Strategic

In an acquisition that CEO Jack E. Wheeler calls “very strategicand synergistic,” the Aspen Group Resources Corp. has acquired 100%of Old Dominion Oil Corp.’s Anadarko Basin producing wells, leases,property and equipment, of which about 90% are natural gasreserves, in an all-cash transaction. Terms of the transaction werenot disclosed.

To help expand its Canadian business, Houston’s El Paso EnergyCorp. has formed a strategic affiliation with The Enerplus Group,one of Canada’s oldest and largest managers of public and privateoil and gas income funds, which manages assets of more than $1billion. The Enerplus Group includes the EnerMark Income Fund, theEnerplus Resources Fund and several private pension resourcecorporations.

The Pipeline Research Council International Inc. (PRCI) and itsstrategic technology partner, Houston-based Technical ToolboxesInc. (TTI), announced yesterday they plan to launchPipelineCentral.com, a neutral Internet marketplace that wouldenable suppliers to furnish services and equipment (i.e.compressors and smart pigs) more quickly to interstate natural gasand oil pipelines in the United States and overseas.

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.

Allegheny Energy Solutions formed a strategic alliance withdistributed generation developer Capstone Turbine. “As the world’sleading microturbine manufacturer, Capstone enhances our range ofon-site solutions and provides us with a quality product to offerto our customers,” said David Cole, director of Allegheny EnergySolutions. “We believe there will be significant growth ofdistributed generation opportunities over the next five to 10years, and Allegheny Energy is seizing opportunities in thisgrowing market.” As part of the alliance, a Capstone MicroTurbinewas installed at the site of Allegheny Energy’s Mitchell PowerStation in New Eagle, PA. Allegheny will monitoring the technicaland economical characteristics of the device and identify newapplications. Allegheny Energy, Inc. is a diversified energycompany headquartered in Hagerstown, MD. Allegheny Power deliverselectric energy to about three million people in parts of Maryland,Ohio, Pennsylvania Virginia, and West Virginia.

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.

Merrill Lynch has been hired to serve as Avista Labs’ investmentbank and strategic adviser to evaluate the best ways to maximizethe shareholder value of its fuel cell technology. Avista Corp. ofSpokane, WA made the announcement yesterday, and said that MerrillLynch will “consider all possible options, including financialrestructuring and an initial public offering.” Avista Labs recentlyreceived a comprehensive patent securing the exclusive modulardesign of its PEM fuel cell system, a “plug and play” feature thatallows fuel cell cartridges to be easily removed and replacedwithout interrupting power. The Labs arm of Avista Corp. is a jointdevelopment agreement with UOP to integrate its fuel cell with thenatural gas and propane fuel processor systems of UOP. Later thisyear, field testing will begin for the integrated units of UOP.Currently, Avista Labs is testing its fuel cell subracks in severallocations across the country, including Arizona Public Service inPhoenix, the Fuel Cell Test and Evaluation Center in Johnstown,PA., Tyndall Air Force Base in Panama City, FL, and as back-uppower within the Avista Utilities service territory in the PacificNorthwest.

The Houston Exploration Co, and KeySpan Energy concluded theirreview of strategic alternatives for Houston Exploration and saidKeySpan will retain its 64% equity position in Houston Explorationfor the foreseeable future.

The Houston Exploration Co, and KeySpan Energy concluded theirreview of strategic alternatives for Houston Exploration and saidKeySpan will retain its 64% equity position in the productioncompany for the foreseeable future.