Houston-based Dune Energy Inc. has acquired interests in about 320 acres of oil and natural gas leases and four producing wells in Denton County, TX for $5.4 million, and another parcel of properties in Denton and Wise counties from Voyager Partners Ltd. for $68.3 million. All of the assets are located in the Barnett Shale region, near Fort Worth. Closing on the assets is expected by Dec. 15. A reserve report as of Dec. 31, 2004, prepared by independent petroleum engineering firm DeGolyer & MacNaughten, indicated there are 27 Bcfe of net proved reserves underlying the Voyager properties. Since that date, based upon an internal evaluation, Dune believes Voyager has added as much as an additional 18 Bcfe in proved reserves to the properties being acquired, bringing the total to 45 Bcfe. Dune also set up a credit agreement, which provides for a revolving credit commitment of up to $50 million with sub-limits of $13 million, and $16 million, respectively, for term loans, subject to certain covenants and conditions. Additional financing totaling $25 million of subordinated debt is also in place. The company has drawn down a $6 million revolving loan under the agreement in connection with the purchase of some of the Barnett Shale assets. Dune’s operations are concentrated onshore the Louisiana/Texas Gulf Coast as well as the Barnett.

Because of the rise in the cost of wholesale natural gas, Missouri Gas Utility Inc. has been approved to increase its gas rates about 28%. The rates took effect on Monday (Nov. 21), according to the Missouri Public Service Commission (MPSC). The utility serves about 740 customers in the state. Residential customers paid 72 cents per 100 cubic feet of gas last winter, and under this filing, the rate will increase to about 93 cents. Last winter, residential customers paid about $662 total over the winter months, and with similar winter conditions, customers will pay about $845 this year. The MPSC conducts annual regulatory reviews to ensure regulated gas companies make prudent decisions in securing supplies for their customers.

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