he ConocoPhillips Commercial organization added significant value during 2007, successfully supporting the Exploration and Production and Refining and Marketing businesses with reliable supply and marketing activities, opportunistic commodity trading, and lending expertise on key asset optimizations and acquisitions.

Throughout the year, Commercial reliably secured the crude oil feedstock consumed by the company’s 17 refineries while finding favorable markets for ConocoPhillips’ own production of crude oil, natural gas and refined products.

“Despite the volatility and rising costs that characterize today’s commodity markets, we continue to find ample opportunities to enhance our results through trading, storage, transportation and other related businesses,” says Willie Chiang, senior vice president, Commercial.

The year’s milestones included the expansion of its trading activities; growth in capacities for crude and product storage of four million barrels, natural gas of four billion cubic feet, marine transportation, pipeline transportation, and power generation; and increased usage under license of the proprietary ConocoPhillips E-Gas™ technology.

Trading expertise and knowledge of potential markets are vital in enabling the company to bid competitively for asset acquisitions and business development projects. During 2007 Commercial’s capabilities helped ConocoPhillips acquire 50 percent interest in a cogeneration unit at the Sweeny refinery that supplies electricity to that facility and to the open market.

The group also secured capacity in the Keystone crude oil pipeline in Canada and the Rockies Express natural gas pipeline in the United States. Commercial’s services were key in enabling development of the Immingham phase II heat and power plant in the United Kingdom and in securing an agreement with Peabody Energy to explore development of a coal gasification facility.