Lonestar Resources – Amadeus Deal Creates Public Company

Australian Amadeus Energy's Acquisition of Lonestar Resources will create a newly formed public entity
Lonestar Resources Operations Map

Lonestar Resources Operations Map | Click to Enlarge

Lonestar Resources is an independent operator with assets in Barnett, Bakken, and Eagle Ford shale plays. The company has over 5,000 acres prospective for the Eagle Ford spread across Dimmit, La Salle, and Wilson counties.

The company made offers for Eureka Energy earlier in the year, but bowed out as Aurora Oil & Gas increased its bid. The company is now being acquired by an Australian company, Amadeus Energy.

Amadeus is a public company that was created by Ecofin Water & Power Opportunities for the sole purpose of seeking oil & gas investment opportunities. [Read more…]

Pioneer’s Barnett Shale Assets Will Be Sold to Fund Eagle Ford Development

155,000 gross acres with 7,000 boe/d of production will be sold in North Texas
Pioneer Barnett Map

PXD’s Barnett Combo Acreage | Click to Enlarge

Pioneer Natural Resources plans to sell 155,000 gross acres in the Barnett Shale to fund development in the its West Texas Permian Basin and South Texas Eagle Ford Shale properties. Approximately two-thirds of the company’s Barnett acres are deemed “Barnett Combo” acres that are prospective for liquids-rich shale gas.

Pioneer’s current production is 7,000 boe/d with 55% attributed to oil/NGLs and 45% attributed to natural gas. [Read more…]

Carrizo – Atlas Deal Provides Cash for the Eagle Ford

$190 Million Will Be Shifted to the Eagle Ford - Borrowing Base to Expand

Carrizo Oil and Gas has agreed to sell a portion of its Barnett Shale assets to Atlas Energy for $190 million. The deal provides capital that Carrizo will use to execute its liquids  growth strategy, which is primarily focused in the Eagle Ford.

The Company intends to use the net proceeds from this sale to repay borrowings under its revolving credit facility and use the excess proceeds to partially fund its 2012 capital expenditures plan, largely in the Eagle Ford play. [Read more…]

TXDOT Task Force to Address Barnett & Eagle Ford Shale Roads

Will New Fees Be Required To Address Road Needs Across the State?

Texas Department of Transportation officials are convening a task force to address road damage associated with oil & gas activity in the South Texas Eagle Ford Shale and North Texas Barnett Shale regions. [Read more…]

Carrizo Oil & Gas Eagle Ford Reserves Up 90% – 2011

Carrizo Eagle Ford Shale Map

Carrizo Map | Click to Enlarge

Carrizo Oil & Gas announced year-end results along with updates from the company’s development in oil plays.  Eagle Ford Shale reserves increased 90% year over year from 15 mmboe to 28.5 mmboe.

Carrizo’s 41,000 acres is primarily located in the gas condensate window, of La Salle and McMullen counties, where expectations are for a production stream of 75% liquids and 25% rich gas. Oil in the area is selling at an average of $4 better than NYMEX prices, so even with infrastructure constraints we’re seeing the benefits of proximity to the Gulf Coast refining complex. [Read more…]

Chesapeake’s Operating Plan | Natural Gas Loss = Eagle Ford Gain

Chesapeake Energy is planning to reduce the company’s natural gas rig count across the U.S. and shut in natural gas production in response to low prices. The operated, dry gas, rig count will decrease by 50 rigs to 24 in 2012 from 75 in 2011. The company is also shutting in production of 0.5 Bcfd. That’s a little less than 1% of U.S. supply, but it’s a good start in helping remedy $2 natural gas prices.

The rigs will be moved to liquids-rich areas that are supported by more valuable oil, condensate, and NGL production. The Eagle Ford is a likely beneficiary. While the change shouldn’t be substantial, don’t discount the value of the play’s liquids production in times of low gas prices. Chesapeake is likely one of many that will make similar moves. [Read more…]