Petroquest

PetroQuest Energy Inc. is making progress toward forming a joint venture (JV) in the Cotton Valley formation in East Texas, and it plans to recomplete a well targeting the Thunder Bay prospect in South Louisiana next month, the company said.

PetroQuest Energy said it purchased about 8.8 Bcf of proved natural gas reserves in the Arkoma Basin of Oklahoma from an unnamed private company for $13.5 million. The company expects to allocate $2 million of the purchase price to unevaluated acreage. The reserves are 47% proved developed producing. Development costs for the proved undeveloped reserves are estimated at $0.74/Mcf. The acquisition will initially add 1.5 MMcf/d of production. “This acquisition expands our existing operations in the Arkoma Basin, adding approximately 6,000 net acres adjacent to our current acreage position and approximately 28 miles of pipeline and infrastructure in Pittsburg County, OK,” said CEP Charles T. Goodson. “This brings our total ownership to over 12,000 net acres and 36 miles of pipeline in the area.”