Penn Virginia Corp., headquartered in Radnor, PA, has retainedWaterous & Co. to assist with the potential sale of a portionof the company’s Appalachia oil and gas properties. The properties,with an estimated 70 Bcfe of proved reserves are 97% natural gas.Current net production from the properties is 7 MMcf/d. A data roomto review detailed property information is expected to open inHouston later this month. More information is available atwww.waterous.com.
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Articles from sale
50,000 Georgia Retail Customers For Sale
About 50,000 Georgia retail gas customers will be sold to thehighest bidder at 10 a.m. EST on Wednesday in an Atlanta bankruptcycourt following a judge’s decision yesterday to fairly distributethe customers of bankrupt Titan Energy. The minimum bid will be $35per customer, or $1.75 million, increasing in dollar-per-customerincrements ($50,000 total).
Western Resources Explores Merger, Sale
Kansas-based Western Resources is exploring “several strategic alternatives” for its electric utility operations, which include finding a merger partner as it attempts to separate its regulated and unregulated assets and strengthen its market position. If a merger partner can’t be found, Western plans to look at other options for its two electric utilities, KPL and KGE. It may form a strategic alliance with other companies, partner with another electric or gas utility or possibly even sell them outright.
Cabot Closes Office, Lays Off 15
Cabot Oil & Gas announced it will close its Pittsburghoffice Aug. 31 as part of a “strategic repositioning” that includedthe sale of non-core Appalachian properties to Enervest ManagementCo. for $46.2 million last September. About 15 jobs will beeliminated as a result of the action. The remaining positions willbe transferred to existing offices in Charleston, WV, and Houston.
Western Resources Explores Merger, Sale
Kansas-based Western Resources is exploring “several strategicalternatives” for its electric utility operations, which includefinding a merger partner as it attempts to separate its regulatedand unregulated assets and strengthen its market position. If amerger partner can’t be found, Western plans to look at otheroptions for its two electric utilities, KPL and KGE. It may form astrategic alliance with other companies, partner with anotherelectric or gas utility or possibly even sell them outright.
Transportation Notes
Great Lakes is holding an open season through July 31 for thesale of firm service from Emerson to Carlton in seven packagessubject to Right of First Refusal provisions of the pipeline’stariff (that is, each existing shipper can match the highest bidfor the capacity and retain it). Up to 70,927 Dth/d of capacitystarting Nov. 1, 2002 is available. Call a marketing representativeat (888) 275-3611 for more information.
Cabot Closes Pittsburgh Office, Lays Off 15
Cabot Oil & Gas announced it will close its Pittsburghoffice Aug. 31 as part of a “strategic repositioning” that includedthe sale of non-core Appalachian properties to Enervest ManagementCo. for $46.2 million last September. About 15 jobs will beeliminated as a result of the action. The remaining positions willbe transferred to existing offices in Charleston, WV, and Houston.
Sale of Three Rivers’ Line Gets Green Light
FERC yesterday gave the go-ahead for Equitrans L.P. to acquireall but 26 miles of a 121-mile gas pipeline from Three RiversPipeline Co., a subsidiary of Equitable Resources Inc. Equitranswill purchase the facilities for their net book value of $4.2million.
Statoil’s Trading, Power Systems Still on the Block
Statoil Energy’s sale of 1.1 Tcf of gas reserves and 6,500 wellsin the Appalachian Basin to Equitable Resources earlier this monthfor $630 million was the first of three possible transactions, aspokeswoman said last week. The latter two, which would include thecompany’s top-30 trading operations, and growing power developmentarm, are expected to involve an eastern-U.S. electric utility buyerand take place before March, according to one inside source.
Statoil’s Trading, Power Systems Still on the Block
The company began moving its Houston operations to its Alexandria headquarterslast week in preparation for closing down the Houston office. The Houstonmarketing and trading group is expected to be operating at least throughthe end of the month and plans to come up with a transition plan to ensureservice will not be disrupted.