Next Two Years Critical for Phillips, Says Moody's Coleman
L. D. Barney, THE JOURNAL RECORD
The $400 million cut Phillips took in capital spending recently is a "double-edged sword," he said.
The move does allow Phillips certain flexibility to evaluate projects and gives it breathing room on debt, but on the negative side it comes at the expense of exploratory drilling, Coleman said.
That could have a negative affect on Phillips replacement of reserves, since the largest cuts were made in explortion and production.
Phillips probably has experienced an 8 to 10 percent reduction in its reserves due to its asset sales, Coleman said. "The reserves are not central to their operating position," he said, "but the fact remains they have sold them and have to replace them."
The benefit of those sales was that Phillips is left with little principal payments on its debt into 1987. . .
- Bumper sticker seen around town:
"Please GOD let there be one more OIL BOOM. I promise not to (bleep) it all away this time.". .
- Toklan Oil Corp. has promoted Larry D. Robertson to executive vice president. He was vice president of land.
Also, Terry L. Dean was promoted to vice president of finance. He was comptroller. . .
- Donald C. Slawson has been appointd to the National Petroleum Council by Secretary of Energy John S. Herrington.
The council provides information and recommendations to the secretary on matters relating to the nation's security and energy policies.
"I am deeply honored," Slawson said, "and will devote the time required for this important task. It is particularly challenging at this time, considering the dynamics of United States' foreign policy and international relations."
The council was founded in 1946 at the request of President Harry Truman. It is a chartered and privately-funded committee reporting directly to the secretary of energy.
It purpose is to advise, inform and make recommendations on matters relating to the oil and gas industry. The council does not deal with the appointment of members or trade association activites.
It plays a role in formulation of the nation's energy policies and national security. Meetings are held on a semi-annual basis. It is staffed with 15 employees.
Slawson's two-year term runs through Dec. 31, 1987. . .
- The bankruptcy estate of Hudson Refining and Hudson Oil companies has paid a $100,000 fine for past violations of federal and state hazardous waste management laws, according to the U.S. Environmental Protection Agency.
The fine is a partial settlement of the suit filed in 1984 by the U.S. Department of Justice on behalf of the EPA.
Hudson Refining Co. owns a Cushing crude oil refiner it operated with others from about 1915 until 1982. …