Chesapeake Sale to Wildfire

Four years ago Wildfire Energy was formed by the former CEO and executives of Wildhorse Resources following Wildhorse being sold to Chesapeake for $4 Billion. As discussed in the article below, Chesapeake just agreed to sell what has been referred to as the Brazos Valley portion of Wildhorse’s operations to Wildfire Energy for $1.425 Billion.

The sale covers the wells and acreage Wildhorse formerly held in Washington, Burleson and five adjoining counties that supposedly made up 90% of what Chesapeake had acquired.

Chesapeake’s acquisition, right before crude peaked and COVID started, couldn’t have been worse, and since then they have added few, if any, new wells in those seven counties.

The news releases don’t give much detail but until something says otherwise I’m considering this very positive for the prospects of more activity in Washington County.

https://jpt.spe.org/chesapeake-begins-exit-from-texas-shale-play-with-1-4-billion-asset-sale

Dusty, Glad to hear your assessment of the Wildfire sale. I am in the western edge of Washington Co., there are a number of acres un leased here and in NW Austin Co. They are creeping slowly our way, they have approached one neighbor just west of me. For us I assume a lot depends on the 3 well pad off of FM 389 near the Latium fire department. I think they are through fracking at that location, any news on potential production? Thanks Michael

Don’t think those wells on FM 389 are producing yet.

It will be interesting to see where they move the rig when they finish the two wells being drilling now south of 389. Verdun recorded more leases recently in the Cheves and Borden Surveys going toward 2502 and already has acreage leased across the line in Austin County.