By OGJ editors
HOUSTON, Aug. 27 -- Pogo Producing Co., Houston, agreed to acquire natural gas properties in the San Juan basin for $189 million in two separate transactions. Through these agreements, Pogo will be acquiring an estimated 100 bcfe of proven reserves and current production of 15 MMmcfd.
Pogo will operate these properties. The proven reserves have a reserves-to-production index of 18 years. Plans for these properties will involve an active 2005-06 drilling program of 50 wells.
The first acquisition is expected to close on Sept. 1, and the second is expected to close on Dec.1. The acquisitions are subject to customary closing conditions.
Upon closing of these two transactions, Pogo's total acquisitions of proven reserves so far this year will total 150 bcfe for $235 million.
