2011-05-30-2011-04-27

Transaction Type
Sellers
Buyers
Announce Date
Post Date
Estimated Price
MM
Description

To buy 40% WI in 10 of Marathon's concessions in Poland's Paleozoic shale play.

Marathon Oil Corp., Houston, (NYSE: MRO) has signed an agreement with a subsidiary of Calgary-based Nexen Inc. (Toronto: NXY; NYSE: NXY) under which Nexen will acquire a 40% working interest in 10 of Marathon's concessions in Poland's Paleozoic shale play.

"We are pleased Nexen will be joining Marathon to explore the resource potential of the substantial shale play acreage position we have established in Poland," says Annell R. Bay, Marathon's senior vice president of Worldwide Exploration. "This partnership provides not only financial risk mitigation but combines the extensive unconventional drilling and completion experience of Marathon and Nexen to fully evaluate the potential of these concessions."

Marathon currently holds an interest in 11 concessions in Poland, encompassing 2.3 million acres. The shales are Lower Paleozoic and located at depths of between 8,000 and 13,000 feet. Marathon plans to acquire 2-D seismic during the first half of 2011, potentially followed by the drilling of one to two wells in fourth-quarter 2011 and seven to eight wells during 2012. Marathon will remain operator of the 11 concessions.