Venado Oil & Gas LLC, Austin, has agreed to make its second acquisition in two months of oil and gas properties in the Eagle Ford play of South Texas.
The privately held company, which formed a partnership for Eagle Ford investments with KKR & Co. LP last September, entered a definitive agreement to buy properties in Zavala, Frio, and Dimmit counties from EXCO Resources Inc., Dallas, for $300 million.
Production from the acreage is about 4,100 boe/d, 90% oil.
EXCO said proceeds of sale will fund drilling and development of core acreage in the Haynesville and Bossier shales of North Louisiana and East Texas.
Venado last month acquired nonoperated South Texas assets of SM Energy, Denver, for $800 million. The purchase includes 37,500 net acres in the Maverick basin-Eagle Ford play and a 12.5% interest in the Springfield Gathering System.
Net production from the acquired properties in last year’s third quarter was 27,260 boe/day—33% oil, 33% natural gas, and 34% NGLs.