Magnum Hunter Resources Inc. said Monday that it had closed on the sale of a $13.4 million package of non-core South Louisiana oil and gas properties to a private undisclosed third party. The deal included approximately 42 wells in nine separate fields located in Acadia, Iberville, Lafourche, Plaquemines, Point Coupee, St. Mary, and Terrebonne Parishes, LA and Newton and Orange Counties, TX. Including the South Louisiana sale, Magnum Hunter estimated its total sales of non-core properties to-date reaches $115 million. The company noted that most all of the properties sold were acquired in conjunction with the March 2002 merger with Prize Energy Co. All of the net proceeds received from the various divestitures over the past year have been used to further reduce Magnum Hunter’s overall indebtedness. “The sale of this latest group of South Louisiana properties allows Magnum Hunter to exit this region and further allows our Gulf Coast technical staff to concentrate on our core fields located in South Texas,” said Richard R. Frazier, COO of Magnum Hunter. “The majority of the value of the South Louisiana properties divested were in non-producing categories, requiring additional risk capital to fully exploit. By divesting out of South Louisiana, we can further reduce our indebtedness with minimal effect on the company’s current daily production.”
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Williams Sells D-J Basin Holdings to Petroleum Development for $28M
Williams sold a small package of Rocky Mountain region producing properties in the Denver-Julesberg (D-J) basin in northeastern Colorado to Bridgeport, WV-based Petroleum Development Corp. for $28 million. The D-J Basin properties were among those announced for sale earlier this year as part of Williams’ financial-strengthening plan.
CA Reregulation Proposals Include Gas Price Indexes
As part of a package of proposed legislation that is expected to emerge by the end of the month, California’s leading legislator examining wholesale energy market participants indicated on Tuesday that legislation will be introduced related to published natural gas prices in trade publications that compile indexes used by regulators and market participants. The new law could preclude state regulators from using the price indexes for setting electricity rates.
CA Reregulation Proposals Include Gas Price Indexes
As part of a package of proposed legislation that is expected to emerge by the end of the month, California’s leading legislator examining wholesale energy market participants indicated on Tuesday that legislation will be introduced related to published natural gas prices in trade publications that compile indexes used by regulators and market participants. The new law could preclude state regulators from using the price indexes for setting electricity rates.
Apache Adds 29% to Production Base with BP Asset Purchase
In its largest deal ever, Houston-based Apache Corp. has acquired a $1.3 billion package of legacy oil and gas-producing assets from BP, with 61 producing fields in the Gulf of Mexico (GOM) and two in the North Sea. The acquisition adds an estimated 29% to Apache’s 2002 production base, and 14% to its year-end 2002 assets on a pro-forma basis.
CMS Uses Storage Gas as Collateral
CMS Energy Corp. will be using natural gas in storage as part of a collateral package to raise $200-$250 million in financing for its main subsidiary, Consumers Energy, to eliminate the need for Consumers Energy to go to the capital markets for the remainder of 2002. Consumers Energy currently has about 95 Bcf of working gas in its underground storage fields.
CMS Uses Storage Gas as Collateral
CMS Energy Corp. will be using natural gas in storage as part of a collateral package to raise $200-$250 million in financing for its main subsidiary, Consumers Energy, to eliminate the need for Consumers Energy to go to the capital markets for the remainder of 2002. Consumers Energy currently has about 95 Bcf of working gas in its underground storage fields.
Senate Panel to Mark Up Security Bill, Broad Energy Package
The Senate Energy and Natural Resources Committee is scheduled to mark up “broad” legislation this week to tighten the security of the nation’s major energy infrastructure facilities, and then resume mark-up of a comprehensive energy bill by the middle of the month.
Senate Panel to Mark Up Security Bill, Broad Energy Package
The Senate Energy and Natural Resources Committee is scheduled to mark up “broad” legislation next week to tighten the security of the nation’s major energy infrastructure facilities, and then resume mark-up of a comprehensive energy bill by the middle of the month.
House Democrats Insist on Price Controls in CA
While Rep. Joe Barton (R-TX) awaited the go-ahead from the White House to move forward on a “package” of proposals to aid California energy markets last week, California Democratic lawmakers on Capitol Hill registered their strong objections to Barton’s decision to exclude price controls on wholesale electricity transactions from consideration.
