WhiteHawk Energy has agreed to acquire additional natural gas mineral and royalty assets in Marcellus Shale in the US from an undisclosed company, for a consideration of $54m.
The purchase is expected to increase WhiteHawk’s mineral and royalty ownership in its existing 475,000 gross acre position by 100%.
WhiteHawk said its assets in the Marcellus Shale are primarily located in Washington and Greene counties in Pennsylvania.
WhiteHawk CEO Daniel C Herz said: “These assets include all the ideal mineral and royalty attributes – diversified acreage positions in the core of well-established basins, operated by best-in-class companies, generating significant cash flow with no additional capital expenditures.
“Since acquiring our initial mineral and royalty interests in the Marcellus Assets in 2022, the assets have performed very well and we are pleased to increase our ownership under some of the best natural gas operators in the world.”
WhiteHawk anticipates the acquisition will double its net revenue interest in each well across its assets in the Marcellus Shale.
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The company also owns mineral and royalty interests in 72 wells-in-progress, 64 permitted wells and nearly 900 undeveloped locations in Marcellus.
WhiteHawk’s existing Marcellus assets cover production from approximately 1,315 horizontal shale wells.
Earlier this year, WhiteHawk purchased natural gas mineral and royalty assets in the Haynesville Shale for an undisclosed amount. These assets cover an area of around 375,000 gross unit acres.
In total, WhiteHawk currently owns stake in around 850,000 gross unit acres within core operating areas of the Marcellus Shale and Haynesville Shale.
It also owns stakes in more than 2,550 producing horizontal wells.