The Oil Drum: Drilling on Wall Street

Finding it easier to add new reserves on Wall Street than from E&P in the ground, Anadarko bought both Kerr-McGee and Western Gas on Friday, June 23rd in a $21 Billion Deal in the Oil Patch.

I assume these fossil fuel reverve numbers are proved reserves as reported to the SEC–see Bubba’s What the hell are oil reserves anyhow? So, this was a natural gas “play”, using that term loosely. The total bought is 4.26/tcf (trillion cubic feet). The US uses about 22/tcf annually, so these resources represent somewhere around 70 days of US yearly consumption.

But let’s dig into the details a little further….
Much more after the jump to The Oil Drum.