Operator to join Arkoma Fayetteville shale gas play

By OGJ editors
HOUSTON, July 20 -- Another operator plans to spud its first well in the Arkoma basin Mississippian Fayetteville shale gas play in September.

Chesapeake Energy Corp., Oklahoma City, said earlier this year that it had acquired 250,000 prospective acres in the Hartshorne coal and the Caney, Woodford, and Fayetteville shale plays in the Arkoma basin (OGJ Online, Feb. 22, 2005).

The company said in June that it has amassed 190,000 acres in the Fayetteville shale play alone and plans to spud its first well in September but has given no location details.

Meanwhile, Panhandle Royalty Co., Oklahoma City, said July 19 that it had leased 9,000 net acres of nonproducing minerals in Arkansas for $2.024 million.

Panhandle Royalty, without naming the buyer, said it is a major independent producer that represented it had acquired more than 200,000 net acres in the Fayetteville play.

Chesapeake declined to confirm or deny that it acquired the interests from Panhandle Royalty, saying it will more fully discuss the Fayetteville play in a conference call on Aug. 5.

Southwestern Energy Co., Houston, held 645,000 net undeveloped acres and controlled another 125,000 net acres held by conventional production in the basin fairway in the play area. It had drilled 48 Fayetteville wells and participated in one outside-operated well in Franklin, Conway, Van Buren, Cleburne, and Faulkner counties (OGJ, July 18, 2005, p. 35).

The minerals Panhandle Royalty leased are in Van Buren, White, Yell, Cleburne, Conway, Faulkner, Johnson, and Pope counties, Arkansas. The term of the lease is 5 years and allows Panhandle Royalty the option to participate with a working interest in some of the larger interest tracts.

Panhandle Royalty said that in the past 12-13 years it has acquired large blocks and individual tracts totaling thousands to tens of thousands of acres in several areas that have since evolved from frontier basins to areas of high exploration interest. The areas include the Ouachita Overthrust in southeastern Oklahoma, and Marathon Overthrust in West Texas, the Tucumcari basin and Permian Basin northwest shelf in New Mexico, and the Williston basin in North Dakota.

"Developing new plays such as the Fayetteville shale and other nontraditional new methods and technologies for drilling and producing oil and gas are factors considered in determining where we have bought minerals in the past and where we are acquiring them today for our participation and-or leasing to others," Panhandle Royalty said.

Related Articles

Inhofe, Lankford say new BIA rules threaten Osage oil operations

07/10/2015 New US Bureau of Indian Affairs regulations that increase production expenses on tribal lands could put the Osage Nation out of business, Oklahoma’...

BHI: US rig count continues upward creep

07/10/2015 Although the overall US drilling rig count only edged up 1 unit to 863 rigs working during the week ended July 10, it represented the third consecu...

Chevron Phillips Chemical makes executive appointments


Chevron Phillips Chemical Co. LLC has made several executive appointments, all effective Aug. 1.

Twelve workers killed in Nigeria pipeline explosion

07/10/2015 Eni SPA reported that an explosion occurred July 9 at the repair site for the Tebidaba-Clough Creek oil pipeline in Nigeria’s onshore Niger Delta.

PDO to use solar to displace gas in thermal EOR work


Petroleum Development Oman (PDO) plans to use a solar plant to displace natural gas in enhanced oil recovery (EOR) efforts in Amal oil field.

Ending crude export ban would help rural US areas, House panel told

07/09/2015 Rural US communities generally have benefited from the nation’s crude oil production renaissance, and potentially could be helped more if restricti...

MOL completes Ithaca Norge acquisition

07/09/2015 MOL Group, Budapest, has completed its acquisition of Ithaca Petroleum Norge from Ithaca Energy Inc. for $60 million plus possible bonuses of up to...

Husky Energy reports unplanned maintenance at Lloydminster upgrader


Husky Energy Inc. reported unplanned maintenance at its Lloydminster heavy oil upgrader in Saskatchewan.

AER orders Apache Canada to address integrity of pipeline system

07/08/2015 Alberta Energy Regulator has directed Apache Canada Ltd. to address the integrity of its pipeline management system because of “failure to follow p...
White Papers

Definitive Guide to Cybersecurity for the Oil & Gas Industry

In the Oil and Gas industry, there is no single adversary and no single threat to the information tech...

UAS Integration for Infrastructure: More than Just Flying

Oil and gas companies recognize the benefits that the use of drones or unmanned aerial systems (UAS) c...

Solutions to Financial Distress Resulting from a Weak Oil and Gas Price Environment

The oil and gas industry is in the midst of a prolonged worldwide downturn in commodity prices. While ...
Sponsored by

2015 Global Engineering Information Management Solutions Competitive Strategy Innovation and Leadership Award

The Frost & Sullivan Best Practices Awards recognise companies in a variety of regional and global...
Sponsored by

Three Tips to Improve Safety in the Oil Field

Working oil fields will always be tough work with inherent risks. There’s no getting around that. Ther...
Sponsored by

Pipeline Integrity: Best Practices to Prevent, Detect, and Mitigate Commodity Releases

Commodity releases can have catastrophic consequences, so ensuring pipeline integrity is crucial for p...
Sponsored by

AVEVA’s Digital Asset Approach - Defining a new era of collaboration in capital projects and asset operations

There is constant, intensive change in the capital projects and asset life cycle management. New chall...
Sponsored by

Transforming the Oil and Gas Industry with EPPM

With budgets in the billions, timelines spanning years, and life cycles extending over decades, oil an...
Sponsored by
Available Webcasts

Better Data, Better Analytics, Better Decisions

When Tue, Oct 27, 2015

The Oil & Gas industry has large amounts of data stored in multiple systems which are purpose built for certain tasks. However, good decisions require insights based upon the data in all of these systems. These systems in turn do not talk to each other. So the process of analyzing data, gaining insights, and making decisions is a slow one and often a flawed one. Good decisions require accurate analytics and accurate analytics require superior/sustainable data quality and governance. This webinar focuses on:

  • The importance of data quality and governance
  • How technological advances are making data quality and governance sustainable in order to get the accurate analytics to make solid decisions.

Please join us for this webcast sponsored by Seven Lakes Technologies and Noah Consulting.


Operating a Sustainable Oil & Gas Supply Chain in North America

When Tue, Oct 20, 2015

Short lead times and unpredictable conditions in the Oil & Gas industry can create costly challenges in supply chains. By implementing a LEAN culture of continuous improvement you can eliminate waste, increase productivity and gain end-to-end visibility leading to a sustainable and well-oiled supply chain.

Please join us for this webcast sponsored by Ryder System, Inc.


On Demand

Leveraging technology to improve safety & reliability

Tue, Sep 22, 2015

Attend this informative webinar to learn more about how to leverage technology to meet the new OSHA standards and protect your employees from the hazards of arc flash explosions.


The Resilient Oilfield in the Internet of Things World

Tue, Sep 22, 2015

As we hear about the hype surrounding the Internet of Things, the oil and gas industry is questioning what is different than what is already being done. What is new?  Using sensors and connecting devices is nothing new to our mode of business and in many ways the industry exemplifies many principles of an industrial internet of things. How does the Internet of Things impact the oil and gas industry?

Prolific instrumentation and automation digitized the industry and has changed the approach to business models calling for a systems led approach.  Resilient Systems have the ability to adapt to changing circumstances while maintaining their central purpose.  A resilient system, such as Maximo, allows an asset intensive organization to leverage connected devices by merging real-time asset information with other critical asset information and using that information to create a more agile organization.  

Join this webcast, sponsored by IBM, to learn how about Internet of Things capabilities and resilient systems are impacting the landscape of the oil and gas industry.


Emerson Micro Motion Videos

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!


Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected