Locks

Apache Corp. closed its acquisition of all of Anadarko Petroleum’s Gulf of Mexico Shelf exploration and production properties. The purchase includes 60 million boe of oil and gas reserves and 74 fields on 232 offshore blocks for $525.4 million in cash, plus assumed liabilities (see NGI, Aug. 23). The properties cover about 664,000 net acres, including 89 undeveloped blocks, and 104 platforms.

Apache Corp. closed its acquisition of all of Anadarko Petroleum’s Gulf of Mexico Shelf exploration and production properties. The purchase includes 60 million boe of oil and gas reserves and 74 fields on 232 offshore blocks for $525.4 million in cash, plus assumed liabilities (see Daily GPI, Aug. 23). The properties cover about 664,000 net acres, including 89 undeveloped blocks, and 104 platforms.

Apache Corp. closed its acquisition of all of Anadarko Petroleum’s Gulf of Mexico Shelf exploration and production properties. The purchase includes 60 million boe of oil and gas reserves and 74 fields on 232 offshore blocks for $525.4 million in cash, plus assumed liabilities (see Daily GPI, Aug. 23). The properties cover about 664,000 net acres, including 89 undeveloped blocks, and 104 platforms.

Chesapeake Energy Corp. added another 68 Bcfe proved oil and gas reserves and 39 Bcfe of probable and possible reserves in the Midcontinent, Permian Basin and Texas Gulf Coast regions Tuesday through four purchases totaling $100 million.

Houston Exploration said it has locked in gas prices on additional amounts of its expected 2004 gas production. For the first quarter of 2004, the company has hedged 100 MMcf/d at an effective floor price of $4.70/Mcf (Henry Hub) with no ceiling and from April through December 2004, it has hedged 100 MMcf/d with a floor of $4.50/Mcf and ceiling of $7.00.

With gas prices soaring over $5 this month, Cabot Oil & Gas Corp. has locked in prices for more of its 2003 and 2004 natural gas production. It also added to its 2003 oil hedge position during the first two weeks of December.

Not one to pass up a good price, Consol Energy said it has sold 83-86% of its expected 2003 natural gas production, or about 44.8 Bcf out of an expected 52-54 Bcf of gas, at an average fixed price of $3.99/MMBtu. The company also noted it sold 7.4 Bcf of gas to be produced in 2004 at a price of $4.16/MMBtu, and 7.4 Bcf of gas to be produced in 2005 at $3.97/MMBtu.

Range Resources boosted its hedging position to take advantage of recent commodity price increases, locking in prices for two-thirds of its oil and gas production next year. All of the Company’s hedges are straight swaps entered into primarily with major financial institutions.

Kerr-McGee Corp. increased its capital budget for exploration and production development projects by 15%, or $120 million, to $900 million, to concentrate more on identified projects in the Denver-Julesburg Basin and the Gulf Coast.