Business news in brief

QUOTE OF THE DAY “It’s a significant transformation that we’re making. I would hope it would be moving

faster as well, but we have a very large, a

very complex system, and we’re making great progress.” Michael Huerta, FAA administrator, on the NextGen air traffic control system Article, 1DEPA fines firm $58,570 for spill in state

The Denver-based Whiting Oil and Gas Corporation has agreed to pay $58,570 for violating the Clean Water Act after an Arkansas oil spill in September 2012, the U.S. Environmental Protection Agency said Thursday.

Under the consent agreement, the company will pay the fine into the Oil Spill Liability Trust Fund, which is used for oil spill removal activities and research.

Erosion near the Whiting Oil pipeline led to the 820-barrel spill on Sept. 23, 2012, which “impacted Smackover Creek and adjoining shorelines” in Ouachita County, the EPA said.

The company reported the spill to the EPA the same day, the agency said.

The Clean Water Act prohibits the discharge of oil or other hazardous substances into the country’s navigable waters in amounts that would present hazards to the environment or public health.

U.S. 30-year mortgage rate falls to 4.1%

WASHINGTON - Average U.S. rates on fixed mortgages fell for the second straight week and are at their lowest levels in four months.

Mortgage buyer Freddie Mac, the Federal Home Loan Mortgage Corp., said Thursday the average rate on the 30-year loan declined to 4.10 percent from 4.13 percent last week. The average on the 15-year fixed loan eased to 3.20 percent from 3.24 percent.

Rates have been falling since September when the Federal Reserve surprised investors by continuing to buy $85 billion a month in bonds. The purchases are intended to keep long-term interest rates low.

Rates had spiked over the summer when the Fed indicated it might reduce those purchases later this year. But hiring has slowed since then. Many now expect the Fed won’t taper until next year.

FDA plans to minimize drug shortages

WASHINGTON - The Food and Drug Administration Thursday announced a new proposal designed to head off more shortages of crucial medications that have disrupted care at hospitals and health clinics nationwide.

Under the proposed rule, companies that make widely used prescription medicines would have to notify the FDA of any changes in drug production that could disrupt the U.S. supply.

FDA leaders say the advance warning will help the agency work with companies to resolve supply problems or find alternate sources of drugs that are being phased out.

The U.S. has seen a spike in drug shortages in the past six years, particularly inexpensive generic injected drugs, including powerful antibiotics, painkillers and anesthetics used in surgery. They are the workhorses of hospitals but often produce little profit for companies.

  • The Associated Press

Iraqi gains push October OPEC output

OPEC crude production rose in October as Iraqi output rebounded with the completion of maintenance work, a Bloomberg survey showed.

The 12-member Organization of Petroleum Exporting Countries increased output by 38,000 barrels to an average 30.621 million barrels a day this month from a revised 30.583 million in September, the survey of oil companies, producers and analysts showed. The September total was revised lower by 499,000 barrels a day because of changes to the estimate for Iraq, where there were repairs on key export infrastructures on the Persian Gulf.

“Brent [crude] is still above $100 a barrel, so most OPEC members are comfortable,” said Stephen Schork, president of the Schork Group Inc., an energy advisory company in Villanova, Pa. “As long as prices are above $90, they will be doing well.”

Iraqi output increased 280,000 barrels a day to 3.08 million this month, according to the survey. The country pumped more crude as work finished at the southern port of Basra. Iraq is the second-biggest producer in OPEC after Saudi Arabia.

Shell prepares Arctic exploration plan

ANCHORAGE, Alaska - A spokesman for Shell Alaska said Thursday the company in the next few weeks will submit an Arctic offshore exploration plan but hasn’t decided whether it will move forward with drilling next year.

Curtis Smith said by email that the company is “putting the building blocks in place” for an upcoming exploration season but hasn’t made a final decision.

He says if Shell drills in 2014, it will be in the Chukchi Sea only and not the Beaufort Sea.

The plans were made public during Royal Dutch Shell PLC’s third-quarter earnings announcement.

  • The Associated Press

Business, Pages 28 on 11/01/2013

Upcoming Events