Texaco posted first quarter income before special items of $836 million, compared to $602 million for first quarter 2000.

Revenues were $14.1 billion versus $11.3 billion. Strong worldwide crude oil and natural gas prices boosted upstream income (income from exploration and production) to the highest ever, said Chairman and CEO Glenn Tilton. Before special items, U.S. upstream income was $589 million, up 63% from a year ago. A 3% drop in combined oil and gas production dropped international income to $243 million, down from $293 million a year first quarter 2000.
Tilton said the company’s downstream results (refining, distribution) were mixed as refining margins on fuels such as gasoline rose along the U.S. East and Gulf Coasts, but profit margins on the retail end remained slim.
ExxonMobil, Conoco and Unocal have also reported robust profits for the quarter.
The merger of Texaco with Chevron is still awaiting regulatory approval. Combining the two companies would create the world’s fifth largest oil company, to be called ChevronTexaco. The companies say they plan to cut their combined workforce by 7%, slashing costs approximately $1.2 billion.