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Texas company to buy Chesapeake acreage

Texas-based Energy & Exploration Partners Inc. is purchasing more than 57,000 acres in east Texas from Chesapeake Energy Corp. for $125 million, according to a regulatory filing.
BY JAY F. MARKS Published: September 12, 2012

The acquisition will more than double the Texas company's holdings. It had about 43,000 net acres in three core areas as of Aug. 31: the Eaglebine, the Wolfcamp play in west Texas' Permian Basin and the Niobrara Shale in Colorado and Wyoming.

Energy & Exploration Partners previously had accumulated about 18,000 acres in the Eaglebine. The company struck a deal with subsidiaries of Halcon Resources Corp. to help develop the acreage. Constellation Energy Commodities Group Inc. also bought a stake in the Eaglebine acreage.

Halcon has drilled three wells in the area, with production from the first one expected to begin by the end of the month.

Those partners will have an opportunity to buy a 65 percent working interest in acreage that is part of their areas of mutual interest.

The Chesapeake acquisition will give Energy & Exploration Partners more than 70,000 net acres in the play.

Other sales

Chesapeake Energy Corp. has announced two asset sales this year as it tries to raise money to cover its projected capital costs. The company brought in about $2.6 billion from a series of deals announced in April for acreage and future production in Oklahoma and Texas. Chesapeake sold its stake in its former pipeline subsidiary for $2 billion in July. Future transactions with the newly named Access Midstream Partners could yield more money for the cash-strapped company.


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