<a href=news.ft.com>Financial Times By Carola Hoyos, Energy Correspondent Published: April 3 2003 18:52 | Last Updated: April 3 2003 18:52

As Baghdad looms larger in the sights of US and British soldiers, the nightmare of oil at $50 or even $100 a barrel is fading.

Although oil prices will remain vulnerable as the battle for Baghdad begins, they are a long way from their March high of $39.99 a barrel.

And as long as most of Iraq's oil wells remain intact, analysts say, there is little chance that prices will reach the $41.15 peak prices hit after Iraq invaded Kuwait in 1990.

Two main factors explain why this war with Iraq has had far less impact on oil prices than the last: timing and the fact that Saddam Hussein has not managed to wreak havoc in the oilfields as he did in 1991.

Then his troops damaged 700 Kuwaiti oil wells, leaving the emirate to spend two years rehabilitating its oil sector before it could return to full production.

Since the beginning of the current conflict, the world has lost 2.4m barrels a day of Iraqi production, which has been made up by Saudi Arabia and other Opec members, who increased their output quota to 24.5m barrels a day in January and then suspended restrictions altogether at the start of the conflict.

Spencer Abraham, US energy secretary, on Thursday confirmed Opec's key role, saying: "We've seen a substantial increase in Opec-10 production, more than enough to compensate for losses in Iraq and Nigeria."

But perhaps the most important factor was the timing of President George W. Bush's decision to launch his campaign, at a time when Venezuela's exports were recovering from the interruption in December and January caused by the country's national strike.

March also brought the first signs of spring to the northern hemisphere and a reduction in the level of oil required for winter heating.

This helped offset the loss of Iraq's oil and some of Nigeria's production, which was halted by ethnic violence ahead of this month's elections.

Oil refiners have even begun to rebuild their stocks, which earlier this year had fallen to levels not seen since the mid-1970s.

Meanwhile, the governments of US, Japan, Germany and South Korea were able hold on to their strategic stockpiles of oil which they were ready to release in the event of a serious interruption in supplies.

However, the uncertainty over the conflict in Iraq and the loss of Venezuela's exports have left their mark.

UK benchmark Brent crude oil prices averaged $31.47 a barrel during the first quarter of this year, $5 more than the fourth quarter of 2002 and $10 more than a year ago, according to BP's latest trading statement.

The jump in the price of WTI, the US benchmark crude, was even more dramatic. It averaged $34 a barrel, from $28.31 at the end of 2002 and more than $12 above prices a year ago.

<a href=new.stockwatch.com>Stock Watch 2003-04-03 11:43 ET - News Release

LOS ANGELES, April 3, 2003 (PRIMEZONE) -- Sonoran Energy (OTCBB:SNRN) is scheduled to be featured on MacReport.Net to increase its exposure to the investor community. Sonoran Energy has had a very positive recent history and is poised for growth and expansion. The MacReport.Net is an information and media company that provides a Web-based forum for public and private issuers to communicate corporate audio and video news content to the business, financial and investing community through its Web site, located at www.macreport.net. The MacReport.Net also plans to provide creative and production services to develop visual events ranging from live coverage of merger announcements to public relations campaigns to new product introductions.

Sonoran recently announced that it had acquired working interests in three natural gas producing properties in California's Sacramento Basin from Archer Exploration, Inc. Sonoran Energy has acquired varying percentages in the three properties that are producing 3,700 Mcf/day. These acquisitions increase the Company's natural gas production and reserves, and move Sonoran Energy closer to its goal of producing 2,500 to 5,000 Mcf/day. Through its partnership with Longbow LLC the Company intends to continue to make acquisitions over the next 12 to 24 months to reach this goal and enable the Company to become a producer of 1,000 to 1,500 BOE per day. Domestic U.S. Oil producers like Sonoran Energy, Inc. are positioned to significantly benefit from rising demand for U.S. domestic oil production in light of the brewing International oil production crisis due to war, strikes, and terrorist threats.

Just this week, the Nigerian subsidiaries of Royal Dutch/Shell Group (NYSE:RD) (NYSE:SC), ChevronTexaco Corp. (NYSE:CVX) and TotalFinaElf (NYSE:TOT) halted production totaling 817,500 barrels a day, or about 40% of Nigeria's output of some 2 million b/d amid violence between rival ethnic groups, the Ijaws and Itsekiri, leading up to April 19 parliamentary and presidential elections. Militant Ijaws reportedly threatened to blow up multinational oil installations they said they had captured in retaliation for government military raids. Additionally, Oil-well firefighters from Houston-based Boots & Coots International Well Control (AMEX:WEL) are traveling to southern Iraq to assess damage in the country's key Rumaila oil fields. The firefighting teams are looking at a timetable of 30 to 45 days to extinguish the fires and cap the wells. But one source said the timing will depend on "what's all there." The Pentagon has contacted a number of major oil industry service companies -- among them Halliburton Co. (NYSE:HAL), once run by Vice President Dick Cheney -- to repair any of Iraq's wells that are damaged and assess everything from wells to pipelines and pumping stations.

Venezuela's oil industry collapsed in December, when employees at state-owned Petroleos de Venezuela walked off the job, angry about changes in the company under the administration of President Hugo Chavez. By the height of the strike, 16,000 employees had walked out, and production shrank to 200,000 barrels a day, costing Venezuela $6 billion. The country had to import fuel to keep vehicles moving, and drivers waited days at gas stations. The strike, which failed to oust Chavez or call early elections, was strongest in the oil sector, though businesses around the country shut down.

About Sonoran Energy, Inc.

Sonoran Energy's primary objective is to identify, acquire and develop working interest percentages in smaller, underdeveloped oil and gas projects that do not meet the minimum requirements of major oil and gas corporations. Sonoran Energy's goal is to be recognized as a promising junior oil and gas producer. Sonoran Energy looks for opportunities with the following criteria: low cost, undervalued and a high rate of return. These projects must include close access to commercial distribution and modern application of oil and gas engineering technology. Management is targeting projects that represent substantial growth with minimum exposure and a low-cost entry. Certain statements in this news release may contain forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. All statements, other than statements of fact, included in this release, including, without limitation, statements regarding potential future plans and objectives of the company, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.

CONTACT: Sonoran Energy John Punzo (866) 599-7676 info@sonoranenergy.com

<a href=www.stockhouse.ca>Stock House Crystallex International Corporation Quick Quote: T.KRY 1.05 (-0.27) 4/3/03 TORONTO, Apr 3, 2003 /PRNewswire-FirstCall via COMTEX/ --

Crystallex International Corporation (Amex: KRY; Toronto) announced today that it has appointed, effective April 1, 2003, Deloitte &Touche LLP as auditors for the Company replacing Davidson &Company, who resigned at the end of March. Marc J. Oppenheimer, the President and CEO of Crystallex stated, 'There were no disagreements, unresolved issues or other reportable events involving Davidson &Company, and we thank Davidson for its many years of service. Crystallex, at this stage, is a rapidly growing mining Company, and as we consolidate our administrative base at the Toronto head office and address the financial and other requirements arising from considerable opportunities presented by the Company's recent acquisition of the mining rights for the world-class Las Cristinas properties, we felt it important to utilize the services of a recognized 'big four'accounting firm. The Company is just completing a normal course review of its accounting policies and presentation in the USA and has recently completed a similar review in Canada. 'Given the growth of our business and the increasing complexity of dealing with the constantly evolving reporting requirements of two jurisdictions, we felt it an opportune time to make the move to Deloitte &Touche'.

Mr. Oppenheimer also reported the restatement of Crystallex's quarterly financial statements for the quarters ending March 31, June 30 and September 30, 2002 to reflect changes in the accounting treatment of the Company's hedge program together with comparative changes to the comparable earlier periods. Since 1998, the Company has selectively used forward sales contracts and written call agreements within conservative parameters in connection with its bank syndications in order to maintain a targeted spread between its operating mining costs and the market price of gold. The requirement under the project financing loans was to price forward a portion of reserves in order to obtain a measure of profit and revenue certainty regardless of the associated volatility of the gold market. Our hedge program consisted of forward commitments and call options sold to become part of the forward program. Our program was put in place in conjunction with the non-recourse project financing we obtained when we acquired Minera San Gregorio in Uruguay and the assets of Bolivar Goldfields and El Callao Mining in Venezuela. The price protection level was specifically set up to target US$300 per ounce and the calls were deliberately set at approximately those levels to become part of the forward program.

From an accounting perspective Crystallex treated these forward positions as 'normal sales'under which the Company physically delivered gold to retire these positions. Regarding the written call options, the Company used similar hedge accounting treatment under the accounting treatment afforded to commodity producers. As a result of a normal course review, similar to other industry producers, the Company is changing its accounting policy for the written calls to be treated as derivative instruments versus hedges. As a result, effective with the March 2002 quarter and each quarter thereafter, the Company will mark-to-market its call option position. This valuation method will add volatility to the Company's Profit &Loss Statement, although, the mark-to-market is a non-cash adjustment. In quarters where the gold price is lower, the Company will have a positive mark-to-market adjustment and in quarters where the gold price is higher, the Company will have a negative mark-to-market adjustment. The mark-to-market adjustment, whether positive or negative, will not have an impact on the Company's operations or cashflow.

As previously stated, the Company believes that the gold price has an upward bias to it and that firming should continue to be a factor. Given the Company's view that the commodity price has based, coupled with the low interest rate environment, increased global political tensions, and the weakness of the U.S. dollar, the Company currently plans to continue decreasing its hedge position as both a percentage of proven and probable reserves as well as in absolute terms. This reduction will be accomplished by the Company delivering production into these positions, by selectively financially settling its positions as the gold market allows, and by increasing its proven and probable reserves at the Company's Las Cristinas project in Venezuela.

In January 2002, the Company's forward position peaked at approximately 312,000 ounces deliverable out to 2006. At the end of the first quarter, 2003, the Company had reduced the forward hedges to 223,420 ounces with an average price of U.S.$302.62 deliverable out to 2006. As of March 31, 2003, the Company had written calls outstanding for 224,169 ounces at an average price of U.S.$303.01 for deliveries out to 2006. Forward sales are definitive contractual obligations, whereas written calls are contingent commitments. The aggregate both of these categories, however, is 447,589 ounces. Crystallex has proven and probable reserves of approximately 10,500,000 ounces.

Complete details of the restatement will be available in Company filings on EDGAR in the US and SEDAR in Canada.

About Crystallex

Crystallex International Corporation is a Canadian based gold producer with operations and exploration properties in Venezuela and Uruguay. Crystallex shares are traded on the TSX and AMEX Exchanges. Crystallex has been focused on strategic growth in South America and recently signed a definitive agreement with respect to the Las Cristinas mining properties in Venezuela and has taken possession of those properties. Crystallex is currently working on the final feasibility study to support its development plans for Las Cristinas.

Note: This news release may contain certain 'forward-looking statements' within the meaning of the United States Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included in this release, including, without limitation, statements regarding potential mineralization and reserves, exploration results, and future plans and objectives of Crystallex, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations are disclosed under the heading 'Risk Factors'and elsewhere in documents filed from time to time with The Toronto Stock Exchange, the United States Securities and Exchange Commission and other regulatory authorities.

The Toronto Stock Exchange has not reviewed this release and does not accept responsibility for the adequacy or accuracy of this news release.

SOURCE Crystallex International Corporation

A Richard Marshall, VP of Crystallex International Corporation, 1-800-738-1577, or info@crystallex.com

www.crystallex.com

<a href=reuters.com>Reuters Thu April 3, 2003 09:52 AM ET (Recasts lead, adds details, stock price)

NEW YORK, April 3 (Reuters) - ConocoPhillips COP.N , the No. 3 U.S. oil company, on Thursday said it lowered its debt balance by about $1.5 billion in a first quarter marked by higher crude oil prices and improved natural gas prices.

The Houston-based company made the announcement as part of its first-quarter interim update which featured forecasts for an increase in exploration and production, but saw problems with their chemical operations and lease losses due to the sale of some gas stations.

Its exploration and production, or upstream, division is set for production of crude oil, natural gas and natural gas liquids to be higher than its previous estimate of 1.55 million barrels per day.

Operations in Venezuela, crippled by a strike, resumed full production in early March, reaching about 80,000 barrels per day, the company said.

Refining and marketing, or downstream, margins and sales volumes in the first quarter are expected to be similar to the fourth quarter.

However, it warned that 2003 net income will be hurt by additional lease loss provisions stemming from the planned sale of some gas stations. The provisions are expected to be about $25 million after-tax related to continuing operations and $25 million related to discontinuing operations in the first quarter.

The chemicals business continued to suffer from poor market conditions in the first quarter, ConocoPhillips said.

Corporate charges from continuing operations are forecast to be about $240 million and the debt balance at the end of the first quarter is expected to be about $18.3 billion.

Shares of ConocoPhillips were down 30 cents at $53.05 in Thursday morning on the New York Stock Exchange.

News24.com 03/04/2003 16:39  - (SA)  

Johannesburg - Data published on Thursday showed that there was a 42.097c per litre (c/l) over-recovery in the petrol price in South Africa on April 2, the first day of the April retail petrol price.

The 178.586 c/l basic petrol price was the lowest in 15 months as the last time it was this low was on January 25 2002, when it was 175.5272 c/l.

The retail petrol price is adjusted every month on the first Wednesday of the month in accordance with the previous averaging period's over- or under-recovery.

The April averaging period was for the period February 26 to March 25 and resulted in an average over-recovery of 7.992 c/l. This however did not result in a retail price drop of similar magnitude, as the government imposed various additional taxes at the beginning of its fiscal year, which is April 1. Consequently the retail petrol price rose by 5c/l instead of declining by 8c/l.

No more additional taxes are due this fiscal year, but there could be increases in the margin given to retailers or wholesalers. If there are no additional levies, then South African consumers could be looking at a 40c/l (or more) drop in the retail petrol price on May 7.

The value of the Organisation of Petroleum Exporting Countries' (Opec) basket of seven crude oils averaged $25.76 a barrel on April 2, a 22.2% decline since the recent peak of $33.11 reached on March 10.

Set in 1986, the basket is based on the average prices of Algerian Saharan Blend, Indonesian Minas, Nigerian Bonny Light, Saudi Arabian Arab Light, Dubai Fateh, Venezuelan Tia Juana Light and Mexican Isthmus crude oils.

Major oil producer Saudi Arabia has boosted its crude production in early April to 9.6 million barrels per day (bpd), 100 000 bpd higher than its March average of 9.5 million bpd and more than 1.6 million bpd in excess of its 7.963 million bpd Opec quota, according to the US Energy Information Administration (EIA).

The EIA's March estimate of Saudi production was 700 000 bpd higher than its February estimate. The EIA has updated its estimates of Opec countries' production on a daily basis since the early days of the US-led war on Iraq, which started on March 20.

The EIA attributed the recent record US import levels for the week to March 28 to a sharp increase in supplies from Saudi Arabia and higher volumes from Nigeria and Venezuela.

The higher level of imports helped boost US commercial crude inventories to above 280 million barrels for the first time since mid-December 2002.

The EIA estimated total Opec production for March at 27.6 million bpd compared with 27.05 million bpd in February.

The March total includes Iraqi production at 1.35 million bpd compared with 2.49 million bpd in February.

Excluding Iraq, the ten Opec members with quotas pumped an average of 26.3 million bpd compared with their February production of 24.57 million bpd and 1.8 million bpd more than their 24.5 million bpd output ceiling, the EIA said.

Apart from Saudi Arabia, the biggest jump in production came from Venezuela, which the EIA reckoned boosted output by 900 000 bpd to 2.3 million bpd in March as the Venezuelan oil industry continued to recover after a strike that began in early December. The EIA estimates that Venezuela is currently producing 2.5 million bpd.