BKV Corp., Denver, Colo., has agreed to acquire Barnett shale assets in Texas through a deal with Bedrock Production LLC.
As part of its second-quarter 2025 earnings, BKV said the company, along with BKV Midstream LLC, entered into a definitive purchase agreement Aug. 7 to acquire all of the issued and outstanding equity interests of Bedrock Production, resulting in the acquisition of Bedrock Energy Partners’ Barnett Shale assets. The cash and stock deal is valued at about $370 million, BKV said.
Through the deal, BKV expects to acquire about 97,000 net acres and 1,121 gross operated wells directly offsetting its existing acreage, as well about 200 miles of owned gas and water infrastructureand, and about 108 MMcfed of production (about 63% natural gas).
“The acquisition increases our low-declining PDP production base by over 100 MMcfed, enhances and extends our inventory in the Barnett Shale by adding nearly 1 tcfe of proved reserves using NYMEX strip pricing, and aligns well with our strategic position in the Fort Worth Basin,” said Chris Kalnin, chief executive officer.
The deal is expected to close early in fourth-quarter 2025, subject to customary closing conditions.
BKV second-quarter results
In the year’s second quarter, BKV had net income of $104.6 million and adjusted net income of $32.8 million. Net cash provided by operating activities was $76.2 million. The company accrued capital expenditures of $78.8 million (versus guidance of $77–103 million). Adjusted free cash flow attributable to BKV was $2.1 million.
BKV’s average net production in second-quarter 2025 was 811.0 MMcfed, above guidance of 775–805 MMcfed.
The company has updated its 2025 guidance, increasing expected net production 4% at the midpoint to 790-810 MMcfed. Capital expenditure guidance decreased 9% at the mid-point to $290-350 million.
