BP Amoco PLC buoyed its position as North America's No. 1 gas producer by acquiring a further 34% interest in Crescendo Resources LP, Amarillo, to take its stake to 75%.
BP Amoco bought the interest for $500 million from Crescendo joint-venture partner Repsol-YPF SA, which plans to sell its remaining 25% interest soon. Crescendo is a gas producer and processor in the Anadarko basin. It produces 235 MMcfd of gas and 25,000 b/d of NGL and has 1.2 tcf of gas reserves, a 2,200-mile gas gathering system, and gas processing plants with combined inlet capacity of 230 MMcfd.
The deal would double BP Amoco's share of Anadarko basin gas output to 180 MMcfd and add 15,000 b/d of NGL production, while hiking the firm's US gas output to about 2.4 bcfd.