1 Table of Contents 2
1.1 List of Tables 9
1.2 List of Figures 12
2 Pacific OCS Fiscal Regime 13
2.1 Pacific OCS Petroleum Fiscal Environment 13
2.2 License Terms 13
2.3 Key Fiscal Terms 15
2.4 Sample Cashflows Calculations 22
3 Pacific Outer Continental Shelf Offshore Upstream Investment Environment Benchmarking 23
3.1 Introduction 23
3.2 The Overall Ranking 23
3.3 Upstream Fiscal Attractiveness 24
3.3.1 Revenue Protection 26
3.3.2 Fiscal Flexibility 27
3.4 Oil and Gas Sector Performance 27
3.4.1 Oil and Gas Production 30
3.4.2 Oil and Gas Reserves 30
4 US Pacific Outer Continental Shelf Offshore, Exploration and Production 31
4.1 US Pacific Outer Continental Shelf Offshore, Exploration and Production, Country Snapshot 31
4.1.1 US Pacific Outer Continental Shelf Offshore, Exploration and Production, Key Data 31
4.1.2 US Pacific Outer Continental Shelf Offshore, Exploration and Production, Exploration And Production Assets Map 32
4.1.3 US Pacific Outer Continental Shelf Offshore, Exploration and Production, Crude Oil & Natural Gas Reserves 33
4.2 US Pacific Outer Continental Shelf Offshore, Exploration and Production, Crude Oil And Natural Gas Production 35
4.2.1 US Pacific Outer Continental Shelf Offshore, Exploration and Production, Historical Crude Oil Production 35
4.2.2 US Pacific Outer Continental Shelf Offshore, Exploration and Production, Historical Natural Gas Production 36
4.2.3 US Pacific Outer Continental Shelf Offshore, Exploration and Production, Crude Oil And Natural Gas Producing Asset Details 37
4.2.4 US Pacific Outer Continental Shelf Offshore, Exploration and Production, Crude Oil Production Assets By Area 40
4.2.5 US Pacific Outer Continental Shelf Offshore, Exploration and Production, Natural Gas Production Assets By Area 41
4.2.6 US Pacific Outer Continental Shelf Offshore, Exploration and Production, Crude Oil Production By Company 42
4.2.7 US Pacific Outer Continental Shelf Offshore, Exploration and Production, Natural Gas Production By Company 43
4.3 US Pacific Outer Continental Shelf Offshore, Exploration and Production, Crude Oil And Natural Gas Forecasts 44
4.3.1 US Pacific Outer Continental Shelf Offshore, Exploration and Production, Forecasted Crude Oil Production Of Key Assets 44
4.3.2 US Pacific Outer Continental Shelf Offshore, Exploration and Production, Forecasted Natural Gas Production of Key Assets 44
5 Profile of Exxon Mobil Corporation 45
5.1 Exxon Mobil Corporation, Key Information 45
5.2 Exxon Mobil Corporation, Company Overview 45
5.3 Exxon Mobil Corporation, Business Description 45
5.3.1 Exxon Mobil Corporation, Business Description, Overview 45
5.3.2 Exxon Mobil Corporation, Business Description, Chemical 45
5.3.3 Exxon Mobil Corporation, Business Description, Downstream 48
5.3.4 Exxon Mobil Corporation, Business Description, Upstream 50
5.4 Exxon Mobil Corporation, Value Chain Analysis 52
5.4.1 Exxon Mobil Corporation, Value Chain Analysis, Upstream 52
5.4.2 Exxon Mobil Corporation, Value Chain Analysis, Midstream 53
5.4.3 Exxon Mobil Corporation, Value Chain Analysis, Downstream 54
5.4.4 Exxon Mobil Corporation, Value Chain Analysis, Retail 55
5.5 Exxon Mobil Corporation, SWOT Analysis 55
5.5.1 Exxon Mobil Corporation, SWOT Analysis, Overview 55
5.5.2 Exxon Mobil Corporation, SWOT Analysis, Strengths 56
5.5.3 Exxon Mobil Corporation, SWOT Analysis, Weaknesses 59
5.5.4 Exxon Mobil Corporation, SWOT Analysis, Opportunities 60
5.5.5 Exxon Mobil Corporation, SWOT Analysis, Threats 62
5.6 Exxon Mobil Corporation, Revenue Analysis 64
5.6.1 Exxon Mobil Corporation, Revenue by Segment 64
5.6.2 Exxon Mobil Corporation, Revenue by Geography 65
5.7 Exxon Mobil Corporation, Financial and Operational Review 67
5.7.1 Financial Statements 67
5.7.2 Financial Ratios 68
6 Profile of Chevron Corporation 69
6.1 Chevron Corporation, Key Information 69
6.2 Chevron Corporation, Company Overview 69
6.3 Chevron Corporation, Business Description 69
6.3.1 Chevron Corporation, Business Description, Overview 69
6.3.2 Chevron Corporation, Business Description, Chemicals 70
6.3.3 Chevron Corporation, Business Description, Downstream Segment 72
6.3.4 Chevron Corporation, Business Description, Others Segment 73
6.3.5 Chevron Corporation, Business Description, Upstream Segment 75
6.4 Chevron Corporation, Value Chain Analysis 77
6.4.1 Chevron Corporation, Value Chain Analysis, Upstream 77
6.4.2 Chevron Corporation, Value Chain Analysis, Midstream 79
6.4.3 Chevron Corporation, Value Chain Analysis, Retail 80
6.4.4 Chevron Corporation, Value Chain Analysis, Power Generation 81
6.4.5 Chevron Corporation, Value Chain Analysis, Transformation 82
6.5 Chevron Corporation, SWOT Analysis 83
6.5.1 Chevron Corporation, SWOT Analysis, Overview 83
6.5.2 Chevron Corporation, SWOT Analysis, Strengths 84
6.5.3 Chevron Corporation, SWOT Analysis, Weaknesses 85
6.5.4 Chevron Corporation, SWOT Analysis, Opportunities 85
6.5.5 Chevron Corporation, SWOT Analysis, Threats 87
6.6 Chevron Corporation, Revenue Analysis 89
6.6.1 Chevron Corporation, Revenue by Segment 89
6.6.2 Chevron Corporation, Revenue by Geography 90
6.7 Chevron Corporation, Financial and Operational Review 91
6.7.1 Financial Statements 91
6.7.2 Financial Ratios 92
7 Profile of ConocoPhillips 93
7.1 ConocoPhillips, Key Information 93
7.2 ConocoPhillips, Company Overview 93
7.3 ConocoPhillips, Business Description 93
7.3.1 ConocoPhillips, Business Description, Overview 93
7.3.2 ConocoPhillips, Business Description, Chemicals Segment 94
7.3.3 ConocoPhillips, Business Description, Emerging Businesses Segment 95
7.3.4 ConocoPhillips, Business Description, Exploration and Production Segment 96
7.3.5 ConocoPhillips, Business Description, LUKOIL Investment 98
7.3.6 ConocoPhillips, Business Description, Midstream Segment 98
7.3.7 ConocoPhillips, Business Description, Refining and Marketing Segment 100
7.4 ConocoPhillips, Value Chain Analysis 102
7.4.1 ConocoPhillips, Value Chain Analysis, Upstream 102
7.4.2 ConocoPhillips, Value Chain Analysis, Midstream 103
7.4.3 ConocoPhillips, Value Chain Analysis, Downstream 104
7.4.4 ConocoPhillips, Value Chain Analysis, Retail 105
7.5 ConocoPhillips, SWOT Analysis 106
7.5.1 ConocoPhillips, SWOT Analysis, Overview 106
7.5.2 ConocoPhillips, SWOT Analysis, Strengths 107
7.5.3 ConocoPhillips, SWOT Analysis, Weaknesses 109
7.5.4 ConocoPhillips, SWOT Analysis, Opportunities 109
7.5.5 ConocoPhillips, SWOT Analysis, Threats 111
7.6 ConocoPhillips, Revenue Analysis 112
7.6.1 ConocoPhillips, Revenue by Segment 112
7.6.2 ConocoPhillips, Revenue by Geography 113
7.7 ConocoPhillips, Financial and Operational Review 114
7.7.1 Financial Statements 114
7.7.2 Financial Ratios 115
8 Financial Deals Landscape 116
8.1 Detailed Deal Summary 116
8.1.1 Rumored Deals 116
8.1.2 Merger 119
8.1.3 Acquisition 121
8.1.4 Private Equity 126
8.1.5 Venture Financing 129
8.1.6 Equity Offerings 130
8.1.7 Debt Offerings 136
8.1.8 Partnerships 139
8.1.9 Asset Transactions 144
9 Recent Developments 150
9.1 License Rounds 150
9.1.1 Nov 13, 2008: Louisiana To Offer 21 Offshore Tracts On December 10, 2008 150
9.1.2 Nov 12, 2008: MMS Initiates Oil And Gas Leasing Process For Offshore Virginia 150
9.1.3 Oct 13, 2008: Louisiana Offers One Offshore Tract In November 2008 Lease Sale 151
9.1.4 Sep 24, 2008: BLM Awards Oil And Gas Lease Tracts To Five Companies 151
9.1.5 Sep 18, 2008: DEP Issues 73 Drilling Permits For Marcellus Shale Formation 152
9.1.6 Sep 10, 2008: New Brunswick Government Opens Up Six Areas For Oil And Gas Exploration 154
9.2 License Awards 155
9.2.1 Nov 12, 2008: Friendly Energy Acquires Ten Natural Gas Drilling Sites And Options Forty Additional Sites In Molly Murphy Gas Field In Texas 155
9.2.2 Oct 16, 2008: Synergy Wins Seven New Drilling Permits For Meyer Prospect In Greeley, Colorado 155
9.2.3 Oct 08, 2008: PXP Receives Approval For T-Ridge Project From Santa Barbara County 156
9.2.4 Sep 23, 2008: Petsec Receives Two New Leases In Gulf of Mexico, US 156
9.2.5 Sep 18, 2008: Allenergy Receives Approval To Drill Bane 1-A well In Chautauqua County, Kansas 157
9.3 Strategy and Business Expansion 157
9.3.1 Dec 02, 2008: ConocoPhillips And KU Sign Three-Year Nanotechnology Research Agreement 157
9.3.2 Nov 21, 2008: Modena Abandons Interest In Jackson County Amidst Financial Crisis 158
9.3.3 Sep 30, 2008: GTI To Lead Field Based Research Consortium For New Albany Shale In Illinois Basin 159
9.3.4 Sep 17, 2008: RIL To Set Up Trading Subsidiary In US 160
9.4 Recent Discoveries 161
9.4.1 Dec 05, 2008: Beacon Encounters Oil At Sunday #1 Well In San Joaquin Basin, Southern California 161
9.4.2 Dec 03, 2008: Southern Star Encounters Gas At Burt 20-1 Well In Sentell Field, Louisiana 162
9.4.3 Dec 01, 2008: Leed Encounters Hydrocarbons At Eugene Island A-8 Well In Gulf Of Mexico 163
9.4.4 Nov 24, 2008: Salinas Strikes Oil At Eighth Horizontal Production Well In North San Ardo Oil Field In California 165
9.4.5 Nov 10, 2008: Red Fork Observes Gas Shows At West#2-2 Well In East Oklahoma 165
9.4.6 Nov 05, 2008: Pan Andean Encounters Gas At Vieman No. 1 Well At Danbury Dome, Texas 166
9.5 Drilling and Production Updates 166
9.5.1 Dec 08, 2008: GGPL Plugs And Abandons West Lake Boudreaux SL 18892 # 1 Well In Louisiana 166
9.5.2 Dec 05, 2008: AusTex Plugs And Abandons Cooper #2 Well, Commences Drilling Stallings #1 Well In Kansas, US 166
9.5.3 Dec 04, 2008: Interline Completes Production Testing At NorthCut Refinery In Wyoming 167
9.5.4 Dec 04, 2008: Index Updates On Armour-Runnells #1 ST Well In Alligator Bayou Prospect, Texas 167
9.5.5 Dec 04, 2008: Meridian Provides Test Results Of Sutton A-574 No. 1 Well In Polk County, Texas 168
9.5.6 Dec 04, 2008: Samson Plans To Complete Leonard #1-23 H Well In Williston Basin, North Dakota 168
9.5.7 Dec 03, 2008: Rex Energy Updates On Marcellus Shale Wells In Westmoreland County, Pennsylvania 169
9.5.8 Dec 03, 2008: Portrush Petroleum Completes Drilling #14 Well In Mission River Texas Field, US 170
9.5.9 Dec 03, 2008: NAER Completes Gas Well In Washington County 170
9.5.10 Dec 03, 2008: Sun Resources Updates On Its Gas Production In US 171
10 Appendix 172
10.1 Methodology 172
10.1.1 Coverage 172
10.1.2 Secondary Research 173
10.1.3 Primary Research 173
10.1.4 Forecasts 174
10.2 Expert Panel Validation 176
10.3 Definitions 176
10.4 Unit of Measure 177
10.5 Contact Us 178
10.6 Global Markets Direct Consulting 178
10.7 Disclaimer 178
1.1 List of Tables
Table 1: Pacific OCS, Crude Oil Royalty, Nov 1995 - Nov 2000 15
Table 2: Pacific OCS, Crude Oil Royalty, Nov 2000 onwards 16
Table 3: Pacific OCS, Royalty Suspension Volume, November 28, 1995 to November 28, 2000 17
Table 4: Pacific OCS, Royalty Suspension Volume, November 2000 - March 2002 17
Table 5: Pacific OCS, Royalty Suspension Volume, March 2002-2005 18
Table 6: Pacific OCS, Royalty Suspension Volume, Post March 2005 18
Table 7: Pacific OCS, Minimum Bonus Bid, 2007 19
Table 8: Pacific OCS, Minimum Annual Rental Rates, 2007 19
Table 9: Pacific OCS, MACRS Depreciation Factors - 7 year half year Convention, 2007 21
Table 10: US, Investment Benchmarking, Overall Region Rankings, April 2008 24
Table 11: US, Investment Benchmarking, Upstream Fiscal Attractiveness, April 2008 25
Table 12: US, Investment Benchmarking, Oil and Gas Sector Performance, April 2008 27
Table 13: US Pacific Outer Continental Shelf Offshore, Oil and Gas, Key Statistics, April 2008 31
Table 14: US Pacific Outer Continental Shelf Offshore, Total Crude Oil and Natural Gas Reserves(MMBOE), 2000-2012 34
Table 15: US Pacific Outer Continental Shelf Offshore, Total Crude Oil Production (MMBBLs), 2000-2007 35
Table 16: US Pacific Outer Continental Shelf Offshore, Total Natural Gas Production (BCF), 2000-2007 37
Table 17: US Pacific Outer Continental Shelf Offshore, Oil and Gas Asset Details, April 2008 38
Table 18: US Pacific Outer Continental Shelf Offshore, Oil and Gas Asset Details, April 2008, (Cont’d) 39
Table 19: US Pacific Outer Continental Shelf Offshore, Total Cude Oil Production (Barrels), by Assets, 2000-2007 40
Table 20: US Pacific Outer Continental Shelf Offshore, Total Natural Gas Production (MMCF), by Assets, 2000-2007 41
Table 21: US Pacific Outer Continental Shelf Offshore, Total Crude Oil Production (MBBLs), by Company, 2000-2007 42
Table 22: US Pacific Outer Continental Shelf Offshore, Totla Natural Gas Production (MMCF), by Company, 2000-2007 43
Table 23: US Pacific Outer Continental Shelf Offshore, Total Crude Oil Production (MMBBLs), Forecast, 2008-2013 44
Table 24: US Pacific Outer Continental Shelf Offshore, Total Natural Gas Production (BCF), Forecast, 2008-2013 44
Table 25: Exxon Mobil Corporation, Key Facts, 2007 45
Table 26: Exxon Mobil Corporation, SWOT Analysis, 2007 56
Table 27: Exxon Mobil Corporation, Revenue by Segment, USD Million, 2003-2007 64
Table 28: Exxon Mobil Corporation, Revenue by Geography, USD Million, 2003-2007 66
Table 29: Exxon Mobil Corporation, Financial Statements, USD Million, 2003-2007 67
Table 30: Exxon Mobil Corporation, Financial Ratios, USD Million, 2003-2007 68
Table 31: Chevron Corporation, Key Facts, 2007 69
Table 32: Chevron Corporation, SWOT Analysis, 2007 83
Table 33: Chevron Corporation, Revenue by Segment, USD Million, 2003-2007 89
Table 34: Chevron Corporation, Revenue by Geography, USD Million, 2003-2007 90
Table 35: Chevron Corporation, Financial Statements, USD Million, 2003-2007 91
Table 36: Chevron Corporation, Financial Ratios, USD Million, 2003-2007 92
Table 37: ConocoPhillips, Key Facts, 2007 93
Table 38: ConocoPhillips, SWOT Analysis, 2007 107
Table 39: ConocoPhillips, Revenue by Segment, USD Million, 2003-2007 113
Table 40: ConocoPhillips, Revenue by Geography, USD Million, 2003-2007 114
Table 41: ConocoPhillips, Financial Statements, USD Million, 2003-2007 114
Table 42: ConocoPhillips, Financial Ratios, USD Million, 2003-2007 115
Table 43: BP To Acquire Chesapeake Energy 116
Table 44: BP To Acquire Natural Gas Properties From Chesapeake Energy 118
Table 45: Alternate Energy To Merge With Treaty Petroleum 119
Table 46: JAG Media Holdings To Merge With BlueCreek Energy 120
Table 47: LNG Energy Acquires 60% Interest In Private Oil And Gas Company 121
Table 48: LNG Energy Acquires LNG Energy (BC) From Cheetah Oil & Gas 122
Table 49: United Energy To Acquire Transmeridian Exploration 123
Table 50: Ultralife Acquires U.S. Energy Systems 124
Table 51: Wintraysan Capital Terminates The Acquisition Of Legacy Energy 125
Table 52: Quantum Energy, Energy Trust Partners, And Walter Oil & Gas Invest In Denali Oil & Gas 126
Table 53: Laredo Petroleum Secures $300 Million In Equity Financing 127
Table 54: Avista Capital Partners Invests $55 Million in Laredo Energy 128
Table 55: Sapphire Energy Secures $50 Million In Series B Financing 129
Table 56: Empire Energy Corporation Announces Terms Of Rights Offering 130
Table 57: Zion Oil & Gas To Issue 0.06 Million Units In Second Closing Of Follow-On Offering 131
Table 58: American Oil & Gas Files Universal Shelf Registration Statement To Raise $75 Million 132
Table 59: Petroleum Development Files Shelf Registration Form To Raise $500 Million 133
Table 60: Chesapeake Energy Announces Secondary Offering Of $791 Million 134
Table 61: Occidental Petroleum Completes Notes Offering Of $1,000 Million 136
Table 62: EOG Resources Completes Public Offering Of $400 Million Senior Notes 137
Table 63: EOG Resources Completes Public Offering Of $350 Million Senior Notes 138
Table 64: Petroflow Energy Forms Joint Venture With Patron Energy 139
Table 65: Warrior Girl Signs Letter Of Intent With American Resource Petroleum 140
Table 66: Brownstone, Dejour Enterprises, And Laramie Energy Enter Into Partnership 141
Table 67: Surge Energy Resources Enters Into Agreement With Delaphin Energy Resources 142
Table 68: American Shale Oil Enters Into Agreement With Schlumberger Technology To Jointly Explore Oil Resources 143
Table 69: Melrose Resources To Acquire 32.5% Interest In Pelican XIII And Midia XV Blocks 144
Table 70: Linn Energy Sells Woodford Shale Acreage In Central Oklahoma For $202 Million 145
Table 71: BNK Petroleum To Sell Acreage To Private Delaware Company 146
Table 72: Allied Energy To Acquire Additional Working Interests In Oklahoma 147
Table 73: Plains Exploration Sells Oil And Gas Properties To Occidental Petroleum For $1,250 Million 148
1.2 List of Figures
Figure 1: US, Region Standings, Upstream Fiscal Attractiveness, April 2008 26
Figure 2: US, Region Standings, Oil and Gas Sector Performance, April 2008 28
Figure 3: US, Region Standings, Oil and Gas Sector Performance, April 2008 (Contd.) 29
Figure 4: US Pacific Outer Continental Shelf Offshore, Exploration and Production Assets Map, April 2008 32
Figure 5: US Pacific Outer Continental Shelf Offshore, Total Crude Oil and Natural Gas Reserves(MMBOE), 2000-2012 33
Figure 6: US Pacific Outer Continental Shelf Offshore, Total Crude Oil Production (MMBBLs), 2000-2007 35
Figure 7: US Pacific Outer Continental Shelf Offshore, Total Natural Gas Production (BCF), 2000-2007 36
Figure 8: Exxon Mobil Corporation, Value Chain Analysis 52
Figure 9: Chevron Corporation, Value Chain Analysis 77
Figure 10: ConocoPhillips, Value Chain Analysis 102
Figure 11: Global Markets Direct Methodology 172
