Trust

Calgary-based AltaGas Income Trust and Devon Canada Corp. have shelved plans to develop the Noel natural gas pipeline and Pouce Coupe sour gas facility expansion project because of a market slowdown. The projects were announced earlier this year.

Precision Drilling Trust, Canada’s largest oilfield services provider, cut its distribution to investors Friday by 31.5% after it said customer demand for its services was continuing to decline.

Calgary-based Progress Energy Trust last week acquired some natural gas-rich assets adjacent to its core properties in northeastern British Columbia and northwestern Alberta from the Canadian unit of BG Group for C$526 million. Subsequent to the transaction, Progress sold a partial interest in the Foothills assets to affiliate ProEx Energy Ltd. for C$134.3 million.

Calgary-based Progress Energy Trust on Monday announced the acquisition of some assets in northeast British Columbia and northwest Alberta, which are adjacent to its core Deep Basin and Foothills properties, from a private company for total consideration of C$526 million. Subsequent to the transaction, Progress sold a partial interest in the Foothills assets to ProEx Energy Ltd., a company it formed in 2004, for C$134.3 million, putting its portion of the acquisition at C$390.3 million.

Calgary-based Provident Energy Trust last week acquired a package of natural gas-rich prospects in the Rainbow and Peace River Arch areas of northwestern Alberta for an estimated price of C$475.9 million (US$420.4 million) after adjustments. The assets, purchased from a private independent U.S.-based producer, are 90% natural gas and currently produce 33 MMcfe/d (5,500 boe).

Calgary-based Provident Energy Trust on Tuesday acquired a package of natural gas-rich prospects in the Rainbow and Peace River Arch areas of northwestern Alberta for an estimated price of C$475.9 million (US$420.4 million) after adjustments. The assets, purchased from a private independent U.S.-based producer, are 90% natural gas and currently produce 33 MMcfe/d (5,500 boe).

Calgary-based energy trust PrimeWest Energy has completed its acquisition of producing oil and gas assets located in Montana, North Dakota and Wyoming for US$300 million (C$330 million) from an undisclosed buyer. The acquisition, said PrimeWest, establishes a new operating area within the Williston Basin, “providing considerable water flood and development drilling potential.” The acquisition increases the company’s production by approximately 3,200 boe/d, composed of 94% crude oil and 6% natural gas. Approximately 80% of the crude oil production is light crude oil, produced from the Mississippian and Devonian formations. PrimeWest said it acquired about 47,000 acres in several fields, including Flat Lake, Dwyer, and Goose Lake in Montana; Rival, Grenora, Alexander, Wiley, Glenburn and Sherwood in North Dakota; and Rocky Point in Wyoming. The most prolific field, it said, is Flat Lake, which is geologically similar to the producing fields found immediately north of the Canada/U.S. border in Saskatchewan.

Duke Energy Corp. is spinning off its Canadian midstream business into an income fund and is planning an initial public offering (IPO) of trust units of the fund. The announcement in Canada Friday by Duke Energy Income Fund said a preliminary prospectus has been filed with securities regulatory authorities in all of the Canadian provinces.

In its third deal in less than a month, Calgary-based AltaGas Income Trust on Tuesday announced it will pay C$9.5 million (US$8.06 million) to acquire a 100% working interest in the Blair Creek Gas Plant, located northwest of Fort St. John, BC. The 24 MMcf/d sweet gas processing facility is expected to be in service by November 1.