Chesapeake Energy has agreed to sell assets in the Northern Eagle Ford Shale and Haynesville Shale to EXCO for aggregate proceeds of approximately US$1bn, of which approximately 90% will be received upon closing. In the Northern Eagle Ford Shale, EXCO has agreed to acquire approximately 55,000 net acres (around 22,000 ha) in Zavala, Dimmit, La Salle and Frio counties, Texas, including approximately 120 producing wells with average net daily production of approximately 6,100 boe during the month of May.
In the Haynesville Shale, EXCO has agreed to acquire Chesapeake’s operated and non-operated interests in approximately 9,600 net acres (around 4,000 ha) in Desoto and Caddo parishes, Louisiana. Included in the transaction are 11 units operated by Chesapeake and 42 units operated by EXCO. Average net daily production from the Haynesville properties to be sold was approximately 114 Mcf (3.2 mcm) of natural gas equivalent during the month of May.
The transactions, which are subject to certain closing conditions, are expected to close in the 2013 third quarter.