Energy business briefs for June 28

Energy business briefs for June 28
Modified: June 27, 2013 at 8:13 pm •  Published: June 28, 2013
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CenterPoint searches for exec

There is one fewer candidate in the search for an executive to head the new midstream partnership formed by OGE Energy Corp. and CenterPoint Energy last month. C. Gregory Harper, the head of CenterPoint's midstream business, has withdrawn from consideration, the company announced Thursday. Harper will leave CenterPoint on June 30 to pursue other opportunities. “The CEO selection process is ongoing and is the top priority for the senior executives of both OGE Energy and CenterPoint Energy,” OGE Energy spokesman Brian Alford said Thursday. The name and base of operations for the new master limited partnership also have not been determined.

Energy group names honorees

The Oklahoma Independent Petroleum Association has honored Panther Energy Co. CEO Berry Mullennix and Select Energy Services. Mullennix was recognized for his work as chairman of OIPA's federal issues committee, traveling repeatedly to Washington to talk to lawmakers about the role of independent producers in Oklahoma and nationwide. “Our industry and way of life has been under attack from multiple fronts over the last few years,” Mullennix said. “The OIPA as an organization has gone above and beyond in fighting these attacks and protecting its members' rights to do business and provide our country with safe, cheap and reliable energy.” Houston-based Select, which provides end-to-end waters solutions and well site services, received OIPA's 2013 Partner Award, which is presented to service companies for their support of Oklahoma oil and natural gas producers. “Companies like Select are the reason oil and natural gas production is the leading industry in Oklahoma,” OIPA President Mike Terry said. “Select's tireless efforts to promote the OIPA and the industry as a whole deserve our recognition and our gratitude.”

New Source boosts borrowing

New Source Energy Partners LP has increased its borrowing base to $75 million to bolster its operations in central Oklahoma, the Oklahoma City-based company announced this week. “The pace of our drilling program in the Hunton Reservoir has been rapidly increasing,” CEO Kristian B. Kos said. “With $75 million in borrowing capacity at attractive rates under our revolving credit facility, we are well positioned to continue to expand and execute on our strategic plan.” New Source has about $27 million available after boosting its revolving credit facility from $60 million. The company has $48 million in outstanding debt.

Whiting to sell recovery outfit

Denver-based Whiting Petroleum Corp. has agreed to sell its enhanced oil recovery operations in Texas County to BreitBurn Energy Partners LP for nearly $860 million. The sale includes the related gathering and plant processing facilities, oil delivery pipeline, 60 percent interest in the 120-mile Transpetco-operated carbon dioxide transportation pipeline, carbon dioxide supply contracts and certain crude oil swaps. Los Angeles-based BreitBurn also will acquire some other assets for an additional $30.2 million. “These assets are an excellent fit for our portfolio, with significant recoverable oil in place and a long horizon of production visibility,” BreitBurn CEO Hal Washburn said. “We anticipate a decade or more of very low decline production from these assets, which balances some of our more development-focused acquisitions completed last year.”

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