Wildhorse Resources to Expand its Presence in the Eagle Ford
The newest public E&P company in the region plans to focus on development in the Eagle Ford Shale.
Related: New Eagle Ford Refinery to Bring Jobs
Houston-based Wildhorse Resource Development Corp. has launched its initial public offering for $664 million, more than the expected $650 million filed in November.
WildHorse plans to use some of the proceeds to expand its position in the Eagle Ford. The company will move forward with its acquisition of 158,000 net acres in the Eagle Ford Shale known as “Burleson North” from Clayton Williams Energy for $400 million. SEC documents verify that the company made a down payment of $45 million in October for the property, which produced 3.9 million barrels of oil equivalent per day during the third quarter of 2016.
“As of September 30, 2016, we had assembled a total leasehold position of approximately 375,000 net acres across our expanding acreage, including approximately 267,000 net acres in the Eagle Ford and approximately 108,000 net acres in North Louisiana. We have identified a total of approximately 4,391 gross (2,298 net) drilling locations across our acreage, with further upside potential given the multiple stacked pay zones across much of our acreage. Based on our 2017 drilling program, our identified locations represent an inventory of approximately 46 years.”
Wildhorse’s horizontal drilling locations target the Eagle Ford Shale in Burleson and Lee Counties and the Austin Chalk in Washington County. The company said their technical expertise allowed them to drill twice as many wells per rig on their Eagle Ford Acreage during the first nine months of 2016 f their .