January 6: Venezuelan Minister of Energy and Mines Rafael Ramírez announces that the Venezuelan government plans to split state oil company Petroleos de Venezuela S.A. (PdVSA) into two separate entities as part of a large-scale restructuring of the company, most of whose 40,000 workers are currently on strike. Such a decentralization could limit the power of Caracas-based executives who have joined in the strike, which began on December 2, 2002. (NYT) January 12: The Organization of Petroleum Exporting Countries (OPEC), meeting in Vienna, agrees to raise the aggregate production quota of its members (excluding Iraq) to , up from the current , effective February 1. Each member will receive a proportionately higher share of the quota, about a 6.5% increase. (NYT) January 16: Fourteen U.S. corporations or subsidiaries launch the Chicago Climate Exchange, a trading program wherein companies would be able to earn redeemable credits for exceeding emissions reductions goals of 4% of 1998-2001 average emissions over the next four years. Companies unable to meet the goals would buy the credits. The Exchange intends to create means to verify that actual reductions in emissions have taken place. (WP) January 21: The near-month crude oil futures price on the NYMEX settles at $34.61 per barrel, the highest price since November 29, 2000. The market is experiencing a variety of higher price pressures, including the strike in Venezuela, fears of a conflict in Iraq, a cold winter in the United States, and low commercial oil stock levels in the United States. (USAT) January 28: The U.S. Department of Energy approves oil company requests to delay delivery of March shipments to the Strategic Petroleum Reserve (SPR). The announcement will allow of crude oil designated for storage in the SPR, to be marketed to domestic refineries instead. (Reuters) January 29: Striking managers at Venezuelan state oil company PdVSA confirm that oil production has surpassed once again, after falling to as low as during the strike that began on December 2. On January 31, PdVSA President Ali Rodriguez announces that production is at and that 5,300 striking workers have been fired. Opposition estimates of production are much lower at around . (NYT, Reuters) January 29: During his State of the Union Address, President Bush proposes $1.2 billion in funding to support the research and development of hydrogen-powered vehicles. (Reuters) February 3: Indian Petroleum Minister Ram Naik announces that the government of India plans to boost the country's strategic crude oil reserves to 45 days from 15 days at an estimated cost of 43.50 billion rupees ($910 million). (Reuters) February 6: Iranian Oil Minister Bijan Zanganeh announces that phases two and three of the South Pars natural gas field are now on-line. These phases represent additional production of about 55 million cubic meters (1.9 trillion cubic feet) of natural gas per year, of condensate, and 1 million metric tons (11.6 million barrels) of liquefied petroleum gas per year. The two phases are officially inaugurated on February 15. (DJ) February 11: BP invests $6.75 billion in Russia by creating a new joint venture company with TNK-BP (Russia's fourth largest oil company) and Sidanco, of which BP already held a 25% stake. BP will have a 50% stake in the new company. TNK's shareholders, investment groups Alfa Group and Access-Renova, will hold the other 50% stake of the new firm, and board control will be balanced equally. The investment by BP is equivalent to almost 10% of Russian foreign exchange reserves and around 1.5% of Russian gross domestic product (GDP). (Reuters) February 12: Data from the U.S. Energy Information Administration (EIA) show that U.S. commercial crude oil stocks have fallen to for the week ending February 7, 2003. This is the lowest commercial crude oil stock level since 1975, and just slightly below the lower operational inventory level of . The lower operational inventory level, while not implying shortages, operational problems, or price increases, is indicative of a situation where inventory-related supply flexibility could be constrained or nonexistent. (Reuters) February 18: Exxon Mobil begins construction of the $3 billion Kizomba B offshore development project in Angolan waters. The project, when completed, is expected to produce of crude oil per day, beginning in 2006, with total production over the life of the field estimated to be about . Besides Exxon Mobil, which has a 40% stake, the other stakeholders are BP (26.67%), Eni (20%), and Statoil (13.33%). The concessionaire is Angolan state oil company Sonangol.