Acquired

Calgary-based Enterra Energy Corp. said last week that it has acquired a natural gas property in the Bindloss area of southeast Alberta. Based on a third party engineering evaluation completed Jan. 1, the property contains over 3.5 Bcf of proven reserves. Enterra said the acquisition will increase its proven gas reserves by 33%.

EEX Corp. has entered into an asset purchase, farmout and joint exploration agreement with BP Exploration & Production Inc. BP acquired 75% of EEX’s current interest in 23 outer continental shelf (OCS) leases. Under the agreement, BP said it will conduct further leasing and geophysical activities in an area encompassing 140 OCS blocks. At the end of the initial evaluation period, BP may elect to commit to the drilling of up to three wells. The agreement also allows for EEX to be carried for its 25% interest of the costs of the initial evaluation period as well as the drilling of the first three exploration wells. Both companies said they are interested in pursuing exploration prospects in shallow waters of the Gulf of Mexico that EEX identifies as “deep shelf,” geological formations that are deeper than conventional Gulf of Mexico OCS oil and gas exploration and production. The companies were successful bidders on six federal offshore blocks at OCS Lease Sale No. 182 held in March, which are included in the agreement. The Minerals Management Service has awarded four of the blocks to date. EEX is an oil and natural gas exploration and production company with activities currently focused in Texas, Louisiana and the Gulf of Mexico.

PacifiCorp Energy Canada’s Enstor division said last week that it has acquired Dominion Canada’s 40% stake in the Alberta Hub natural gas storage facility. The company’s affiliate, PacifiCorp Power Marketing Inc. (PPM), said it plans to market the capacity and add more storage facilities to its portfolio in the near future. Terms of the transaction were not disclosed.

Dynegy Inc. has closed its acquisition of Northern Natural Gas Pipeline Co. (NNG) and named a former Enron Corp. executive — and the pipeline’s former chief — as president. Dynegy acquired NNG under the terms of its failed merger agreement with Enron after settling a lawsuit with its former rival earlier this month (see Daily GPI, Jan. 7). Enron maintains the option to repurchase the pipe from Dynegy until June 30, 2002 and will provide transition services through the end of the repurchase period.

Denver-based MarkWest Hydrocarbon Inc. has acquired an Alberta gathering system for C$3.1 million (US$2.0 million). The purchase includes six miles of pipelines and compression facilities that currently gather 5,500 Mcf/d. MarkWest plans to expand the system to 10,000 Mcf/d by early 2002. The new addition in southeastern Alberta is located in the Bantry field, where MarkWest already has wells and drilling locations.

Cheniere Energy has acquired an option to purchase a third land site for a liquefied natural gas (LNG) import terminal in Texas. The site near Sabine Pass, TX, will be used to build a receiving terminal that would deliver up to 1 Bcf/d of gas into the interstate pipeline grid. Cheniere had previously announced the acquisition of options for sites with port authorities at Freeport and Brownsville, TX, and still plans to line up a fourth site.

Cheniere Energy has acquired an option to purchase a third land site for a liquefied natural gas (LNG) import terminal in Texas. The site near Sabine Pass, TX, will be used to build a receiving terminal that would deliver up to 1 Bcf/d of gas into the interstate pipeline grid. Cheniere had previously announced the acquisition of options for sites with port authorities at Freeport and Brownsville, TX, and still plans to line up a fourth site.

On the heels of the announcement that it had acquired a majority of TransCanada’s natural gas marketing business (see related story this issue), Atlanta-based Mirant Corp. reported that it has made its first production acquisition by purchasing interests in 18 natural gas and oil producing fields as well as 206,000 acres of mineral rights in South Louisiana from Castex Energy Inc. for approximately $162 million.

On the heels of the announcement that it had acquired a majority of TransCanada’s natural gas marketing business (see related story this issue), Atlanta-based Mirant Corp. reported that it has entered the production business by purchasing interest in 18 natural gas and oil producing fields as well as 206,000 acres of mineral rights in South Louisiana from Castex Energy Inc. for approximately $162 million.