Natural gas transaction

News

BP has agreed to acquire all of Chesapeake Energy Corporation's interests in approximately 90,000 acres of Oklahoma-based leasehold and producing natural gas properties for $1.75bn.

has agreed to acquire all of

's interests in around 90,000 acres of leasehold and producing natural gas properties in the Arkoma Basin Woodford Shale play for $1.75bn.

The properties, which are located in Atoka, Coal, Hughes and Pittsburg counties, Oklahoma currently produce approximately 50 million cu ft of natural gas equivalent per day. The companies anticipate closing the transaction on 8 August.

Aubrey K McClendon, Chesapeake's chief executive officer, said: ‘There was substantial industry interest in our Woodford Shale asset package and we are pleased to announce the sale of these properties to BP.

‘This transaction completes another aspect of our asset monetisation programme and enables Chesapeake to redeploy capital to our Haynesville, Barnett and Marcellus Shale plays and further improves the company's capital structure.

‘We look forward to working with BP on other projects in the future, in addition to current projects such as our Anadarko Basin Joint Venture in which we are drilling a series of Deep Springer wells across a 155m2 area of mutual interest in Washita County, Oklahoma.’

Register now to continue reading

Thanks for visiting The Engineer. You’ve now reached your monthly limit of news stories. Register for free to unlock unlimited access to all of our news coverage, as well as premium content including opinion, in-depth features and special reports.  

Benefits of registering

  • In-depth insights and coverage of key emerging trends

  • Unrestricted access to special reports throughout the year

  • Daily technology news delivered straight to your inbox

Register
Or continue by

Signing in with your registered email address