THE JOURNAL RECORD

Thursday, Aug. 8, 2013 journalrecord.com $1.00 Vol. 118, No. 155 Two Sections

What's News
EPA update provides relief from storage tank standards An update from the U.S. Environmental Protection Agency's oil and natural gas standards for storage tanks offers some financial relief for oil and natural gas producers, said an industry observer. p3 Williams, Transcontinental sue insurance company Williams and Transcontinental Gas Pipeline Co. filed suit in Tulsa County District Court on Monday against Ironshore Insurance Ltd. for $3.2 million over what the companies claim is a failure to pay on its share of a $50 million insurance claim. p13 PaceButler expands cellphone purchase program PaceButler Corp. wants to give people money for their old cellphones, and has now made it more convenient for Oklahoma City-area residents. p23 Adjustment pushes back completion of interchange Work on the Interstate 35 interchange at Main Street in Norman will continue into mid-2014 because of an adjustment necessary in the height of the bridge over the roadway. p24 It's a Living: Junk Boss Instead of moving a lifetime's accumulation of junk into a house, Hunter Magness' career focus is just the opposite. The Edmond businessman and his crew back their trucks up to homes, load old couches, rugs, dishes, mattresses, piles of newspapers, even proverbial kitchen sinks, and cart them away. plB

Devon profit, Dorman: Fix Insure production up Oklahoma

BY M. SCOTT CARTER
THE JOURNAL RECORD

OKLAHOMA CITY Should the Oklahoma Legislature return to the Capitol this fall for a special session, at least one lawmaker said he would push to include the state's health insurance program - Insure Oklahoma - in the discussion. But he may be facing an uphill battle. State Rep. Joe Dorman, D-Rush Springs, said rumors continue to fly about when a special session could take place. Should a session be called, Dorman said he would push to expand that call to include the Insure Oklahoma program. "Personally I feel it would be fine to wait four months to come back," he The Devon Energy Center in Oklahoma City.

See DORMAN,
PHOTO BY BRENT FUCHS

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BY SARAH TERRY-COBO
THE JOURNAL RECORD

Follow the news all day at www.JournalRecord.com.

OKLAHOMA CITY - Devon Energy Corp. reported better-than-expected results on Wednesday for the second quarter of 2013. Higher commodity prices, higher petroleum production in Texas and Oklahoma and lower expenses contributed to the positive results. The company posted net earnings for the second quarter of $683 million, or $1.68 per diluted share, up from $477 million, or $1.18 per diluted share, in the same quarter of 2012. Devon beat Wall Street expectations for earnings per share by 27 cents and beat revenue estimates by $490 million. The company reported record oil production of 698,000 barrels of oil equivalent per day, surpassing its guidance on oil production by 8,000 barrels of oil equivalent per day. Oil production was up 14 percent from the same quarter of 2012 and up 4 percent from the previous quarter. The most growth came from operations in the West Texas Permian Basin rock formation, where oil production

rose 36 percent from the same quarter last year. Devon also saw positive results from production in two resource areas in Oklahoma, the Woodford Shale in the central part of the state and the Mississippi Lime formation in the north. David Hager, executive vice president for exploration and production, said petroleum production from both areas increased 73 percent from the previous quarter. However, lack of infrastructure, restrictions on flaring natural gas and a backlog of well completions limited production from those areas, Hager said. The company has drilled 200 wells in both the Woodford and Mississippi Lime formations, but is producing from only 60 wells in the Mississippi Lime and 29 wells in the Woodford. Hager said the company will focus more drilling in the Woodford Shale, because the formation overlays the Mississippi play in some areas. Drilling deeper into the Woodford allows Devon to gather more seismic information about

Teague considered for post

BY M. SCOTT CARTER
THE JOURNAL RECORD

See DEVON,

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OKLAHOMA CITY The former chief of the Tulsa District Corps of Engineers Office is on the short list of candidates for a post in Republican Gov. Mary Fallin's administration, The Journal Record has learned. Col. Michael Teague, the Tulsa District commander of the Army Corps of Engineers, is one of a handful of candidates being considered by Fallin as her cabinet secretary of energy and environment. A biographical sheet on the Corps of Engineers website said Teague received a degree in civil engineering from Norwich University and See POST,
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