IS - Senex brings Surat gas to plateau with 80 wells instead of 110 - June 2020Less than two years after sanctioning its 100%-owned Surat Basin gas development onshore Queensland, Senex Energy has completed the A$400 million ($280 million) project, which it says establishes the Brisbane-based company as an important domestic gas supplier in Australia. As a result of production outperformance, the Project Atlas and Roma North areas reached plateau output of 48 terajoules/day (45 MMcf/d) after drilling just 80 wells instead of the 110 planned when Senex made its FID in...
Jun 22, 2020
A&D- Titan Energy enters restructuring agreement to sell Eagle Ford - June 2020Fort Worth-based Titan Energy entered a restructuring support agreement May 26 with key stakeholders for the sale of its Eagle Ford assets to an undisclosed buyer. The divestment, which would comprise substantially all of Titan’s assets, is expected to generate $8.5 million in net proceeds. Titan placed its operated Eagle Ford assets on the market in September, when it hired Intrepid Partners to assist in the sale of 10,162 net acres (10,855 gross) in the heart of the black oil window...
Jun 12, 2020
A&D - NFG buys Shell’s Appalachia for $541MM in largest YTD deal - May 2020In the largest transaction of its 119-year history, New York-based integrated energy company National Fuel Gas is acquiring Shell’s upstream and midstream assets in the Appalachian Basin for $541 million. NFG said the deal will boost E&P unit Seneca Resources’ proved reserves by 23%, gas output by 36% and Appalachian acreage by 52%. It’s also the largest new US upstream deal announced in 2020. “Strategically, this transaction is a perfect fit for National Fuel,” president and CEO David Bauer...
May 22, 2020
A&D - Chevron contracts Barclays to market Appalachian portfolio - March 2020After announcing that it was evaluating strategic alternatives for its Appalachian position in December, Chevron has hired Barclays to assist in the sales process (Enverus Deal ID: 12086). The company recorded a $10.5 billion impairment in its Q4 results, of which more than half, $6.5 billion, related to Appalachia. The planned sale is an integral part of the supermajor’s objective to sell $4 billion in assets by year’s end. Located across Pennsylvania, West Virginia and Ohio, Chevron’s...
Mar 19, 2020
PS - Devon doubles Niobrara activity, targets 2021 development
- March 2020Encouraged by its early-stage Niobrara appraisal program in Wyoming’s Powder River Basin, Devon Energy will double its activity in the play during 2020, bringing online 15 new operated wells. This year’s objective is to derisk the Atlas West area in Converse County ahead of a shift to full development in 2021. Over the last two years, Devon has brought online 11 operated Niobrara wells with initial 30-day average rates reaching as high as 1,500 boe/d. Thus far, initial spacing tests are...
Mar 09, 2020
WS - Devon doubling Niobrara activity as it targets development in 2021 - February 25, 2020Encouraged by its early-stage Niobrara appraisal program in Wyoming’s Powder River Basin, Devon Energy will double its activity in the play during 2020, bringing online 15 new operated wells. This year’s objective is to derisk the Atlas West area in Converse County ahead of a shift to full development in 2021. Over the last two years, Devon has brought 11 operated Niobrara wells online with initial 30-day average rates reaching as high as 1,500 boe/d. Thus far, initial spacing tests are...
Feb 25, 2020
IS - Surat Basin growth at Roma North and Atlas drives Senex’s Q4 - February 2020Senex Energy achieved 19 MMcf/d of production in Q4 from its Surat Basin assets in Queensland, Australia, up 65% sequentially. Roma North averaged 12.8 MMcf/d, and Atlas averaged 6.2 MMcf/d. The company has drilled 49 wells across the two assets since June, with 10 online at Roma North and 23 online at Atlas. The remaining 16 wells at Roma North will come onstream in several weeks. Easternwell’s Rig 27 is scheduled to return to Atlas to finish drilling in February after it wraps up...
Feb 11, 2020
PS - Analyst Notes - January 6, 2020Bonanza Creek Energy (BCEI; $21.27-Dec. 18; Buy; PT-$51) Retooled to compete with DJ’s best. Over the past two years, Bonanza Creek enabled its operating team with greater decision-making authority as the company redesigned its wells. In general, recent completions have higher sand and fluid concentrations than prior vintages. The resulting improvement in well productivity has been meaningful. For example, the six-month average oil rate per foot for 2018 and 2019 wells completed in...
Jan 06, 2020
IS - Senex delivers first sales gas from Project Atlas in Australia - December 2019Senex Energy delivered first sales gas from its Project Atlas onshore Queensland, Australia, with gas being sold to Queensland power generator CleanCo. Senex started producing from wells at the development in October, but gas was flared until the processing facility was commissioned. The company has now brought two trains online at the five-train facility, which will have a total capacity of 15 PJ/year (~38.9 MMcf/d). Twenty-three wells have been drilled out of a 60-well campaign, and 15 are...
Dec 31, 2019
A&D - Chevron weighs Appalachian Basin shale divestment - December 2019Pressured by a lower gas price outlook, Chevron announced it is evaluating strategic alternatives including divestment for its Appalachian Basin shale position, the Kitimat LNG project in British Columbia, and other natural gas assets overseas. It is reducing funding to these assets next year while keeping overall capex flat at $20 billion for the third straight year. The supermajor said it expects its Q4 results to reflect after-tax impairments totaling $10-11 billion, more than half of which...
Dec 19, 2019
IS - Senex delivers first gas from Project Atlas development - October 2019Senex Energy Ltd. has delivered first gas from its Project Atlas development onshore Queensland, Australia, just 18 months after it was awarded a petroleum lease for the project in March 2018. The company has drilled 11 wells out its 60-well campaign begun in August and has brought four online so far. The greenfield development includes a 40 TJ/d (38 MMcf/d) gas processing facility and a 60-km buried pipeline to the Wallumbilla hub. Construction of the pipeline is finished, and the...
Oct 15, 2019
IS - Senex Energy closes $34MM sale of Roma North to Jemena - September 2019Australia’s Senex Energy completed the $34.3 million (A$50 million) sale of its Roma North gas processing facility and pipeline assets in Queensland to energy infrastructure operator Jemena. The transfer of ownership of the facility and pipeline occurred after successful commissioning and performance testing. Jemena will now process and transport gas from Senex’s Western Surat developments to market under a long-term gas tolling arrangement. “Senex’s broad natural gas development...
Sep 24, 2019
IS - Noble Energy makes oil discovery off Equatorial Guinea - September 2019Equatorial Guinea’s minister of hydrocarbons and mines Gabriel Obiang Lima said Noble Energy made a new oil discovery in the country’s offshore Block 1. Lima said the Aseng 6P well reached a TD of 4,417 meters and should produce first oil in October. Noble is in the process of completing the well’s 400-meter lateral and is expected to connect it to existing infrastructure in the Aseng field, which has five wells connected to an FPSO. No details on the size of the discovery were released. Noble...
Sep 03, 2019
A&D - News Briefs - May 22, 2020AIM-listed Attis Oil & Gas Ltd. sold subsidiary Northcote Cleveland to a consortium of buyers, including Attis executive chairman Paolo Amoruso. The buyers will pay a $250,000 cash consideration and assume a $50,000 operator’s bond held by Attis. Northcote holds the Zink Ranch lease in Osage County, Oklahoma, covering 1,960 acres and including 18 oil wells producing from the Pennsylvanian formation. Appalachian pure-play Cabot Oil & Gas spent $879,000 in Q1 to acquire oil and...
May 22, 2020
CS - Finance Briefs - September 11, 2019Baytex Energy Corp.’s capex is on pace for $575 million in 2019, the mid-point of its previous guidance, the company said in a September investor presentation. The E&P firm spent $261 million on capex in H1—on track with expectations— but managed to produce 99,800 boe/d, exceeding annual guidance. It also expects to redeem at par this quarter $150 million of 6.75% senior unsecured notes that mature February 2021. Cabot Energy Inc. entered a nonbinding term sheet for an asset-level loan...
Sep 11, 2019