?• Midland, Texas-based Adventure Exploration Partners LLC plans to acquire assets in Texas and New Mexico from Rex Energy I LLC, a subsidiary of Rex Energy Corp., State College, Pa., (Nasdaq: REXX) for $18 million.
The assets are mostly in the Permian Basin and include approximately 15,000 gross acres (10,000 net). Production as of the end of the third quarter was 1.6 million cu. ft. of gas equivalent per day. Proved reserves as of year-end 2007 were 10.7 billion cu. ft. equivalent.
The sale is part of Rex Energy’s plan to focus its efforts and capital investment in Marcellus shale exploration in the Appalachian Basin and the Lawrence Field ASP flood project in the Illinois Basin.
KeyBanc Capital Markets Inc. is advisor to Rex Energy.

• Continental Fuels, Houston, (Pink Sheets: CNFU), Heartland Oil and Gas Corp., Houston, (Pink Sheets: HTOG) and Universal Property Development and Acquisition Co., Houston, (Pink Sheets: UPDV) report that they have merged to reduce costs, with Continental Fuels chief executive officer Tim Brink assuming CEO duties of the new company. Heartland and Continental are now subsidiaries of Universal Property Development.
Brink says, “We have analyzed the operation from top to bottom and eliminated duplication of effort particularly in upper management and accounting.”
The restructuring will allow Heartland to continue to grow as Universal Property’s E&P arm and Continental Fuels as its trading and marketing subsidiary.

• Ecopetrol SA, Bogota, Colombia, (NYSE: EC) has entered a farm-in agreement with Norwegian StatoilHydro ASA (NYSE: STO) to drill wells in the Gulf of Mexico. Ecopetrol will have interests ranging from 20% to 30% in three exploration wells in U.S. deep water during the next two years. Preliminary evaluation indicates Ecopetrol’s initial investment could be more than $160 million.
As part of the deal, Ecopetrol and StatoilHydro have agreed to undertake a process for maturing several prospects during the next seven years. Ecopetrol says the agreement will help it diversify its exploratory risk and to acquire knowledge and technology for development of future deepwater projects.

• El Paso Exploration & Production Co., a subsidiary of El Paso Corp., Houston, (NYSE: EP) plans to sell two gas-producing properties in New Mexico, Louisiana and Arkansas to an undisclosed buyer for approximately $77 million. The assets are in the San Juan Basin in northwest New Mexico and along the Louisiana and Arkansas border in Shongaloo and Spring Hill fields. The New Mexico assets were a part of the acquisition of Peoples Energy in 2007.
Estimated proved reserves are 40 billion cu. ft. equivalent. Current production is approximately 15 million cu. ft. equivalent per day.

• FMC Technologies Inc., Houston, (NYSE: FTI) has acquired a 45% interest in privately held, Davis-Calif.-based Schilling Robotics LLC for $116 million. The deal allows for FMC to acquire the remaining 55% of Schilling beginning in 2012. Schilling provides remotely operated vehicles (ROVs), ROV manipulator systems, control systems and other equipment and services for subsea E&P.
FMC chairman, president and chief executive Peter D. Kinnear says, “This is a unique and exciting opportunity to expand our subsea business in a new direction. Our global subsea franchise will assist Schilling Robotics in extending its reach worldwide and better position it to serve its customers.”

• Allis-Chalmers Energy Inc., Houston, (NYSE: ALY) plans to acquire the remaining equity interest in BCH Ltd. from BrazAlta Resources Corp., Calgary, (Toronto Venture: BRX) in a deal valued at US$68.5 million. As part of the transaction, Allis-Chalmers will assume a $40-million loan that BCH holds

Comments