Carrizo Oil & Gas Inc. (Nasdaq: CRZO) announced that it has entered into an agreement to form a new joint venture in the Niobrara play with Haimo Oil & Gas LLC, a subsidiary of Lanzhou Haimo Technologies Co. Ltd., a company formed under the laws of the people's republic of China.
Pursuant to the agreement, Haimo will acquire an undivided interest in approximately 6,000 net acres located primarily in Weld and Adams counties, Colo., along with associated infrastructure and production of approximately 185 BOE/d for an all-cash payment of $27.5 million, subject to customary closing conditions and purchase price adjustments.
Following the closing of this transaction late in the fourth quarter of 2012, the joint venture interest ownership participations in Carrizo's Niobrara development activities will stand collectively at 60%, Carrizo; 30%, OIL/IOCL; and 10%, Haimo.
Recommended Reading
Imperial Expects TMX to Tighten Differentials, Raise Heavy Crude Prices
2024-02-06 - Imperial Oil expects the completion of the Trans Mountain Pipeline expansion to tighten WCS and WTI light and heavy oil differentials and boost its access to more lucrative markets in 2024.
US Gulf Coast Heavy Crude Oil Prices Firm as Supplies Tighten
2024-04-10 - Pushing up heavy crude prices are falling oil exports from Mexico, the potential for resumption of sanctions on Venezuelan crude, the imminent startup of a Canadian pipeline and continued output cuts by OPEC+.
EIA: Oil Prices Could Move Up as Global Tensions Threaten Crude Supply
2024-02-07 - Geopolitical tensions in the Middle East and ongoing risks that threaten global supply have experts questioning where oil prices will move next.
The Secret to Record US Oil Output? Drilling Efficiencies—EIA
2024-03-06 - Advances in horizontal drilling and fracking technologies are yielding more efficient oil wells in the U.S. even as the rig count plummets, the Energy Information Administration reported.
What's Affecting Oil Prices This Week? (March 11, 2024)
2024-03-11 - Stratas Advisors expects oil prices to move higher in the middle of the year, but for the upcoming week, there is no impetus for prices to raise.