Calgary, AB-based Powder River Basin Gas Corp. (PRBG) said Wednesday it has purchased a 4,600-acre property in South Texas known as the McFadden Ranch in the East McFadden Field. Terms of the deal were not disclosed. Currently, East McFadden Field has three wells that are producing a total of 40 b/d of oil and 350 Mcf/d of natural gas. There are an additional 52 shut-in wells on this project. PRBG said it intends to rework all of these wells and install electronic submersible pumps, or ESP units, which are capable of moving an average of 3,000 bbl/d of fluid per well. The service work and ESP units are being supplied by Weatherford International, which has participated in PRBG’s research and due diligence on the project. The property’s total proved developed reserves are valued at 2.45 million bbl of oil and 2.5 Bcf of gas. McFadden Ranch also has 79 additional locations that have been identified for offset drilling on the project. The company said it plans to complete a new 3-D seismic survey on the project, which is close to the successful Goliad County project. “This is an exciting purchase for Powder River, as it brings our Texas holdings to close to 7,000 acres. McFadden Ranch is an excellent addition, as it is already producing and generating revenue while we rework the other 52 wells. In addition it provides a long-term drilling and marketing project to fulfill Powder River’s requirements over the next few years,” said PRBG CEO Brian Fox.

Tulsa, OK-based Rockford Panhandle LLC said Wednesday it has acquired all of the oil and gas assets of the J. M. Huber Corp. in the Texas Panhandle for an undisclosed price. The acquired properties hold 13 Bcfe of net proved reserves and currently generate approximately 1.7 MMcfe/d of net daily production. The company said the identified upside in the properties includes behind pipe recompletions and additional drilling across the 22,831 gross/9,508 net acres. Rockford Panhandle said activity in the field will increase significantly over the coming quarters utilizing the company’s 60 squares of 3-D seismic. “The integration of existing 3-D seismic along with current well data on these assets will enable Panhandle to drill six- to- 10 wells in 2007.” said Jean Antonides, Panhandle vice president of geology. “The properties contain low risk development locations along with some reentry prospects. The properties have been held by production for a number of years with little activity and are positioned on trend with some recent large discoveries.” Rockford Panhandle was founded with an equity commitment from Quantum Energy Partners, its affiliates, and the management team. Quantum Energy Partners is a Houston-based private equity firm specializing in the energy industry with more than $2.5 billion of capital under management.

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