Page 11 - NorthAmOil Week 24

NorthAmOil
NEWS IN BRIEF
NorthAmOil
The Mad Play unit, along with the Mayes wells from the Earl and Victory Slide units, continue to be strong producing wells.
ROAN RESOURCES, June 14, 2019
Lime Rock Resources to acquire oil and gas producing properties in Oklahoma
Lime Rock Resources, acquirers and operators of producing oil and gas properties in the United States, announced today that it has signed a de nitive agreement to acquire
oil and natural gas properties in Cleveland and McClain Counties, Oklahoma from BP America Production Company e properties are located approximately 50 miles east of Lime Rock Resources’ existing Norge unit operations acquired in 2014. e transaction, which represents Lime Rock Resources’ eighth acquisition in Oklahoma, is expected to close in the third quarter of 2019, subject to customary closing conditions.
Eric Mullins, co-CEO of Lime Rock Resources, said, “As oil and gas companies continue to shi their capital and focus
on fewer areas, they are seeking to divest
an increasing amount of their non-core properties. We are excited to be a buyer from private companies, large independents, and majors.” Charlie Adcock, co-CEO of Lime Rock Resources, added, “Over the last several years, we have combined our intensive, low- cost approach with the application of the latest in long-reach horizontal drilling and modern completion techniques. We are looking forward to applying these same processes that we are using in the Permian, Williston, and in
the nearby Norge eld to these new assets.”
LIME ROCK RESOURCES, June 18, 2019
MIDSTREAM
Williams completes
formation of US$3.8 billion
strategic joint venture
partnership with Canada
Pension Plan Investment
Board in the Marcellus/
Utica basins
Williams today announced the completion of the formation of a US$3.8 billion joint venture with Canada Pension Plan Investment Board that includes Williams’ owned and operated Ohio Valley Midstream (OVM) system in the western Marcellus and Williams’ owned and operated Utica East Ohio (UEO) Midstream system in the Utica shale play in eastern Ohio.
e nalisation of this joint venture agreement in the Northeast, announced
in March 2019, includes the completion of CPPIB’s investment of approximately US$1.33 billion (subject to certain agreed-to, post- closing adjustments) for a 35% ownership stake in this long-term partnership.
Williams retains 65% ownership, operates the combined business, and will consolidate the nancial results of the joint venture in Williams’ nancial statements.
e cash proceeds to Williams from the purchase by CPPIB of its stake in the joint venture are being used to o set the purchase price of Williams’ previously announced and completed acquisition of the remaining 38% ownership interest in UEO from Momentum Midstream, with the balance of
proceeds used for debt reduction and to fund Williams’ extensive portfolio of attractive growth capital.
Williams expects synergies through common ownership by combining UEO and OVM to create a more e cient platform for capital spending in the region, resulting in reduced operating and maintenance expenses and creating enhanced capabilities and bene ts for producers in the area.
WILLIAMS, June 17, 2019
SM Energy raises
production guidance and
provides updated new well
results
SM Energy Company today announces that second quarter 2019 production is exceeding expectations and the Company is raising guidance for second quarter and full year production volumes by 0.4 million boe, at the mid-point, due to better than expected well performance and completion timing. Second quarter and full year production is expected to be approximately 43-44% oil.
e company also announces strong 30-day peak IP rates on two wells testing
new intervals, the Dean and the Wolfcamp
D in the RockStar area of the Permian Basin, which produced approximately 1,550 boepd and 1,400 boepd, respectively. In addition, at the previously reported Watson State Austin Chalk test in South Texas, the well reached
a 30-day peak IP rate of nearly 3,200 boepd (three-stream). ese intervals have the potential to add signi cantly to the company’s inventory in the Midland Basin and South Texas, respectively.
“I continue to congratulate our team on truly outstanding execution, which includes optimizing capital expenditures, in achieving our results to date,” comments President and CEO Jay Ottoson.
“Higher than expected production volumes in the Permian re ect strong early performance from a number of new wells including the Wolfcamp D and Dean tests,
as well as completion timing. In South
Texas, production is bene ting from our newly-designed development wells, as well
as a better than expected decline rate at a recently completed Austin Chalk test. Better well performance while maintaining capital discipline further supports our goal to be free cash ow positive in the second half of this year.”
SM ENERGY, June 18, 2019
Week 24 20•June•2019
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