Doug-I am confused yesterday you said:

"Who knows not I just liked that gap held. Still looks EZ run to .70 to my bleary eyes"

Today you say:

"I personally see the gap at 50 51 being taken out. It wont print over .60 come H and hi water now. And would want to be a fresh buyer around our old friends .43 -.40 where a serious and new rally could commence."

PetroChina Plans $60 Billion of Overseas Expansion

March 29 (Bloomberg) -- PetroChina Co. plans to spend at least $60 billion in the next decade on overseas acquisitions, challenging Exxon Mobil Corp. and BP Plc in the race to control oil and gas fields.

“Ten years ago, PetroChina was a state-owned oil company, but now we have a goal of becoming an international, integrated energy company,” Jiang Jiemin, chairman of the world’s largest company by market value, said in a March 25 interview, where he announced the investment plan.

Beijing-based PetroChina spent almost $7 billion in the last year to buy refineries and reserves in Australia, Canada, Singapore and Central Asia. The expansion pits PetroChina against Irving, Texas-based Exxon, which agreed to pay about $30 billion for U.S. gas producer XTO Energy Inc. in December.

“Every five, 10 years or so, you’ll get the occasional $30 billion deal, but this is at least $6 billion every year and that’s significant for any major oil company,” said Neil Beveridge, an analyst at Sanford C. Bernstein Ltd. in Hong Kong. “This puts PetroChina on par or exceeding some international oil majors in spending.”

Exxon is counting on gas to provide the bulk of its future growth with the acquisition of XTO Energy as well as new developments from the South Pacific to the Celtic Sea. BP, vying with Royal Dutch Shell Plc as Europe’s biggest oil company, paid at least $8.3 billion to acquire assets over the past 12 months. PetroChina teamed up with Shell last week to buy Australian gas producer Arrow Energy Ltd. for $3.2 billion.

Record Spending

Spending by Chinese companies on mining and energy acquisitions reached a record $32 billion last year. China Petroleum & Chemical Corp., Asia’s largest refiner, said yesterday it will pay $2.5 billion to purchase a stake in an Angolan oilfield from its parent to boost production.

“A total investment of not less than $60 billion is needed to form our five regions of global oil and gas cooperation, by 2020,” Jiang said. PetroChina spent between $2 billion and $3 billion annually in the past five years, so the planned investment “is clearly a step up,” Beveridge said.

The shares snapped a five-day losing streak in Hong Kong, rising 1.6 percent to HK$8.89 and outpacing the 0.9 percent gain in the benchmark Hang Seng Index.

“Investors have been encouraged by what the company has had to say about acquisitions overseas,” said Shi Yan, an analyst at UOB-Kay Hian Ltd. in Shanghai. “They are putting forward a lot of money to buy assets and it also involves a significant increase in the production of oil and gas.”

Gas Growth

Longer-term investors are betting on PetroChina’s success, driving the shares up 43 percent in the last 12 months. That beat the 36 percent gain in BP and well outperformed the 3.1 percent decline in Exxon.

The Arrow deal would help PetroChina develop the country’s coal-bed methane reserves that may be as much as 38 trillion cubic meters, said Jiang, 54. The Chinese company plans to boost its annual output capacity of the fuel to 4 billion cubic meters within five years, Jiang said.

That could be 20 percent of China’s coal-bed methane output by 2015, which may reach 20 billion cubic meters by then, according to Sun Maoyuan, chairman of China United Coalbed Methane Co., a unit of China National Coal Group Corp., Nov. 2.

PetroChina wants half its oil and gas to come from abroad by 2020, Jiang said in Hong Kong. The company, more than 80 percent owned by the state, currently gets less than a tenth of its production from overseas.

Avoid ‘Indigestion’

The energy explorer and refiner plans to produce 400 million metric tons of oil and gas a year by 2020, Jiang said, without stating which countries are favored for investment. Purchases will be largely funded by the company’s cash flow and earnings, he said.

“We aren’t going to operate in every oil-producing country,” said Jiang, who was elected as chairman in May 2007. “It’s not the more you eat, the better. You will suffer from indigestion if you eat too much.”

Politics is the biggest risk PetroChina faces in its expansion, Jiang said, without elaborating.

Domestic rival Cnooc Ltd. dropped an $18.5 billion offer for El Segundo, California-based Unocal Corp. in 2005, the biggest overseas acquisition attempted by a Chinese company at the time. The offer met resistance from U.S. lawmakers on grounds the takeover would threaten national security.

‘No Threat’

Cnooc hadn’t sought a majority stake in any overseas deal until this year when it agreed to buy half of Argentina’s second-largest oil producer Bridas Corp. for $3.1 billion.

“Tell those who care about PetroChina, PetroChina will never ever be a threat to anybody,” said Jiang, previously a vice governor of Qinghai province in China’s far west.

China wants to triple the use of gas to about 10 percent of energy consumption by 2020 to reduce use of coal. The country plans to import 68 billion cubic meters of the cleaner-burning fuel a year from Russia through two pipelines, Jiang said. That’s about 80 percent of China’s gas production last year.

PetroChina’s parent, China National Petroleum Corp., has been in talks with Russia on gas imports for more than a decade and has made “good progress” over the past two years with an initial pricing agreement signed at the end of 2009, Jiang said.

The company will focus on its oil and gas business and won’t invest in renewable energy including wind and solar for now, Jiang said.

China’s dependency on imported crude will continue to rise, he said. The country’s annual domestic oil production is unlikely to exceed 200 million tons by 2020 while demand may increase to about 600 million tons by then, Jiang said.

The world’s second-largest energy consumer relied on imports to meet more than half of its oil needs last year.

--John Duce and Wang Ying in Hong Kong. Editors: Ryan Woo, John Viljoen.

To contact the reporter on this story: Wang Ying in Hong Kong at ywang30@bloomberg.net; John Duce in Hong Kong at Jduce1@bloomberg.net

Last Updated: March 29, 2010 06:01 EDT

Related Videos

Watch Mirae's Kwan Interview on Sinopec, PetroChina
March 29 (Bloomberg) -- Gordon Kwan, head of regional energy research at Mirae Asset Securities Ltd., talks with Bloomberg's Susan Li about China Petroleum & Chemical Corp.'s agreement to buy a stake in an Angolan oil field for $2.5 billion from its parent, and about PetroChina Co.'s plan to spend at least $60 billion in the next decade on overseas acquisitions.







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PetroChina Set to Boost Acquisitions After Buying Arrow Energy
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By Bloomberg News

March 26 (Bloomberg) -- PetroChina Co. Chairman Jiang Jiemin plans to step up overseas oil and gas acquisitions after teaming up with Royal Dutch Shell Plc to buy Australia’s Arrow Energy Ltd. for $3.2 billion this week.

“We will take advantage of opportunities in developing oil, gas and energy sources in all areas of the world,” Jiang said at a media briefing in Hong Kong yesterday, after the Beijing- based company reported a 9.7 percent decline in full-year profit.

The Arrow deal followed at least $5 billion of purchases in Canada, Kazakhstan and Singapore in 2009 to meet demand in the fastest-growing major economy. PetroChina has risen 36 percent in Hong Kong in a year, regaining its position as the world’s most valuable company from Exxon Mobil Corp., as investors bet acquisitions and higher oil prices will boost profit.

“China’s energy security and rising domestic demand require leading operators like PetroChina to acquire resources globally,” said Andrew Chan, a Hong Kong-based analyst at the Daiwa Institute of Research Ltd. “The company will benefit over the long term as they target a sizable increase in overseas operations in eight to 10 years, or even longer.”

PetroChina last year purchased a stake in a Canadian oil sands project for $1.7 billion, a refinery in Singapore and spent about $1.4 billion on a stake in an oil venture in Kazakhstan. The acquisition of Arrow marked China’s entry to Australia’s coal-seam gas industry.

The company’s gas business will grow as China uses more of the cleaner-burning fuel, Jiang said.

Earnings Outlook

PetroChina’s net income declined to 103.4 billion yuan ($15 billion) from a restated 114.5 billion yuan in 2008 because of lower oil prices. The median profit estimate of 14 analysts surveyed by Bloomberg News was 106.3 billion yuan. Revenue dropped 4.7 percent to 1.02 trillion yuan. PetroChina didn’t give fourth-quarter figures.

Exxon’s profit fell 23 percent to $6.05 billion as the global recession weighed on fuel demand and prices. Crude averaged $62 in 2009 and $99.75 a year earlier, declining from a record $147.27 on July 11, 2008.

PetroChina may post a 28 percent increase in profit this year, according to a survey of 14 analysts’ estimates compiled by Bloomberg. The company sells most of its oil products in the domestic market, where the economy expanded 10.7 percent in the fourth quarter, the fastest pace since 2007.

China overtook the U.S. last year to become the world’s biggest auto market, sparking demand for motor fuels. The country’s crude oil processing rate rose to a record daily rate in February, according to government data.

‘Huge Potential’

“The main advantage that PetroChina has over other international oil majors is China itself,” said Neil Beveridge, an energy analyst at Sanford C. Bernstein Ltd. in Hong Kong. “While other companies are struggling, you have increasing demand for oil and a huge potential demand for gas.”

China led the world out of recession last year as economic growth accelerated after the government’s $586 billion stimulus package and record lending. The nation’s oil demand may increase 5 percent this year, PetroChina’s state-controlled parent, China National Petroleum Corp., said last month.

“This year’s earnings outlook is much more positive,” said Gordon Kwan, head of regional energy research at Mirae Asset Securities in Hong Kong, who has a “buy” rating on the stock. “They’ll accelerate acquisitions in the coming six months with targets in Africa, Australia and Central Asia.”

coyotesaz-How can you tell how many shares are issued. I see from the Nevada Sec of State that 1,500,000,000 shares are authorized.

Link to Nevada Sec of State Corporate information

http://nvsos.gov/sosentitysearch/CorpDetails.aspx?lx8nvq=3%252fOOpHKyts3ViNCRGlX6FA%253d%253d&nt7=0

India Said to Propose Fund to Purchase Energy Assets

By Rakteem Katakey

March 16 (Bloomberg) -- India may create a sovereign fund to help state companies compete for overseas energy assets with rivals from China, a government official said.

The oil ministry has formally asked the finance ministry to use a part of the nation’s $254 billion foreign-exchange reserves for the proposed fund, the official said, declining to be identified because a decision hasn’t been reached.

“Such a fund would be very, very welcome if we are to compete with the Chinese,” R.S. Sharma, chairman and managing director of state-run Oil & Natural Gas Corp., India’s biggest energy explorer, said by telephone from New Delhi.

India has trailed China in the quest for oil as ONGC and rivals PetroChina Co. and Cnooc Ltd. scour the globe for resources to meet demand in the most populous and fastest- growing major economies. Chinese companies spent a record $32 billion last year to buy oil, coal and metal assets in Africa, Asia and Australia compared with $2.1 billion invested by ONGC in the only Indian energy acquisition.

“India needs to speed up overseas acquisitions to cater to economic growth,” Dharmakirti Joshi, principal economist at Crisil Ltd., the Indian unit of Standard & Poor’s, said from Mumbai. “India’s forex reserves have been strong enough of late and companies here need a boost.”

The South Asian nation had foreign reserves of $254 billion on March 5 compared with China’s $2.4 trillion in December 2009.

Oil Minister Murli Deora declined to comment. B.S. Chauhan, finance ministry spokesman, said he can’t comment on discussions between ministries.

Plans Blocked

Cnooc, China’s biggest offshore oil explorer, this week agreed to buy half of Argentina’s Bridas Corp. for $3.1 billion, its biggest purchase, capping $6.6 billion of acquisitions on three continents in the past four years. Cnooc bought a stake in a Nigerian oil field in 2006 after India’s government blocked ONGC’s plan to buy the share.

China Investment Corp., the country’s $300 billion sovereign wealth fund, last year invested in energy and mineral producers in nations including Canada, Indonesia and the U.S. while China Development Bank Corp. gave China National Petroleum Corp., PetroChina’s parent, a $30 billion loan at a discounted interest rate to fund overseas expansion.

Demand for fuel in India, the world’s second-most populous nation, may rise as growth in the $1.2 trillion economy accelerates and output from aging domestic fields declines. India’s finance ministry expects gross domestic product to expand 8 percent in the year starting April 1.

India’s total energy consumption may more than double by 2030 to 833 million tons of oil equivalent, based on current trends, driven by population growth and an industrial build-up, according to the Paris-based International Energy Agency.

ONGC last year bought Imperial Energy Plc for 1.4 billion pounds ($2.1 billion) in India’s biggest energy acquisition.

India imports more than 75 percent of its crude oil needs.

To contact the reporter on this story: Rakteem Katakey in New Delhi at rkatakey@bloomberg.net.

Last Updated: March 16, 2010 10:42 EDT







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Bobwill-Doug-Anyone who wants to should trade a stock. What is wrong is when someone pumps the stock, the sells and then becomes a basher to try to drive the price down so they can buy back lower.

YM-Does IHUB Admin read every message on every board to determine which ones should be deleted. Seems like an impossible task.

A good source for Pinksheet info is www.pinksheets.com

ssc-Do you see good in anything??

Baddog-If you sold your shares great for you. Now go to bed and enjoy your profits. Since you no longer own the stock we don't need your opinions.

Clay-Any information on BOGI

spp119. Thanks for your efforts. As you hold both ERHC and EEL could you please list what you believe are the positives about the stocks and the reason you continue to hold them

spp119. Thanks for your efforts. As you hold both ERHC and EEL could you please list what you believe are the positives about the stocks and the reason you continue to hold them.

spp-I should know this but in which blocks does EEL have an interest?

ERHClongtimer-IMO you are correct.

wcamom-Good letter. You got your concerns across without bashing anyone. Hopefully Dan will get you/us some clarity.

midtieroil-I suggest you try again. I have asked Dan many questions and have found he can answer most of them. The questions I asked today are an example. Of course there are some questions he may not be able to answer.

Midtieroil-I will say it once again. Ask these questions to Dan Keeney instead of speculating. I talked to Dan today and he will answer a vaild question but will not reply a company bash. Why do you refuse to ask your questions to Dan??

midtieroil-As I said to Southern Man if you have questions e-mail Dan Keeney and ask the question rather that speculate here on the board. Dan will usually answer a valid question fairly quickly.

dan@dpkpr.com

Southern Man-I don't think Dan will answer your questions posted on this board. E-mail your question to him at:

dan@dpkpr.com

elsieCat-I ask Dan Keeney your question about "Asset Pool" here is Dan's response:

My question to Dan:

"I was asked by someone on the IHUB board to ask to what is meant by "asset pool". Where would that "asset pool" come from."

Dan's response:

All this information is out there. In my note to you I referred to the numerous presentations that have addressed this issue. The slides and talking points from these presentations are posted at http://www.erhc.com/en/articles/articles_view.asp. Most were presented between May and November of 2008, prior to the credit crisis. I think one of the iHub posters actually posted links to videos in which Peter Ntephe is presenting on this very subject. Below are talking points as posted at http://www.erhc.com/en/art/55.

SLIDE 25

Recognizing that first oil is at least three to five years away, we are not taking a “wait and see” approach. We are pushing forward aggressively with an initiative to accelerate growth by duplicating what we have been able to accomplish in the Gulf of Guinea…

SLIDE 26

Our strategy is to form or acquire a subsidiary of ERHC Energy Inc. that does not involve any of the Gulf of Guinea assets that we have been discussing. The company would initially be owned by ERHC Energy Inc. directly or through its wholly owned Cayman holding company. That subsidiary will be listed on the Alternative Investments Market of the London Stock Exchange.

SLIDE 27

The idea is to achieve more by accessing the additional pool of capital through the AIM. We will be creating a separate asset pool for the company without in any way diluting current shareholders.

ERHC Energy Inc. will retain a large percentage of the U.K.-listed company. There would be a common management team that would be managing both, which can create synergies.

In due course, we would seek to invest in assets that leverage our strengths in central West Africa. We envision the new subsidiary will have substantial assets of its own and we are examining opportunities in energy, minerals and other natural resources.

SLIDE 28

And, after a great deal of careful consideration of capital market alternatives, we will be working to position ERHC Energy Inc. to move from the OTC to another exchange in the next 12 to 18 months. While we are still considering whether the NASDAQ or AMEX would be a better fit, we believe that we can achieve enhanced exposure and liquidity, while at the same time providing investors with greater transparency in terms of pricing and execution. We feel the move to a different exchange will be an important step toward future growth of ERHC Energy.

Sincerely,
Daniel Keeney, APR

emdyal-Do you ever have anything positive to say. Why are you here. If you own this stock with your attitude why??

Response to my questions from Dan Keeney:

Thank you for your interest in ERHC Energy.

1. Would this AIM listing if approved replace the current OCTBB listing.

Not in the short-term. Longer term, ERHC has expressed an interest in transitioning away from OTCBB to another exchange to achieve enhanced exposure and liquidity, while at the same time providing investors with greater transparency in terms of pricing and execution. You might refer to http://www.erhc.com/en/art/48/ where you can find some of the ideas that are driving ERHC’s interest in listing on the AIM.

2. Would the AIM listing if approved mean additional shares that would dilute existing shareholders. This is a concern of many.

As stated in numerous presentations that addressed the subject (see http://www.erhc.com/en/art/55/ as an example), the idea is to achieve more by accessing an additional pool of capital through the AIM. We will be creating a separate asset pool for the company without diluting current shareholders.

Sincerely,
Daniel Keeney, APR

DPK Public Relations

Did anyone notice that Joe recommended to Ledbetter that he get food stamps like he does. Joe is on food stamps??

Do you think that ponzi is mongo1071 who was banned years ago????

emdyal-Take some time off from the bashing this weekend and enjoy the football. Happy New Year.

emdyal-Have you done that??

emdyal-You claim you own this stock and yet every day your posts are mostly only negative. If you own this stock and feel this way you would be better served to e-mail your concerns directly to ERHC.

PNtephe@erhc.com
dan@keeneypr.com

Julius= Who is "they" in your post. You make it seem it's ERHC and we all know by this time that only the operator of the block or the JDZ can announce results not ERHC.

"If a large field already has been found, would it be realistic that they would not announce that, or even could hide such results?"

Ponzi seems to only post in 2 stocks. ERHE and AENP. From reading some of the AENP posts it appears that his tactics are similar. Question everything and try to create confusion and doubt. Why???

emdyal-It not personal but and It's your business but if you are invested in ERHC you must have some positive reason or you would be out. If you are not invested here then we can only assume that your posts are designed to try to drive the price down so you can buy.

bobwill9-It ok to trade any stock but I dont't think anyone should post either positive or negative posts to try to infulunce the stock price for their own benefit. I am not accusing you of this, it applies to everyone.

ssc-I still don't understand. With your negativity please tell us why you own and shares.

ssc-Do you own this stock?? If so why since you are always very negative. If not then why are you here?

Are rigmyster and oily the same person??

Clay-Do you still like RVBF??

Topshelf-Sorry for your loss.

LONDON/NEW YORK (Reuters) - Growing world oil use will likely outpace the rate of new supplies in 2010, eroding the huge stockpiles of crude which have mounted around the world since the start of the global economic crisis.

According to a Reuters poll of ten top oil-tracking analysts and organizations, oil demand is predicted to rise by 1.3 million barrels per day (bpd) next year to 85.9 million bpd.

At the same time, the rise in production from outside the Organization of the Petroleum Exporting Countries and output of natural gas liquids (NGLs) from OPEC members is seen growing by just 800,000 bpd in total.

puff-Do you own this stock?? I can't remember you having a positive post.