CNX Leases New Albany Shale Acreage
CNX Gas Corp. has reached an agreement to acquire by lease approximately 70,000 acres of oil and gas in western Kentucky from a subsidiary of Atmos Energy Corp. and Teal Royalties LLC. While details of the oil and gas lease are considered to be competitive, they will not be disclosed as CNX Gas continues to build its position in this area. The acquired acreage is proximal to the CNX Gas existing oil and gas acreage in the New Albany Shale. CNX Gas now has a combined position in the New Albany Shale of nearly 140,000 acres.
Nicholas J. DeIuliis, president and chief executive officer of CNX Gas, said, "This project is a first, and significant, step in our efforts to consolidate the position we enjoy in this emerging play. CNX Gas had unveiled its original 70,000 acres to investors last July at an Analysts' Day in a play known as Cardinal. Since then, we have begun a systematic approach to testing our acreage. We feel it is prudent to expand and consolidate our footprint before our testing is complete."
CNX Gas expects to unveil the results of its Cardinal exploratory play in the New Albany Shale by the end of the third quarter 2007.
CNX Gas Corp. is an independent natural gas exploration, development, production and gathering company operating in the Appalachian Basin of the United States.
- Atmos CFO to Retire (May 29)
- Atmos Adds Senior VP to Management (May 15)
- Atmos Energy's Net Income Rises 23% (Feb 03)
Company: CNX Gas Corp. more info
- CNX Gas Finalizes $700MM Loan Agreement (May 10)
- CNX Gas' Marcellus Shale Well Achieves Record Results (Mar 22)
- CNX Budgets $400M for Shale Gas, CBM (Jan 05)