The Pittsburgh Post-Gazette reports EQT Corp. has announced it’s spending $113 million to buy approximately 99,000 acres of land holdings in southwestern Pennsylvania from the state’s top gas driller, Oklahoma City-based Chesapeake Energy.
From the Post-Gazette:
The acreage includes 67,000 Marcellus acres and 32,000 Utica Shale acres. Of the total purchase price, $60 million is for the undeveloped acreage and $53 million is for the Marcellus wells, EQT said.
The acquisition, which is expected to be completed May 30, includes some 25,000 acres within EQT’s core Marcellus development areas of Allegheny, Washington and Greene counties. The company anticipates drilling four wells on the newly acquired land late this year.
As Reuters reported last month, Chesapeake has a new CEO and the company has pledged to sell off up to $7 billion in oil and gas properties, in an effort to rein in costs and focus more on its core drilling operations in Texas.