NEWS
Participation in Eagle Ford Shale Oil/Gas Development in Texas
September 24, 2013
Project
Mitsui Oil Exploration Co., Ltd. is pleased to announce that MOECO approved the participation in the Eagle Ford Shale development in Texas, USA ("the Project"), which is currently owned by Mitsui & Co., Ltd.("Mitsui") through Mitsui's 100% subsidiary Mitsui E&P Texas LP ("MEPTX"), by acquiring 40 percent of MEPTX's equity.
Mitsui initially acquired the interest in the Project in December 2011 and since then has participated in the development and production. Assisted by the recent firm oil prices and by focusing the development on high productivity areas, high profitable production of shale oil is expected. Capital will be spent as drilling activities and facility expansion progress.
This participation will lead further collaboration with Mitsui in USA, diversification of MOECO's portfolio and expansion of its assets to underpin future growth.
Project Life Outlook(MEPTX net):
Project lease | Eagle Ford Shale area, Texas, USA | |
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Acquired Assets | 12.5% working interest of the project, approx. 39,000 net acres of Eagle Ford Shale |
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Operator | Anadarko Petroleum Corporation | |
Peak Production | approx. 26,000 - 32,000 boed (barrels of oil equivalent per day) | |
Total Production | approx. 135 million boe | |
Total Development Cost | USD 2.2 billion plus | |
Life of Production | approx. 30 years |
(Above figures are based on MOECO's latest estimate)
MEPTX Company Profile:
Name of Company | Mitsui E&P Texas LP | |
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Head Office | Houston, Texas, USA | |
Establishment | June 24, 2011 | |
Shareholders | As of September 2013 Mitsui & Co., Ltd.: 100% October 2013 onwards Mitsui & Co., Ltd.: 60% Mitsui Oil Exploration Co. Ltd.:40% |