Transaction Details: 

Cabot Oil & Gas Corp. recently entered into a definitive purchase and sale agreement to acquire approximately 30,000 net acres in the Eagle Ford Shale from an undisclosed seller for $210 million, subject to customary due diligence and closing adjustments.

The assets were producing approximately 1,600 barrels of oil equivalent per day (92% liquids) as of the effective date of the transaction and include approximately 17,000 net acres near Cabot's Buckhorn operating area, increasing the total Buckhorn leasehold position to approximately 60,000 net acres and Cabot's total Eagle Ford Shale leasehold position to approximately 83,000 net acres.

Based on the Company's current spacing configuration of 400 feet between laterals, Cabot has identified 191 net locations on this additional Buckhorn area acreage with an average lateral length of over 6,500 feet. 

The Company is currently testing 300-foot downspacing across its existing Buckhorn position, which would add an additional 45 net locations on the acquired leasehold. As a result of this transaction, the Company has added a fourth operated rig in the Eagle Ford to begin drilling on the newly acquired properties.

The transaction is expected to close in October 2014.

Dan O. Dinges, Chairman, President, and Chief Executive Officer, commented: "In addition to the number of new locations, this acreage will allow synergies in our operations on many fronts including infrastructure and facility utilization. Our typical Buckhorn well yields an attractive return at current oil prices and this acreage will complement those returns."