By OGJ editors
HOUSTON, Jan. 29 -- Encore Acquisition Co. agreed to buy Anadarko Petroleum Corp.'s interests in the Williston basin in Montana and North Dakota for $410 million.
Encore estimates the properties have total proved reserves of 21 million boe, which are 90% oil and 81% proved developed producing. The properties currently produce 5,000 net boe/d. Encore will operate 85% of the acquired properties.
The Williston basin properties produce from more than 50 different fields across eastern Montana and western North Dakota. The 70,000 net acres involves primarily waterfloods and producing properties in the Bakken play.
Encore plans to enhance production from the acquisition through drilling, redevelopment, stimulation, and waterflood optimization.
Anadarko operates 93% of the properties, and oil accounted for 90% of the 2006 production. The agreement is expected to close by the end of the first quarter.