• 2 hours Expected:Trump Cancels Summit With North Korea Scheduled For Next Month
  • 11 mins Why Alberta Will Win The War Over Trans Mountain
  • 2 hours Elon Musk Goes Full Conspiracy Theorist, Blames Big Oil for Tesla's Negative Media Coverage
  • 5 mins How Much Oil Could EVs Feasibly Displace by 2040?
  • 2 mins "US fiscal outlook not good"-Goldman Sachs
  • 6 hours Russia and Saudi To Discuss Relaxing Oil Production Caps
  • 3 hours Saudi Arabia Ready to Start Pumping More Oil
  • 3 hours Brent Crude Oil Tops $80!
  • 8 hours High Oil Prices Becoming Herd Mentality
  • 14 hours How Lousy Shale Oil Economics Will Pull Down The U.S. Economy
  • 2 hours Democrats Urge Trump to ‘Stand Up to OPEC’ Amid Rising Oil Prices
  • 7 hours Saudi Aramco IPO Seems Unlikely
  • 14 hours Water-Based Battery Claims Exceptional Scalability
  • 4 hours Iran and sanctions
  • 4 hours How is Pruitt still around?
  • 8 hours Russia attacks (again):Cyber Firms Warn On Suspected Russian Plan To Attack Ukraine
$80 Oil Could Kill Smaller Airlines

$80 Oil Could Kill Smaller Airlines

The airline industry is bracing…

5 Marijuana Stocks To Watch In 2018

5 Marijuana Stocks To Watch In 2018

Marijuana markets are set to…

BHP Billiton May Try To Sell U.S. Fayetteville Shale Asset Again

Oil Rigs

BHP Billiton said on Wednesday that it is proceeding with a divestment of non-core U.S. acreage for value, and is considering all options for its Fayetteville shale gas asset in Arkansas, including a possible divestment.

Back in October 2014, the mining and commodity giant first mentioned that it was considering the sale of the Fayetteville field.

As we look to improve the balance of liquids and gas across our Petroleum portfolio we have initiated the marketing of our Fayetteville acreage. However, we will only divest the field if it maximises value for shareholders,” BHP Billiton said back then.

Now the group is looking again at monetizing its portfolio by selling non-core U.S. acreage, and may decide again to sell Fayetteville. At the same time, BHP Billiton is increasing development activity in the Haynesville, having approved two additional rigs in the shale play.

BHP’s crude oil, condensate, and natural gas liquids production for the nine months ending March 2017 dropped by 19 percent, the group said in its operational review for the period. Onshore U.S. liquids volumes declined by 33 percent due to reduced activity in the Black Hawk for value, and natural field decline at Hawkville, which more than offset increased liquids production from the Permian.

Referring to Hawkville, BHP said that the sale of up to 50,000 acres in “the southern Hawkville is well advanced, with bids received and under evaluation.”

Related: OPEC’s No.2 Plans Significant Raise In Crude Output Next Year

Earlier this month, hedge fund manager Elliott Advisors, which holds around 4.1 percent of BHP Billiton Plc, proposed a plan to increase capital returns to shareholders, which includes demerging the U.S. petroleum assets and listing them separately on the NYSE.

After reviewing Elliott’s plan, BHP Billiton’s board and management “concluded that the costs and associated disadvantages of each element of Elliott’s proposal would significantly outweigh the potential benefits,” the group said a couple of days later.

By Tsvetana Paraskova 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