CONOCOPHILLIPS SELLS BARNETT SHALE ASSETS

August 03, 2018

ConocoPhillips announced it has entered into an agreement to sell its interests in the Barnett shale play to Lime Rock Resources for approximately $230 million plus net customary adjustments. Proceeds from this transaction will be used for general corporate purposes.
Production associated with the Barnett assets for the first half of 2018 averaged 9 thousand barrels of oil equivalent per day, of which approximately 55 percent was natural gas and 45 percent was natural gas liquids. The transaction is subject to specific conditions precedent being satisfied and is expected to close by year-end 2018.
The Barnett shale in north-central Texas lies in the Fort Worth Basin. Discovered in the 1950s, the Barnett was not commercially viable until the 1980s. Some geologists believe the formation could hold 30 trillion cubic feet of natural gas. A significant part of the drilling has occurred in the Fort Worth metro area, and Chesapeake Energy actually secured rights to drill beneath the Dallas-Fort Worth International Airport. (Source: ConocoPhillips)