Associated Natural Gas Buys Plant, Gathering System

Article excerpt

and 180-mile gathering system in Oklahoma has been purchased by Associated Natural Gas Inc. from Kerr-McGee Corp. of Oklahoma City and Warren Petroleum Co.

Purchase prices were not disclosed. Associated Natural Gas, based in Denver, with offices in Oklahoma City, announced the purchase Friday. The sale was closed Tuesday.

Kerr-McGee sold its Milfay Gas Plant northeast of Oklahoma City with a design capacity of 15 million cubic feet per day to Associated Natural Gas. Warren Petroleum sold the gathering system, located in Lincoln, Creek and Okfuskee counties.

The plant will raise Associated Natural Gas' processing capacity to 100 million cubic feet per day. The company, a wholly-owned subsidiary of Associated Natural Gas Corp. of Denver, has four other processing plants in Colorado, Louisiana, Oklahoma, Arkansas and Texas.

Plans to expand the new processing plant are under way, said George W. Drake, vice president of Associated Natural Gas at its Oklahoma City division office.

Therefore, Drake said, Associated Natural Gas is actively acquiring additional gas supplies for the system. …


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