BlueStone Natural Resources II LLC closed April 6 the acquisition of Quicksilver Resources Inc. for about $245 million in cash.
Quicksilver, in bankruptcy since March 2015, parted with nearly all of its assets pending a ruling in January in bankruptcy court to sell to BlueStone.
The deal included ownership of more than 1,200 wells located throughout the Barnett Shale play. Together with its South Texas holdings, the company will have net production of more than 180 million cubic feet equivalent per day.
BlueStone partnered with Irving, Texas-based Natural Gas Partners, which it has a 13-year relationship with, to purchase the assets.
The acquisition will establish BlueStone, based in Tulsa, Okla., as one of the premier producers in the Barnett Shale, the release said.
BlueStone also entered April 6 into a 10-year commercial agreement with Crestwood Equity Partners LP (NYSE: CEQP) in the Barnett Shale.
Under the terms of the agreement, Houston's Crestwood will gather and process natural gas across its Alliance, Lake Arlington and Cowtown systems in the Barnett. The services are for a period of 10 years under a fixed-fee and percent of proceeds fee structure.
As part of the agreement, BlueStone has provided production assurance to Crestwood whereby across all systems it will return currently shut-in wells to production by July 1. The company will also not shut-in or choke back production for economic purposes through the end of 2018.
In connection with the acquisition closing, Quicksilver withdrew its motion to reject Crestwood’s legacy gathering agreements relating to its Barnett Shale assets.
BlueStone employs more than 50 people in its Tulsa headquarters and an additional 100 field employees located in offices throughout Texas, the release said.
RELATED: Quicksilver’s US Run Ends In Liquidation After A Half Century
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