Affiliates

Apache Corp. on Tuesday completed a series of agreements with ExxonMobil Corp. affiliates that are expected to optimize both companies’ oil and natural gas exploration and development programs in North America. Among other things, the agreements hand Apache control over 28 producing oil and gas fields in West Texas and New Mexico and give the independent exploration rights to thousands of undeveloped acres in Alberta.

Apache Corp. on Tuesday completed a series of agreements with ExxonMobil Corp. affiliates that are expected to optimize both companies’ oil and natural gas exploration and development programs in North America. Among other things, the agreements hand Apache control over 28 producing oil and gas fields in West Texas and New Mexico and give the independent exploration rights to thousands of undeveloped acres in Alberta.

El Paso Corp. has closed on the sale of its Aruba refinery and related marine, bunkering, and marketing affiliates to Valero Energy Corp. for $465 million plus $162 million for working capital. In connection with closing, El Paso retired a $366 million lease financing associated with the refinery. The sale supports El Paso’s long-range plan to reduce the company’s total debt, net of cash, to approximately $15 billion by year-end 2005. So far, the company has announced or closed $2.9 billion of the $3.3 billion to $3.9 billion of asset sales targeted under the plan.

Pipeline affiliates Texas Eastern and Algonquin noted that while forecasts were for more seasonal conditions in their market areas over the weekend, they would continue to have limited operational flexibility. Texas Eastern said it would have limited due-shipper imbalance gas available Saturday, but not in the M-3 zone. It added that due-shipper gas in upstream zones could not be used to supply M-3 markets.

American Electric Power (AEP) said two of its affiliates, Houston Pipe Line Co. and AEP Energy Services Gas Holding Co., filed lawsuits on Friday against Enron and Bank of America in the Enron bankruptcy proceeding, seeking clarification on previous contract agreements regarding the 52 Bcf Bammel storage field and related pipeline assets in Harris County, TX.

Affiliates of TECO Energy, Atmos Energy, Piedmont Natural Gas and AGL Resources are exiting the propane business and selling their interests in Heritage Propane Partners LP, which has agreed to a $980 million merger transaction with Texas natural gas midstream operator Energy Transfer. The propane asset sales are expected to net the utilities a total of $130 million. Each of the sellers said the asset didn’t fit well with their core regulated utility operations.

Two Duke Energy gas pipeline affiliates have asked FERC to give them the green light by Wednesday to place their expansion projects in service in time to provide increased Canadian supplies to the gas-hungry New England market this winter heating season.

Two Duke Energy gas pipeline affiliates have asked FERC to give them the green light by next Wednesday to place their expansion projects in service in time to provide increased Canadian supplies to the gas-hungry New England market this winter heating season.

Two affiliates of Kerr-McGee Corp. have acquired 100% interest in nine oil and gas licenses offshore the Bahamas. The licenses, located in the Blake Plateau basin about 100 miles north of Freeport, Grand Bahamas Island, cover 6.5 million acres in water depths ranging from 650 feet to more than 7,000 feet.