Southwestern Acquires Another Private Haynesville Producer in $1.85 Billion Deal

The acquisition of privately held GEP Haynesville follows Southwestern’s entrance into the Haynesville earlier this year with its $2.7 billion purchase of Indigo Natural Resources.

Southwestern Acquires Another Private Haynesville Producer in $1.85 Billion Deal

GEP adds roughly 226,000 net effective acres with estimated net resource potential of 6 Tcfe to Southwestern’s position in the Haynesville shale play. (Source: Hart Energy)

Southwestern Energy Co. snatched up another private Haynesville producer as the Spring, Texas-based company continues to grow its position in the shale gas play, further expanding exposure to the LNG corridor and growing demand centers along the U.S. Gulf Coast.

According to a company release on Nov. 4, Southwestern entered an agreement to acquire GEP Haynesville LLC in a cash-and-stock transaction valued at $1.85 billion. The third largest private Haynesville operator, GEP is a joint venture between GeoSouthern Energy—an E&P founded by billionaire oilman George Bishop—and Blackstone Inc.’s credit arm.

“This strategic move positions Southwestern as the largest producer in the Haynesville and enhances our leading presence in the top two premier natural gas basins in the U.S.,” Southwestern CEO Bill Way commented in the release.

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Emily Patsy

Emily Patsy is the senior managing editor for Hart Energy’s Digital News Group. She's responsible for the daily news flow and also manages the A&D Watch and Energy Pulse weekly newsletters.