NorthWestern Energy acquires gas assets in Montana, US

NorthWestern Energy has completed the approximately $70.2m acquisition of operating and non-operating natural gas production interests from Devon Energy in Bear Paw basin, northern Montana.

The company has acquired interests in around 900 wells, expected to produce around 5.6 billion cubic feet (bcf) in 2013.

The company noted that the facilities include 63 bcf of net gas reserves, located near its other natural gas production assets.

The acquisition also includes Devon’s 82% stake in the Havre Pipeline, which comprises 82 miles of transmission lines, 576 miles of gas-gathering lines, and 21 compressors in Blaine, Chouteau and Hill counties.

NorthWestern Energy CEO Bob Rowe said that the company has secured another gas production asset in Montana, which will help in providing long-term supply price stability and reliability for customers.

"We’re also pleased to welcome the newest members of the team to the NorthWestern Energy family. We look forward to getting to know them as co-workers in the Havre area," Rowe added.

The annual natural gas use of NorthWestern’s core customers is around 20 bcf, while the 5.6 bcf of 2013 production from the Devon transaction would represent around 28% of the supply portfolio.