Silverbow Increase Eagleford Footprint , Chesapeake Exits
Multiples
Transaction Details:
SilverBow Resources said today that it is acquring Chesapeake Energy oil and gas assets in South Texas for a purchase price of $700 million, comprised of a $650 million upfront cash payment due at closing and an additional $50 million deferred cash payment due 12 months post close, subject to customary adjustments.
Chesapeake may also receive up to $50 million in additional contingent cash consideration based on future commodity prices.
Transaction Summary
Purcahse Price : $700m
Land : 42,000 net acres
Production : ~32mboe/d (60% oil/NGLs)
Locations : 300
Proforma
- Production : 87 - 99 Mboe/d (4Q'23) (+50% increase)
- Oil & NGL 50% (10% increase)
- Land/ Net Acres 222,000 (+25% increase)
- Gross Drilling Inventory : 950 (+45% increase)
CHESAPEAKE SOUTH TEXAS ASSET HIGHLIGHTS
Adds ~42,000 net acres in Dimmit and Webb counties across the highly prolific, liquids-heavy window of South Texas
Expected production of ~31,000-33,000 Boe/d (~60% oil/NGLs) for the fourth quarter of 2023
~$850 million of Proved Developed Producing (“PDP”) PV-10 reserves value2 compared to the $700 million purchase price
~300 additional high-confidence drilling locations across the Austin Chalk and Eagle Ford formations which immediately compete for capital
Gulf Coast Deal Activity In Last 12 Months
Announced Date | Buyer | Seller | Deal Value($mm) | Location | Category |
---|---|---|---|---|---|
Jul-13-2023 | - | - | Click here | Wyoming | E&P |
May-03-2023 | - | - | Click here | Texas | E&P |
Feb-28-2023 | - | - | Click here | Texas | E&P |
Feb-21-2023 | - | - | Click here | Texas | E&P |
Oct-03-2022 | - | - | Click here | Texas | E&P |
Date | Deal Headline | Price | $/acre |
---|---|---|---|
May-03-2023 | Crescent Energy Acquires Eagle ford Assets For $600 Million | - | - |
Feb-28-2023 | Baytex Acquires Pure Play Eagle Ford Operaor Ranger Oil | - | - |
Feb-21-2023 | International Company Enters Eagle Ford; Acquires 170k Acres For $1.5 Billion | - | - |
Announced Date | Buyer | Seller | Deal Value($mm) | Location | Category |
---|---|---|---|---|---|
Jan-11-2024 | - | - | Click here | West Virginia | E&P |
Feb-21-2023 | - | - | Click here | Texas | E&P |
Jan-18-2023 | - | - | Click here | Texas | E&P |
Jan-25-2022 | - | - | Click here | Wyoming | E&P |
Jan-25-2022 | - | - | Click here | Pennsylvania | E&P |
Other Silverbow Resources Deals
Announced Date | Buyer | Seller | Deal Value($mm) | Location | Category |
---|---|---|---|---|---|
Oct-03-2022 | - | - | Click here | Texas | E&P |
Sep-15-2022 | - | - | Click here | Texas | E&P |
Apr-14-2022 | - | - | Click here | Texas | E&P |
Apr-14-2022 | - | - | Click here | Texas | E&P |
Oct-11-2021 | - | - | Click here | Texas | E&P |