Oil, gas industry keeps expanding
Oklahoma’s oil and natural gas industry continues to expand, the Oklahoma Energy Index revealed Thursday. The index is a comprehensive measure of the state’s oil and gas production economy. It showed a slight increase in industry activity in January, rising 0.64 percent from December. Officials said the gains were driven by higher natural gas prices, more active rigs and a strong showing by publicly traded companies in the index’s portfolio. “We continue to see customers in the industry identify and evaluate new opportunities within Oklahoma, which echoes that optimism. So far, it appears to be a promising start to 2014,” said Chris Mostek, vice president of energy lending at Bank SNB, which sponsors the index with the Oklahoma Independent Petroleum Association and the Steven C. Agee Economic Research and Policy Institute at Oklahoma City University. Institute Executive Director Russell Evans said the index has increased five of the past six months, showing the strength of the state’s economy. “As the state’s single most-defining industry, movements in oil and gas activity are a precursor to changes in the state’s economic climate,” Evans said.
Petroflow seeks acquisition
Equal Energy Ltd. will not pay a dividend for the first quarter as set out in the terms of its agreement with Petroflow Energy Corp. Tulsa-based Petroflow has offered to acquire all outstanding shares of Equal for $5.43 each. Equal shareholders have been asked to approve the deal at the company’s annual meeting in April.
Gulfport to buy more properties
Gulfport Energy Corp. is buying additional properties in the Utica Shale. Kentucky-based Rhino Resource Partners LP announced Wednesday it had entered into a binding letter of intent to sell its Utica holdings to Gulfport for about $185 million. Gulfport has leased about 165,000 acres in the Utica, the company said in a presentation released Wednesday.
SmartHours customers sought
Customers of Oklahoma Gas and Electric Co. can receive incentives for signing up before summer for the electric utility’s SmartHours program. “By switching to our SmartHours summer price plan early, our customers can still take advantage of the free programmable communicating thermostat and have it installed before our busy enrollment season begins,” said Angela Nichols, OG&E’s director of marketing. During thermostat installation, an OG&E installer will inspect and seal the customer’s main plenum ductwork free of charge. Customers who enroll by March 31 also will receive a free home energy efficiency kit, which includes weatherstrip, caulk and an LED light bulb. Last summer, OG&E said SmartHours customers saved an average of $150 during June through September by shifting their electricity use outside 2 to 7 p.m. weekdays. For more information, go to www.myOGEpower.com.
Company named to Forbes’ list
American Electric Power has been named to Fortune magazine’s list of the world’s most-admired companies in the electric and natural gas utilities sector. It was the company’s first time to participate in the survey, which measures nine attributes related to financial performance and corporate reputation. “AEP’s inclusion on the World’s Most Admired Companies list reflects our commitment to improving the customer experience and creating value for our shareholders as we transform our company to meet the energy needs of the future,” CEO Nicholas K. Akins said. “We are proud of our history of innovation and are making strategic investments in our people and our infrastructure to ensure we can continue providing customers with safe, reliable and affordable power for decades to come.” American Electric Power is the parent company of Tulsa-based Public Service Co. of Oklahoma.
Newfield seeks high production
Newfield Exploration plans to operate eight rigs this year in Oklahoma’s Anadarko Basin, its fastest growing region in 2013. Net production from the region totaled 7.1 million barrels of oil equivalent, but the Texas-based company expects to double that figure in 2014, thanks to “stacked” resource plays. Newfield said the recent completion of a large third-party gathering system in the SCOOP will help increase its sales in the region.
Cimarex drills 149 wells
Cimarex Energy Co. drilled and completed 149 gross wells in Oklahoma’s Cana-Woodford Shale last year, the Denver-based company reported this week. Another 54 gross wells were awaiting completion at the end of the year. Cimarex produced an average of 225 million cubic feet of natural gas equivalent a day there in the fourth quarter.
BNK plans drilling program
BNK Petroleum Inc. tested a new fracture stimulation method on a recently completed well in Oklahoma’s Tishomingo Field. The California company said the pilot test did not yield the desired results, but provided important information for future wells. CEO Wolf Regener said production from two other wells in the play will help BNK plan its 2014 drilling program, which will begin in the second quarter.
From Staff Reports