Gasco Energy Inc. and Burlington Resources plan to explore and potentially develop a series of deep natural gas plays in Wyoming’s Greater Green River Basin under an agreement announced Thursday. The companies plan to jointly explore and develop seven areas of mutual interest (AMI) under an umbrella exploration agreement covering 332,000 acres in west-central Wyoming. Financial details were not disclosed.

Houston-based Burlington will be operator of each and AMI will hold a 50% working interest. Gasco, headquartered in Denver, will own a 25% working interest and a private company will own the remaining 25%.

Under the agreement, Burlington will acquire about 180 miles of high resolution 2-D seismic data with an obligation to drill two wells at its cost. The partners then would share subsequent costs on additional wells that are drilled. The agreement also would give Burlington the right to make drilling decisions on the AMIs between now and August 2003.

“This is a milestone event for Gasco,” said Gasco CEO Mark A. Erickson. “The AMI agreement with Burlington establishes a new core operating area for Gasco and strengthens the company’s total operating position in the Rocky Mountains. This agreement gives both companies multiple ground-floor opportunities to explore and, if successful, develop large natural gas deposits.”

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