Gastar looking for buyer for Marcellus, Utica assets

Oct. 15, 2015
Gastar Exploration Inc. announced it is looking for a buyer for its Marcellus and Utica acreage, saying it intends to concentrate on its US Midcontinent assets where it is acquiring more interest in the Stack and Hunton limestone formations in Okalahoma.

Gastar Exploration Inc. announced it is looking for a buyer for its Marcellus and Utica acreage, saying it intends to concentrate on its US Midcontinent assets where it is acquiring more interest in the Stack and Hunton limestone formations in Okalahoma.

For about $43 million, Gastar agreed to acquire additional working and net revenue interests in 103 gross (10.2 net) producing wells and certain undeveloped acreage from joint venture partner Husky Ventures Inc. and other sellers who were not identified.

Closing is expected by Nov. 30 with an effective date of July 1. After closing, a JV with Husky will be dissolved.

The transaction involves 11,000 net nonproducing acres in the Oklahoma counties of Blaine and Major counties as well as the acquisition of 15,700 net acres in Kingfisher and Garfield counties, of which 42% is held by production.

After closing, Gastar will own about 110,400 net acres in the Hunton limestone play. Gastar’s exposure to the STACK play will be about 62,300 net acres in the Meramec shale play and 48,900 net acres in the Woodford shale play.

Meanwhile, Gastar hired Tudor, Pickering, Holt & Co. to market its Marcellus and Utica shale acreage concentrated in the West Virginia counties of Marshall and Wetzel.