Page 10 - NorthAmOil Week 50 2022

NorthAmOil NEWS IN BRIEF NorthAmOil

company will remain focused on optimising estimates that the acquired assets will produce and verified as less methane-intensive using
Greenfire’s existing production and facilities, approximately 2,522 boepd (1,439 bpd of oil, MiQ’s certification standard. This standard
with the objective of further enhancing its 461 bpd of NGLs, and 3,730 mcf per day of provides producers, such as Chesapeake
cash operating netbacks and free cash flow per natural gas). The acquired assets are located Energy and Ascent Resources, with a
barrel, with the intention to return capital to in the Permian Basin, with high interest transparent A-F grading scale using third-
its stakeholders over time. locations concentrated in the Texas Delaware party auditors and advanced technology
GREENFIRE RESOURCES, December 15, 2022 Basin (82%), New Mexico Delaware Basin providers. Both Chesapeake and Ascent’s
(8%) and Midland Basin (10%). production facilities were awarded the top ‘A’
Kimbell Royalty Partners KIMBELL ROYALTY PARTNERS, December 15, grades for minimising methane emissions,
reducing them to an intensity less than 0.05%
2022
closes $271mn acquisition – and below the production sector average.
Washington Gas’ industry-leading
of Permian Basin mineral ENERGY TRANSITION agreement is estimated to reduce CO2
equivalent emissions by roughly 28,000 metric
and royalty interests in Washington, DC, Maryland tons when compared to the Environmental
Protection Agency – determined industry
cash and unit transaction and Virginia to be supplied average natural gas. According to the EPA
GHG equivalencies calculator, this reduction
Kimbell Royalty Partners, a leading owner with natural gas certified is the equivalent of taking approximately 6,000
of oil and gas mineral and royalty interests gas-powered passenger vehicles off the road
in over 16mn gross acres in 28 states, today by MiQ for one year.
announced that it has closed the previously “With the purchase of a significant batch of
announced purchase of mineral and royalty Washington Gas today announced the next MiQ certified gas, Washington Gas is leading
interests held by Austin-based Hatch Royalty step in its commitment to reduce greenhouse the charge amongst US and global utilities,
in a cash and unit transaction valued at gas emissions. The company entered into and we believe this will encourage others
approximately $270.7mn. The purchase transactions with Chesapeake Energy and to join the initiative of pushing methane
price for the acquisition was comprised of Ascent Resources to supply its customers abatement amongst the oil and gas suppliers,”
$150.4mn in cash (approximately 56% of the in the National Capital Region (NCR) with said Georges Tijbosch, CEO, MiQ.
total consideration) and approximately 7.3mn natural gas that is independently certified “Washington Gas is committed to
common units of Kimbell Royalty Operating, by MiQ. MiQ issues a certificate for each ushering in innovative energy options for
which are valued at $120.3mn (approximately 1MMBtu of natural gas that represents where our customers including using fuel sources
44% of the total consideration). Kimbell is and when the gas was produced and the to support decarbonisation. Purchasing gas
entitled to all cash flow from production methane intensity of production. Production from Chesapeake and Ascent that has been
attributable to the acquired assets since represents a large portion of natural gas value certified for lower methane intensity by MiQ
October 1, 2022. Revenues and certain other chain emissions, and these can be avoided represents another tangible action in our
operating statistics under generally accepted using existing technology. commitment to reduce GHG emissions and
accounting principles will be recorded for the “We are very pleased to increase our address climate change,” said Melissa Adams,
acquisition beginning on the closing date of procurement of certified natural gas as we chief corporate social responsibility officer for
December 15, 2022. work to lower the emissions associated Washington Gas.
Kimbell estimates that, as of October with the essential energy we deliver to our The agreement went into effect on
1, 2022, the acquired assets produced customers every day,” said Blue Jenkins, November 1, 2022 and will be in place
approximately 2,072 boepd (1,198 bpd of oil, president of Washington Gas. through the 2022-23 winter heating season.
372 bpd of NGLs, and 3,012 mcf per day of Washington Gas will provide customers WASHINGTON GAS, December 15, 2022
natural gas). For the full year 2023, Kimbell with gas that has been independently audited

P10 www. NEWSBASE .com Week 50 15•December•2022