2011-02-07-2011-02-07
To buy CBM properties featuring 1,735 active wells on 313,600 net acres in WY Powder River Basin, gaining 51.2 MMcf/d.
High Plains Gas Inc., Gillette, Wyoming, has entered into a purchase and sale agreement to acquire J.M. Huber's natural gas assets located in Wyoming's Powder River Basin. This acquisition of coal bed methane properties represents significant gas production as well as resource base and land position, encompassing approximately 313,600 net operated acres.
The acquisition includes the operational capacities including flow lines, transportation rights and production wells (both active and idle). The transaction also includes approximately 150,000 net acres of deep rights for oil production.
Mark Hettinger, chairman of High Plains Gas, said, "The acquisition of J.M. Huber's Powder River Basin assets is very strategic for our Company because it compliments extremely well our recent acquisition of the Fairway Assets from Marathon Oil Corporation. These two acquisitions combined will make High Plains a major producer of natural gas in the Powder River Basin. They are a perfect fit for the experience and expertise the Company has in refurbishment and reactivation of coal bed methane wells."
Huber Asset Highlights
- Current Production: ~51,200 Mcf/d -- Net from ~1,735 active wells (~90% Operated)
- Acreage Position: 313,600 Net Acres (nearly 55% undeveloped)
- Average Working Interest: 93.6%
- Average Net Revenue Interest: 75.9%
About High Plains Gas, Inc.
High Plains Gas, Inc. is a Gillette, Wyoming based energy company actively engaged in the acquisition, development and production of natural gas primarily in the Powder River Basin.