Anadarko Petroleum to Expand Sales Capacity for Natural Gas

THE JOURNAL RECORD, January 7, 1994 | Go to article overview

Anadarko Petroleum to Expand Sales Capacity for Natural Gas


HOUSTON _ Anadarko Petroleum Corp. said Thursday that the company's gas sales capacity in the Midwest will expand significantly following execution of a one-year gas purchase agreement between Anadarko Trading Co. and PanCanadian Petroleum Co., the U.S. subsidiary of PanCanadian Petroleum Limited of Calgary.

Beginning April 1, Anadarko Trading will purchase 40 million cubic feet of gas per day from PanCanadian for sale into market areas in Illinois, Wisconsin and Minnesota, generally served by Northern Natural Gas Co. and other interstate pipelines.

Anadarko Trading currently markets about 100 million cubic feet of gas into the Northern Natural market area. These sales were made possible with the construction of the Hugoton Gathering System in southwest Kansas in 1990, which expanded Anadarko Petroleum's market outlets for its gas production from the area. Total sales by Anadarko Trading in 1994 are expected to average 700 million cubic feet, and the majority of that gas is delivered to Midwest market areas in Michigan, Illinois, Indiana and Ohio.

"The Northern Natural market area offers Anadarko an important alternative market for our large Hugoton Field reserves," said Anadarko Petroleum Vice President of Marketing Richard J. …

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Anadarko Petroleum to Expand Sales Capacity for Natural Gas
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