East Resources obtains capital to expand

By OGJ editors
HOUSTON, June 11 -- East Resources Inc., a privately-owned independent in Warrendale, Pa., said Kohlberg Kravis Roberts & Co. LP (KKR), New York, bought a minority equity position in the company with a “significant investment” from private equity funds.

East Resources’ management and employees retain responsibility for day-to-day operations.

Proceeds will be used to strengthen the company’s balance sheet through the repayment of all outstanding balances under the company’s credit facility. It also will help finance long-term oil and gas exploration and development, particularly in the Marcellus shale.

“Given the increased competition in the Appalachian basin’s Marcellus shale region from a number of well capitalized publicly traded oil and gas companies, we chose a capital provider that has both relationships and skills that could add value to East Resources,” said Terrence M. Pegula, founder, president, and chief executive officer.

East Resources has one of the top acreage positions—more than 650,000 net acres—in the southwestern and northeastern regions of the Marcellus shale trend, particularly in northeastern Pennsylvania where it is focused on ramping up development.

Company officials said Marcellus shale represents the most promising gas opportunity in North America, extending from the southern tier of New York through western Pennsylvania into the eastern half of Ohio and south through West Virginia. These deposits are close to existing interstate pipelines supplying US population centers in the Northeast.

East Resources expanded its operations within Pennsylvania and into West Virginia through its acquisition of some former Pennoil assets from Devon Energy Corp. in 2000. It owns and operates 2,400 producing oil and gas wells in New York, Pennsylvania, West Virginia, Colorado, and Wyoming.

Related Articles

Hager to succeed Richels as Devon president, chief executive officer

12/04/2014 Dave Hager, chief operating officer of Oklahoma City independent Devon Energy Corp., has been selected to succeed John Richels, current president a...

'Down-and-dusty' in Wyoming

11/03/2014 Political campaign strategists emphasize the importance of an effective "on-the-ground" operation in bringing supporters to the ballot bo...

People

08/13/2014

American Energy Partners LP has hired Jeffrey L. Mobley to serve as senior vice-president, major acquisitions.

Linn to purchase acreage from Devon for $2.3 billion

06/30/2014 Linn Energy LLC, Houston, has agreed to acquire assets in five US operating areas from Devon Energy Corp., Oklahoma City, for $2.3 billion, effecti...

Devon, Cimarex to acquire Cana-Woodford assets

05/06/2014 Devon Energy Corp., Oklahoma City, and Cimarex Energy Co., Denver, reported entering into an acquisition scheme for assets primarily in the Cana-Wo...

Devon completes Canadian conventional assets sale

04/02/2014 Devon Energy Corp., Oklahoma City, has completed the sale of its Canadian conventional assets to Canadian Natural Resources Ltd. for $3.125 billion...

Devon, Crosstex complete merger of midstream assets

03/07/2014 Devon Energy Corp., Oklahoma City, and Crosstex Energy LP, Dallas, have completed the merger of their midstream assets to form general partner EnLi...

Devon completes $6 billion purchase of Eagle Ford assets

02/28/2014 Devon Energy Corp., Oklahoma City, has completed its $6 billion purchase of 82,000 net acres in the Eagle Ford play from Woodlands, Tex.-based GeoS...

Devon Energy to sell Canadian conventional assets for $2.8 billion

02/19/2014 Devon Energy Corp. has agreed to sell the majority of its Canadian conventional assets to Canadian Natural Resources Ltd. for $2.8 billion. Proved ...

White Papers

AVEVA NET Accesses and Manages the Digital Asset

Global demand for new process plants, power plants and infrastructure is increasing steadily with the ...
Sponsored by

AVEVA’s Approach for the Digital Asset

To meet the requirements for leaner project execution and more efficient operations while transferring...
Sponsored by

Diversification - the technology aspects

In tough times, businesses seek to diversify into adjacent markets or to apply their skills and resour...
Sponsored by

Engineering & Design for Lean Construction

Modern marketing rhetoric claims that, in order to cut out expensive costs and reduce risks during the...
Sponsored by

Object Lessons - Why control of engineering design at the object level is essential for efficient project execution

Whatever the task, there is usually only one way to do it right and many more to do it wrong. In the c...
Sponsored by

Plant Design for Lean Construction - at your fingertips

One area which can provide improvements to the adoption of Lean principles is the application of mobil...
Sponsored by

How to Keep Your Mud System Vibrator Hose from Getting Hammered to Death

To prevent the vibrating hoses on your oilfield mud circulation systems from failing, you must examine...
Sponsored by

Duty of Care

Good corporate social responsibility means implementing effective workplace health and safety measures...
Sponsored by

Available Webcasts


On Demand

Optimizing your asset management practices to mitigate the effects of a down market

Thu, Dec 11, 2014

The oil and gas market is in constant flux, and as the price of BOE (Barrel of Oil Equivalent) goes down it is increasingly important to optimize your asset management strategy to stay afloat.  Attend this webinar to learn how developing a solid asset management plan can help your company mitigate costs in any market.

register:WEBCAST


Parylene Conformal Coatings for the Oil & Gas Industry

Thu, Nov 20, 2014

In this concise 30-minute webinar, participants have an opportunity to learn more about how Parylene coatings are applied, their features, and the value they add to devices and components.

register:WEBCAST


Utilizing Predictive Analytics to Optimize Productivity in Oil & Gas Operations

Tue, Nov 18, 2014

Join IBM on Tuesday, November 18 @ 1pm CST to explore how Predictive Analytics can help your organization maximize productivity, operational performance & associated processes to drive enterprise wide productivity and profitability.

register:WEBCAST


US HYDROCARBON EXPORTS Part 3 — LNG

Fri, Nov 14, 2014

US LNG Exports, the third in a trilogy of webcasts focusing on the broad topic of US Hydrocarbon Exports.

A discussion of the problems and potential for the export of US-produced liquefied natural gas.

These and other topics will be discussed, with the latest thoughts on U.S. LNG export policy.

register:WEBCAST


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