Marathon Oil: In On Texas Oil For The Long Run
We posted an article earlier this week that discussed the oil boom that is currently revisiting the state of Texas. Well, Marathon Oil is joining in the festivities and purchasing as much land as they can! Wheeling and dealing is the name of the game and Marathon did just that. Here are the details…
" Marathon Oil will spend $3.5 billion in cash to snap up oil and natural gas fields in Texas as the company boosts exploration and production in a highly targeted and energy rich region.
The Houston company said Wednesday that it has reached an agreement with the owner, Hilcorp Resources Holdings, a partnership that includes Kohlberg Kravis Roberts & Co.
Marathon gets about 141,000 net acres within the Eagle Ford shale formation. The region overlaps Atascosa, Karnes, Gonzales and DeWitt counties the southern part of the state. As of May 1 the land was producing 7,000 barrels of oil equivalent per day. Marathon plans to add new wells and produce 80,000 barrels per day by 2016."
Find the entire article here: http://www.nytimes.com/aponline/2011/06/01/business/AP-US-Marathon-Eagle-Ford.html?_r=2