Shell Targeting Marcellus Gas with Ethylene Cracker

Royal Dutch Shell said Monday it is planning to build a “world-scale” ethylene cracker with integrated derivative units in the Marcellus Shale in Appalachia. The cracker would process ethane from Marcellus natural gas to produce ethylene, one of the primary building blocks for petrochemicals.

June 7, 2011

Progress Energy Sells Montney Stake to Malaysia’s Petronas

Calgary-based Progress Energy Resources Corp.’s chief executive said Thursday the company has found a “critical” partner to help market its natural gas in the Montney Shale of British Columbia after securing Malaysia’s national oil company Petronas (Petroliam Nasional Berhad) in a joint venture (JV) valued at about C$1.07 billion.

June 3, 2011

Kodiak Building Bakken/Three Forks Acreage

Kodiak Oil & Gas Corp. has agreed to acquire from an undisclosed private seller Bakken/Three Forks leasehold and producing properties in the Williston Basin for about $85.5 million, the company said Monday.

May 24, 2011

Honda Commits to New Natural Gas Civic Vehicle

Although subject to working through some still sticky post-earthquake parts distribution challenges, American Honda Motor Co. on Monday indicated that it still plans a nationwide sales push in the United States late this year for the latest version of its compressed natural gas (CNG)-powered Civic GX model.

May 10, 2011

Carrizo Sells Barnett Assets to KKR Affiliate

Carrizo Oil & Gas Inc. agreed to sell substantially all of its Barnett Shale Tier 1 properties to KKR Natural Resources (KNR), a partnership of an affiliate of Kohlberg Kravis Roberts & Co. LP (KKR) and Premier Natural Resources, for $104 million, the companies said Wednesday.

April 29, 2011

Industry Briefs

Copano Energy LLC plans to expand the processing capacity of its Houston Central plant in Colorado County, TX, to accommodate increased demand from producers in the Eagle Ford Shale. Houston-based Copano plans to build a 400,000 Mcf/d cryogenic processing plant, bringing the facility’s total processing capacity to 1.1 Bcf/d. The new plant is estimated to cost $145 million and could be in service by early 2013. Copano, a midstream natural gas company with operations in four states, owns assets including nine processing plants with more than 1 Bcf/d of combined processing capacity and 22,000 b/d of fractionation capacity.

April 21, 2011

Encana Taking Piece of Kitimat LNG Project

Encana Corp. is taking a 30% stake in the planned Kitimat liquefied natural gas (LNG) export terminal on the west coast of central British Columbia (BC) and its associated gas pipeline, the Calgary-based company said Friday. Encana is joining units of Apache Corp. and EOG Resources Inc. in the project, which will target Asian markets with western Canadian gas supplies.

March 21, 2011

Inhofe Looking Into Texas Contamination Case

Republican Sen. James Inhofe of Oklahoma, has requested all of the Environmental Protection Agency’s (EPA) documents related to its investigation of water well contamination in North Texas by Range Resources Corp.

February 17, 2011

Marcellus Shale Coalition Grows, Elects Leadership Team

The Marcellus Shale Coalition (MSC) on Thursday elected a new leadership team to helm the executive committee and announced the addition of almost three dozen associate member companies.

January 24, 2011

Industry Brief

EnerVest Ltd. and affiliated partnerships including EV Energy Partners LP have agreed to buy oil and gas properties in the Barnett Shale from Talon Oil & Gas LLC for $967 million. The price, subject to adjustments, includes 3-D seismic across all of the acreage and hedges from the seller. The majority of the 20,207 gross acres is in the core of the Barnett Shale in North Texas. The properties produce 87 MMcfe/d from 212 active wells, with 1.1 Tcfe in reserves. The acquisition adds the Barnett Shale as EnerVest’s fourth core operating area. Production from the wells is 29% natural gas liquids/71% natural gas, the company said. EnerVest said it will produce 384 MMcfe/d from 18,530 wells with 2.7 Tcfe of reserves upon closing of the acquisition, which is scheduled for Dec. 30.

October 28, 2010