Printer Friendly

SONAT INC. ANNOUNCES OIL AND GAS ACQUISITIONS

 BIRMINGHAM, Ala., Sept. 30 /PRNewswire/ -- Sonat Inc. (NYSE: SNT) today announced that Sonat Exploration Company recently contracted for or closed four oil and natural gas acquisitions for a combined purchase price of approximately $140 million. In connection with one of the transactions, Sonat Inc. is also assuming approximately $4 million of incremental debt.
 These acquisitions will add approximately 95 million net cubic feet of natural gas equivalent production per day to Sonat Exploration's current production, an increase of approximately 24 percent.
 The largest of these transactions, which closed on Sept. 30, involved the acquisition of approximately 34 producing wells on 21 lease blocks in the Gulf of Mexico from Mobil Exploration and Producing U.S., Inc. Mobil was operator, and Sonat Exploration will succeed Mobil as operator of 19 of the 21 lease blocks acquired. These properties presently produce approximately 80 million net cubic feet of gas per day and 300 net barrels of oil and liquids per day. Sonat Exploration plans to drill 10 wells on these properties before the end of 1994.
 Properties in the other transactions are located in east Texas, south Texas and the Anadarko Basin of Oklahoma.
 "These transactions continue our strategy of acquiring properties with value-enhancement potential, emphasizing natural gas. With the addition of these properties, the acquisitions closed earlier this year, and our drilling activities this year, we expect our year-end proved reserves will exceed 1.2 trillion net cubic feet of gas equivalent," said Donald G. Russell, chairman and chief executive officer of Sonat Exploration.
 Sonat Exploration is a wholly owned subsidiary of Sonat Inc. Sonat Inc., headquartered in Birmingham, Ala., is a diversified energy company involved in natural gas transmission and marketing and oil and gas exploration and production. It also has significant investments in the oil field services industry.
 -0- 9/30/93
 /CONTACT: Bruce Connery of Sonat, 205-325-3898/
 (SNT)


CO: Sonat Inc.; Sonat Exploration Company ST: Alabama IN: OIL SU: TNM

BR-ST -- AT008 -- 7257 09/30/93 11:59 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Sep 30, 1993
Words:331
Previous Article:BENJAMIN PAYTON JOINS MORRISON BOARD OF DIRECTORS
Next Article:KFC LAUNCHES CHICKEN REVOLUTION COLONEL'S ROTISSERIE GOLD CONTINUES $100+ MILLION ROLL OUT
Topics:

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters