Exxon Mobil Corp. was the top Texas natural gas producer in2000, averaging 858,344 Mcf/d, or about 6.5% of the total stateproduction, according to the Railroad Commission of Texas. ConocoInc. was second, averaging 703,921 Mcf/d, or 5.4% of all gasproduced in Texas last year. Other companies rounding out the topten leader board were Coastal Oil & Gas Corp., 651,958 Mcf/d;RME Petroleum Co., 498,837 Mcf/d; EOG Resources Inc., 438,688Mcf/d; Mitchell Energy & Development Co. LP, 367,014 Mcf/d;Texaco E&P Inc., 335,770 Mcf/d; Chevron U.S.A. Inc., 327,941Mcf/d; Phillips Petroleum Co., 319,663 Mcf/d; and Shell WesternE&P Inc., 302,395 Mcf/d.

The New Power Company (TNPC), a subsidiary of NewPower Holdings,announced last week that it has added 7,200 residential andcommercial natural gas customers to the 100,000 it is alreadyserving in Georgia. TNPC acquired the customers in the Atlanta GasLight Co. service territory from Reliant Energy Retail Inc., asubsidiary of Reliant Energy. Based on the average consumption ofresidential customers in the Georgia market, TNPC estimates thatthe portfolio equates to approximately 40,000 residentialcustomers. The companies said that the sale and purchase would helpeach company approach its own business goals.

San Joaquin Resources Inc. (SJR), an independent, oil and gasexploration and production company based in Denver, Coloradoreported late last week that Phillips Petroleum Co. has commenceddrilling in Pannonian Energy Inc.’s Riverbend Project in UintahCounty, UT. The Uinta basin in northeastern Utah is recognized asbeing one of the remaining significant undeveloped natural gasresources in North America. Phillips is drilling at 661 feet with atotal permitted depth for the well of 12,700 feet. This is thefirst obligation well of the joint venture agreed to in December,2000 between Phillips Petroleum and Pannonian Energy, which isunder contract to become a wholly owned subsidiary of SJR beforethe end of March. The well is targeting natural gas production fromthe Mesaverde Group. It will also evaluate the natural gaspotential of the Wasatch Formation during drilling at a depth ofapproximately 7,000 feet. On this well, SJR will have a 15% workinginterest in the Mesaverde Group and 75% working interest in theWasatch Formation. Per the terms of the Phillips agreement,Pannonian retains 20% of its interests in the Mesaverde Group and100% of its interests in the shallower Wasatch formation. Each wellin the Wasatch formation and the Mesaverde Group has potentialrecoverable natural gas reserves exceeding 1 Bcf, and up to 4 Bcf,respectively.

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