NEWS
Mitsui and MOECO Sells a Part of Its Interest in the Marcellus Shale Gas Project
December 22, 2016
Project
Mitsui Oil Exploration Co., Ltd., ("MOECO", Head Office: Tokyo, President and CEO: Mitsuo Hidaka) is pleased to announce that Mitsui E&P USA LLC ("MEPUSA"), a subsidiary established in the U.S. by Mitsui & Co., Ltd. ("Mitsui", Head Office: Tokyo, President and CEO: Tatsuo Yasunaga) and MOECO has reached an agreement with Alta Resources Development, LLC ("Alta") to sell a part of MEPUSA's interest in the Marcellus shale gas project in the state of Pennsylvania, U.S.A. for $207 million.
MEPUSA's share of current daily production in the area to be sold is approximately 70 million cubic feet, which represents approximately 20% of MEPUSA's total daily production in the overall Marcellus shale gas project.
This asset divesture will enable MEPUSA to focus its future investment into the more productive area where it will retain its working interest, improve its profitability, and contribute to enhancing the value of MOECO's portfolio.
Outline of Agreement
Buyer |
Alta |
Seller |
MEPUSA |
Sold Interest |
Approximately 14.3% working interest in part of the Marcellus shale gas project |
Consideration |
$207 million |
Overview of Marcellus shale gas project
Location |
The State of Pennsylvania, U.S.A. |
Daily Production |
Approximately 300 million cubic feet (Approximately 50,000 Barrels of Oil Equivalent) |