--(www.USEquityNews.com)-- 09/04/2008 - Oil and Gas Exploration industry alert provided by U.S. Equity News. Independent oil and gas producer Venoco Inc. (NYSE:VQ) on Thursday boosted its full-year production guidance and increased its 2008 capital budget for exploration, exploitation and development by 28 percent. The company said 2008 production is expected to exceed its current forecast of 20,500 to 21,500 barrels of oil equivalent per day, and raised its full-year capital budget to $300 million from $235 million. "As a result of our solid production growth and strong commodity prices, we have identified a variety of development projects that we want to continue or expand as we head into 2009," Tim Marquez, Venoco's chairman and chief executive, said in a statement. They include expanded drilling in the Sacramento Basin, the acquisition of more acreage in key exploration areas, initial expenditures for the company's South Ellwood full field development, and activity in the Hastings field in Texas, he said.
Key Energy Services Inc. (NYSE: KEG), a rig-based well service company, said Thursday its Mexican unit received a $68 million contract from Pemex for field production and well workover products and services. The two-year contract will initially concentrate on Mexico's Poza Rica-Altamira oil wells and Cerro Azul assets. Key Energy Services de Mexico will be responsible for providing four well service rigs and will also install five of its KeyView systems on Pemex-owned well service rigs. The pact includes an option for Pemex to request additional rigs and systems. Key also has an existing contract with Pemex, Mexico's state-owned oil company, worth $46 million.
BPZ Resources, Inc. (AMEX: BZP) announced recently that Natixis, a major French bank, has obtained approval from its Credit Committee to arrange and underwrite the $200 million tranche of the $215 million reserve-based lending facility, under the terms and conditions outlined in the Mandate Letter dated August 19th, as previously disclosed by the Company. As previously announced, the initial $15 million tranche was recently closed directly with the International Finance Corporation (IFC). The Company expects to close this $200 million tranche in the fourth quarter of this year. The overall revolving credit facility is backed by current oil reserves in the Corvina field located in the offshore Block Z-1 in northwest Peru. The two credit tranches will be governed by a Common Terms Agreement, insuring efficient cooperation between the lenders.
Diamond I, Inc. (OTCBB: DMOI), a reporting company trading on the OTCBB that is to change its name to "US BioFuels Exchange, Inc.," announced recently that it has obtained the first round of funding for its online biofuels exchange, USBiofuelsExhange.com (the "US-BX"). This first funding was obtained from a group of investors, including petroleum and biofuels marketing veterans and petroleum and biofuels marketing companies. This funding assures the launch of the US-BX. "This type of industry support certainly bolsters our belief that the time for the US-BX is now," said Tom Gray, DMOI's newest director. "We are excited with the building momentum and look forward to announcing more developments in this important project."
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