Shell announces sale of Eagle Ford acreage
Royal Dutch Shell has agreed to sell its 100% working interest in approximately 106 000 net acres in Dimmit, LaSalle, and Webb Counties, Texas to Sanchez Energy Corporation for approximately US$ 0.639 billion.
Wells and infrastructure
The sale includes approximately 176 operated producing wells and associated field facilities and infrastructure. Net production in Q1 2014 was approximately 24 000 barrels of oil equivalent per day (boepd), with approximately 60% crude and natural gas liquids.
The agreement is effective 1 January 2014 and is expected to close at the end of the second quarter of this year.
Portfolio restructuring
This transaction is part of Shell’s restructuring of its North Americas resources plays (shale oil and gas) portfolio, to focus on acreage positions that can reach the scale required by Shell.
In addition to this sale, Shell previously divested its acreage position in the Mississippi Lime in Kansas, its Utica shale position in Ohio and a portion of its acreage in the Sandwash Niobrara basins in Colorado as part of this strategy.
Adapted from press release by Katie Woodward
Read the article online at: https://www.worldpipelines.com/business-news/22052014/shell_sells_eagle_ford_acreage_81/
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