This news seems like it is a good thing for owners in this area. I'm not exactly sure what I'm reading though. Can anyone put this into lay terms for those less educated?
I noticed that too. Newfield has yet to be mentioned in bankruptcy articles, and if you look at their presentations, they’re focused in this area. From everything I’ve researched (not well-versed, but I’ve read a lot thanks to the good folks on this site) the STACK is hitting its stride. So if Newfield bought contracts of 42,000 undeveloped acres, then they’re obviously still excited which should makes us pay attention, at least.
This will probably be a good thing for mineral owners. Newfield is highly focused in the area and has the cash to do something with the acreage. If I remember correctly, I did see a recent article about the purchase and I think much of it is HBP (held by production), but that is okay as well. As Newfield develops the shale plays and others, they can incorporate the new acreage into their development plans. You would have been held by the terms of your original lease anyway, so no change there.