Harvest's gas sales to PDVSA hit 70mcf/d

Gas sales from US-based oil company Harvest Natural Resources (NYSE: HNR) to Venezuela's state oil company PDVSA have reached 70 million cubic feet of gas a day (mcf/d) ahead of schedule, Harvest said in a press release. First gas was delivered into the sales pipeline on November 13 and was accepted by PDVSA on November 25. "Since that time, sales volumes have steadily increased and been stabilized at the current level," the statement said. Harvest signed a contract in September 2002 to sell gas to PDVSA for 10 years. The gas comes from the Uracoa and Bombal fields in the South Monagas Unit (SMU). According to a previous report, initial gas production at Urucoa was not expected to reach 70mcf/d for about another six months. "We are very pleased to have raised our production of natural gas to 70mcf/d, ahead of schedule," Harvest's president and CEO Peter Hill said. "Sales of gas under the PDVSA contract substantially reduces our previous sale dependence on oil production, diversifies our cash flow and earnings, and increases our total sales of hydrocarbons," he added. Harvest is currently producing about 34,600 barrels of oil equivalent a day, up 25% from November 2002, Hill said.