Talisman, Statoil Buy Texas Shale in $1.3 Billion Joint Venture Deal

A Canadian-Norwegian joint venture is buying 97,000 acres of natural gas rich land in Texas' Eagle Ford play, the companies said Sunday. Calgary based Talisman Energy Inc. and Stavanger, Norway based Statoil are paying $1.325 billion for the land, which currently belongs to Enduring Resources, Talisman said. The project will be a 50-50 joint venture between the companies. Talisman will be the initial operator, but Statoil will operate at least half of the joint assets within three years.

Talisman estimated that the property contains the equivalent of 800 million barrels of oil. The property currently produces the equivalent of 5,500 barrels of oil per day, Talisman said. It said six wells are producing energy, and 20 more will have been drilled by year's end. Shale oil and gas deposits have become a key source of U.S. energy production. New techniques make it easier to reach oil and gas trapped beneath layers of rock deep underground. Both Talisman and Statoil have been expanding their shale gas operations in North America.

Courtesy of  INO.com Market and Intraday News


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Shale Gas Drilling Techniques Revolutionize Oil Shale Drilling

Colorado based BENTEK Energy reports that horizontal drilling and hydraulic fracturing, which has revolutionized U.S. shale gas production and other unconventional plays, is also transforming the domestic crude oil industry. As a result, U.S. oil production is on the rise for the first time in 23 years.

In its new report, The Rush to Unconventional Oil, BENTEK notes that technologies are being used to unlock oil from shales in a number of plays such as the Bakken and Niobrara shales in the Rockies region, the Bone Springs/Wolfberry, Granite Wash and Eagle Ford plays in and around Texas and the liquids rich shales in the southwestern Marcellus.

The most explosive growth is occurring in the Bakken shale in North Dakota, where production has grown 79 percent in the past year, or 114,000 b/d, compared to the five-year average of 144,000 b/d, boosting North Dakota past Louisiana as the nation's fourth largest oil producing state. As a result, the project for Rockies oil production based on the current rig count indicates 19 percent growth next year to 717,000 b/d. The U.S. Geological Survey.....Read the entire article.


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