Amoco Buys Interest
In Texas WellsAmoco Production Co. entered into a formal purchase and sale agreement with Arco Oil and Gas Co. to buy Arco's 36.5 percent working interest in the Headlee Devonian Unit in Ector and Midland Counties in West Texas.
Amoco said the agreement, signed last week, is expected to be closed in
December. The purchase price was not disclosed.
Amoco is purchasing Arco's working interest in 113 producing wells, 37 gas injection wells, and the Headlee cryogenic gas plant on the eastern edge of Odessa.
Amoco's net share of natural gas liquids production from the plant and condensate production from the wells will be about 4,600 barrels a day.
Amoco said gross production from the Headlee Devonian Unit includes about 200 million cubic feet a day of wet gas, which is processed by the cryogenic plant to yield about 11,000 barrels of liquid a day.
The dry gas is reinjected into the formation. Gross condensate production
from the unit is about 3,000 barrels a day.
Tosco, Arco Sign
SANTA MONICA, Calif. - Tosco Corp. said it entered into an agreement with Atlantic Richfield Co. under which Arco will deliver 50,000 barrels a day of crude oil to Tosco's Avon refinery, located in the San Francisco Bay Area, in exchange for gasoline.
Tosco said the agreement will be effected in phases over the next six months for an initial term of 10 years, with an option for two five-year extensions. The agreement includes a number of termination clauses.
Tosco entered into the agreement to strengthen operations at the Avon refinery.
Occidental in Venture
With Church & Dwight
LOS ANGELES - Occidental Petroleum Corp. and Church & Dwight Co. said they have completed transactions to form a partnership to produce and market potassium carbonate and to acquire shares of Church & Dwight stock.
The new venture, Armand Products Co., is equally owned by Occidental and Church & Dwight.
The partnership will own and operate an existing potassium carbonate plant in Muscle Shoals, Ala. It will produce and market existing and new potassium carbonate product lines.
Fluor Engineers Wins
Contract From Amoco
IRVINE, Calif. - The Chicago division of Fluor Engineers Inc. received a contract to modify Amoco Oil Co.'s Whiting, Ind., oil refinery.
Value of the contract was not disclosed.
Approximately 60 employees of the Chicago division will be involved in engineering, design and procurement services to modernize the Whiting refinery's delayed-coking unit. Work is scheduled to be completed in mid-1987.
Test Results Reported
From North Sea Well
DENVER - Hamilton Oil Corp., as operator, announced test results from an appraisal well drilled on the Ravenspurn North field in Block 43/26 in the British sector of the North Sea.
Following a successful fracture stimulation, well 43/26-7 flowed gas at the rate of 23.3 million cubic feet a day.