Aurora Gas LLC said today that it has arranged a line of equity of $25 million with Aurora-KF L.L.C., an affiliate of Kaiser-Francis Oil Co. of Tulsa, Okla., and COSCO Capital Management LLC of New York City.
Aurora is a private, Houston-headquartered, developer of natural gas in the Cook Inlet basin. Directly or through affiliates, the company said, Aurora has been associated with gas marketing and supply in the greater Anchorage area since 1994.
Aurora said it will use the initial capital to acquire and develop proved undeveloped reserves and acreage, primarily on the west side of the Cook Inlet, and continue development of the Nicolai Creek field.
G. Scott Pfoff, president of Aurora, said in a statement that the financing affords the company an opportunity to accelerate its growth as a gas producer and marketer in the Cook Inlet area.
The company will use the financing "to aggressively pursue the many prospects, leads and development opportunities" already identified on existing and soon-to-be acquired acreage, said Andy Clifford, Aurora's vice president of exploration.
Ed Jones, Aurora's vice president of operations, said the company has already planned operations this summer to re-complete several wells for production.
The company began development at Nicolai Creek in December 2000 with the work over of the Nicolai Creek Unit No. 3 well; production facilities and pipelines for that well were installed between May and October; production began Oct. 3, 2001.