• 4 minutes 2nd Annual Great Oil Price Prediction Challenge of 2019
  • 7 minutes Nucelar Deal Is Dead? Iran Distances Itself Further From ND, Alarming Russia And France
  • 10 minutes Don Jr. Tweets name Ukraine Whistleblower, Eric Ciaramella. Worked for CIA during Obama Administration, Hold over to Trump National Security Counsel under Gen McCallister, more . . . .
  • 13 minutes Shale pioneer Chesepeak will file bankruptcy soon. FINALLY ! The consolidation begins
  • 22 mins The 5 Scary New Rules Of Upside-Down Capitalism
  • 3 hours Hydrogen Hurdles in Japan
  • 6 hours Winter Storms Hitting Continental US
  • 7 hours U.S. Shale To Break Records Despite Bearish Rhetoric
  • 1 day More dumbed down? re Hong Kong Act of Congress
  • 18 hours PennEast Appealing Wacky 3rd Circuit Decision to Supreme Court
  • 21 hours Impeachment S**te
  • 2 hours Pope Proposes New Sin: Thou Shalt Not Destroy The Harmony Of The Environment
  • 1 day Petroleum Industry Domain Names
  • 19 hours Contaminated Oil
  • 19 hours NATGAS, LNG, Technology, benefits etc , cleaner global energy fuel
  • 1 day U.S. Shale Output may Start Dropping Next Year
  • 16 hours Aramco IPO magic trick
  • 1 day Crazy Stories From Round The World
  • 19 hours Wonders of US Shale: US Shale Benefits: The U.S. leads global petroleum and natural gas production with record growth in 2018
6 Gold Companies Investors Can’t Ignore In 2020

6 Gold Companies Investors Can’t Ignore In 2020

Bullish signs are mounting for…

Oil Majors Go On $27 Billion Selling Spree

Oil Majors Go On $27 Billion Selling Spree

Global giants of the oil…

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
Download on the App Store Get it on Google Play