All --
Questar's (STR) 3Q Conference Call, October 26, l999, is available as an Audio Archive at questar.com. Click Financial Information, then Annual Reports, then Audio Archives. The entire Call is 29 minutes. STR's June deal with Ultra on the Pinedale Anticline isn't mentioned in great detail this time. However, here are a few important facts that were mentioned:
-- a two rig drilling program on the Anticline in 2000;
-- approximately 9-10 wells planned for 2000;
-- over the next three+ years STR expects to increase its total gas reserves by 50% from Anticline activity.
STR has preliminary approval to switch its 700-mile Southern Trails pipeline from liquids transportation to natural gas (subject to environmental approval). STR's TransColorado pipeline (on which it is presently losing hundreds of thousands of dollars monthly) would tie into Southern Trails. Southern Trails terminates in California. So, to my way of thinking, STR needs Anticline gas as much for filling its pipelines as for pure production value. As an integrated natural gas company it produces, gathers, transports and delivers to customers natural gas. So, bottom line, this is a 2.2 billion dollar New York Stock Exchange company that has made a "hefty" bet on the same ground Ultra Petroleum has. Solid endorsement, I think!
(For the next few days the information on Southern Trails can be read at naturalgas.com.)
Gerry Atwater |
