Onshore

Edge Petroleum Corp., whose gas-rich operations up to now have been centered on the onshore Gulf Coast and northern Rocky Mountains, on Tuesday expanded its focus with an agreement to explore an area of southeastern New Mexico’s Permian Basin with partners Pure Energy Group and Chisos Ltd. The area of mutual interest (AMI) agreement covers all of Eddy and Lea counties, as well as a portion of southern Chaves County, where Pure and Chisos own approximately 47,000 gross (27,000 net) acres.

Pioneer Natural Resources Co. has set a new record for quarterly gas production in North America, announcing ahead of its earnings report that it produced 48 Bcf of gas in the second quarter, a 39% sequential increase. Deepwater Gulf of Mexico (GOM) production from its Canyon Express and Falcon gas projects matched the Dallas-based producer’s expectations, and will put its quarterly worldwide oil and gas production at 14.5 MMboe.

Kerr-McGee Corp. Oil & Gas Onshore LP has sold a portion of its West Texas and Oklahoma producing assets for $127 million to Aethon I, LP. The sale includes 16 fields with estimated net production of 4,900 b/d of oil and 7 MMcf/d of gas. Kerr-McGee said proceeds from the sale have been used to reduce debt.

Kerr-McGee Corp. Oil & Gas Onshore LP has sold a portion of its West Texas and Oklahoma producing assets for $127 million to Aethon I, LP. The sale includes 16 fields with estimated net production of 4,900 b/d of oil and 7 MMcf/d of gas. Kerr-McGee said proceeds from the sale have been used to reduce debt.

EnerSea Transport LLC, setting a course to bring offshore stranded reserves to North America by 2006 via a compressed natural gas (CNG) system, has added Kawasaki Kisen Kaisha Ltd. (K Line) to its maritime team, which will own and operate the future marine vessels. K Line’s alliance is part of EnerSea’s plan to deploy its Volume Optimized Transport and Storage system, otherwise known as VOTRANS.

EnerSea Transport LLC, setting a course to bring offshore stranded reserves to North America by 2006 via a compressed natural gas (CNG) system, has added Kawasaki Kisen Kaisha Ltd. (K Line) to its maritime team, which will own and operate the future marine vessels. K Line’s alliance is part of EnerSea’s plan to deploy its Volume Optimized Transport and Storage system, otherwise known as VOTRANS.

EnerSea Transport LLC, setting a course to bring offshore stranded reserves to North America by 2006 via a compressed natural gas (CNG) system, has added Kawasaki Kisen Kaisha Ltd. (K Line) to its maritime team, which will own and operate the future marine vessels. K Line’s alliance is part of EnerSea’s plan to deploy its Volume Optimized Transport and Storage system, otherwise known as VOTRANS.

Osprey Energy, headquartered in Bridgewater, NS, has begun an extensive onshore seismic program to locate potential oil and gas deposits north of Truro, NS. Osprey and its joint venture partner will conduct a month-long program over an 80-mile stretch from Debert to Parrsboro, part of the Maritime Basin, with the primary target the 70 kilometers of seismic lines in the Pennsylvanian Parrsboro formation. Early indications are that the region has potential reserves of up to 75 MMbbl and 345 Bcf. The area to be covered includes the Lower Parrsboro formation, which is about 850 meters thick, consisting of sandstone and shale. The Upper Parrsboro is about 1,800 meters thick and is similar to the Lower Parrsboro. The seismic program is gathering 6,000% fold vibroseismic data, which has been contracted to Kinetex Inc. The data will be analysed to create a subsurface geological profile, which will be integrated with surface geological data gathered over several years by the Geological Survey of Canada and the Nova Scotia Department of Natural Resources.

Pogo Producing said subsidiary Pogo Onshore Pipeline is up forsale. The subsidiary consists of 108 miles of six-inch diametersteel gas pipeline, which extends from Saginaw, TX, to WichitaFalls. The pipeline, formerly known as the Saginaw Pipeline,traverses parts of Tarrant, Wise, Montague, Clay and Wichitacounties, including the active Barnett Shale play. Also includedare 12 miles of smaller diameter pipeline. Pogo is offering to sellthese assets effective April 1. The property will be sold through anegotiated sale. For further information, contact Clint Wetmore atMadison Energy Advisors, (281) 876-2244 or check Madison’s web sitefor regular status updates at www.MadisonEnergy.com.