Article: United States : Denbury-Encore merger to test carbon dioxide-oil synergies.

Byline: datta03

The production-sequestration synergies of crude oil and carbon dioxide will receive a new test under a $4.5 billion acquisition by Denbury Resources Inc. of Encore Acquisition Co.

Both companies have strategies geared to enhanced oil recovery via CO2 injection. On Nov. 1 they announced signing of a definitive merger agreement that will leave Denbury, of Plano, Tex., the surviving entity.

Both companies also are pursuing supplies of CO2 from industrial sources needing to reduce emissions of greenhouse gas through capture and sequestration in the subsurface.

The companies

Denbury has 212.4 million boe of ...

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