|
Trading Bay Energy to sell inlet holdings to Vancouver independent
Steve Sutherlin, PNA managing editor
Trading Bay Energy Corp. has entered into an agreement to sell two prospects — all of its Cook Inlet working interest holdings — to U.S. Petroleum Corp. of Vancouver, British Columbia, said Paul Craig, 100 percent owner of Trading Bay.
“U.S. Petroleum has entered into this agreement with intent of doing the proper permitting and drilling of wells,” Craig told PNA, adding that the agreement stipulates that drilling be done.
The 1,156-acre Marie Prospect is on the northwest boundary of the Beluga River gas field on the west side of Cook Inlet, Craig said. The 7,040-acre Hanna Prospect is adjacent to the Pretty Creek unit to the south, Lewis River unit to the north and Ivan River unit to the east.
The agreement to sell is predicated on issuance of leases still under adjudication at the state Division of Oil and Gas and it will close once the leases are issued, Craig said. The transaction involves only Cook Inlet leases.
U.S. Petroleum will get a 100 percent working interest in the leases.
“I’ll have an interest, not a working interest but a small overriding interest,” Craig said.
A lease upon which Craig was apparent high bidder in this year’s National Petroleum Reserve-Alaska sale is not included. Looked at inlet for long time “U.S. Petroleum has looked at Cook Inlet for a long time,” said Steve Summar, an independent Tulsa-based oil and gas producer/operator acting as a broker in the transaction.
Summar told PNA U.S. Petroleum is a participant but not an operator in Oklahoma and Texas region drilling ventures. It is a public company and trades on the U.S. over the counter market under the symbol USPT.
Summar’s brother Keith is vice president of exploration for North Star Energy Group Inc. of Tulsa, Okla., which purchased Alaska-based Gas-Pro in 2000. U.S. Petroleum is not affiliated with North Star.
Summar confirmed that U.S. Petroleum wants to see the properties explored and developed as soon as possible. He said it is probable that U.S. Petroleum will farm out the leases to an operator in exchange for participation.
“USPT intends to use local professionals and service companies in all its Alaskan operations where practical,” Summar told PNA. “Responsible corporate stewardship in compliance with applicable regulatory and environmental concerns in the Cook Inlet guide USPT’s management philosophy.”
In April U.S. Petroleum filed intent to drill with the Oklahoma Corporation Commission for a 3,200-foot well to test the Jefferson formation on its Senora Prospect in Okmulgee County. In February the company announced it had entered into a memorandum of understanding with Watkins Drilling and Exploration of Morris, Okla., to identify, lease, drill, complete and operate a number of oil and gas prospects in eastern Oklahoma.
For the 12 months ended Dec. 31, 2001, the company reported a net loss of $38,557, or 9 cents per share, based on a weighted average number of shares outstanding of 449,039.
High tech played a role in bringing buyer and seller together. Craig said he connected with U.S. Petroleum through an oil and gas colleague in Abilene, Texas, that he first met through the Internet.
For information on U.S. Petroleum Corp. visit: www.uspt.info
| 