Is This A Sign That Oil Majors Are Becoming More Bullish

14 Sep 2016   Shale Gas

Drilling Rig French oil company, Total SA announced in a press release Friday that it would be exercising the rights to obtain 75 percent of the lease agreements in the Barnett shale gas and oil fields. The company already possesses the other 25 percent of the field, meaning they would have total production control. This comes at a time when Chesapeake Energy Corporation makes a move to exit the fields. Total will acquire the rights to produce after paying Williams Partners $420 million next quarter. In 2011, the Barnett field was home to over 80 oil rigs ; today that number has fallen to 3. Production can see substantial reductions when oil and gas prices are low. Natural gas production from the Barnett shale peaked in 2012 with 5,743 mb/day and oil in 2013 with 5,641 b/day. Total SA investing and acquiring the 215,000 acres could be signs of […]

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