Goodrich Petroleum Corp. (AMEX: GDP) closed on a sale of East Texas assets that the Houston-based company said will help accelerate Haynesville Shale development.
Goodrich sold the assets consisting of certain production, facilities, infrastructure and a portion of its acreage in the Angelina River Trend to BP America Production Co., an affiliate of BP Plc (NYSE: BP). The value of the transaction wasn't disclosed.
A portion of the sale proceeds will be used to pay off Goodrich's revolver with plans to accelerate development of its North Louisiana Haynesville asset in the second half of 2018.
Goodrich exited the fourth quarter with $26 million of cash and $63.7 million of total principal amount of debt, for net debt of $37.7 million. The company plans to maintain its capex guidance for 2018 of $65 million to 75 million.
On March 1, Goodrich also announced that two additional Haynesville wells have been completed as follows:
- The Wurtsbaugh 25&24-14N-16W 2H (55% working interest) well in DeSoto Parish, La., has achieved a 24-hour peak rate to date of about 25 MMcfe/d from a producing lateral length of 7,249 f; and
- The Wurtsbaugh 25&24-14N-16W 3H (55% working interest) well in DeSoto has achieved a 24-hour peak rate to date of about 30 MMcfe/d from a producing lateral length of 7,465 ft.
With the completion of these wells, Goodrich is currently producing roughly 60 MMcfe/d. The company said it expects to commence fracking operations on its next two wells, the Cason-Dickson 14&23 No. 1 and 2 (92% working interest) wells in early March.
Recommended Reading
Analysts: ONEOK-Magellan Deal Survives Hotly Contested Vote
2023-09-22 - Despite public opposition from some investors, Magellan Midstream Partners shareholders OK’d a $18.8 billion merger with midstream player ONEOK Inc., but analysts and investors still have questions about the deal.
ONEOK, Magellan Midstream Stakeholders Approve $18.8B Merger Despite Opposition
2023-09-21 - Magellan Midstream investor Energy Income Partners had campaigned against the merger with ONEOK.
W&T Offshore Closes $32M GoM Shallow Water Deal
2023-09-21 - W&T Offshore is growing its footprint in the Gulf of Mexico with a $32 million shallow-water acquisition.
Norwegian Energy Data Companies PGS, TGS to Merge
2023-09-18 - Norwegian energy data companies PGS and TGS announced they are merging to create a full-service energy data company.
Murphy Oil Closes $104M Divestiture of Non-Core Canada Assets
2023-09-18 - Murphy Oil sold non-core assets in western Canada for $104 million in cash, with proceeds earmarked for new development in Africa and Asia.