Bighorn Gas Gathering LLC, Tulsa, has signed multiple-year agreements with Prima Oil & Gas Co., a subsidiary of Denver-based Prima Energy Corp., to provide gathering services for Prima's coalbed methane gas production on 10,000 acres in Wyoming.
Bighorn will extend its system west of Gillette, Wyo., to provide gathering services for Prima's 4,000-acre Kingsbury/Throne prospect in Campbell County, where Prima has drilled more than 30 wells and has 70 additional potential well drilling locations.
Bighorn also will serve 6,000 acres of dedicated property leased by Prima, also in Campbell County. Prima has drilled 110 coalbed methane wells in Campbell County's Stones Throw prospect area, and expects to begin production by the end of the year.
Bighorn serves the northern part of the Powder River basin; it has a gathering capacity of 250 MMcfd. Its owners include affiliates of CMS Energy Corp. and Northern Border Partners LP.
CMS Energy's gas gathering and processing unit, CMS Field Services, owns 51% of Bighorn and is its managing partner and operator.