Black Stone Minerals LP entered into a new incentive agreement with XTO Energy Inc. on June 11 aimed at reviving development in the company’s Shelby Trough acreage in the Haynesville and Bossier shale plays.
The agreement allows for royalty relief on 13 existing drilled but uncompleted wells (DUCs) in the company’s Shelby Trough acreage in San Augustine County, Texas, if XTO, an affiliate of Exxon Mobil Corp., completes and turns the wells to sales by March 31, 2021.
The news follows the recent Black Stone Energy development agreement with Aethon Energy in the same region in Angelina County, Texas, and complements the company’s goal of reviving volume growth from the area.
In addition to the agreement covering the DUCs, Black Stone said it is actively evaluating alternatives to encourage further development activity in the Shelby Trough in San Augustine through a combination of working with XTO and utilizing the company’s available acreage position and contractual rights to bring in a second operating partner.
One of the largest mineral owners in the U.S., Black Stone Minerals has a portfolio of mineral and royalty interests across 41 states with concentrated positions in the Permian Basin, Haynesville and Bakken shale plays.
The company's first utility-scale solar plus battery storage project of 460MWAC reaches commercial operation, making Ørsted the first developer to operate the full spectrum of new renewable technologies at utility scale in the U.S.
Companies will jointly explore development of integrated technologies for efficient and resilient power solutions for energy and industrial sectors globally.
The $550 million Crimson Solar Project will be located on 2,000 acres of federal land west of Blythe, California, the Interior Department said in a statement.