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Showing posts with label Ford. Show all posts
Showing posts with label Ford. Show all posts

Monday, September 12, 2011

Ford to Debut 1.0-Liter EcoBoost Engine in Europe

- Ford to Debut 1.0-Liter EcoBoost Engine in Europe



Sep 12, 2011

Ford (NYSE:F) confirmed the first production applications for its smallest-ever EcoBoost engine at the 2011 Frankfurt Motor Show.

The engine will debut in the European Ford Focus early in 2012, offering the performance of a conventional 1.6-liter engine with less than 120g/km CO2 emissions.

Graham Hoare, executive director, Powertrain, Ford of Europe said, "By offering the Focus with an advanced small-displacement petrol engine, Ford is not only making a major statement on how serious we are about engine downsizing - it also shows the strength of our development and engineering capabilities. To produce a 1.0-liter EcoBoost petrol engine with such impressive performance and fuel economy is a clear example of our commitment to be class-leading in fuel economy."

Ford Motor (NYSE:F) has a potential upside of 84.1% based on a current price of $10 and an average consensus analyst price target of $18.41.

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Wednesday, August 31, 2011

Ford, Zipcar Announce New 2 Year Strategic Alliance for U.S. University Members

- Ford, Zipcar Announce New 2 Year Strategic Alliance for U.S. University Members



Aug 31, 2011

Ford (NYSE:F) and Zipcar (NASDAQ:ZIP) announced a new a strategic alliance establishing Ford as Zipcar's largest university vehicle partner, reaching students at more than 250 campuses.

The first of its kind, two-year tie up introduces a new generation of drivers to Ford vehicles with the highly-fuel efficient Focus and Escape now part of Zipcar's existing fleet of environmentally friendly, reliable and fun vehicles.

Zipcar will offer $10 off the $35 annual membership fee for the first 100,000 new University members who sign up for Zipcar, plus $1 off the hourly rate for the first 1 million hours of use on any of the new Ford vehicles at select colleges and universities

New Ford vehicles start arriving on campuses this week. The program, which could generate 2 million hours behind the wheel of Ford vehicles for college-age drivers, also helps reduce parking demand, congestion and emissions.

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Texon Runs Production Tests at 2nd Eagle Ford Well

- Texon Runs Production Tests at 2nd Eagle Ford Well

Wednesday, August 31, 2011
Global Petroleum Ltd.

Texon has advised that the second Eagle Ford well in which Global has an interest (Tyler Ranch EFS #2H) has tested oil and gas at the rates of 1,488 bopd and 700 mcfgpd (combined 1,605 boepd) through a 16/64" choke at a flowing tubing pressure of 3,000 psi.

The well is located just to the north of the first Eagle Ford well (Tyler Ranch EFS #1H) which had an initial test rate of 1,200 bopd through the same sized choke. Tyler Ranch EFS #2H also has a higher flowing pressure than the first Eagle Ford well. The second Eagle Ford well has been connected for oil and gas production through the EFS #1H production facilities.

Global has a 7.939% working interest (5.95% NRI) in approximately 1,651 acres beneath the Olmos formation including the Eagle Ford Shale. Global's interest in the Leighton prospect also includes a 15% working interest in approximately 873 acres from the surface down to the stratigraphic equivalent of the Olmos formation.

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Friday, August 26, 2011

Land Camp to Serve Influx of Eagle Ford Workers in South Texas

- Land Camp to Serve Influx of Eagle Ford Workers in South Texas

Friday, August 26, 2011
Rigzone Staff
by Karen Boman

The exploration and drilling boom in South Texas' Eagle Ford shale play has drawn hundreds of workers to the region, crowding the existing hotels and housing beyond capacity. To meet housing needs, oil service companies that including Halliburton, Weatherford and Schlumberger invited Houston-based Remote Logistics International to set up the Three Rivers Lodge, a lodging camp for oil service workers in Three Rivers, Texas, approximately 70 miles south of San Antonio.


The facility, which held its grand opening on Aug. 6, is part of Remote Logistics' offerings of support services for both the offshore oil and gas industry as well as land camp harsh remote environments. For oil service companies, offering the housing is about safety. Workers driving great distances to and from work sites, and then looking for food on the way back to their lodgings, are more exhausted and at greater risks on the road, said Hud Gibbins, who works in business development at the company and helps directly oversee the lodge.

Founded by Jenny Savage, who comes from a background in hotel and restaurant management, Remote Logistics caters to what it considers niche markets like South Texas with facilities providing housing, laundry, meals and entertainment under one roof. Remote Logistics has handled catering and housekeeping duties for onshore and offshore rigs and facilities in the Gulf of Mexico and the Middle East for five years; the company also offers remote medical services for oil and gas operations. Remote Logistic's roster of clients includes Rowan and Cal Dive International.


Though the buildings are temporary, the landscaping and facilities feel more like a ski lodge, said Gibbins. The facility offers three meals a day, prepared by a culinary staff of four-star rated chefs from across the globe. The menu includes heart healthy offerings such as a salad bar and grilled chicken to southern fried chicken, biscuits and all the pies, cakes and cookies you can eat. Workers are sent out each day with a box lunch containing sandwiches, fruit and two bottles of water.

"The lodge caters to workers ranging from the mid-20s to 40s and 50s who are away from their homes and families for 21 days at a time," said Gibbins. "Offering food, entertainment and lodging under one roof, including a movie room, wireless internet and DVD players makes them feel more at home."

The facility offers 192 beds and 48 rooms. The lodge is made up of trailers 28 feet wide by 60 feet long, but the kitchen and rec room are each doubled up to make one 56 foot by 60 foot trailer. There are two dedicated to the kitchen and dining room, two for the reception, rec room, movie room and business center/conference room, six for crew quarters and bathroom/shower, and one for the camp boss and medic's office. A company spokesperson said the lodge is already almost entirely booked and additional buildings will need to be ordered to keep up vacancy given the enormous demand.

While Three Rivers was built with oil service workers in mind, the occasional traveler in the area would be welcome and receive the same treatment. In fact, some rooms are being set aside to accommodate hunters for the upcoming deer season. Three Rivers Lodge also will serve as a flagship facility for Remote Logistics training, said Gibbins, with all workers hired by the company will undergo training at the lodge before heading to assignments overseas.

Demand for worker housing is so great in South Texas, Remote Logistics has plans to open another lodging camp by year-end near Ashterton in Dimmit County or Cuero in DeWitt County to accommodate workers. Remote Logistics is conducting demographic work to determine the site for the new camp. The company also will begin offering its catering and housekeeping services to land camps geared towards the Bakken oil play, where the surge in exploration and production activity has created a similar influx of workers into North Dakota communities that lack the hotels and housing to accommodate all the newcomers.

Positive Outlook for Eagle Ford Development

Eagle Ford exploration and development activity has created positive economic output for South Texas, an area of the state that traditionally has had higher unemployment and lower income per household compared to other portions of the state, said Dr. Dominique Halaby, former director of the University of Texas at San Antonio's Center for Community and Business Research, who worked on a study of the Eagle Ford's economic impact on South Texas that was released earlier this year.

Since the Eagle Ford boom began, unemployment in South Texas has declined, going against the national trend of rising unemployment, and creating wealth for ranchers and farmers who have faced difficult financial times in the past, said Halaby, now a professor at Georgia Southern University, at the North American Prospect Expo in Houston earlier this month.

In 2020, Eagle Ford shale activity is expected to account to about $11.6 billion in gross state product, $21.6 billion in total economic output and support nearly 67,900 full-time jobs in the region.

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Wednesday, August 24, 2011

Testing Begins at Global's 2nd Eagle Ford Well

- Testing Begins at Global's 2nd Eagle Ford Well

Wednesday, August 24, 2011
Global Petroleum Ltd.

Texon has advised that the second Eagle Ford well in which Global has an interest (Tyler Ranch EFS #2H) has been successfully fracked over 17 stages and will now be tested. The recovery of frac fluid will probably take a few days after which Texon will conduct a proper flow test of the well.

Global has a 7.939% working interest in approximately 1,651 acres beneath the Olmos formation including the Eagle Ford Shale. Global's interest in the Leighton prospect also includes a 15% working interest in approximately 873 acres from the surface down to the stratigraphic equivalent of the Olmos formation.

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Monday, August 22, 2011

Ford, Toyota to Collaborate On Developing Hybrid System

- Ford, Toyota to Collaborate On Developing Hybrid System



Aug 22, 2011

The Wall Street Journal reported that Ford Motor Company and Toyota announced they will equally collaborate on the development of an advanced new hybrid system for light truck and SUV customers.

In a statement, Derrick Kuzak, Ford's product development chief said, "This agreement brings together the capability of two global leaders in hybrid vehicles and hybrid technology to develop a better solution more quickly and affordably."

Ford and Toyota have signed a memorandum understanding on the product development collaboration, with the formal agreement expected by next year.

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Wednesday, August 17, 2011

Ford To Sell Solar Panel System Alongside With Electric Cars

- Ford To Sell Solar Panel System Alongside With Electric Cars



Aug 17, 2011

Ford Motor Company (NYSE:F) is joining forces with SunPower to offer a rooftop solar system option, which will be sold alongside the upcoming Ford Focus EV. The "Drive Green For Life" program, as its being called, includes mounting solar panels on a customer's home.

Pricing and an exact launch date for the new 2012 Ford Focus isn't available yet, but the car will go on sale first in California and New York in Q4 2011.

Ford also plans to launch 5 other electric or hybrid-electric models in 2012 in North America, and in Europe by 2013.

Ford Motor (NYSE:F) has a potential upside of 81.1% based on a current price of $11.07 and an average consensus analyst price target of $20.05.

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Wednesday, August 10, 2011

Fracking, Testing Ops Commenced at Global Petroleum's Eagle Ford Well

- Fracking, Testing Ops Commenced at Global Petroleum's Eagle Ford Well

Wednesday, August 10, 2011
Global Petroleum Ltd.

Texon has advised that fracking and testing operations on the second Eagle Ford well in which Global has an interest (Tyler Ranch EFS #2H) began on August 8, 2011. The project involves 17 stages (compared with 15 in the first Eagle Ford well), with fracking expected to take about a week followed by testing.

Initial flow test results are expected to be available in two weeks.

The surface location of the well is close to the production facilities associated with the first Eagle Ford well so the well will be able to be immediately connected for production.

Global has a 7.939% working interest in approximately 1,651 acres beneath the Olmos formation including the Eagle Ford Shale. Global's interest in the Leighton prospect also includes a 15% working interest in approximately 873 acres from the surface down to the stratigraphic equivalent of the Olmos formation.

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Thursday, August 4, 2011

EDITORIAL: World's Watching

- EDITORIAL: World's Watching

Thursday, August 04, 2011
Houston Chronicle

The excitement across Texas about possibilities for new natural gas and oil plays is palpable, particularly across South Texas, site of the rich Eagle Ford Shale formation.

Like most Texans, we're supporters of responsible, environmentally sensitive development of these resources that can help bring well-paying jobs to Texas, greatly increased revenues to the state and greater energy and economic security to the country as well.

For those and other reasons we're pleased to see the Texas Railroad Commission take a pro-active position in overseeing safe and responsible development of the area's resources.

Commissioner David Porter has created an Eagle Ford Task Force to head off the kind of public backlash that has troubled the Barnett Shale area in North Texas.

Porter is on target with his diagnosis of what went wrong in North Texas: too little information about the development process, which has been near populated areas, and a perception that the energy companies doing the work were calling the shots while the Railroad Commission was largely AWOL or doing the minimum to direct the process to ensure that public and environmental interests were protected.

To his credit, Porter is trying to avoid a repeat of that situation in South Texas and the public backlash that could hinder development of the region's immense resources. He has assembled a group of 22 stakeholders that includes representatives of drilling, pipeline and trucking companies, green energy experts and environmentalists, county and economic development officials, landowners and those who represent landowners, according a report by Vicki Vaughan of the San Antonio Express-News that ran in last Thursday's Chronicle ("Eagle Ford advisers ready to tackle goals," Page D3, July 28).

The significance of this work was probably best summed up by an Eagle Ford landowner and member of the Sierra Club: "We're on a world stage," said Teresa Carrillo. While noting the "fantastic" economic opportunity presented by the drilling, Carrillo also focused on the challenge to do it right.

Others have emphasized the opportunity that Eagle Ford offers the industry to "do it right and establish best practices" that can be used in other areas going forward.

This attitude is imperative, we would argue, and appears to be gaining traction across the industry, judging by the remarks of visitors from the industry meeting with the Chronicle's editorial board recently.

We detect a consensus that when it comes to caring for the environment, the entire industry must be cleaner than clean -- more rigorous than the regulators.

We hope that mind-set prevails and believe the Railroad Commission is setting the proper tone in its approach toward development in the Eagle Ford Shale area.

Copyright (c) 2011, Houston Chronicle

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Monday, August 1, 2011

Ford To Recall 1.1 Million Trucks

- Ford To Recall 1.1 Million Trucks



Aug 1, 2011

Ford Motor Co.(NYSE:F) announced that it is recalling 1.1 million pickup trucks because the gas tanks can fall off and start a fire.

The company is recalling specific Ford F-150, F-250 and Lincoln Blackwood pickups. The recall affects certain models from the 1997 model year through the 2004 model year. They were sold in cold-weather states that use salt to clear roads. That salt can decay the straps holding the tanks in place.

The National Highway Traffic Safety Administration reported Monday on its website that the straps holding up the tanks can rust, causing them to fall to the ground. The tanks can then rupture and start a fire.

Ford reported eight separate incidents, resulting in three injuries.

Ford's F-Series pickup is traditionally the top selling vehicle in the U.S.

Ford Motor has a potential upside of 61.1% based on a current price of $12.36 and an average consensus analyst price target of $19.91.

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Thursday, July 28, 2011

Laredo Reaches Record Production Levels in Eagle Ford Shale

- Laredo Reaches Record Production Levels in Eagle Ford Shale

Thursday, July 28, 2011
Laredo Energy

Laredo Energy announced that the company's gross production of natural gas has exceeded previous record levels in Webb County, Texas. Gross production from Laredo's operations in the Eagle Ford shale reached 40 MMcfd following the successful fracture stimulation of two Eagle Ford wells and the completion of an extension to Meritage Midstream's Eagle Ford Escondido Gathering System (EEG) in northern Webb County. Laredo expects to complete three more wells in Webb County and tie them into the EEG system by the end of August.

Laredo released the production information after the Puig 3H, Puig 4H and Bruni-Summers 1H wells were tied into the EEG system. "We now have 25 horizontal completions in Webb County, where we have a 120,000-acre position," said Glenn Hart, Laredo Energy's president and CEO. "We are continuing to develop our Eagle Ford position while adding horizontal completions in the shallower Austin Chalk, Olmos and Escondido formations."

Laredo Energy began development of the Webb County acreage position in late 2008. The company added a second drilling rig in January 2011 in order to more fully develop shallow reservoirs above the Eagle Ford shale including the Olmos, Escondido and Austin Chalk formations.

Laredo Energy currently has 16 horizontal wells producing in the Eagle Ford shale, three in the Austin Chalk formation, one in the Olmos and five in the Escondido formation.

"With the attractive economics of these shallower reservoirs, it makes sense for us to develop those assets while maintaining our Eagle Ford acreage position in Webb County," Hart said. "Our latest Austin Chalk completion was in the curved portion of a lateral above the horizontal section in the Eagle Ford formation. We continue to uncover more opportunities in shallower reservoirs by reprocessing and analyzing our 3D seismic data. We are also excited about the economic benefits that development of these resources will continue to provide to the landowners and the local economies of the city of Laredo and Webb County."

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Wednesday, July 27, 2011

Ford to Invest $1 billion In Second Car Plant in India

- Ford to Invest $1 billion In Second Car Plant in India



Jul 27, 2011

Ford is planning to build a second car plant in India. According to a person briefed in the matter, Ford will invest $1 billion in the plant that will employ 5,000 people and begin producing cars in 2014.

The company said in the e-mailed reply to questions, "Ford continues to pursue an aggressive growth strategy in India to bring world class vehicles. As part of its plan to introduce eight new products by the middle of the decade Ford is significantly expanding its capacities in its existing facility in Tamil Nadu as well as exploring other options to meet the growing demand of consumers in India and export markets across the world."

Ford Motor (NYSE:F) has a potential upside of 59.3% based on a current price of $12.35 and an average consensus analyst price target of $19.67.

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Tuesday, July 26, 2011

Ford Topped Q2 Estimates, Top Line Up 16%, Maintained FY Industry Volume Estimate

- Ford Topped Q2 Estimates, Top Line Up 16%, Maintained FY Industry Volume Estimate



Jul 26, 2011

Ford (NYSE:F) reported Q2 EPS of $0.65, ex-items, ahead of consensus estimates of $0.60 per share. Auto sector revenues rose 16.3% year-over-year to $33.5 billion, topping consensus estimates of $31.6 billion.

The company expects full year industry volume of 13 to 13.5 million units, in line with its previous estimate.

Chairman and CEO Mike Bannister said, "Ford Credit's business continues to perform well, with low credit losses and strong originations capability. We continue to succeed in our mission to support Ford sales."

Ford Motor has a potential upside of 49.3% based on a current price of $13.17 and an average consensus analyst price target of $19.67.

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Friday, July 22, 2011

Texon Reaches TD at Eagle Ford Well

- Texon Reaches TD at Eagle Ford Well

Friday, July 22, 2011
Global Petroleum Ltd.

Texon has advised that the latest Eagle Ford well, Tyler Ranch EFS #2H, has reached its total depth of 15,767 feet after successfully drilling 4,500' of horizontal well in the Eagle Ford reservoir. This is the second well targeting the Eagle Ford reservoir in which Global has a 7.939% working interest (5.95% net revenue interest).

Oil and gas shows recorded throughout the 4,500' are in line with the oil and gas shows in the nearby first Eagle Ford well, Tyler Ranch EFS #1H, which had an initial test rate of 1,267 boepd in December last year and has been in production since that time.

Tyler Ranch EFS #2 has been cased and suspended for fracking, testing and production. This work is scheduled for mid August with first oil and gas production forecast for early September.

Global has a 7.939% working interest in approximately 1,651 acres beneath the Olmos formation including the Eagle Ford Shale. Global's interest in the Leighton prospect also includes a 15% working interest in approximately 873 acres from the surface down to the stratigraphic equivalent of the Olmos formation. Global has an interest in 8 producing Olmos wells, with a ninth well due to commence production following fracture stimulation in August.

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Thursday, July 14, 2011

Key Extends Eagle Ford Footprint with Acquisitions

- Key Extends Eagle Ford Footprint with Acquisitions

Thursday, July 14, 2011
Key Energy Services Inc.

Key Energy has reached a definitive agreement to acquire Edge Oilfield Services and Summit Oilfield Services (collectively "Edge") for consideration of approximately $300 million, consisting of approximately 7.5 million shares of Key common stock and approximately $164 million in cash, which is subject to working capital and other adjustments at closing. Key anticipates funding the cash portion of the consideration from available cash and borrowings under its credit facility. In addition to the $300 million of consideration, Key has also agreed to reimburse or fund up to $40 million of Edge's pre-closing capital expenditures related to Edge's expansion into the Eagle Ford shale, which began generating revenue this quarter.

The closing of this transaction, which is expected to occur this quarter, is subject to customary conditions including the expiration or termination of the waiting period under the Hart-Scott-Rodino Act.

Edge primarily rents frac stack equipment used to support hydraulic fracturing operations and the associated flow back of frac fluids, proppants, oil and natural gas. It also provides well testing services, rental equipment such as pumps and power swivels, and oilfield fishing services. Following the close, Edge's results will be reflected within Key's existing Fishing & Rental Services line of business, which is included in its U.S. reportable segment.

Key's Chairman, President, and CEO, Dick Alario, stated, "Edge's high performance frac stack equipment enjoys strong growth opportunities, particularly in unconventional shale markets. Furthermore, its high revenue and profit per employee fits with our overall investment strategy and should prove beneficial, especially in today's tight labor market."

Alario continued, "Edge's existing business currently generates an annual EBITDA run rate of approximately $65 million. With the expansion into the Eagle Ford that is already underway, Edge believes its EBITDA run rate will be approximately $80 million by year-end 2011. We anticipate Edge's business to be accretive to Key's margins and earnings beginning in 2011. With Edge's experienced oilfield industry veterans, we intend to aggressively expand Edge's service offerings across Key's existing infrastructure, particularly in emerging unconventional shale markets."

Edge's CEO, Darrell Brewer, stated, "We look forward to becoming a part of Key, a high quality, industry leading company, where we can better leverage our business potential via Key's extensive U.S. footprint and financial resources and where our employees will continue to enjoy a bright future."

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Monday, July 11, 2011

Ford Increases Availability of Fuel-Efficient Tires Across Lineup

- Ford Increases Availability of Fuel-Efficient Tires Across Lineup



Jul 11, 2011

New fuel efficient, low resistance tires developed by Ford (NYSE:F) are expected to advance fuel economy by up to 2 mpg and are likely to be featured in Ford's up and coming C-Max Energi, C-Max Hybrid and the Focus Electric Cars.

David Rohweder, Ford's Global Chief Engineer for tire and wheel engineering said, "Tire technology, pressures and wear can make a big difference to a vehicle's fuel economy, so the company is working closely with leading tire companies to optimize performance with low-rolling-resistance tires." Ford Motor (NYSE:F) has a potential upside of 46.1% based on a current price of $13.5 and an average consensus analyst price target of $19.73.

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Friday, July 1, 2011

Ford's June Sales Grow 13.6% Year-Over-Year

- Ford's June Sales Grow 13.6% Year-Over-Year



Jul 1, 2011

Ford Motor's (NYSE:F) June sales totaled 194,114, growing 13.6% from June 2010, the company reported today.

Ken Czubay, Ford vice president, U.S. Marketing, Sales and Service said, "Strong demand for Ford's fuel-efficient cars and crossovers continues, and we now are seeing truck buyers return to the market with significant appetite for our fuel-efficient V6 engines. The Fiesta and Focus are driving Ford's retail share gains in markets beyond our traditional geographic areas of strength. In California, Ford's retail share is the highest since 2006. We also have seen gains in the East and Southeast."

Ford's small cars powered the sales figures, as the all-new Fiesta and the Ford Focus accounted for 26,920 sales in June, up 66% from a year ago. The Fiesta and Focus recently were named to Kelley Blue Book's 2011 Top 10 Coolest New Cars Under $18,000.

Ford's utilities were also strong, with 6-month sales now totaling 280,875, a 25% increase over the first six months of 2010, making it the top selling utility brand in the U.S.

Shares of Ford Motor are trading up 1.16% at $13.95.

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Thursday, June 30, 2011

U.S. Energy Enters Second Eagle Ford Agreement

- U.S. Energy Enters Second Eagle Ford Agreement

Thursday, June 30, 2011
U.S. Energy Corp.

U.S. Energy Corp. has entered into a second participation agreement with Crimson Exploration Inc. to acquire an interest in an Eagle Ford oil prospect and associated leases located in Zavala and Dimmit Counties, Texas.

Under the terms of the agreement, USE will acquire 30% of Crimson's working interest (~23% net revenue interest) in approximately 7,186 acres (2,156 acres net to USE). All of the leases are currently held by production and produce approximately 200 gross BOE/D (46 net BOE/D) from the Austin Chalk formation. It is estimated that under current spacing there is a potential for up to 44 gross (13.5 net) drilling locations on the acreage. All drilling and leasing on this prospect will be on a heads up basis. This acquisition brings USE's total acreage in the Eagle Ford to approximately 11,861 gross acres (3,558.5 acres net to USE) with the potential for up to 70 gross and 21.3 net Eagle Ford drilling locations. The prospect also has additional Austin Chalk and Buda formation production potential. For competitive reasons, the financial terms of the transaction will not be disclosed at this time.

The prospect is in the Eagle Ford shale oil window in Zavala and Dimmit Counties, Texas. Crimson will operate and tentatively plans to spud the first horizontal well in the prospect in October 2011. The well is planned to be drilled to a total drilling depth of 12,500 feet (~6,000 ft. vertical, ~6,500 ft. horizontal), and to be completed with 15 to 20 fracture stimulation stages.

"We are pleased to announce another oil venture with Crimson Exploration. These assets complement our existing Leona River acreage and provide both U.S. Energy and Crimson with a potential multi-year drilling inventory in the Eagle Ford oil window," stated Keith Larsen, CEO of U.S. Energy Corp. "We look forward to drilling our first well on this acreage in the near future and to continue seeking additional Eagle Ford opportunities with Crimson as well," he added.

About U.S. Energy Corp.

U.S. Energy Corp. is a natural resource exploration and development company with a primary focus on the exploration and development of its oil and gas assets. The Company also owns the Mount Emmons molybdenum deposit located in west central Colorado. The Company is headquartered in Riverton, Wyoming and trades on the NASDAQ Capital Market under the symbol "USEG."

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Ford Motor Marks Completion of $500 Million South African Investment

- Ford Motor Marks Completion of $500 Million South African Investment



Jun 30, 2011

Ford Motor Co (NYSE:F) marked the completion this week of its $500 million investment in its South African operations.

The company has spent the last two years expanding its Struandale engine plant in Port Elizabeth, increasing its capacity to 75,000 diesels and 220,000 engine component kits, and its Silverton Assembly Plant in Pretoria to produce the all-new ford Ranger for export.

The Ranger will be exported from South Africa to 148 markets around the world. To meet that demand, capacity at the Silverton Plant was increased to 110,000 of the pickups annually.

Jeff Nemeth, president of Ford Motor Co. of Southern Africa, said in an interview Tuesday with the Detroit News that "somewhere down the pike, Africa will hit that growth curve as well,"

Ford currently has about 10% market share in South Africa, behind Toyota, Volkswagen, and General Motors, Nemeth said. The company employs 2,900 workers in the country and has 127 dealers.

Shares of Ford Motor are trading up 3.84% at $13.94.

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Wednesday, June 29, 2011

SM Energy Selling 12.5% Interest in Eagle Ford Shale Position to Mitsui & Co for $680 Million

- SM Energy Selling 12.5% Interest in Eagle Ford Shale Position to Mitsui & Co for $680 Million



Jun 29, 2011

SM Energy Company (NYSE:SM) announced today the sale of a 12.5% interest in its non-operated Eagle Ford shale position to a subsidiary of Mitsui & Co for $680 million.

After the close of this sale, as well as the previously announced divestiture of assets in LaSalle and Dimmit Counties, SM Energy will have roughly 196,000 net acres in the Eagle Ford shale, of which about 75% will be operated by the company.

Because the transactions are expected to close later in the year than originally anticipated and SM Energy is retaining a larger position in Eagle Ford than was originally assumed, reported production and capital expenditures for the year will exceed the company's previously announced guidance.

A full update to capital, production, and cost guidance for the remainder of 2011, as well as preliminary capital and production guidance for FY 2012, will be included in the company's second quarter earnings release.

Tony Best, President and CEO, remarked, "I am pleased to announce the final phase of our planned Eagle Ford sell down effort. Combined with our previously announced LaSalle and Dimmit Counties Eagle Ford divestiture, we are generating nearly $1 billion in funds that will allow us to further develop our Eagle Ford assets while locking in some solid returns and maintaining a strong balance sheet. This specific transaction allows us to continue participating in the development of high value Eagle Ford assets, while providing us more control over our capital investment decisions."

Shares of SM Energy are trading up 7.81% at $71.9.

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