Deals are getting inked in America's hottest oil field: the Permian Basin, and there's been a flurry of A&D activity in South Texas. This is your A&D Minute powered by BOK Financial Securities.
It's the end of the road for Chesapeake Energy in the Eagle Ford Shale after lining up a $700 million deal with SilverBow Resources. SilverBow is scooping up producing wells, undeveloped acreage, and even greater scale in the Eagle Ford. Chesapeake's exit sets it up as a pure-play natural gas company focused on the Haynesville and Marcellus plays.
And Chesapeake isn't the only E&P moving out of the Eagle Ford. Earthstone Energy is marketing Eagle Ford acreage as the company divests non-core assets and prioritizes investment in the Permian Basin. Lining up a sale would represent a full exit of the Eagle Ford play for Earthstone.
And after failing to find any worthy deal opportunities in the first quarter, Sitio Royalties bounced back with several acquisitions in Q2. Spending around $248 million to close multiple deals in the Permian Basin. The deals collectively increase Sitio’s Permian footprint by 7%.
That's your A&D Minute with Hart Energy LIVE. Watch new A&D Minute episodes every Wednesday through our A&D Watch newsletter. Sign up at hartenergy.com/transactions.
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