Bought all interests in Columbia River Basin in WA involving acreage and wells.
Delta Petroleum Corp., Denver, (Nasdaq: DPTR) has acquired all of the interests in the Columbia River Basin of Washington from EnCana Oil & Gas USA Inc., a subsidiary of EnCana Corp., Calgary, (NYSE: ECA) for an undisclosed price. The deal involves acreage and wells, bringing Delta's total ownership to approximately 844,000 acres in the region. Additionally, Delta plans to sell a 50% working interest in all of its Columbia River Basin leasehold and wells to an undisclosed Canadian company for an undisclosed price. At closing of these two transactions, Delta's position in the basin will be approximately 422,000 net acres. Delta and its partner plan to drill at least three wells, including the Gray 31-23 well. Roger Parker, Delta's chairman and chief executive, says the two transactions "will serve to diversify some of our exploration risk, while preserving significant exposure to the vast upside potential that we believe exists in the Columbia River Basin. With the execution of the joint-venture agreement with our new partner, along with an agreement to drill three wells, we can ensure to further test the merits of the basin." Delta operates primarily in the Rocky Mountain and Gulf Coast regions.