• 7 hours Oil Prices Rise After U.S. API Reports Strong Crude Inventory Draw
  • 8 hours Oil Gains Spur Growth In Canada’s Oil Cities
  • 9 hours China To Take 5% Of Rosneft’s Output In New Deal
  • 9 hours UAE Oil Giant Seeks Partnership For Possible IPO
  • 10 hours Planting Trees Could Cut Emissions As Much As Quitting Oil
  • 11 hours VW Fails To Secure Critical Commodity For EVs
  • 12 hours Enbridge Pipeline Expansion Finally Approved
  • 13 hours Iraqi Forces Seize Control Of North Oil Co Fields In Kirkuk
  • 13 hours OPEC Oil Deal Compliance Falls To 86%
  • 1 day U.S. Oil Production To Increase in November As Rig Count Falls
  • 1 day Gazprom Neft Unhappy With OPEC-Russia Production Cut Deal
  • 1 day Disputed Venezuelan Vote Could Lead To More Sanctions, Clashes
  • 1 day EU Urges U.S. Congress To Protect Iran Nuclear Deal
  • 2 days Oil Rig Explosion In Louisiana Leaves 7 Injured, 1 Still Missing
  • 2 days Aramco Says No Plans To Shelve IPO
  • 4 days Trump Passes Iran Nuclear Deal Back to Congress
  • 4 days Texas Shutters More Coal-Fired Plants
  • 4 days Oil Trading Firm Expects Unprecedented U.S. Crude Exports
  • 4 days UK’s FCA Met With Aramco Prior To Proposing Listing Rule Change
  • 5 days Chevron Quits Australian Deepwater Oil Exploration
  • 5 days Europe Braces For End Of Iran Nuclear Deal
  • 5 days Renewable Energy Startup Powering Native American Protest Camp
  • 5 days Husky Energy Set To Restart Pipeline
  • 5 days Russia, Morocco Sign String Of Energy And Military Deals
  • 5 days Norway Looks To Cut Some Of Its Generous Tax Breaks For EVs
  • 5 days China Set To Continue Crude Oil Buying Spree, IEA Says
  • 5 days India Needs Help To Boost Oil Production
  • 5 days Shell Buys One Of Europe’s Largest EV Charging Networks
  • 6 days Oil Throwback: BP Is Bringing Back The Amoco Brand
  • 6 days Libyan Oil Output Covers 25% Of 2017 Budget Needs
  • 6 days District Judge Rules Dakota Access Can Continue Operating
  • 6 days Surprise Oil Inventory Build Shocks Markets
  • 6 days France’s Biggest Listed Bank To Stop Funding Shale, Oil Sands Projects
  • 6 days Syria’s Kurds Aim To Control Oil-Rich Areas
  • 6 days Chinese Teapots Create $5B JV To Compete With State Firms
  • 7 days Oil M&A Deals Set To Rise
  • 7 days South Sudan Tightens Oil Industry Security
  • 7 days Over 1 Million Bpd Remain Offline In Gulf Of Mexico
  • 7 days Turkmenistan To Spend $93-Billion On Oil And Gas Sector
  • 7 days Indian Hydrocarbon Projects Get $300 Billion Boost Over 10 Years
Footloose Iraq Cannibalizes Saudi Market Share

Footloose Iraq Cannibalizes Saudi Market Share

OPEC’s de-facto leader Saudi Arabia…

Why U.S. Crude Exports Are Booming

Why U.S. Crude Exports Are Booming

U.S. crude oil exports are…

Anadarko Exits Eagle Ford

Fracking operations

Anadarko has struck a deal to sell its assets in the Eagle Ford shale play to Sanchez Energy Corp. and Blackstone group for US$2.3 billion. The divestment, according to Anadarko chief executive Al Walker, is part of the company’s shift towards higher-return operations elsewhere in the shale patch, and more specifically the Delaware Basin, part of the Permian shale play, and the DJ Basin in Wyoming, as well as the Gulf of Mexico.

The Permian has lately turned into the star of the shale plays and the focus of much investor attention, both from the energy industry and from private investment companies because of its low production costs and still abundant resources. A couple of months ago, the U.S. Geological Survey said the Wolfcamp Basin, also part of the Permian, holds the biggest recoverable reserves discovered in the country so far: 20 billion barrels of crude.

Anadarko’s assets in Eagle Ford that are subject to the deal with Blackstone and Sanchez Energy span 155,000 net acres and produce a daily 45,000 barrels of hydrocarbon liquids plus 131 million cu ft of natural gas. The transaction should close by the end of March. Anadarko will retain control of its midstream operations in Eagle Ford.

The Eagle Ford divestment follows another sale of Anadarko’s upstream and midstream assets in another shale play, Marcellus. That deal’s size was US$1.24 billion.

Anadarko, which was named the best employer in oil and gas by a survey from job site Indeed, had a debt load of US$15.7 billion as of last September, and the large-scale divestiture deals are part of efforts to tackle this load. The focus on higher-return projects is another part of the company’s strategy.

In its latest quarterly financial report for July to September 2016, Anadarko reported revenues of US$1.89 billion and loss per share of US$1.61. Loss per share for the first nine months of the year stood at US$5.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News