Painted Pony Petroleum Ltd. said July 27 it agreed to exchange Montney acreage, wells and nonoperated facility interests in Northeast British Columbia.
The Calgary, Alberta-based company entered an asset exchange agreement with an undisclosed company to exchange 15.4 net sections (9,856 net acres). The undisclosed company is Painted Pony's large industry partner on jointly-held acreage in the Daiber, Cameron and Blair areas of its Montney asset, according to a press release.
Painted Pony will receive 100% working interest in three Montney horizontal wells, which will be re-directed to produce at the AltaGas Townsend Facility. Once the acquired wells have been tied into the facilities, Painted Pony will receive 9.4 MMcfe/d of production, a net 5.4 million cubic feet equivalent per day (MMcfe/d), or 900 barrels of oil equivalent per day, gain.
The undisclosed company will receive wells that Painted Pony has a 20% working interest in, which produce into a facility the company owns and operates. The undisclosed company will receive about 4 MMcfe/d of production.
Upon closing, Painted Pony's average working interest across its Montney acreage will increase to greater than 86% from 75%. The swap is anticipated to have a neutral impact on Painted Pony's reserves, the release said.
The transaction has an effective date of Jan. 1. Closing is subject to usual closing conditions and regulatory approvals.
Recommended Reading
Keeping it Simple: Antero Stays on Profitable Course in 1Q
2024-04-26 - Bucking trend, Antero Resources posted a slight increase in natural gas production as other companies curtailed production.
NOV Announces $1B Repurchase Program, Ups Dividend
2024-04-26 - NOV expects to increase its quarterly cash dividend on its common stock by 50% to $0.075 per share from $0.05 per share.
Initiative Equity Partners Acquires Equity in Renewable Firm ArtIn Energy
2024-04-26 - Initiative Equity Partners is taking steps to accelerate deployment of renewable energy globally, including in North America.
Repsol to Drop Marcellus Rig in June
2024-04-26 - Spain’s Repsol plans to drop its Marcellus Shale rig in June and reduce capex in the play due to the current U.S. gas price environment, CEO Josu Jon Imaz told analysts during a quarterly webcast.
Ithaca Deal ‘Ticks All the Boxes,’ Eni’s CFO Says
2024-04-26 - Eni’s deal to acquire Ithaca Energy marks a “strategic move to significantly strengthen its presence” on the U.K. Continental Shelf and “ticks all of the boxes” for the Italian energy company.