Chevron Corp. is opening an office in Turkmenistan, following the Turkmen government's invitation last month for the U.S. oil giant to work in the energy-rich Central Asian nation, state-run television reported Friday.

The agreement was reached Thursday at a meeting between President Gurbanguli Berdymukhamedov and Chevron vice president Jay Pryor.

It comes as international competition over access to Turkmenistan's vast oil and gas resources has intensified following the death in December of the country's long-ruling autocrat, Saparmurat Niyazov, who had largely blocked foreign access to the country's energy sector.

State television also reported that senior officials from BP PLC's Russian joint venture met with Berdymukhamedov at the presidential palace, as the company considers opening an office in Ashgabat.

Turkmenistan has the second-biggest gas reserves among all ex-Soviet republics after Russia, and its resources are playing an increasingly important role in regional politics.

ConocoPhilips may have had to pull out of Venezuela, but it could still keep its foot in the country. Venezualan President Hugo Chavez is in talks with Russian Lukoil, which ConocoPhilips has stakes in, to develop projects in the country.

A spokesman for LukOil (other-otc: LUKOY - news - people )confirmed a meeting took place Wednesday between Chavez, who is currently on a visit to Russia, and the oil company’s president and founder, Vagit Alekperov. The spokesman didn't offer any detail except that the company was in discussions about two potential projects; the first to develop heavy oil fields in the Orinoco river basin, and the second to rehabilitate already existing oil fields. He stressed that nothing was confirmed but that if everything worked out as planned, Lukoil’s venture could begin by the end of the year.

If the venture goes ahead it would be the first time a Russian energy company sets foot in South America.

The news comes just a week after ConocoPhilips (nyse: COP - news - people ) and Exxon Mobil (nyse: XOM - news - people )announced it was pulling out of Venezuela on the grounds that the government was attempting to impose tougher terms on their contract for pumping oil in the country’s Orinoco River basin.

ConocoPhilips has a 20.0% stake in Lukoil.

Yesterday the Russian daily Kommersant reported that Chavez was considering inviting Lukoil and Gazprom to develop projects that included a pipeline linking Argentina, Bolivia, Brazil, Paraguay, Uruguay and Venezuela.

Lukoil did not comment on Gazprom’s involvement and the state-owned company could not be reached for comment.

But the plans to invite both energy giants fits in with President Hugo Chavez’s plans to solidify links with countries it perceives as sympathetic to its aims and ambitions. On Wednesday Chavez held talks with Russian President Vladimir Putin.

As its relations with the U.S. grow tenser, Venezuela is hoping to forge a deeper relationship with countries like Russian and China. The Lukoil and Gazprom ventures could lead to further ties, including technology transfers, between the two countries.

Lukoil has ambitious growth plans for the future. It has launched new projects including some in northern Africa, and Saudi Arabia, and is considering further ventures in Central Asia. Earlier this year it released an updated plan for the next ten years, which includes a target to double their production of oil and gas by 2017. Last year Lukoil, which after Gazprom is Russia’s largest energy company, produced more than 94 million tons of crude oil. For the past seven years the company’s production has been growing by an average of 7.0% a year.

Still the company is not without problems. On Friday it reported that its profit for the first quarter of 2007 fell 22.0% to $1.84 billion from $2.36 billion, due to a 22.0% rise in excise and export tariffs imposed by the Russian government.

By contrast Gazprom announced on Friday that its net profit for the year grew by 90.2% to 856.1 billion roubles ($33.2 billion) from 450.1 billion roubles ($17.46 billion), thanks to a harsh winter in Europe, which fuelled demand for its exports.

Apart from the political strategic benefits to Russia and Venezuela from a tie up, the South American venture makes excellent economic sense for the companies. Other companies such as Chevron (nyse: CVX - news - people ), BP (nyse: BP - news - people ), and Norwegian Statoil (nyse: STO - news - people ) have all remained in the country as minority partners in ventures by the state-run Petroleos de Venezuela, despite tough conditions being imposed.

Chevron Pipe Line Company announced today that it plans to expand its Keystone Gas Storage facility in West Texas by an additional 2 billion cubic feet (Bcf) for a total working gas capacity of 7 Bcf. The facility's withdrawal capability is 400 million cubic feet per day (mmcf/d) and injection capability is 160 mmcf/d. The expansion is expected to increase injection capability to 200 mmcf/d.

"The Keystone expansion demonstrates Chevron's continued commitment to the natural gas storage business, and Chevron Pipe Line is well positioned to help supply the region's increasing demand for natural gas," Rebecca Roberts, President of Chevron Pipe Line Company, stated.

The company placed a fifth cavern in service during the fourth quarter 2006. Completion of the facility's sixth and seventh caverns is expected in early 2010.

Keystone will hold an open season during the third quarter of 2007 to secure expressions of interest in firm gas storage services for the 2 Bcf of total capacity from the two proposed caverns. The project has received approvals and permits to develop these caverns from the Texas Railroad Commission.

Located in the Permian Basin production region, Keystone is a high deliverability salt cavern natural gas storage facility that connects to the El Paso Natural Gas, Transwestern Gas Company and Northern Natural Gas Company pipelines. These connections allow Keystone to serve customers and consumers in Texas as well as the Midwestern and Western interstate regions. Keystone has been in service since September 2002.

More information on Chevron Pipe Line Company is available at http://www.chevron-pipeline.com.

Interested parties should contact Anne Fiedler at 713-432-2459 for more information about Keystone's open season process or to obtain an information package.


Source: Chevron Pipe Line Company

Venezuelan President Hugo Chavez called on Russian business leaders Friday to boost their investment in his country, criticizing U.S. companies as "vampires" and inviting Russians to help develop a massive oil deposit.

As Chavez kept up his verbal attacks on the United States during a visit to Russia, a Russian arms trade official said he hopes Venezuela will buy five Russian submarines -- a purchase that would likely anger Washington.

Chavez said he expects development of a "road map" that will boost and diversify Russian-Venezuelan business ties -- especially in the energy sector, including construction of a natural gas pipeline and oil refineries.

"We are very satisfied with the presence of Russian companies in our oil industry, and will do our best to develop this cooperation further," he said in an address to Russia's Chamber of Commerce and Industry.

He said that at dinner Thursday night with President Vladimir Putin, they agreed to create a fund to support joint projects. With Russia's help, Venezuela is ready to build four oil refineries and plans another 13, he said.

He also invited Russian oil companies to help develop the Orinoco River basin, recognized as the world's single largest known oil deposit, potentially holding 1.2 trillion barrels of extra-heavy crude.

Earlier this week, U.S. energy Exxon Mobil Corp. and ConocoPhillips refused to sign deals to keep pumping heavy oil in the basin while giving the government control of their operations there.

Other major oil companies Chevron Corp., Britain's BP PLC, France's Total SA and Norway's Statoil ASA accepted the terms, accepting minority stakes.

On Friday, Chavez lambasted the U.S. and its "imperialist" policies.

"U.S. companies act like Count Dracula, like vampires bleeding our country dry," he said.

Chavez urged Russian companies to invest in construction of a 5,000-mile natural gas pipeline to Argentina, retrofitting Venezuela's dilapidated sea ports, and developing its gold mining and chemical and industries.

"For the Americas, Venezuela is like Russia for Europe and Asia -- a source of oil and natural gas," he said.

Both Venezuela and Russia have revisited contracts signed in the 1990s with major oil companies, and slapped back-tax claims on private companies.

Chavez arrived Wednesday amid widespread speculation that he wanted to sign a major arms deal, and Putin said the weapons trade was among the topics of talks late Thursday.

On Friday, the RIA-Novosti news agency quoted an official with the Russian arms sales monopoly as saying the sides were in talks on the possible purchase by Venezuela of five Project 636 Kilo-class diesel submarines.

"We are conducting these talks, and I hope that this agreement is possible," RIA-Novosti quoted Innokenty Naletov, an aide to the director of Rosoboronexport, as saying. He said there were also talks on supplies of military equipment for ground and air forces.

Caracas already has purchased some $3 billion worth of arms from Russia, including 53 military helicopters, 100,000 Kalashnikov rifles, 24 SU-30 Sukhoi fighter jets and other weapons. The United States has voiced concern about Venezuela's military spending.

Some "peak oil" cassandras warn that global energy production will soon fall into permanent decline. But a more immediate danger to world oil supplies may be the tempestuous politics of many producing countries. Witness Venezuela's move to wrest control of key oil projects from global companies on June 26. The move echoes steps taken in other nations that will likely either decrease production or slow its growth in coming years. "The oil is in the ground, but serious doubts are being raised about whether countries have the desire and means to produce it," says Leo Drollas, deputy director of the Center for Global Energy Studies, a London think tank.

Right now, Venezuela is creating the biggest doubts. Its output has declined by about 25%, to 2.4 million barrels per day, since populist President Hugo Chávez came to power in 1999. The main reason: Chávez fired 75% of the managers at state oil company Petróleos de Venezuela (PDVSA) after a strike in 2003. That decision left PDVSA overstretched and ineffective. The plunge would have been disastrous had it not been for increased investment by foreigners. Yet Chávez is making life so difficult for the oil majors that two of them—Exxon Mobil Corp. (XOM) and ConocoPhillips (COP)—are now walking away. This latest episode is bound to limit future interest in Venezuela and could well push the country's crude production, which had been recovering, back into decline.

Venezuela is far from the only producer country that's giving Big Oil nightmares. On June 22, Russia forced BP (BP) to sell a controlling stake in a massive east Siberian gas field called Kovykta for around $700 million—a fraction of the project's potential value. Last year, Moscow strong-armed Royal Dutch Shell PLC (RDS) into giving up control of its big Sakhalin II gas project in the Far East, and it's now battling ExxonMobil over a similar field nearby. The Kremlin's energy policies have already contributed to slowing growth in Russian output: Production is rising at 2% annually, down from double-digit rates a few years ago. And the International Energy Agency says Russia's production may top out at about 10.5 million bbl. daily—well below the expected peak output of 12 million bbl. per day that some experts had predicted, though still above today's level of 9.9 million bbl.

Political rivalries and tumult in other nations are also keeping a lid on supplies. Violence in Iraq means production there remains below prewar levels. Iran's exhausted domestic industry faces declines without outside help, but the country's jousting with Washington gives even non-U.S. investors pause. Mexico faces a fall in output because it is starving Pemex, its national oil company, for capital while barring foreign investors from the sector. "You start getting into some really interesting questions [about where future supplies will come from] if countries don't increase investment," says David Kirsch, an analyst at Washington consultants PFC Energy.

Those questions matter for oil producers and users alike. Consumption is growing fast, and without investment in new fields the industry's output would fall by about 3% annually. So every year the world needs new capacity of almost 4 million bbl. per day just to keep up. Western oil companies have the technology and knowhow to help countries with hard-to-tap resources get their crude out of the ground. But with today's high prices, Russia, Venezuela, and others with large reserves don't see the point in ceding profits to the giants. These countries prefer to let national oil companies such as PDVSA, Pemex, and Russia's Gazprom extract the wealth—even if it they're not quite as efficient as the foreigners.

This may make sense for the resource-rich countries. Building up a domestic industry and curbing reliance on outsiders could well serve their national interests. But for oil and gas consumers in the U.S., Europe, and Japan, that means a growing dependence on producers that don't share their interests—and likely more years of high prices due to limited supplies, regardless of whether or not global output has reached its peak.

Sonangol, the Angolan state oil company, as concessionaire, and Total , as operator, are pleased to announce that the Angola's deepwater Rosa field in Block 17 started production on June 18. Discovered in January 1998 at some 135 kilometres off the coast of Angola in water depths of 1,350 metres, the Rosa field is located some 15 kilometres away from the Girassol Floating Production Storage and Offloading (FPSO) vessel to which it has been tied back. It is the first deepwater field of this size to be tied back to such remote installation and in such water depths. Rosa, with proven and probable reserves amounting 370 million barrels in 100%, will maintain the FPSO's production plateau at 250,000 barrels per day until early in the next decade.

The Rosa field will comprise 25 wells, including 11 for water injection and 14 producers, which will be tied into four manifolds. The subsea installation consists of 64 kilometres of insulated production flowlines (Pipe in Pipe) and of 40 kilometres of water injection lines linking the Rosa to the Girassol FPSO. An innovative riser tower docked nearby the FPSO takes the fluid over 1,200 metres from the sea floor up to the surface.

In order to receive the Rosa production, 5,600 tonnes of structure and equipment were installed on the FPSO. The works have permanently mobilised about 400 persons on the vessel, over a period of nearly two years. During the whole period, the treatment of the Girassol oil continued and only some scheduled production shutdowns were required.

With Rosa on stream, all of the produced water from the Girassol, Jasmim and Rosa fields will be reinjected in the reservoirs, thus resulting in produced water not being discharged to the sea. In addition, Total is reducing greenhouse gas emissions by using an innovative process that inerts and recovers gaseous effluent from the FPSO tanks.

The extent of the works and the delicate conditions in which they had to be carried out due to the important safety constraints imposed by continuing the operation of Girassol facilities have made the Rosa development a first in the world on such FPSO.

Sonangol is the Block 17 concessionaire. Total E&P Angola, operator, has a 40% interest in Block 17, alongside partners Esso Exploration Angola (Block 17) Limited (20%), BP Exploration (Angola) Ltd. (16.67%), Statoil Angola Block 17 AS (13.33%) and Norsk Hydro Dezassete a.s. (10%).

Total in Angola

Total is present in Angola since 1953 and held interests in production permits both operated (Blocks 3 and 17) and non operated (Blocks 0, and 14).Total also holds stakes in exploration permits, Blocks 15/06, 17/06 (operated), Blocks 31 and 32 (operated).

Deep-offshore Block 17 is Total's major asset in Angola. It is composed of four major zones : Girassol and Dalia, both in production; Pazflor, which is in the bidding process before sanction; and CLOV, a fourth major production area based on the Cravo, Lirio, Violeta and Orquidea discoveries, whose development is currently being studied. Future production from these fields will come in addition to 500,000 barrels of oil per day that are currently pumped from Girassol and Dalia structures on the Block 17. Connected to the Girassol FPSO, Rosa will extend the production plateau of this FPSO until the next decade.

Situated in deep offshore, the major potential of Block 32 was confirmed by the ten discoveries achieved between 2003 and 2007.

Conceptual development studies gathering the Gindungo, Canela and Gengibre discoveries were initiated in 2005 in order to exploit these discoveries in a production zone, in the central eastern part of the block. Studies will be initiated to evaluate the development potential of the other discoveries.

* * * * * *

Total is one of the world's major oil and gas groups, with activities in more than 130 countries. Its 95,000 employees put their expertise to work in every part of the industry - exploration and production of oil and natural gas, refining and marketing, gas trading and electricity. Total is working to keep the world supplied with energy, both today and tomorrow. The Group is also a first rank player in chemicals. www.total.com


Contact:

TOTAL S.A
Tel. : 33 (1) 47 44 58 53
Fax : 33 (1) 47 44 58 24
www.total.com

Source: TOTAL S.A

Brazil's state-run oil company Petrobras and Venezuela's PdVSA will invest $2 billion in the development of Venezuela's Carabobo block in the Orinoco heavy oil belt, the Brazilian company said Thursday.

The two companies expect to start output from the extra-heavy field in 2009, Petrobras spokeswoman Carolina Rocha said.

Petrobras, or Petroleo Brasileiro SA, will take a 40 percent stake in the project, while PdVSA, or Petroleos de Venezuela SA, will have 60 percent, Petrobras International Director Nestor Cervero told the Folha de S. Paulo newspaper, Brazil's largest.

The increase of activities by Petrobras in Venezuela comes as some private companies are leaving the Orinoco region.

ConocoPhillips and Exxon Mobil Corp. are negotiating exit terms from their interests in multibillion dollar projects in the Orinoco belt after Venezuela forced foreign companies to cede a majority stake in all Orinoco production to PdVSA.

Venezuela has certified 28.6 billion barrels of oil reserves in place at the Carabobo 3 block, of which it expects to extract 20 percent, PdVSA said recently.

Petrobras and PdVSA plan to upgrade the tar oil from Carabobo I in Venezuela and ship part of the production to a heavy oil refinery in northeastern Brazil to be built by both companies.

The August contract for West Texas Intermediate crude pierced the $70 a barrel level Thursday and stayed there for most of the trading session before ducking back under it just before the close.

Oil rose 74 cents to $69.71 a barrel on the New York Mercantile Exchange. Reformulated gasoline climbed 2 cents to $2.27 a gallon, and heating oil gained 2 cents at $2.04 a gallon. Natural gas lost 25 cents to close at $6.84 per million British thermal units.

The last time oil was above $70 was September. The general bullishness was a side effect of Wednesday's inventory numbers. According to analysts at Barclays Research, petroleum products like gasoline and distillates are at their tightest levels since November 2004.

Analysts and traders are concerned that U.S. gasoline stores won't be sufficient to feed demand during this summer's driving season.

They are also beginning to worry about heating oil. "The seasonal build in heating oil inventories in the key consuming area should have begun two months ago, and so far there is no sign of it," according to a Barclays report. This could put a squeeze on heating oil when demand for it increases next winter.

Meanwhile, energy stocks were mostly higher. The CBOE Oil Index advanced 1% to 755.73. ConocoPhillips (COP - Cramer's Take - Stockpickr) was fractionally lower at $77.22, and Chevron (CVX - Cramer's Take - Stockpickr) climbed 0.8% to $84.50. Exxon Mobil's (XOM - Cramer's Take - Stockpickr) stock rose 0.7% to $84.10.

A.G. Edwards upgraded shares of OGE Energy (OGE - Cramer's Take - Stockpickr) to buy from hold, lifting the company's stock 6.2% to $36.73.

Moody's Investors Service has downgraded ratings on debt issued by three Venezuelan heavy oil projects in which the government has taken majority stakes, pushing the ratings further into speculative-grade territory.

Moody's decision came out late Wednesday and affects $2.5 billion in debt issued by Hamaca, Petrozuata and Sincor. These ratings were cut to B2 from B1 and are also on review for further downgrade.

Moody's already downgraded the fourth oil project, Cerro Negro, to B3 from B1 in mid-May after bondholders initiated "prospective default" proceedings in response to the assumption of operational control by state-owned oil company Petroleos de Venezuela, or PdVSA.

On Tuesday, ConocoPhillips and Exxon Mobil Corp. said they were withdrawing from their investments in the Orinoco projects.

Moody's said it remains "concerned about scenarios that could evolve in the future as the projects operate under majority PdVSA control, including circumvention of debt terms and structural protections."

The transfer in ownership may trigger a technical default on the project bonds, Moody's said, because shares of the foreign oil majors -- but not of PdVSA -- are pledged as collateral for the debt. With the foreign companies now holding reduced stakes in the projects or no participation at all, "lenders will effectively be dispossessed of a significant portion of their security" and this could constitute a breach of provisions in the bond contracts.

In a note sent to clients Thursday, HSBC highlighted concerns that PdVSA's compensation to the foreign oil companies could fall notably short of market value.

In addition, "it remains unclear whether PdVSA will assume debt issued by the four major projects in the Orinoco, and if it does so, whether default articles on this debt will be triggered," HSBC said. "Given the negative prospects we expect further downgrades on this debt pressuring the overall sovereign credit."

Venezuelan sovereign external bonds have been under heavy pressure this week. In midday trade, the country's risk premium on JPMorgan's Emerging Markets Bond Index Global Diversified was one basis point tighter at 320 basis points over Treasurys, but returns were a negative 0.2 percent.

Barclays Capital said in a Thursday note that "at current levels...Venezuela and PdVSA (bond) spreads appear to be overstating the risks, in our view."

A team led by Craig Venter, the maverick geneticist best known for his fight to sequence the human genome, has moved a step closer to making cells from scratch. But huge hurdles remain to making practical use of this new technology.

The team at the J. Craig Venter Institute took all of the genes from one species of bacteria, Mycoplasma mycoides, and transferred them into another, Mycoplasma capricolum. The result: The genes from the mycoides took over, changing the cells from one species to another simply by moving around DNA.

However, experts say it will be very difficult to apply the technique to other types of bacteria, and for now its use may be limited to the fragile and tiny mycoplasma germs.

This research, published in the new issue of Science magazine, is part of a larger quest by Venter and his team to create a cell with a genome designed from scratch. The idea is that researchers could chemically synthesize the DNA they wanted outside the cell--something companies like Codon Devices of Cambridge, Mass., or Blue Heron Biotechnology of Bothell, Wash., can already do relatively cheaply--and implant it into bacteria, effectively creating a new species that did not exist before.

"With this new bacterial genome transplantation technique, we are now one step away from taking a newly constructed genome and transplanting it into a recipient cell," says Drew Endy, a synthetic biologist at MIT who did not work with the Venter team.

Jay Keasling, a synthetic biologist at University of California-Berkeley, calls the work "an indication that it will one day, perhaps soon, be possible to create an organism with a completely synthetic genome."

Researchers hope that custom-engineered cells could be useful in producing new types of medicines, including bacteria designed to help the body attack disease, or to produce biofuels that could help ease the world's reliance on oil. Such applications are far off, and no fully synthetic organism has yet been created.

Companies are already being started to take advantage of new technology that makes it easier to bioengineer organisms. Codon, of which Endy is a director, is looking to sell synthetic biology tech to other firms. Venter's own firm, Synthetic Genomics, is aiming to solve problems related to energy and recently signed a deal with British Petroleum (nyse: BP - news - people ). Amyris Biotechnologies, founded by Keasling, is looking to solve both health-related and energy problems. A company called LS9 is looking to use synthetic bacteria to make fuels.

Only the Venter team has married its approach so closely to creating life from scratch. Other researchers are marveling at the potential to do genetic engineering by modifying multiple machines at once, allowing them to work with cells as if they were machines. Amyris, for instance, has worked to solve a key production problem needed to make cheap malaria drugs.

But the Venter approach is more audacious and more costly. On a conference call with the press, he said that ideally, someday, he'd like to have all the components for a living cell in a chemical soup and then see them assemble. Now he has shown that it is possible to take a genome from one organism and move it to a similar one. The next step would be to manufacture a genome and transplant that.

Other synthetic biologists are taking existing cells and making hot rods; Venter wants to make one from scratch. But there are big drawbacks to his approach. His researchers are working with mycoplasma, a bacteria that has only 500 genes, close to the minimum number necessary. Mycoplasma is fragile, especially compared to the E. coli and yeast other synthetic biologists work with.

It also may be costly, with the estimated cost to reach the first synthetic organism being at least $10 million, according to a slide presented at a recent scientific conference by Hamilton Smith, the Nobel laureate who is heading the Venter Institute's synthetic biology effort. Venter's spokeswoman did not return an e-mail checking the accuracy of that figure.

George Church, a Harvard biologist who is a co-founder of LS9 and Codon Devices, argued that it was "not clear" that creating a wholly engineered cell, especially a fragile mycoplasma, would be more cost effective than just inserting or changing a few genes.

However, he says a related charge, that Venter is restricting biology and setting up a potential monopoly by patenting some of his institute's earlier work with Mycoplasma, is a "tempest in a teapot." Other researchers will still have plenty of room to invent their own work, and the patent does not, as some have asserted, cover the creation of any synthetic organism.

Crude-oil futures touched a nine-month high above $70 a barrel Thursday, supported by U.S. data which showed that strong demand and lower imports prompted a decline in gasoline and distillate supplies despite an increase in refinery activity.
Prices closed higher, but cut their gains by the end of the trading session as the initial rally calmed and the industry offered some updates on refinery unit restarts.
At the same time, the benchmark contract for natural-gas futures prices dropped 6% to its lowest level in more than two years as traders deemed supplies more than ample to meet demand for now.

The oil market is driven by "two main prongs right now," according to Zachary Oxman, a senior trader at Wisdom Financial. "The first is a light supply in the gas markets and the second is a very strong technical picture in the crude market."
The Energy Department's report on Wednesday showed unexpected declines in gasoline and distillate supplies, though crude-oil stocks climbed for a fourth straight week. See full story.

But "the most important news of the report came from the distillate section, showing inventories falling sharply and moving quickly to a potential shortage condition in the near term as the summer demand season heats up," said Oxman in e-mailed comments.

"Product inventory declines were caused by a reduction in imports and by continued strong demand from end users," he said.
Against that backdrop, crude oil for August delivery climbed as high as $70.50 a barrel in the regular trading session on the New York Mercantile Exchange, the contract's strongest intraday level since Sept. 11, 2006. Prices retreated a bit to close at $69.57, up 60 cents. They had already gained $1.20 on Wednesday.
July reformulated gasoline closed up 1.21 cents at $2.2667 a gallon while July heating oil finished at $2.0183 a gallon, down 0.63 cent after an earlier rise to $2.042.
An update on production at Valero Energy's (VLO :
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BP, , ) has begun a restart of a 75,000 barrels per day crude unit, the news agency reported, citing a person familiar with the refinery.

Even so, "we're finally kind of breaking out of that trading range" for oil, said Phil Flynn, a senior analyst at Alaron Trading. "The catalyst is yesterday's report still. The refinery runs started to go up a little bit and that would increase demand for crude. Because of the strong demand, it's going to drive the price of the other products as well."

Refinery utilization climbed to 89.4% of capacity last week from 87.6% a week earlier, the Energy Department reported Wednesday.
But crude-oil imports fell 290,000 barrels per day last week and motor-gasoline demand averaged more than 9.5 million barrels per day in the past four weeks, up 1.4% from a year ago.

$80 oil?

The oil market continues to ignore the fact that U.S. crude-oil inventories are at high levels, their highest since 1988, according to some estimates. As of last week, supplies were at 349.3 million, up 3.2% from a year ago, Energy Department data showed.

"The refinery sector problems are the key to the overall rally," said John Kilduff, an analyst at Man Financial, in e-mailed comments.
He said he's not surprised crude prices are above $70, and "a new price record and $80 per barrel is likely this summer."

Gasoline prices at the retail don't necessarily have to hit a record, he said.
James Williams, an economist at WTRG Economics, said a number of factors could spur a rally in oil to $80.

Chevron's Lubricants University, an online training resource offering information on technologies and trends in the lubrication and maintenance industry, announced that archived issues of Lubrication magazine are now available free of charge on its site - www.LubricantsUniversity.com.

Lubrication magazine, a trusted source of information for almost a century, has published nearly 1,000 issues since 1911. The magazine has a history of providing in-depth knowledge and analysis of the lubricants industry, with each issue presenting a thorough look at a subject of interest. With a large portion of the Lubrication archive now available online, interested parties are able to research a particular lubrication area from previous years to increase understanding of the changes in additive chemistry, manufacturing and equipment maintenance.

"By making past Lubrication issues available online, we have created a central area for lubrication research to thrive," said Virginia Moser, training coordinator, Chevron Products Company. "Our site is a resource for maintenance and lubrication professionals to increase their knowledge regarding the development and application of lubricants. The addition of this extraordinary resource increases the value of the experience we offer to our users and gives new life to one of the most respected, and historically significant, publications in this market."

Over 650 issues of this valuable industry resource, dating back to 1920, have been made available on the Lubricants University web site. Lubrication practitioners and maintenance and reliability personnel worldwide now have access to decades of in-depth articles on a wide variety of lubrication-related topics. The archived issues are indexed by five- or 10-year increments for easy reference and research purposes.

A wide range of topics are covered in the archived issues of Lubrication, including the lubrication of industrial bearings, the characteristics and uses of grease, diesel tractor lubrication and the lubrication of underground mining machinery. Specifically, issues covering topics like used oil analysis could be valuable for some certification exams like those offered by the Society of Tribology and Lubrication Engineers (STLE).

The Lubrication archives are available free of charge, to anyone visiting the Lubricants University web site. Articles are available in PDF format and can be viewed online, printed or saved from the web site.

About LubricantsUniversity.com

LubricantsUniversity.com is an online training and informational resource for individuals in the lubrication and maintenance markets serving the commercial on- and off-highway, construction, mining and industrial segments. The site is designed to be a convenient, cost and time-saving solution for individuals interested in job related training and education on relevant technologies, trends, issues and solutions.

Valuable courses available online include:

* Fundamentals of Lubrication - also available in Spanish
* Heavy Duty Engine Lubrication
* API CJ-4 Lubricants for 2007 Low Emission Diesel Engines
* Fundamentals of Lubricant Additives
* Base Oils
* Fundamentals of Hydraulic Systems
* Fundamentals of Industrial Gear Lubrication
* Fundamentals of Heavy Duty Coolants
* Automotive Gear Lubrication
* Automotive Grease
* Industrial Grease
* Passenger Car Engine Lubrication
* Electric Motor Bearing Lubrication
* Pin and Bushings Lubrication

For more information visit: www.lubricantsuniversity.com

About Chevron Products Company

Chevron Products Company is a division of a wholly owned subsidiary of the Chevron Corporation (NYSE:CVX - News).

A full line of lubrication and coolant products are marketed through this organization under the Chevron, Texaco and Caltex brand names. Select brands include Havoline®, Delo®, Ursa®, Revtex® and Texaco Xpress Lube®. Chevron Products Company owns patented technology in advanced lubricants products and new generation base oil technology, as well as coolants.

Headquartered in San Ramon, CA, Chevron Products Company, together with its Chevron affiliates worldwide, is ranked among the top three global marketers of lubricants, and is active in more than 180 countries.

For more information visit: www.chevron.com


Contact:

Chevron Products Company
Sandy Sullivan, 925-790-6908
sandysullivan@chevron.com
or
Cohn & Wolfe (For Chevron Products Company)
Jessica Jones, 415-365-8534
jessica_jones@sfo.cohnwolfe.com

Source: Chevron Products Company

GeoPetro Resources Company today announced that its 12% owned Indonesian subsidiary Continental-GeoPetro (Bengara-II) Ltd. ("CGB2") has awarded a second, turn-key, integrated drilling services contract to drill wells planned for 2007 on the 900,000 acre Bengara-II Production Sharing Contract, onshore East Kalimantan, Indonesia. Indonesian drilling contractor PT Indo Sichuan Petroleum was awarded the contract and will deploy a land drilling rig capable of drilling to a depth of 9,800 feet. Mobilization of the rig and equipment from Sumatra to the Bengara-II Block is underway, with arrival expected in July/August.

The addition of the second rig will enable CGB2 to accelerate its exploration drilling program in Bengara-II and will also facilitate rapid appraisal of any discoveries. P.T. Indo Sichuan also supplied the drilling rig for the Seberaba-1 well.

CGB2 has a four well exploration drilling program planned for 2007.

GeoPetro is an independent oil and natural gas company headquartered in San Francisco, California. GeoPetro currently has projects in the United States, Canada, and Indonesia. GeoPetro has developed a producing property in its Madisonville Project in Texas. Elsewhere, GeoPetro has assembled a geographically diversified portfolio of exploratory and appraisal prospects.

Cautionary Statements

This news release contains forward-looking information. Statements contained in this news release relating to future results, events and expectations are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements involve known and unknown risks, uncertainties, scheduling, re-scheduling and other factors which may cause the actual results, performance, schedules or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such statements. Such factors include, among others, those described in the Company's Form S-1 on file with the U.S. Securities and Exchange Commission.

No stock exchange or regulatory authority has approved or disapproved of the information contained herein. GeoPetro's common shares which trade on the Toronto Stock Exchange contain the ".S" suffix in the trading symbol indicating that the common shares are subject to trading restrictions imposed pursuant to Regulation S under the 1933 Act. In particular, the common shares which trade on the Toronto Stock Exchange may not, for a period of two years from the date of issuance, be offered or sold to persons in the United States or U.S. persons except in transactions exempt from registration under the 1933 Act. Hedging transactions involving the common shares must not be conducted unless in accordance with the 1933 Act.


Contact:

GeoPetro Resources Company
Stuart J. Doshi, President & CEO, 415-398-8186
sdoshi@geopetro.com

Source: GeoPetro Resources Company

Apco Argentina Inc.'s board of directors has approved a regular quarterly dividend of 35 cents per share on the company's ordinary shares.

The second-quarter dividend is payable on July 27, 2007, to holders of record at the close of business on July 17, 2007.

About Apco

Apco is an oil and gas exploration and production company with interests in six oil and gas concessions and one exploration permit in Argentina. Its principal business is a 52.79 percent participation in a joint venture engaged in the exploration, production and development of oil and gas in the Entre Lomas concession located in the provinces of Rio Negro and Neuquen in southwest Argentina.

Portions of this document may constitute "forward-looking statements" as defined by federal law. Although the company believes any such statements are based on reasonable assumptions, there is no assurance that actual outcomes will not be materially different. Any such statements are made in reliance on the "safe harbor" protections provided under the Private Securities Reform Act of 1995. Additional information about issues that could lead to material changes in performance is contained in the company's annual and quarterly reports filed with the Securities and Exchange Commission.


Source: Apco Argentina Inc.

FORTUNE Small Business announced that PrimeEnergy Corporation has been ranked twenty-four on the seventh annual FSB 100 list of the fastest growing small companies in America. The list, which is comprised of public companies, appears in the July/August 2007 issue of FORTUNE Small Business and is available at http://money.cnn.com/magazines/fsb/fsb100/2007/full_list/index.html.


To compile the seventh annual list, FORTUNE Small Business asked financial research firm Zacks to rank public companies with revenues less than $200 million and a stock price of more than $1, based on their percentage growth in earnings, revenue, and stock performance over the past three years. Banks and real estate firms were excluded.

"PrimeEnergy is pleased to be recognized for the third year in a row as one of the fastest growing small public companies in America," stated Charles E. Drimal, Jr., CEO.

PrimeEnergy Corporation was removed from the Russell 2000 index and added to the Russell Microcap(TM) Index when Russell Investment Group reconstituted its family of U.S. indexes on June 22, according to the official membership list posted on www.russell.com.

The Company's common stock is traded on the Nasdaq Stock Market under the symbol PNRG. If you have any questions on this release, please contact Joan Podlovits at (203) 358-5723.

This Report contains forward-looking statements that are based on management's current expectations, estimates and projections. Words such as "expects," "anticipates," "intends," "plans," "believes", "projects" and "estimates," and variations of such words and similar expressions are intended to identify such forward-looking statements. These statements constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, and are subject to the safe harbors created thereby. These statements are not guarantees of future performance and involve risks and uncertainties and are based on a number of assumptions that could ultimately prove inaccurate and, therefore, there can be no assurance that they will prove to be accurate. Actual results and outcomes may vary materially from what is expressed or forecast in such statements due to various risks and uncertainties. These risks and uncertainties include, among other things, the possibility of drilling cost overruns and technical difficulties, volatility of oil and gas prices, competition, risks inherent in the Company's oil and gas operations, the inexact nature of interpretation of seismic and other geological and geophysical data, imprecision of reserve estimates, and the Company's ability to replace and expand oil and gas reserves. Accordingly, stockholders and potential investors are cautioned that certain events or circumstances could cause actual results to differ materially from those projected.


Contact:

PrimeEnergy Corporation
Joan Podlovits, 203-358-5723

Source: PrimeEnergy Corporation

TransGlobe Energy Corporation is pleased to announce a new Lam A oil producer at An Nagyah #26.

Block S-1, Republic of Yemen (25% working interest)

An Nagyah #26, which commenced drilling June 3, 2007, reached a total measured depth of 2,003 meters and was completed as a producing oil well after flowing at an initial rate of 2,609 barrels of light (43 degree API) oil per day and 1.3 million cubic feet of gas per day at a flowing pressure of 400 psi on a 48/64 inch choke. The An Nagyah #26 well was drilled 712 meters horizontally in the Lam A sandstone reservoir. The well will be placed on production through a pipeline connected to the An Nagyah facilities.

About TransGlobe Energy Corporation

TransGlobe Energy is an oil and gas producer with proved reserves and production operations in The Republic of Yemen and in Alberta, Canada. TransGlobe has an active exploration and development program planned for 2007 in The Republic of Yemen, The Arab Republic of Egypt and in Canada. The Company owns working interests in more than 6.8 million acres across their operating regions. In 2006, the Company set new records for total proved reserves and annual production. Calgary-based, TransGlobe Energy's common shares trade as "TGL" on the Toronto Stock Exchange and "TGA" on the American Stock Exchange.

Cautionary Statement:

This release includes certain statements that may be deemed to be "forward-looking statements" within the meaning of the US Private Securities Litigation Reform Act of 1995. All statements in this release, other than statements of historical facts that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects, are forward-looking statements. Although TransGlobe believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include oil and gas prices, well production performance, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions.

TRANSGLOBE ENERGY CORPORATION

Lloyd W. Herrick, Vice President & C.O.O.

Contact:

Contacts:
TransGlobe Energy Corporation
Ross G. Clarkson
President & C.E.O.
(403) 264-9888
(403) 264-9898 (FAX)

TransGlobe Energy Corporation
Lloyd W. Herrick
Vice President & C.O.O.
(403) 264-9888
(403) 264-9898 (FAX)
Email: trglobe@trans-globe.com
Website: http://www.trans-globe.com

Executive Offices
#2500, 605 - 5th Avenue, S.W.,
Calgary, AB T2P 3H5


Source: TransGlobe Energy Corporation

A senior vice president of St. Mary Land & Exploration Co., a natural gas and oil company, exercised options for 34,024 shares of common stock, according to a Securities and Exchange Commission filing Wednesday.

In a Form 4 filed with the SEC, Robert L. Nance reported he exercised the options on Monday for $16.66 apiece and then sold all of them the same day for $37.92 apiece.

He also sold 6,000 additional shares on Monday for $38 apiece.

Insiders file Form 4s with the SEC to report transactions in their companies' shares. Open market purchases and sales must be reported within two business days of the transaction.

St. Mary is based in Billings, Mont.

Questions or comments about this story should be directed to the Financial News desk of The Associated Press at 212-621-7190.

Double Eagle Petroleum Co., an oil and gas exploration and development company, announced today the pricing of 1,400,000 shares, which is an upsizing from the previously announced offering size of 1,200,000 shares, of its 9.25% Series A Cumulative Preferred Stock ("Series A Preferred Stock"), at $25.00 per share, for a total offering size of $35,000,000. Dividends on the Series A Preferred Stock will accrue at a fixed rate of 9.25% per annum of the $25.00 per share liquidation preference. Ferris, Baker Watts, Incorporated is acting as the sole underwriter for the offering. As part of the offering, the Company has granted a 30-day option to the underwriter to purchase up to an additional 210,000 shares of the Series A Preferred Stock to cover over-allotments, if any. The Company's shares of Series A Preferred Stock have been accepted for trading on The NASDAQ Capital Market under the symbol "DBLEP."

Proceeds from the offering are expected to be approximately $33,000,000, before any exercise of the underwriter's over-allotment option, after deducting the underwriting discounts and commissions and the estimated offering expenses. Double Eagle plans to use the net proceeds to reduce indebtedness under its revolving bank facility (which will permit additional borrowings in the future), to fund drilling and development of its Atlantic Rim properties when and if those properties become available for development, to fund further development of our Pinedale and other properties, to undertake potential acquisitions and for other general corporate purposes.

Copies of the final prospectus supplement and the accompanying prospectus relating to the offering may be obtained from Ferris, Baker Watts, Incorporated at 100 Light Street, Baltimore, Maryland 21202.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Double Eagle

Founded in 1972, Double Eagle Petroleum Co. explores for, develops, and sells natural gas and crude oil, with natural gas constituting more than 95% of its production and reserves. The Company's current development activities are in its Atlantic Rim coal bed methane play and in the Pinedale Anticline in Wyoming. Its current exploration activities involve the Cow Creek Unit Deep and South Fillmore prospects in southwestern Wyoming, as well as the Christmas Meadows Prospect in northeastern Utah.

This release may contain forward-looking statements regarding Double Eagle Petroleum Co.'s future and expected performance based on assumptions that the Company believes are reasonable. No assurances can be given that these statements will prove to be accurate. A number of risks and uncertainties could cause actual results to differ materially from these statements, including, without limitation, changes in economic or market conditions that may prevent the Company from completing the preferred stock offering, decreases in prices for natural gas and crude oil, unexpected decreases in gas and oil production, the timeliness, costs and results of development and exploration activities, unanticipated delays and costs resulting from regulatory compliance, and other risk factors described from time to time in the Company's Forms 10-K and 10-Q and other reports filed with the Securities and Exchange Commission. Double Eagle undertakes no obligation to publicly update these forward-looking statements, whether as result of new information, future events or otherwise.

Company Contact:
John Campbell, Investor Relations
(303) 794-8445
http://www.dble.us


Source: Double Eagle Petroleum Co.

Goodrich Petroleum Corporation (NYSE: GDP - News) today provided an operational update on a number of recent drilling and development activities.

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20-Acre Spacing in the Cotton Valley

In May 2007, the Company completed its initial well drilled on 20-acre spacing in the Cotton Valley trend. The Company's P.O. Beard No.6 had an initial production rate of 1,800 Mcfe per day and averaged approximately 1,350 Mcfe per day for the first 30 days of production, which compares with an average of approximately 1,400 Mcfe per day for the first 30 days in the original offset well. No measurable differences were seen in original flowing or shut-in pressures between the two wells. In addition, the Company has drilled an additional increased density well, the K.F. Carter No. A-2, where the Company recorded a bottom-hole pressure of approximately 5,500 psi, indicating no apparent drawdown in pressure from the offset well. The two increased density wells were drilled approximately three miles from each other on the Company's acreage within the Beckville Field. With the encouraging results from the two initial increased density wells, the Company has two additional 20-acre spaced Cotton Valley wells planned for the third quarter of 2007.

Bethany-Longstreet Horizontal Activity

In the Bethany-Longstreet Field, the Company has commenced drilling operations on its second horizontal Cotton Valley sand well, the Jimmy Holmes No.1-H, which is a re-entry and sidetrack from an existing wellbore. The Company plans to drill an approximate 2,000 foot lateral in the lower Cotton Valley sand section and expects to reach total depth by the middle of July. The current estimated gross cost to drill and complete the re-entry horizontal is approximately $3.0 million.

The Champe Graham No.3-H, the Company's initial horizontal test well in Bethany-Longstreet, has been producing for approximately 90 days and has exhibited a flatter decline profile than the Company's vertical wells. The well had an initial production rate of approximately 4,000 Mcf per day, an initial thirty day average of approximately 3,500 Mcf per day and is currently producing at a rate of approximately 2,500 Mcf per day.

Angelina River Trend

In the Angelina River Trend, where the Company owns an average 50% working interest in approximately 69,000 acres, the Company has continued its efforts to both further develop its core holdings on the Cotton South prospect as well as extend the play on the remainder of its acreage. On the Bethune Prospect in the eastern portion of the Company's acreage block, the Company's Bethune No. B-1 well, which came online the first of May, had an initial production rate of approximately 2,500 Mcfe per day, averaged approximately 1,650 Mcfe per day during the first 30 days of production and is currently producing at a rate of approximately 1,100 Mcfe per day. The Beverly Sutton No.1 well, the Company's second well on the Bethune Prospect, is located approximately 2 miles southeast of the Bethune No.B-1 well and has reached a total depth of approximately 12,100' with excellent gas shows through the Travis Peak interval. The Company plans to complete the well during July 2007. On the Allentown Prospect, the Kirkland No.1 has been completed with an initial production rate of approximately 1,400 Mcfe per day. The Company's second well on the Allentown Prospect is scheduled to spud in July 2007.

The Company has also participated in the drilling of its first horizontal well on its Cotton Prospect at Angelina River to test the James Lime formation. The Middlebrook No.1-H well has been drilled to total depth, with approximately 6,000 feet of horizontal lateral in the James Lime formation and excellent gas shows throughout the lateral. Completion operations are scheduled to begin in the middle of July and a second horizontal James Lime well is currently scheduled for later in the third quarter of 2007.

Alabama Bend Prospect

The Company has drilled and initiated completion operations on its first two wells on its Alabama Bend Prospect in Bienville Parish, Louisiana. The initial well, the B.R. Harper No. 1 was initially completed in the lower Cotton Valley sand and tested at a rate of approximately 400 Mcf per day. The well was then independently tested in the lower Hosston section, with spot test rates ranging from 250 - 700 Mcf per day. The Company plans to drill out the plug between the two zones and commingle the production.

The Stephen Smith No. 1, the Company's second well at Alabama Bend, is currently flowing back from the lower Cotton Valley sand section at a rate of approximately 200 Mcf per day. The Company also plans to test the lower Hosston section in this well.

Low Pressure Gathering System

During June, the Company initiated operation of the first phase of the Low Pressure Gathering System ("LPGS") in the northeastern portion of the Beckville field. The LPGS has allowed the Company to reduce the line pressure for those wells connected to the system to approximately 50 psi and to begin transporting produced water volumes through the gathering system. While still early in the start-up phase, the Company is encouraged with the initial production response and believes the system will deliver long term benefits by enhancing gas production volumes and lowering lease operating expenses ("LOE").

Fortune Small Business

For the second year in a row, the Company has been included on the list of Fortune Small Business 100 Fastest Growing Companies. The list ranks companies based on their percentage growth in earnings, revenue and stock price performance. The Company was again ranked as the second fastest growing company on the list.

Robert C. Turnham, the Company's President and Chief Operating Officer, commented, "We are extremely pleased with the operational achievements we have made during the first six months of the year. Our multi-faceted development plan is providing the results we had anticipated and provides us with an excellent platform to continue our growth in the second half of the year. We are particularly pleased with the results from our increased density vertical wells, and we will continue to test 20-acre spacing in different areas to confirm its application across our acreage. We are also encouraged with the results from our accelerated drilling activities in the Angelina River Trend, both from our primary objective Travis Peak wells drilled to date, as well as the incremental potential from James Lime horizontal drilling. These results, along with a significant portion of our 2007 and 2008 natural gas hedged at attractive prices, allow us to continue as planned with our active development activities."

Certain statements in this news release regarding future expectations and plans for future activities may be regarded as "forward looking statements" within the meaning of the Securities Litigation Reform Act. They are subject to various risks, such as financial market conditions, operating hazards, drilling risks, and the inherent uncertainties in interpreting engineering data relating to underground accumulations of oil and gas, as well as other risks discussed in detail in the Company's Annual Report on Form 10-K and other filings with the Securities and Exchange Commission. Although the Company believes that the expectations reflected in such forward looking statements are reasonable, it can give no assurance that such expectations will prove to be correct.

Goodrich Petroleum is an independent exploration and production company listed on the New York Stock Exchange. The majority of its oil and gas properties are in Louisiana and Texas.


Source: Goodrich Petroleum Corporation

American Oil & Gas, Inc. today announced that drilling operations have been successfully completed at the Fetter Project Sims 15-26H well located in Section 26-T33E- R71W, Converse County, WY. The well was drilled to a total measured depth of 12,840 feet, which includes a horizontal lateral leg of 1,165 feet in the Frontier formation, one of several prospective formations in the field. A 4- 1/2 inch liner that incorporated sliding sleeves and packer assemblies were successfully installed to depth. This completion assembly is designed to allow the well to produce naturally without stimulation, but will also allow the well to be fracture stimulated with as many as five separate stages at a later date if deemed necessary. The Frontier formation was drilled utilizing managed pressure drilling (slightly underbalanced) which allowed natural gas and associated condensate (light oil) to be produced during the drilling process. Natural gas was periodically sold into the sales line at rates up to 20 million cubic feet per day (MMCFPD). Rates greater than 20 MMCFPD were periodically produced and flared. The well is currently shut-in to allow the packer assemblies to properly set and the well is expected to commence production within several weeks

The Sims 15-26H well is the first of a three to four well program at Fetter that is funded by Red Technology Alliance (RTA) and project managed by Halliburton. American is being carried through the tanks in this phase of the drilling program for a 23.125% working interest in each of the three to four wells, and currently owns a 92.5% working interest in the approximate 50,000 net acre Fetter Field acreage position. Upon completion of the initial drilling program, RTA will earn a 25% working interest in the undrilled acreage. American will retain a 69.375% working interest in the undrilled acreage and privately held North Finn LLC will retain the remaining 5.625% working interest.

American and North Finn are discussing the potential for RTA to re-enter American's Hageman 16-34 wellbore where drilling operations on the second well of the program could commence within 30 days. The Hageman wellbore was drilled in 2005 to a total measured depth above the Frontier formation of 11,332 feet when drilling rig issues required American to suspend drilling operations and temporarily abandon the well. The well has 9-5/8 inch casing set to 8,583 feet and current drilling plans for the Hageman well are to replicate the Sims 15-26H drilling program by again drilling horizontally in the Frontier formation.

Pat O'Brien, CEO of American commented, "We have reached a significant milestone in the Fetter project by getting the Sims well successfully drilled and cased into the Frontier formation. We are extremely pleased and impressed with the talent and expertise of the people at RTA and Halliburton who were able to manage the pressures and hydrocarbon flows while continuing to drill and complete this well. Although the initially planned 2,500 foot lateral was not achieved, the multiple fracture systems encountered and associated flow rates more than justified the decision to stop and complete the well. With experience gained from this and future wells, we expect to systematically obtain the data necessary to optimize the drilling, completion and production flow rates in the field to prudently develop and manage the reservoir. We are considering adjusting our drilling schedule somewhat and plan to move to Section 34-T33N-R71W to re-enter our Hageman wellbore to drill another horizontal well into the Frontier Formation. At this time we still expect to drill a vertical well as part of this initial program to test the productive potential that may exist in the Steele, Niobrara, Frontier, Mowry and Dakota formations utilizing multi-completions with stage frac techniques that are being successfully employed in other stacked reservoir fields with similar characteristics to Fetter."

American Oil & Gas, Inc. is an independent oil and natural gas company engaged in exploration, development and production of hydrocarbon reserves primarily in the Rocky Mountain region. Additional information about American Oil & Gas, Inc. can be found at the Company's website: http://www.americanog.com.

This release and the Company's website referenced in this release contain forward-looking statements regarding American Oil & Gas, Inc.'s future plans and expected performance that are based on assumptions the Company believes to be reasonable. A number of risks and uncertainties could cause actual results to differ materially from these statements, including, without limitation, the success rate of drilling efforts and the timeliness of development activities, fluctuations in oil and gas prices, and other risk factors described from time to time in the Company's reports filed with the SEC. In addition, the Company operates in an industry sector where securities values are highly volatile and may be influenced by economic and other factors beyond the Company's control. The Company undertakes no obligation to publicly update these forward-looking statements to reflect events or circumstances that occur after the issuance of this press release or to reflect any change in the Company's expectations with regard to these forward-looking statements or the occurrence of any unanticipated events. This press release may include the opinions of American Oil & Gas, Inc. and does not necessarily include the views of any other person or entity.

Contact:
Andrew Calerich, President Neal Feagans, Investor Relations
303.991.0173 Fax: 303.595.0709 Feagans Consulting, Inc
1050 17th Street, Suite 2400 303.449.1184
Denver, CO 80265


Source: American Oil & Gas, Inc.

Terax Energy, soon to be called Westar Oil and Gas Inc. (Westar), announced they will increase the share dividend equal to One for One. Each shareholder of record on the date the symbol changes will receive an additional share of Terax as a stock dividend. It is expected that the symbol will change within the next week.

Westar has also announced that it will be closing on the purchase of a controlling interest in a public oil and gas company for $150 Million Dollars. This acquisition is set to close on the second week of July. The source of funds used to close the purchase will be from a senior secured loan. No shares of Westar will be issued as part of this purchase.

The company also announced that it finalized the agreements involving approximately 24,000 acres located in Arkansas. The Fayetteville Shale formations in which Westar will be drilling is considered one of the most prolific areas in the United States. The acreage covers both the Van Buren and the Cleburne Counties. The drilling is set to begin in less than 30 days after the completion of the drilling permits. Westar will earn a 75% working interest in the development.

The closing of the transaction is subject to certain closing conditions, including, among other conditions: (i) receipt of all consents, or approvals required consummating the exchange and due diligence; (ii) neither the Companies having suffered any material adverse effect.

About Terax Energy

Terax Energy is an independent oil exploration and production company. Terax operates in two principal areas. 11,000 acres in Comanche County, Texas and 16,200 acres located in Erath County. The company is focused on gas reserves located in the Barnett Shale Formations.

This Press Release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934. A statement identified by the words "expects," "projects," "plans," and certain of the other foregoing statements may be deemed "forward-looking statements." Although Westar Oil believes that the expectations reflected in such forward-looking statements are reasonable, these statements involve risks and uncertainties that may cause actual future activities and results to be materially different from those suggested or described in this press release. These include risks inherent in the drilling of oil and natural gas wells, including risks of fire, explosion, blowout, pipe failure, casing collapse, unusual or unexpected formation pressures, environmental hazards, and other operating and production risks inherent in oil and natural gas drilling and production activities, which may temporarily or permanently reduce production or cause initial production or test results to not be indicative of future well performance or delay the timing of sales or completion of drilling operations; risks with respect to oil and natural gas prices, a material decline in which could cause the Company to delay or suspend planned drilling operations or reduce production levels; and risks relating to the availability of capital to fund drilling operations that can be adversely affected by adverse drilling results, production declines and declines in oil and gas prices and other risk factors.


Contact:

Contact:

Taylor Capitol, Inc.
Investor Relations:
Stephen Taylor
973-351-3868
Email Contact


Source: Westar Oil

The president and chief executive of Crosstex Energy Inc., a natural gas company, sold 5,000 shares of common stock under a prearranged trading plan, according to a Securities and Exchange Commission filing Wednesday.

In a Form 4 filed with the SEC, Barry E. Davis reported selling the shares on Tuesday for $28.81 apiece.

The stock sale was conducted under a prearranged 10b5-1 trading plan which allows a company insider to set up a program in advance for such transactions and proceed with them even if he or she comes into possession of material non-public information.

Insiders file Form 4s with the SEC to report transactions in their companies' shares. Open market purchases and sales must be reported within two business days of the transaction.

Crosstex is based in Dallas.

Questions or comments about this story should be directed to the Financial News desk of The Associated Press at 212-621-7190.

The vice president, controller of Frontier Oil Corp., an oil refiner, sold 30,000 shares of common stock, according to a Securities and Exchange Commission filing Wednesday.

In a Form 4 filed with the SEC, Nancy Zupan Shoop reported she sold the shares on Friday for $45.50 apiece.

Insiders file Form 4s with the SEC to report transactions in their companies' shares. Open market purchases and sales must be reported within two business days of the transaction.

Frontier Oil is based in Houston.

Questions or comments about this story should be directed to the Financial News desk of The Associated Press at 212-621-7190.

Petroleum Development Corporation (Nasdaq: PETD - News) today reported net income of $2.5 million for the first quarter of 2007, compared to $11.6 million for the same period of 2006. Increased revenue from record oil and gas production in the period was offset primarily by lower oil and gas prices and unrealized losses on oil and gas price risk management (derivative) activities. Other factors impacting quarterly results are increased depreciation, depletion and amortization (DD&A), and increased general and administrative (G&A) expense. The following table summarizes key results:

Three Months Ended
First Quarter Comparative Results March 31,
(unaudited)
(in thousands, except per share amounts) 2007 2006
Revenues $ 57,912 $ 82,770
Net income $ 2,501 $ 11,645
Basic earnings per common share $0.17 $0.72
Diluted earnings per common share $0.17 $0.72


Adjusted Cash Flow was $18.8 million and $16.3 million for the first quarters of 2007 and 2006, respectively. The increase in Adjusted Cash Flow was achieved with an oil and gas sales price that was $1.32 per Mcfe lower than the earlier period. The Company's management believes Adjusted Cash Flow is relevant because it is a measure of cash available to fund the Company's capital expenditures and to service its debt. Management also believes Adjusted Cash Flow is a useful measure for estimating the value of the Company's operations. The following table provides a reconciliation of Adjusted Cash Flow to GAAP net income (in thousands).

complete this report visit at : biz.yahoo.com

Petroleum Development Corporation (Nasdaq: PETD - News) will host a conference call with investors to discuss first quarter 2007 results and the outlook for the year.

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To participate in the conference call, please dial (877) 407-8033 or log onto the corporate website at http://www.petd.com.

The Company expects to issue its First Quarter 2007 earnings report today. Also, the Company will file today its First Quarter 2007 Form 10-Q. This filing will satisfy the requirement by NASDAQ for the Company to issue its quarterly report by June 29.

About Petroleum Development Corporation

Petroleum Development Corporation (http://www.petd.com) is an independent energy company engaged in the development, production and marketing of natural gas and oil. The Company operations are focused in the Rocky Mountains with additional operations in the Appalachian Basin and Michigan. During the third quarter of 2004, the Company was added to the S&P SmallCap 600 Index. Additionally, PDC was added to the Russell 3000 Index of companies in 2003.

Certain matters discussed within this press release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Although PDC believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. Factors that could cause actual results to differ materially from expectations include financial performance, oil and gas prices, drilling program results, drilling results, regulatory changes, changes in federal or state tax policy, changes in local or national economic conditions and other risks detailed from time to time in the Company's reports filed with the SEC, including quarterly reports on Form 10-Q, reports on Form 8-K and annual reports on Form 10-K.


Source: Petroleum Development Corporation

Enbridge Inc. (Toronto:ENB.TO - News) (NYSE:ENB - News) (Enbridge) announced today that its wholly owned subsidiary, Enbridge Pipelines Inc. (EPI), has filed a commercial supplement to its application to the National Energy Board (NEB) to construct the CDN $2.0 billion Canadian section of the Alberta Clipper Mainline Expansion Project (2007 dollars, excluding allowance for funds used during construction (AFUDC)).

The supplement sets out the tolling principles and risk and return parameters agreed to with shippers and is accompanied by a letter of support from the Canadian Association of Petroleum Producers. Enbridge's affiliate, Enbridge Energy Partners, L.P. (NYSE:EEP - News) plans to file a similar set of toll principles with the Federal Energy Regulatory Commission (FERC) for the US $1.0 billion U.S. section of the project in 2008 (2007 dollars, excluding AFUDC). The project remains subject to regulatory approvals and receipt of various permits in Canada and the United States.

The key terms of the Canadian tolling principles include a 45 per cent equity, 55 per cent debt capital structure with a floating return on equity equal to the NEB's multi-pipeline rate plus 2.25 per cent. EPI will share in the risk of capital cost overruns and share the benefits of capital cost savings by having a portion of any such variances excluded or included as applicable from the deemed rate base of the project. Further details of the tolling principles can be found in the supplement filed with the NEB and available on the NEB's website at www.neb-one.gc.ca.

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The U.S. tolling principles include a 55 per cent equity and 45 per cent debt capital structure, but are otherwise similar to the Canadian tolling principles. Specifically, the U.S. tolls will include an allowance for income tax as permitted under FERC regulation over the term of the commercial agreement.

Alberta Clipper involves the construction of a new 36-inch diameter 1,607 kilometre (1,000 mile) crude oil pipeline from Hardisty, Alberta, to Superior, Wisconsin, generally within or adjacent to Enbridge's existing right-of-way. Alberta Clipper will have an initial capacity of 450,000 barrels per day (bpd) and allows for expansions to increase capacity up to 800,000 bpd. Pending regulatory approval, Enbridge anticipates bringing Alberta Clipper into service in mid-2010. Alberta Clipper will be integrated with, and form part of, the existing Enbridge system in Canada and the EEP Lakehead system in the U.S.

ABOUT ENBRIDGE INC.

Enbridge Inc., a Canadian company, is a leader in energy transportation and distribution in North America and internationally. As a transporter of energy, Enbridge operates, in Canada and the United States, the world's longest crude oil and liquids pipeline system. The Company also has international operations and a growing involvement in the natural gas transmission and midstream businesses. As a distributor of energy, Enbridge owns and operates Canada's largest natural gas distribution company, and provides distribution services in Ontario, Quebec, New Brunswick and New York State. Enbridge employs approximately 5,000 people, primarily in Canada, the United States and South America. Enbridge's common shares trade on the Toronto Stock Exchange in Canada and on the New York Stock Exchange in the United States under the symbol ENB. Information about Enbridge is available on the Company's website at www.enbridge.com.

ABOUT ENBRIDGE ENERGY PARTNERS

Enbridge Energy Partners, L.P. (NYSE:EEP - News) (www.enbridgepartners.com) owns and operates a diversified portfolio of crude oil and natural gas transportation systems in the U.S. Its principal crude oil system is the largest transporter of growing oil production from western Canada. The system's deliveries to refining centers in the U.S. Midwest account for approximately 11 per cent of total U.S. oil imports; while deliveries to Ontario, Canada satisfy approximately 60 per cent of refinery demand in that region. The Partnership's natural gas gathering, treating, processing and transmission assets, which are principally located onshore in the active U.S. Mid-Continent and Gulf Coast area, deliver more than 2 billion cubic feet of natural gas daily. Enbridge Energy Management, L.L.C. (NYSE:EEQ - News) (www.enbridgemanagement.com) manages the business and affairs of the Partnership and its principal asset is an approximate 14 per cent interest in the Partnership. Enbridge Energy Company, Inc., an indirect wholly owned subsidiary of Enbridge Inc. is the general partner and holds an approximate 15 per cent effective interest in the Partnership.

LEGAL NOTICE

When used in this news release, words such as "anticipates", "expects", "plans", "will" and similar expressions are intended to identify forward-looking statements. Such statements are subject to certain risks, uncertainties and assumptions pertaining to factors such as: (1) changes in the demand for, or the supply of, and price trends related to crude oil and natural gas liquids; including the rate of development of the Western Canada Oil Sands; (2) changes in or challenges to Enbridge's tariff rates; (3) the effects of competition, including by other pipeline systems; (4) regulatory approvals; and (5) performance of other parties. For a discussion of those risks and uncertainties, reference should also be made to Enbridge Inc.'s Canadian securities filings and U.S. Securities and Exchange Commission filings as well as Enbridge Energy Partners' filings with the U.S. Securities and Exchange Commission, including its Annual Report on Form 10-K for the most recently completed fiscal year, for additional factors that may affect results. These filings are available to the public over the Internet at www.sedar.com for Canadian securities filings, the SEC's web site (www.sec.gov) for U.S. filings and via Enbridge Inc.'s and Enbridge Energy Partners' respective web sites. While Enbridge makes these forward-looking statements in good faith, should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary significantly from those expected. Except as may be required by applicable securities laws, Enbridge assumes no obligation to publicly update or revise any forward-looking statements made herein or otherwise, whether as a result of new information, future events or otherwise.


Contact:

Contacts:
Enbridge Inc.
Bob Rahn
Investor Relations
(403) 231-7398
Email: bob.rahn@enbridge.com

Enbridge Inc.
Jennifer Varey
Media
(403) 508-6563
Email: jennifer.varey@enbridge.com
Website: http://www.enbridge.com

Enbridge Energy Partners
Tracy Barker
Investor Relations
Toll Free: 1-866-EEP-INFO or 1-866-337-4636
Email: eep@enbridge.com

Enbridge Energy Partners
Denise Hamsher
Media
(713) 823-3489
Email: usmedia@enbridge.com
Website: http://www.enbridgepartners.com


Source: Enbridge Inc.

Enbridge Inc. (Enbridge) announced today that its wholly owned subsidiary, Enbridge Pipelines Inc. (EPI), has filed a regulatory application with the National Energy Board (NEB) for the construction and operation of the CDN$300 million Line 4 Extension Project.

Enbridge's Line 4 Extension Project is designed to eliminate a potential capacity bottleneck on the mainline system between Edmonton, Alberta and Hardisty, Alberta. The project involves the construction of 85 miles (136 kilometres) of 36-inch segments that will connect existing idle 48-inch pipe segments between Edmonton and Hardisty and move the origination point of Enbridge's current highest capacity line, Line 4, from Hardisty back to Edmonton. The capacity of the Line 4 Extension will be 880,000 barrels per day to match current Line 4 capacity.

The application sets out the tolling principles and risk and return parameters agreed to with shippers and is accompanied by a letter of support from the Canadian Association of Petroleum Producers. Enbridge is progressing with land access, engineering and initial procurement commitments to facilitate commencement of construction in 2008. The Line 4 Extension will be integrated with, and form part of the existing Enbridge Mainline liquid pipeline system in Canada owned by Enbridge Pipelines Inc., and is expected to be in service by early 2009, subject to regulatory approvals.

Enbridge Inc., a Canadian company, is a leader in energy transportation and distribution in North America and internationally. As a transporter of energy, Enbridge operates, in Canada and the United States, the world's longest crude oil and liquids pipeline system. The Company also has international operations and a growing involvement in the natural gas transmission and midstream businesses. As a distributor of energy, Enbridge owns and operates Canada's largest natural gas distribution company, and provides distribution services in Ontario, Quebec, New Brunswick and New York State. Enbridge employs approximately 5,000 people, primarily in Canada, the United States and South America. Enbridge's common shares trade on the Toronto Stock Exchange in Canada and on the New York Stock Exchange in the United States under the symbol ENB. Information about Enbridge is available on the Company's website at www.enbridge.com.

Certain information provided in this news release constitutes forward-looking statements. The words "anticipate", "expect", "project", "estimate", "forecast" and similar expressions are intended to identify such forward-looking statements. Although Enbridge believes that these statements are based on information and assumptions which are current, reasonable and complete, these statements are necessarily subject to a variety of risks and uncertainties pertaining to operating performance, regulatory parameters, weather, economic conditions and commodity prices. You can find a discussion of those risks and uncertainties in our Canadian securities filings and American SEC filings. While Enbridge makes these forward-looking statements in good faith, should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary significantly from those expected. Except as may be required by applicable securities laws, Enbridge assumes no obligation to publicly update or revise any forward-looking statements made herein or otherwise, whether as a result of new information, future events or otherwise.


Contact:

Contacts:
Enbridge Inc.
Bob Rahn
Investor Relations
(403) 231-7398
Email: bob.rahn@enbridge.com

Enbridge Inc.
Jennifer Varey
Media
(403) 508-6563
Email: jennifer.varey@enbridge.com
Website: http://www.enbridge.com


Source: Enbridge Inc.

Grant Prideco, Inc. announced today that it has scheduled a conference call for Thursday, July 26, 2007, at 8:30 a.m. Eastern Time, 7:30 a.m. Central Time. The purpose of the call is to discuss the Company's financial results for the second quarter ended June 30, 2007, which will be released sometime after the market close on Wednesday, July 25. The conference call will be open to the public.

To access the conference call, please dial (800) 374-1805 approximately ten minutes prior to the scheduled start time. Ask for the Grant Prideco conference call, which will be led by Mr. Michael McShane, Grant Prideco's Chairman, President and CEO. A replay of the conference call will be available at (800) 642-1687 two hours after the conclusion of the live call and until 12:00 midnight Eastern Time on August 23, 2007. The conference ID for the replay is 4181023.

Additionally, a live webcast of the conference call and an archived replay will be available on Grant Prideco's website at http://www.grantprideco.com. To access the conference call or the replay, click on the "Conference Calls" link. (Minimum requirements to listen to the webcast include the Windows Media Player software, downloadable free from our website, and at least a 28.8Kbps connection to the Internet.)

Grant Prideco (http://www.grantprideco.com ), headquartered in Houston, Texas, is the world leader in drill stem technology development and drill pipe manufacturing, sales and service; a global leader in drill bit technology, manufacturing, sales and service; and a leading provider of high-performance engineered connections and premium tubular products and services.


Source: Grant Prideco

TETRA Technologies, Inc. today announced that it intends to form a Master Limited Partnership (MLP) into which it will place the majority of its Compressco, Inc. (Compressco) subsidiary assets, and expects to file a registration statement with the Securities and Exchange Commission for the initial public offering (IPO) of common units representing limited partner interests. This process will require final Board of Director approval, after various aspects of the transaction have been clarified. It is estimated that the IPO could occur between late 2007 and early 2008 (late first quarter 2008).

Geoffrey M. Hertel, President and Chief Executive Officer of TETRA, stated, "Creating an MLP out of Compressco is a continuation of our ongoing strategy to unlock and create value for our stockholders, from our assets."

This announcement shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of securities in any state or jurisdiction in which the offer, solicitation or sale of securities would be unlawful. The securities will only be offered and sold pursuant to a registration statement to be filed under the Securities Act of 1933, as amended.

TETRA is an oil and gas services company, including an integrated calcium chloride and brominated products manufacturing operation that supplies feedstocks to energy markets, as well as other markets.

This press release includes certain statements that are deemed to be forward-looking statements. These statements are based on certain assumptions and analyses made by the Company in light of its experience and its perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate in the circumstances. Such statements are subject to a number of risks and uncertainties, many of which are beyond the control of the Company. Any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements, including, but not limited to, the risk that the expected formation of the MLP and the related offering will be delayed or cancelled due to market, regulatory or other factors, and the risks set forth in the Company's filings with the Securities and Exchange Commission, which are incorporated by reference as though fully set forth herein.


Contact:

TETRA Technologies, Inc., The Woodlands
Geoffrey M. Hertel, 281-367-1983
Fax: 281-364-4346
www.tetratec.com

Source: TETRA Technologies, Inc.

A senior vice president of Cameron International Corp., an equipment provider for the oil and gas industry, exercised options for 5,342 shares of common stock, according to a Securities and Exchange Commission filing.

In a Form 4 filed with the SEC Tuesday, John Carne reported he exercised the options Friday for $21.47 apiece and then sold the shares the same day for $72.73 apiece.

Insiders file Form 4s with the SEC to report transactions in their companies' shares. Open market purchases and sales must be reported within two business days of the transaction.

Cameron International is based in Houston.

Questions or comments about this story should be directed to the Financial News desk of The Associated Press at 212-621-7190.

FMC Technologies Inc. has inked a four-year, $40 million contract with Island Offshore for a second riserless light well intervention system.

The Houston-based energy technology company said the system would be used by Norway-based Statoil ASA in the Norwegian North Sea.

The contract calls for use of a new vessel, the Island Wellserver, and a new RLWI system to be built by FMC. The system and services will be provided through FMC's facilities in Kongsberg, Norway.

FMC Technologies expects operations to begin in the second quarter of 2008.

This is the second major contract for FMC Technologies in the past two days. (See "FMC Technologies inks subsea systems deal," houston.bizjournals.com/houston/stories/2007/06/25/daily14.html?surround=lfn).

Published June 28, 2007 by the Houston Business Journal

FMC Technologies announced today that it has been awarded a contract from Island Offshore to provide a second Riserless Light Well Intervention (RLWI) system for use by Statoil in the Norwegian North Sea. Operations will commence in the second quarter of 2008. The four year contract has a minimum value of approximately $40M to FMC Technologies.

The contract includes use of a new vessel, the Island Wellserver, and a new RLWI system to be built by FMC. The system and services will be provided through FMC's facilities in Kongsberg, Norway.

"RLWI is an important part of our subsea offering to increase oil recovery from subsea wells," said Tore Halvorsen, Senior Vice President, FMC Technologies. "We are pleased that our RLWI technology is supporting Statoil in achieving their targets of increased oil recovery."

For additional information about FMC Technologies' Light Well Intervention Services, please visit www.fmctechnologies.com/Subsea/Products/IOR/LightWellIntervention.aspx

FMC Technologies, Inc. (NYSE:FTI - News) is a leading global provider of technology solutions for the energy industry and other industrial markets. The Company designs, manufactures and services technologically sophisticated systems and products such as subsea production and processing systems, surface wellhead systems, high pressure fluid control equipment, measurement solutions, and marine loading systems for the oil and gas industry. The Company also produces food processing equipment for the food industry and specialized equipment to service the aviation industry. Twice named as the Most Admired Oil and Gas, Equipment Service Company by FORTUNE magazine, FMC Technologies employs approximately 11,000 people and operates 33 manufacturing facilities in 19 countries.

This release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements are information of a non-historical nature and are subject to risks and uncertainties that are beyond the Company's ability to control. These risks and uncertainties are described under the caption "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2006 and may be modified in subsequent quarterly reports filed by the Company with the Securities and Exchange Commission that may be accessed on the Company's website. The Company cautions shareholders and prospective investors that actual results may differ materially from those indicated by the forward-looking statements.


Contact:

FMC Technologies, Houston
Investors:
Maryann Seaman, 281-591-4080
or
Media:
Ellen Bates, 281-445-6559

Source: FMC Technologies

As the first half of the year winds down, the energy industry group of the S&P 500 has outperformed the average stock in the index.

The group is up 22.4 percent for the year to date. The average stock in the S&P 500 is up 8.1 percent for the year.

Within the group, the best performer has been National Oilwell Varco Inc., with a gain of 71.8 percent. The worst performer has been Spectra Energy Corp., with a fall of 8.2 percent.

Questions or comments about this story should be directed to the Financial News desk of The Associated Press at 212-621-7190.

Parker Drilling Co. has priced its public offering of $115 million in convertible senior notes due 2012 at $13.85 per share.

The Houston-based offshore drilling company said the sale will close July 5. The notes will pay interest semiannually at a rate of about 2.13 percent per year; were priced at 100 percent; and have an initial conversion rate of 72.2 shares of common stock per $1,000 principal amount of notes.

Parker will grant underwriters the option to purchase up to an additional $10 million notes to cover over-allotments.

Parker (NYSE: PKD - News) said it will use the sale proceeds to redeem all of its outstanding senior floating rate notes due 2010 and for general corporate purposes, as well as to pay the net cost of convertible note hedge and warrant transactions.

The sole book-running manager for this offering will be Banc of America Securities LLC. Deutsche Bank Securities and Lehman Brothers will act as co-managers.

Published June 28, 2007 by the Houston Business Journal

Surge Global Energy, Inc. (``Surge'' or the ``Company'') is pleased to announce that it and its indirect wholly-owned subsidiary, Peace Oil Corp., have completed the sale of its 30% Peace Oil working interest in certain oil sands leases in the Red Earth Area of north central Alberta, Canada to North Peace Energy Corp. (``North Peace''). Total consideration for the sale was approximately CDN$20 million, consisting of CDN$15 million in cash and approximately CDN$5 million in common shares of North Peace (2,270,430 common shares at a deemed price of CDN$2.20 per share). As a result of the transaction, Surge has paid the entire CDN$5.6 million in notes payable to previous Peace Oil shareholders related to the acquisition announced on March 2, 2007.

The CDN$20 million in North Peace consideration compares to Surge's CDN$16.620 million acquisition cost of Peace Oil in March 2007 and Surge's resulting March 31, 2007 Peace Oil asset book value of US$14.4 million. Upon completion of the asset sale, North Peace will control 100 percent of the parties' leases in the Red Earth Area.

As a result of this transaction, Surge has approximately over $0.25 per outstanding share of cash. Details of the transaction will be found in the Company's SEC 8-K to be filed next week, and the full financial impact will be contained in our quarter ended June 30, 2007 SEC Form 10QSB to be filed in mid August.

About Surge Global Energy, Inc.

Surge Global Energy, Inc. is an early stage oil and gas exploration and production company. Surge seeks to invest and acquire properties in the oil sands regions of Canada. Surge also has an interest in an exploration stage oil and gas project in Argentina and is looking to identify, acquire and develop working interests in other underdeveloped oil and gas projects in socially and politically stable regions. For more information please visit our Investor Center at: http://www.surgeglobalenergy.com.

The Surge Global Energy, Inc. logo is available at: http://www.primezone.com/newsroom/prs/?pkgid=2471

Forward-Looking Statements

Materials in this press release may contain information that includes or is based upon forward-looking statements within the meaning of the Securities Litigation Reform Act of 1995. Forward-looking statements give our expectations or forecasts of future events. You can identify these statements by the fact that they do not relate strictly to historical or current facts. They use words such as ``anticipate,'' ``estimate,'' ``expect,'' ``project,'' ``intend,'' ``plan,'' ``believe,'' and other words and terms of similar meaning in connection with a discussion of future operating or financial performance. In particular, these include statements relating to future steps we may take, prospective products, future performance or results of current and anticipated products, sales efforts, expenses, the outcome of contingencies such as legal proceedings, and financial results.

Any or all of our forward-looking statements here or in other publications may turn out to be wrong. They can be affected by inaccurate assumptions or by known or unknown risks and uncertainties. Many such factors will be important in determining our actual future results. Consequently, no forward-looking statement can be guaranteed. Our actual results may vary materially, and there are not guarantees about the performance of our stock.

Any forward-looking statements represent our expectations or forecasts only as of the date they were made and should not be relied upon as representing our expectations or forecasts as of any subsequent date. We undertake no obligation to correct or update any forward-looking statements, whether as a result of new information, future events or otherwise, even if our expectations or forecasts change. You are advised, however, to consult any further disclosures we make on related subjects in our reports filed with the SEC. In particular, you should read the discussion in the sections entitled ``Cautionary Statement Regarding Forward-Looking Statements'' and ``Risk Factors'' in our most recent Annual Report on Form 10-KSB, as it may be updated in subsequent reports filed with the SEC. That discussion covers certain risks, uncertainties and possibly inaccurate assumptions that could cause our actual results to differ materially from expected and historical results. Such factors include, but are not limited to, risks and uncertainties relating to the possibility that Surge will not discover bitumen, oil or gas in the quantities the Company currently anticipates. To fund the probable and proven reserve development cost effort, we anticipate raising a significant amount of capital which will result in substantial future dilution to existing shareholders. Other factors besides those listed there could also adversely affect our results.


Contact:

Surge Global Energy, Inc.
David Perez, Chief Executive Officer and
Chairman of the Board
858.704.5018 (Direct)
858.704.5010 (Main)
Fax: 858.704.5011
david@surgeglobalenergy.com

Source: Surge Global Energy, Inc.