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Show The National Enterprise , March 9, 1977 Page eleven Skyline Merger Looks Imminent SALT LAKE Skyline Oil (OTC 13.625, 14.375) and Texas Eastern Corp. Hous- by Phillips Petroleum, Sunoco and Sohio Petroleum Company. In 1976, Skyline ton, (NYSE 40.25 ) have reported revenue of $2.7 million and earnings of signed a definitive merger $551,000. agreement plan under which w Skyline ill become a wholly-owne- d Texas Eastern, with subsidiary of Texas 1976 earnings of $107 million e Eastern through a and revenue in excess of $1.5 reorganization. billion, has undertaken the Adoption of the promerger as a further means of has been apposed merger diversification. proved by the directors of The Texas based comboth companies and will now pany has long desired to require the approval of Skyexpand operations to the line stockholders at a meetWest, according to Max Elia-soing scheduled for April 26 in senior vice president of Salt Lake. The offering to The merger will Skyline. the Skyline stockholders will also afford Texas Eastern the be made only by the prosopportunity to expand to oil pectus included in a registrashale development, sometion statement being filed thing the company has also with the Securities and Exdesired, he said. change Commission. Under the agreement, Approximately 60 perTexas Eastern will exchange cent of Texas Eastern's curabout .38 of a share of its rent business is in the area of stock for each of about 1.2 gas transmission to both million Skyline shares. U.S. seaboards. The comBased on Skyline's presently pany is also engaged in exoutstanding shares, Texas ploring for and producing oil and gas in various parts of Eastern will be required to issue approximatley 474,765 the world, with major interaddishares and reserve an ests in the North Sea. Texas Eastern markets petroleum tional 36,235 shares to cover stock outstanding Skyline products at wholesale and options. propane at retail, operates a Founded in 1955, Skycrude oil refinery and gas line Oil is an oil and gas processing plants and proThe vides engineering services. exploration company. The company is also pursucompany owns over 16,000 acres of oil shale in Utahs ing coal gasification and Altamont-BluebeArctic gas pipeline projects region. and has plans for developing The property is adjacent to uranium resources. government property leased tax-fre- n. Wanna buy a tuna? Wells No. 9 and 10 Added ll to Pineview Field Production Two oil and gas pro- ducers, flowing at a combined rate of 3,217 barrels of oil and more than three million cubic feet of gas daily, were added to Pine-viefield in Summit County; a small gas discovery was completed eight miles south w Duchesne of Duchesne, County; and a 9,500 discovery well south is being tested for tion in San Juan reports Carlton foot gas of Moab comple- 24.75, 25.25) Energetics Inc., and North Cen- (OTC tral Oil completed the No. from 9,455 to 9,850 feet. The operators drilled the No. 4 UPRR to 10,107 feet, total depth. Five of the 10 Pineview wells have been completed from the two formations and five produce from the Nugget formation only. UPRR 3-- Burton-Hawk- Inc., s (OTC 1.875, 2.0625) Casper, completed their gas discovery south of Duchesne flowing 488,000 cubic feet per day. The well, the No. 5-- 1 Nutters producing from Ridge-Feder- Mississippian formation, 9,020 to 9,120 feet. Husky is testing the discovery well which is four miles northwest of the Lisbon field. Stowe, w 2 15-2- County, spokesman for the Department of Natural Resources. Stowe said the two Pine-viewells are the ninth and tenth producing wells in the field. Both wells were completed producing from the Twin Creek and Nugget formations (Jurassic age.) American Quasar Petroleum 3-- feet. It was drilled to 5,923 feet, total depth. Husky Oil set pipe to 9,571 feet at their indicated 5 gas discovery the No. Husky-Federa- l. Gas flowed at the rate of 7,400,000 cubic feet per day on a test of the is al 4,676-9- 4 Overthrust Locations Told Several new w-e- loca- tions are scheduled in Utah's Overthrust Belt region. Amoco Production has scheduled two new test wells almost 18 miles west and nearly the same distance northeast of Pineview. The wells are to be drilled to depths of 4,500 to 5,000 feet, are part of an overall widespread drilling program in the region by Amoco. Quintana Petroleum has staked a scheduled 2,000 foot test well about a mile and a half south of the Wyoming state line in Summit County. It is the No. 30-- 1 Quintana-Federa- l, some 15 miles east of Pineview and about 27 miles west of deep. . .15,000 feet. . .oil production in the Bridgcr Lake field. Quintana also plans to drill a projected 1 ,500 foot well in the vicinity of the new location. Elsewhere in Utah. 1 says that Anschutz Corporation, Denver, has made a well site location for a prothe No. 1 Federal-266- , jected 3,200 foot test in eastern Grand County. It is nearly two and a half miles northwest of gas production in the Danish Wash field and about four and a half miles north of the North Cisco Springs field. The towm of Cisco is 1 1 miles to the Stowe south. Dwayne B. Lovell will drill two remote wildcat wells a quarter mile apart near the Arizona border in Washington County. One is to go to 3,000 feet and the other to at least 5,000 feet. The wells are located 21 miles southwest of the Virgin Oil field, about seven miles south of the town of Washington near St. George. William G. Bush, Grand Junction, has made a location for the No. Bush-USabout 14 miles west of Castle Dale in Emery County. It is scheduled to about 2.500 feet for tests of the Kaibab formation. The test will be the first drilling down in the township. Closest previous drilling is some six miles to the southwest. The new wildcat of is 19 miles the Ferron field which produces gas from Ferron sandstone (Cretaceous age) and oil and gas from Kaibab formation (Permian age). 1 cast-northea- st A, Oil & Gas News Current company drilling reports reported to the Department of Natural Resources show the following progress: Duchesne County Gulf Oil is drilling below 14,000 feet Ute in at the scheduled 17,700 foot well, the No. Bluebell field. Grand County Willard Pease Oil & Gas is starting operations at a new test well, the No. 1 Federal. It will be drilled to 6,200 feet for possible testing of the Entrada formation. Mobil Oil is drilling below 4,000 feet at their McCormick-Federal projected 18,000 foot No. Brinkerhoff Drilling Company is rig contractor. Juab County - Dixel Resources continues drilling operations at their No. 1 Gunnison well south of Nephi. It is a scheduled 18,000 foot test well. Rich County - American Quasar Petroleum is drilling at 5,300 feet at the No. 20-- 1 Hogback Ridge, south of Bear Lake, about 13 miles north of the town of Randolph. Summit County - American Quasar Petroleum is drilling below 9,800 feet at an intended southeastern extension of the UPRR. It will be drilled to 10,500 Pineview field, the No. 1 feet for possible testing. Uintah County Gulf Oil, at 8,000 feet at the No. 2 Randlett exploratory test, will start operations at the No. 3 Several well shortly. They arc southeast of Roosevelt. wells arc drilling and or testing at a number of fields in Uintah County, the Wonsits Valley, Natural Buttes, Bluebell and Red Wash fields. 6-- C-- 1- in-fie- l. -1 ld Statistics Operators have completed 24 wells to date this year compared with 16 during the same period last year. More than 24,200 feet of hole has been drilled in the first two months of 1977 averaging nearly $65 to $70 a foot drilled. Twenty-eigh- t active rotary rigs arc working in Utah at present compared with 18 at this time last year. |