BreitBurn Energy Partners LP has completed the acquisition of producing natural gas and oil properties primarily in Wyoming from Cabot Oil and Gas Corp. for $283 million. Reserves acquired are 95% natural gas with estimated proved reserves of 230 Bcfe, including 136 Bcfe of estimated proved developed producing reserves. Net expected production averages more than 30 MMcfe/d for 2012. There are about 620 producing wells in 16 fields and more than 90 proven, undeveloped drilling locations and more than 600 additional potential drilling locations. The estimated reserve life index is 21 years on estimated proved reserves and 12 years on estimated proved developed reserves. Lifting costs are about 83 cents/Mcfe. BreitBurn acquired: in Wyoming, 238,000 gross acres (111,500 net); in Colorado 15,000 gross acres (13,000 net); and in Utah, 2,000 gross acres (500 net). The acquisition was funded with borrowings under its credit facility. BreitBurn entered into gas hedges for 2011 through 2015 on 30.5 million MMBtu of production at a weighted average price of $5.11/MMBtu.

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