In six years, Rice Energy has become a Top 25 producer of natural gas in the U.S. with operations focused in the Appalachian Basin.
Chesapeake Energy, a top-tier operator in the Appalachian Basin’s Marcellus and Utica shale plays, is focusing on cost control, rock quality and operational changes.
Companies are motivated by ambition and opportunity, while sellers are trying to get ahead of debt or stay afloat in a turbulent year for A&D.
The Ontario Teachers’ Pension Plan buys oil and gas royalty company Heritage Royalty for C$3.3 billion to acquire one of the largest royalty, mineral interests in Canada despite down commodity prices.
Eclipse Resource’s CEO notes that since the company began operated drilling in 2013, it has increased lateral lengths by 33%, while well costs have been lowered by 23%.
Multiple political and military trends, along with the rise in U.S. crude oil and natural gas production, are occurring at the same time. And that makes for an uneasy situation, Tom Petrie says.
The partnership could serve as a launching point for continued growth in the region, analyst says.
New Standard’s drilling and operating program in the Eagle Ford has been overseen by its majority shareholder, Magnum Hunter Resources Corp.