Cornerstone E&P Co.

Transaction Type
Sellers
Marketers
Basin
Fort Worth
Field
Newark East Field
Post Date
Estimated Price
MM
Description

Cornerstone E&P Co. has retained PLS Inc. to sell producing interests in the Barnett shale in Hill County, Texas, as part of a Chapter 11 proceeding.

The package includes a 70% operated working interest (55% net revenue interest) and an 18% nonoperated working interest (14% net revenue interest) in 20,333 net acres of which 33% is held by production in Newark East Field northwest of Hillsboro. The assets include 20 operated wells and five nonoperated wells.

Gross production is 10.6 million cubic feet per day (4.6 million net) with average 30-day IP rates of 1.35 million cubic feet per day. Net proved reserves are 49.8 billion cubic feet equivalent (12.8 billion proved developed producing; 230 billion proved plus probable). Estimated ultimate recovery is 1.75 billion cubic feet equivalent per well.

Upside includes 168 net wells on HBP acreage and 3-D seismic for 88 square miles. The opportunity includes 18 miles of gathering infrastructure.

Contact Jonathan Pina, 713-600-0153, jpina@plsx.com.