Sign in Subscribe
Petroleum industry

Consolidated Natural Gas Company Wins High Bids at Central Gulf of Mexico Federal Lease Sale

Strategic Insights

— 1 min read

Consolidated Natural Gas Company, a leading natural gas producer and distributor, announced today that its subsidiary, CNG Producing Company, was the high bidder on eight tracts in the central Gulf of Mexico federal lease sale. The company's bids totaled $3.2 million for a significant portion of the leases, which will add approximately 40,000 acres to its existing 355,000-acre portfolio in the Gulf of Mexico. This expansion positions Consolidated as a major player in the region's oil and gas industry.

Key Takeaways:

  • Consolidated Natural Gas Company's subsidiary, CNG Producing Company, was the high bidder on eight tracts in the central Gulf of Mexico federal lease sale.
  • The company's bids totaled $3.2 million for a 100% working interest in five tracts, a 50% interest in one tract, a 40% interest in another tract, and a 37.5% interest in a third tract.
  • The leases will add approximately 40,000 acres to Consolidated's existing 355,000-acre portfolio in the Gulf of Mexico.
  • Five of the tracts are located on the Continental Shelf, and three of the tracts are in deep water.
  • The company's bid will be reviewed by the Minerals Management Service of the U.S. Interior Department before the leases are finally awarded.
  • Consolidated is one of the nation's largest producers, transporters, distributors, and marketers of natural gas, with operations in the Northeast and Mid-Atlantic regions.

Statistics:

  • $3.2 million: Total bids placed by CNG Producing Company for the eight tracts.
  • 40,000 acres: Approximate amount of new land to be added to Consolidated's existing 355,000-acre portfolio in the Gulf of Mexico.
  • Eight tracts: Number of leases bid on by CNG Producing Company in the central Gulf of Mexico federal lease sale.
  • 100% working interest: Percentage of interest bid on by CNG Producing Company in five tracts.
  • 50%, 40%, and 37.5%: Percentage of interest bid on by CNG Producing Company in three separate tracts.

Sources:

  • PR Newswire, May 11, 1995
  • Consolidated Natural Gas Company press releases through PR Newswire's Company News On-Call fax service (800-758-5804, ext. 203456)

Read more