Exploration

Abraxas Petroleum Corp. said Tuesday that its Canadian units, Canadian Abraxas Petroleum Ltd. and Grey Wolf Exploration Inc., have agreed to sell certain reserves and associated gas processing plants in Western Canada to a Canadian royalty trust for approximately $138 million.

Calgary-based Canadian Superior Energy Inc. said Monday that it completed an acquisition of a major acreage position in northwestern Alberta, totaling 22 sections of contiguous land located “updip” of the main Ladyfern natural gas field, which complements previously acquired land in this “highly competitive” natural gas play.

North American natural gas exploration and production (E&P) hasn’t lost its luster for many U.S.- and Canadian-based independents, but for the moment anyway, the exploitation prospects are running parallel or second to producing a strong balance sheet.

North American natural gas exploration and production (E&P) hasn’t lost its luster for many U.S.- and Canadian-based independents, but for the moment anyway, the exploitation prospects are running parallel or second to producing a strong balance sheet. At the RBC Capital Markets 2002 North American Energy Conference in Houston on Wednesday, producers painted in detail what’s ahead for drilling and production, but they also were as specific in explaining their companies’ credit and debt picture.

Dominion Exploration & Production, Inc. said Tuesday that it will assume operation of more than 800 coal-bed methane wells located in Tuscaloosa, AL, from its partner, ConocoPhillips. Dominion said the effective date of the transaction is Dec. 31, 2002.

The industry’s oil and gas exploration and production operations in the Gulf of Mexico and probably in some Gulf Coast state waters have been temporarily shut down because of Tropical Storm Isidore’s broad reach, strong winds, heavy rains and high seas, according to reports from the Minerals Management Service and production companies on Wednesday.

Ocean Energy Inc. said last week that it has decided to cease exploration activity on two international oil and natural gas blocks and use the freed up resources on more profitable endeavors. In addition, the Houston-based independent energy company updated its second half guidance for production volumes.

Ocean Energy Inc. said Monday that it has decided to cease exploration activity on two international oil and natural gas blocks and use the freed up resources on more profitable endeavors. In addition, the Houston-based independent energy company updated its second half guidance for production volumes.

Mergers and acquisitions (M&A) between U.S. exploration and production companies continued on a slow pace in the second quarter, and unless oil and gas prices sustain a rise in the final half of the year, the lull could continue, as sellers hold their ground and refuse to drop their prices, said Standard & Poor’s in a new ratings round-up of domestic energy companies.