Purchased

UPS announced that it has purchased 48 heavy tractor trucks fueled by liquefied natural gas (LNG) and plans to help build a publicly accessible LNG station in Las Vegas, NV.

UPS announced that it has purchased 48 heavy tractor trucks fueled by liquefied natural gas (LNG) and plans to help build a publicly accessible LNG station in Las Vegas, NV.

Energen Resources Corp. has purchased three-year leases for about 17,000 net acres in the Bone Spring and Avalon shale trends in the Permian Basin from various Texas state agencies and other entities for $15.3 million, said parent Energen Corp. Based on 320-acre spacing, the company estimates that the acreage in Reeves, Ward, Loving and Winkler counties offers potential for approximately 50 Bone Spring locations and 50 Avalon Shale locations. The typical Bone Spring well has estimated ultimate recovery of 400,000-500,000 boe, the company said. Energen Resources estimates that drilling and completion costs are approximately $7.5 million per well. It has drilled eight Bone Spring wells in Ward and Winkler counties and participated in another 23 wells. The company announced plans in December to drill another 13 Bone Spring net wells in 2011 and at least one Avalon Shale well. Potential drilling plans on the new leases in 2011 have not been determined.

EXCO Resources Inc. plans to add to its Marcellus Shale portfolio under a $459.4 million agreement with Chief Oil & Gas LLC.

Form 552 data collected by FERC indicates that more than 2,000 companies participated in almost 56 Tcf of physical gas market transactions in 2009, about 2.5 times the volume of gas produced, according to an analysis issued by FERC’s Office of Enforcement Thursday.

Form 552 data collected by FERC indicates that more than 2,000 companies participated in almost 56 Tcf of physical gas market transactions in 2009, about 2.5 times the volume of gas produced, according to an analysis issued by FERC’s Office of Enforcement Thursday.

Xcel Energy filed with Colorado regulators for approval of a $52.7 million rate increase to cover the utility’s updated forecast of fuel and purchased energy prices for the second quarter of this year and an undercollection for the first quarter. It asked the Colorado Public Utilities Commission (PUC) to make the increase effective April 1. Minneapolis-based Xcel said the electric commodity adjustment (ECA) filing is estimated to drive up residential and small business customer bills an average of 8%. The ECA portion of Xcel customers’ electric bills would increase to 3.73 cents/kWh in the second quarter, compared to 2.93 cents/kWh currently. For the typical residential customer, bills would increase by about $5.18 monthly to around $71.53. Small businesses face a monthly increase of $9.21, taking the average bill to more than $122. Costs associated with increase or decreases through the ECA are passed through on a dollar-per-dollar basis.

Xcel Energy filed with Colorado regulators for approval of a $52.7 million rate increase to cover the utility’s updated forecast of fuel and purchased energy prices for the second quarter of this year and an undercollection for the first quarter. It asked the Colorado Public Utilities Commission (PUC) to make the increase effective April 1. Minneapolis-based Xcel said the electric commodity adjustment (ECA) filing is estimated to drive up residential and small business customer bills an average of 8%. The ECA portion of Xcel customers’ electric bills would increase to 3.73 cents/kWh in the second quarter, compared to 2.93 cents/kWh currently. For the typical residential customer, bills would increase by about $5.18 monthly to around $71.53. Small businesses face a monthly increase of $9.21, taking the average bill to more than $122. Costs associated with increase or decreases through the ECA are passed through on a dollar-per-dollar basis.

Denmark-based Maersk Oil has purchased Devon Energy Corp.’s 25% stake in the deepwater Gulf of Mexico Jack prospect in the Lower Tertiary Trend. Maersk in December had agreed to pay $1.3 billion to purchase Devon’s interests in three Lower Tertiary projects: the Jack, St. Malo and Cascade (see Daily GPI, Dec. 23, 2009). However, working interest partners in St. Malo (Chevron Corp.) and Cascade (Petroleo Brasilerio) exercised preferential rights to purchase Devon’s interests (see Daily GPI, Jan. 26). Devon said the aggregate purchase price of its interests in the three prospects remains $1.3 billion; closings are expected by the end of March.