Williams buys more drilling rights, wells in Colorado | AspenTimes.com

Williams buys more drilling rights, wells in Colorado

The Associated Press
Aspen, CO Colorado

GRAND JUNCTION – Williams Companies says it has expanded its holdings in western Colorado by purchasing drilling rights on 21,800 acres plus 28 producing natural gas wells for $258 million.

Tulsa-based Williams announced the purchase Monday. The seller wasn’t identified.

When completed, the deal will give Williams drilling rights on a total of nearly 212,000 acres in the Piceance Basin, north of Rifle.

Williams says the newly acquired leases could represent the equivalent of 795 billion cubic feet of natural gas reserves. The company says 150 billion cubic feet of reserves are already proved on the new purchases.

Williams currently has eight drilling rigs operating in western Colorado. It plans to add one this year, one next year and two in 2011.