By OGJ editors
HOUSTON, Oct. 29 – Magnum Hunter Resources Corp., Houston, signed a definitive agreement to acquire Triad Energy Corp., private Reno, Ohio, oil and gas concern, out of bankruptcy for $81 million.
Triad Energy has operations in Ohio, West Virginia, and Kentucky with proved reserves of 5.2 million barrels of oil equivalent, 69% oil and 69% proved developed producing. It produces 1,000 boe/d from more than 2,000 Appalachian basin wells. The figures don’t reflect possible potential from Marcellus shale horizontal drilling.
Triad Energy controls 88,417 net mineral acres, 75% of it held by production, in the three states, of which 47,000 net acres overlay the Marcellus shale play. The acquisition also includes three air drilling rigs, pole units, salt water disposal facilities, and more than 55 miles of gas pipelines and rights-of-way.
Triad Energy’s assets have upside potential from behind-pipe reserves, numerous undrilled locations, waterflood enhancement opportunities, and Marcellus potential.