exxon would meet on Tuesday to plan their next moves. He said Chevron, the operator of the field, had not yet decided when it would drill more wells to prove the exact size of the recovery. There is a severe shortage of oil rigs off West Africa, where the field has been discovered, making it extremely expensive to drill further at short notice. The companies would not be able to confirm the full extent of the discovery until they had drilled more wells. It took four wells before the full extent of the Akpo field had been proven. Another source said the consortium was still examining the data and was unlikely to agree on how to release the result until April. Chevron is the operator of the field with a 51% stake, Exxon holds 40%, with an alliance of Nigerian oil companies Dang-ote Energy Equity Resources and Afren holding the remaining 9%. The discovery will turn São Tomé into the oil industry’s newest resource-holder. The 160,000 inhabitants of the tiny former Portuguese colony could see their lives transformed in a way that has sadly eluded the inhabitants of the far more populous Niger Delta to the North – so long as São Tomé’s rulers manage to prevent a corrupt few siphoning off most profits. Campaigners for transparency in oil producing countries were optimistic about São Tomé after the country put into place a petroleum law modelled on that of Norway, with transparency over oil revenues and an oil fund for future generations. thebusinessonline.com

To: Elroy Jetson who wrote (48743)	3/27/2006 7:32:11 PM
From: mishedlo	Respond to of 116555

The International Swaps and Derivatives Association (ISDA) SINGAPORE--(BUSINESS WIRE)--March 14, 2006--The International Swaps and Derivatives Association (ISDA) today announced the results of its Year-End 2005 Market Survey of privately negotiated derivatives. The notional principal outstanding volume of credit default swaps grew 39 percent from $12.4 trillion to $17.3 trillion, compared with 48 percent growth during the first half of 2005. Growth for the whole of 2005 was 105 percent, compared with 123 percent during 2004. The survey monitors credit default swaps on single-names, baskets and portfolios of credits and index trades. Notional amounts of interest rate derivatives outstanding, which include interest rate swaps and options and cross-currency interest rate swaps, grew almost 6 percent to $213.2 trillion in the second half of 2005. This is a 16 percent increase from one year ago, and is in line with gradually decelerating growth rates for interest rate derivatives. Notional amounts of equity derivatives outstanding, consisting of equity swaps, options, and forwards, grew 15 percent from $4.8 trillion to $5.6 trillion in the 2005 second half. Annual growth was almost 34 percent, compared with 28 percent during 2004. The above notional amounts, which total $236.0 trillion across asset classes, are an approximate measure of derivatives activity, and reflect both new transactions and those from previous periods. The amounts do not, however, represent the risks associated with the activity; in order to determine risk, it is necessary to estimate net replacement cost, which ISDA does not collect. The Bank for International Settlements (BIS) collects both notional amounts and market values in its derivatives statistics and it is possible to use the BIS statistics to determine the amount at risk in the ISDA survey results. In the most recent BIS report, gross mark-to-market value is approximately 4 percent of notional amount outstanding. In addition, net credit exposure (after netting but before collateral) is 0.7 percent of notional amount outstanding. Applying these percentages to the total ISDA Market Survey notional amount outstanding of $236.0 trillion, gross credit exposure before netting is estimated to be $9.4 trillion and credit exposure after netting is estimated to be $1.7 trillion. "Continuing innovation in the derivatives business is leading a larger number of firms from more industries and more geographic regions to embrace the use of these important risk management tools," said Robert Pickel, Chief Executive Officer and Executive Director of ISDA. "Since its inception in 1985, ISDA has fostered and enabled this innovation through its legal, documentation, netting, public policy, operations and risk management initiatives around the world. As a result our business continues to be strong and vibrant and ISDA continues to attract more swaps participants to its membership." The ISDA Year-End 2005 Market Survey reports notional amounts outstanding for the interest rate derivatives, credit default swaps, and over-the-counter equity derivatives as of December 30, 2005. All notional amounts have been adjusted for double counting of inter-dealer transactions. ISDA surveys its Primary Membership twice yearly on a confidential basis. In this survey, 98 firms provided data on interest rate swaps; 86 provided responses on credit derivatives; and 83 provided responses on equity derivatives. Although participation in the Survey is voluntary, all major derivatives houses provided responses. About ISDA ISDA, which represents participants in the privately negotiated derivatives industry, is the largest global financial trade association by number of member firms. ISDA was chartered in 1985, and today has approximately 700 member institutions from 50 countries on six continents. These members include most of the world's major institutions that deal in privately negotiated derivatives, as well as many of the businesses, governmental entities and other end users that rely on over-the-counter derivatives to manage efficiently the financial market risks inherent in their core economic activities. Information about ISDA and its activities is available on the Association's web site: www.isda.org . quote.com