Chesapeake and Total Teaming Up in Utica Shale
Chesapeake has been doing some major projects down in the Utica Shale area. This has been known for some time, however, their partnership with Total has been a bit more discrete. How exactly are they teaming up together? Great question! Christopher Helman explains how they have been working together.
"According to the terms of the deal, Total has already paid $700 million in cash and has promised to put up $1.63 billion over 7 years to carry 60% of capes on drilling wells. The JV, which also includes private equity group EnerVest, covers 619,000 acres. Total gets 155,000 acres net, and also has the option to acquire a 25% share in all future acreage acquired in the liquids-rich section of the Utica shale."
Find additional research here: http://turnkeyoil.com/2012/01/05/chesapeake-and-total-team-up-in-utica-shale/