Exco Closes On Haynesville Purchase

Transaction Type
Sellers
Buyers
Announce Date
Post Date
Close Date
Estimated Price
$288.0MM
Description

Closed on purchase of producing Haynesville assets.

EXCO Resources Inc. (NYSE: XCO) has closed on its previously-announced purchase of producing and undeveloped oil and gas assets in the Haynesville shale form a subsidiary of Chesapeake Energy Corp. (NYSE: CHK) for $288 million.The acquisition had an effective date of January 1, 2013.

EXCO financed the Haynesville acquisition under the company’s existing credit agreement. The Haynesville acquisition is subject to an affiliate of BG Group Plc’s preferential right to acquire 50% of the Haynesville properties.

Chesapeake sold about 9,600 net acres with an average net production of about 114 million cubic feet equivalent (MMcfe) of natural gas in May. A separate purchase of 55,000 net acres from a separate Chesapeake subsidiary in the Eagle Ford is still pending.

Exco Resources is an oil and gas company based in Dallas, Texas.