Anadarko to drill 600 wells for natural gas production expansion

US-owned Anadarko Canada plans to spend $ 260-mm to drill 600 wells in Western Canada in an attempt to expand its natural gas production. "Anadarko has laid out an aggressive growth strategy for Canada that ties in strategically with the company's goal to grow its North American gas business," Jim Emme, president of the Calgary-based oil and gas producer, said.
Mr. Emme said the company will focus on its key operating areas in Alberta, British Columbia and Saskatchewan, where it will apply new exploration and drilling techniques to expand production. Anadarko will also increase drilling in the Foothills region of Alberta, the Mackenzie Delta in the Far North and on the East Coast within two years.
Anadarko's core Western Canadian assets include the Moose Hills-Kehewin heavy oil development in north-eastern Alberta, the Jean Marie gas play in north-eastern British Columbia and the Hatton shallow gas play in south-western Saskatchewan. In the coming months, Anadarko's Canadian operations willinclude 14 active drilling rigs, 10 of which will be looking for gas in north-eastern B.C. In 2001-02, this is expected to increase to 22 rigs.
Beyond its core operations in Western Canada, Anadarko's growth strategy for 2001 includes a focused effort on frontier exploration. "The strategic combination of expanding existing plays in core areas and significant entry into the frontier plays in the Mackenzie Delta and East Coast of Canada will position Anadarko well for future growth," Mr. Emme said.

The company is owned by Houston-based Anadarko Petroleum, one of the world's largest independent exploration and production companies, with proved reserves of more than 2 bn barrels of oil equivalent and operations across the United States and the Gulf of Mexico. Besides Canada, Anadarko has international operations in Africa, Latin America, the North Atlantic and Australia.