Rice Energy Inc. (NYSE: RICE) announced July 8 that it plans to acquire 22,000 net acres and 12 Marcellus wells in western Greene County, Pa., from a Chesapeake Energy Corp. (NYSE: CHK) subsidiary. Rice will pay $336 million for 100% operated working interest, representing a 24% increase in the company’s net acreage position as of March 31.

The company also picked up about 152 net risked locations, representing a 47% increase to Rice’s Marcellus inventory of 325 net risked locations. Net production is 20 million cubic feet per day (MMcf/d) from seven wells and five additional wells in various stages of development.

Chesapeake has discussed the sale of its southwest Pennsylvania acreage for some time, said Gordon Douthat, a senior analyst for Wells Fargo Securities LLC, in a report.

“An incremental positive in our view as CHK continues to make progress in coring up its acreage, providing the market confidence in achieving its fiscal year 2014 goal of $4 billion asset divestitures,” Douthat said.

Chesapeake was running 12 operated rigs across its Southern Marcellus asset in 2014, but it had no rigs in southwest Greene County, according to IHS data.

“This transaction is consistent with our strategy of acquiring high-quality shale assets,” said Toby Rice, Rice’s president and COO. “We are adding a significant number of drilling locations within an area we have been successfully developing since 2009. The acquired assets provide us with a foothold to pursue additional leasehold opportunities and further grow our inventory of low-risk, high-return projects.”

The company said it is on track to organically add 30,000 net leasehold acres this year.

Based on average trading levels for Marcellus/Utica peers of $17,000/Mcfe/d, Rice paid only for production with very little for undeveloped acreage in a high-quality, de-risked area of the Marcellus, Douthat said.

Pad drilling is expected to commence in the second half of 2015. The acquisition is expected to close in August 2014.

Rice intends to fund the acquisition through a combination of cash on hand, credit and evaluating equity capital markets.

The transaction has an effective date of Feb. 1.