By the OGJ Online Staff
HOUSTON, Aug. 13 -- MarkWest Hydrocarbon Inc., Englewood, Colo., has acquired two Canadian exploration and development companies for $51 million (US).
MarkWest said the deal will more than double its reserves to 63 bcfe.
Leland Energy Canada Ltd. and Watford Energy Ltd., both of Calgary, will add 15 MMcfd of gas production and 190 b/d of oil to MarkWest's 6.1 MMcfd of production.
The same management directs both companies; it will remain in place and operate as before the transaction.
MarkWest said the acquisition adds more than 106,000 acres and more than 300 drillable locations, most of which are defined by 3D seismic. It intends to collect more 3D data late this year.
MarkWest plans to spend more than $40 million over the next 2 years.
The company has two business segments: gathering, processing, and marketing and exploration and production.
