April 8, 2013 |
General Electric Co. has agreed to acquire Lufkin Industries Inc. for more than $3 billion as the mega-firm looks to grow its expanding oil and gas business. The $88.50-a-share offer from GE represents a 38.4% premium over Lufkin's Friday $63.93 closing price. The deal for Lufkin, which employs 4,500 people in more than 40 countries, expands GE's artificial-lift capabilities to a larger variety of well types. GE Oil & Gas President Daniel C. Heintzelman said the acquisition beefs up his company's offerings in a segment that “is at the heart of critical changes” that are transforming the oil and gas industry, allowing producers to maximize the potential of wells.
March 31, 2013 |
The small oil town of Taft was built on petroleum -- and is now hoping for a second boom from the Monterey Shale. In a story on Sunday's front page, The Times wrote about the shale that runs miles underground through Southern and Central California. Oil companies are already drilling exploratory wells. Oil trapped in deep rock deposits in the Monterey is estimated at 15 billion barrels. That's four times the amount of oil in North Dakota's Bakken Shale, which has fueled a boom that's driven that state's unemployment rate to 3.3%, the nation's lowest.
March 30, 2013 |
TAFT, Calif. - This two-stoplight town was built on petroleum, and residents here never miss a chance to pay tribute. A 38-foot monument to wildcatters stands downtown; locals brag it's the tallest bronze sculpture west of the Mississippi. Every five years, the city throws an "Oildorado" festival. There's even a beauty pageant in which young women dubbed "the maids of petroleum" vie to be crowned queen. It's all an homage to the bustling days when Taft boasted two giant oil fields and Standard Oil Co. of California was headquartered there.
March 13, 2013 |
California's Monterey shale, which holds an estimated 15 billion barrels of oil, has been touted as crucial to the state's energy future and a boon to its economy. A study released Thursday tries to quantify the potential economic benefits. The study by USC and the Communications Institute, a Los Angeles think tank, estimates that development of the 1,750-square-mile formation in central California could generate half a million new jobs by 2015 and 2.8 million by 2020. Tapping the Monterey shale, which holds an estimated two-thirds of the country's shale oil reserves, would probably require some combination of horizontal drilling and hydraulic fracturing, known as fracking, a practice opposed by many environmentalists worried about possible damage to land and water.
March 25, 2012 |
When the price of gasoline rises, the supply of hot air expands. Just look at the recent GOP attacks blaming President Obama for prices that exceed $4 a gallon in some parts of the country. Not only is Obama responsible, according to some Republicans, he's downright pleased. As Mitt Romney put it last week to Fox News, "There's no question that when he ran for office, he said he wanted to see gasoline prices go up. " But there are some problems with Romney's statement.
CALIFORNIA | LOCAL
March 14, 2012 |
Energy companies across California are injecting a mysterious mix of chemicals into the ground to tap oil deposits while frustrating attempts to regulate the controversial process, known as hydraulic fracturing. The procedure has drawn the greatest attention in the Rocky Mountain West and Northeast, where states have debated moratoriums to develop regulations after toxic chemicals were found in nearby drinking water. But a quieter battle is being waged in the Golden State, which could be a candidate for increased "fracking" because of its unique geology.