Cimarex Expands Woodford Shale Position with $180MM Acquisition


Anadarko Basin, Roberts County Texas
(Click to Enlarge)

Cimarex has announced the expansion of its Woodford Shale position in the Anadarko Basin of western Oklahoma. Cimarex has entered into an agreement with Chesapeake Energy Corporation to acquire 38,000 net acres for $180 million.

The acreage is located in Blaine and Canadian counties, with 88% held by production and an average net revenue interest of 84%. After completing this transaction Cimarex will have 88,000 net Anadarko-Woodford acres.

Cimarex has drilled or participated in a total of 18 Anadarko-Woodford Shale wells through the end of the third quarter of 2008. Eight additional wells are drilling, five of which are operated by Cimarex. Thirty-day average initial production rates on Cimarex's Anadarko-Woodford wells with 4,000 foot laterals have averaged 5.0 MMcf/d.

Cimarex intends to fund the acquisition with cash. As of September 30, 2008, Cimarex had over $200 million of cash and $500 million available under its undrawn bank-credit facility.
 

Events  SUBSCRIBE TO OUR NEWSLETTER

Our Privacy Pledge
SUBSCRIBE


Most Popular Articles


From the Career Center
Jobs that may interest you
Load Planner/ Dispatcher Frac Sand
Expertise: Dispatcher|Project Management
Location: Mansfield, TX
 
Project Engineer
Expertise: Electrical Engineering|Instrument & Controls Engineer|Project Management
Location: Deer Park, TX
 
Land GIS Spatial Analyst - Mineral Land
Expertise: Contracts Engineer|Geologist|Lease Analyst
Location: Denver, CO
 
search for more jobs

Brent Crude Oil : $48.06/BBL 2.51%
Light Crude Oil : $45.77/BBL 2.17%
Natural Gas : $2.97/MMBtu 2.30%
Updated in last 24 hours