Mexico

Avista Power said Tuesday it purchased a 20-acre site inLordsburg, NM from TNP Technologies and plans to put a $70 millionpower plant into service on the acreage by early 2000. The terms ofthe sale were not disclosed. The land contains four oldergenerators, which were in the process of being updated. All permitsand licenses will transfer to Avista Power and the transaction isexpected to close within 60 days.

Central Gulf of Mexico Lease Sale 172, held Wednesday in NewOrleans, garnered nearly $171.62 million in high bids out of$199.64 million in total bids. Of 3,806 blocks offered, 207received bids. There were 272 bids with an average of 1.31 bids perblock and 67 companies participating.

The Genesis Project, a deep-water oil and natural gas platform, has gone into production in 2,600 feet of water in the Gulf ofMexico. The drilling and production platform, operated by Chevron,is expected to produce approximately 30,000 barrels of oil and morethan 20 MMcf/d during 1999. Production is planned to increase at asteady pace so that in 2000 Genesis will reach its peak productioncapacity of 55,000 barrels of oil and 72 MMcf/d.

TransColorado Gas Transmission Co. said it would start fillingadditional portions of the TransColorado Pipeline in New Mexico andwestern Colorado today with gas as it prepares to commence Phase 2operations in February.

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Mexico’s Energy Regulatory Commission (CRE) issued the Queretarogas distribution permit to Belgian electric utility Tractebel.Tractebel was awarded the permit as a result of the bid processundertaken by the CRE for the geographic zone, which comprises themetropolitan area of Queretaro, as well as the city of San Juan delRio.

Well depletion rates in the Gulf of Mexico have reached astartling 38% this year and within the next three years could reach49%, according to a report by Houston-based Simmons & Co.International.

Samson Resources Co., of Tulsa has acquired a significant blockof producing oil and gas properties in Texas, Louisiana,Mississippi, Alabama, Oklahoma, and New Mexico. from Duer Wagner& Co. of Fort Worth. The purchase price was in excess of $40million. The properties are located in the same geographical areasas certain of Samson’s existing properties and include multipleopportunities for additional drilling and recompletions.

Remington Oil and Gas Corp. acquired interests in 10 Gulf ofMexico offshore blocks from Union Pacific Resources (UPR). Seven ofthe blocks are producing, one is anticipated to come on productionbefore year-end, and two are undeveloped. The blocks are on theoffshore Louisiana and Texas shelf in water depths less than 400feet. Interests vary from 5% to 100%, with all of the producingproperties being non-operated. The effective date of thetransaction is Sept. 1 with an anticipated closing prior toyear-end. Unaudited reserves for the blocks are about 7 BCFe with apurchase price of $7.65 million.