Citing drilling and acquisitions it made last year in the Wattenberg field north of Denver, PDC Energy Inc. on Wednesday reported a 19% jump in production in the first quarter, compared with the same period last year, and record output of more than 10,000 b/d of liquids.
Articles from Acquisitions
Bismarck, ND-based MDU Resources Group is aligning its utility, construction, midstream infrastructure and exploration/production (E&P) businesses so each one profits and grows with the continuing hydrocarbon boom in the Bakken, the MDU senior executives emphasized in a half-day financial analysts meeting Thursday in New York City.
Lawsuits have been filed in federal and state courts over a part of North Dakota’s prosperous Bakken Shale that lies under the Fort Berthold Reservation, which according to the state’s latest statistics makes up nearly 20% of the play’s ever-growing oil production.
Infrastructure projects, acquisitions and contracting activity — particularly in the Eagle Ford Shale of South Texas — served to lift crude oil pipeline throughputs for NuStar GP Holdings LLC last year. Some of NuStar’s South Texas pipeline assets had been underutilized.
A recently combined and publicly held exploration and development company, Salt Lake City-based Richfield Oil and Gas Co., announced a purchase in the Graham Reservoir oilfield in Uinta County, WY. Richfield bought a shut-in well in the Wasatch National Forest (Well #16-15) from Frontier Energy for $610,000, including 640 acres of mineral leases. The company said the purchase gives it 100% working interest in a mineral lease in the Graham Reservoir, located approximately 120 miles northeast of Salt Lake City in southeastern Wyoming. The well has been shut in since 2003 and was completed in the Dakota Formation at 15,600 feet. Flow testing and production operations will get underway later in the first quarter. For Richfield, which is the product of the merger of Hewitt Petroleum Inc. and Freedom Oil & Gas Inc. in 2011, the acquisition is part of the process of “methodically building our reserve and production base” through graded acquisitions,” said CEO Douglas Hewitt.
Williams, which has been expanding its onshore presence in the Marcellus and Utica shales, late Tuesday snagged a deal to significantly expand its onshore footprint in a $2.4 billion transaction to acquire half of the natural gas pipeline system once owned by Chesapeake Energy Corp.
Houston-based Vanguard Natural Resources LLC has closed on its acquisition of natural gas and liquids assets in the Arkoma Basin from Antero Resources for an adjusted price of $434.4 million, subject to post-closing adjustments. The effective date is April 1, 2012. The deal was announced early last month (see Shale Daily, June 5). Vanguard funded the acquisition with borrowings under its existing reserve-based credit facility. The borrowing base was increased from $670 million to $975 million in connection with an interim borrowing base redetermination to include the properties from the acquisition. Updated 2012 production and financial results guidance will be included with second quarter results, which are expected to be released on Aug. 2.
Pennsylvania’s Marcellus Shale natural gas drilling declined nearly 7% in the first five months of this year from the same period of 2011 in part as operators began moving from dry gas to wetter targets, according to data from the state Department of Environmental Protection (DEP).