Tulsa-based Williams buys oil acreage in N. Dakota

TULSA, Okla. (AP) – Tulsa-based natural gas company Williams Cos. Inc. is diversifying into crude oil exploration with the purchase of land in North Dakota.

The company announced Monday it will buy 85,800 acres in the Fort Berthold Indian Reservation in northwestern North Dakota for $925, million.

Williams said it plans to have six drilling rigs in the area within two years and hopes to be producing more than 20,000 barrels of oil per day. The Tulsa World reports the property potentially has about 185 million barrels of oil equivalent in total net reserves.

Williams said it plans to spend $260 to $360 million on drilling and development through 2011 in the area.

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Information from: Tulsa World, http://www.tulsaworld.com