By OGJ editors
HOUSTON, May 4 -- Encore Acquisition Co., Fort Worth, said significant drilling opportunities are available on natural gas properties it plans to acquire in Overton field, Smith County, Tex.
The $82 million deal is expected to close early in the third quarter. Encore did not disclose the sellers. Signing of the Overton agreement follows closely on Encore's acquisition of Cortez Oil & Gas Inc., Plano, Tex., for $123 million (OGJ Online, Mar. 4, 2004).
Encore's board revised its 2004 development capital budget to $174 million to reflect the Cortez and Overton acquisitions.
Encore expects to raise its investment budget 27% to $37 million in the second quarter. The increase is in the operated and nonoperated drilling programs under way and in its high pressure air injection tertiary recovery projects on the Cedar Creek anticline in the Rocky Mountains.
