Utica Shale Acquisition
And further:On October 31, 2013, Carrizo acquired approximately 5,900 net acres in the Utica Shale primarily in Guernsey and northern Noble counties, Ohio from affiliates of Avista Capital, LP for approximately $73.2 million, increasing Carrizo's position in the play to approximately 21,700 net acres. The properties acquired were subject to our Utica Joint Venture with Avista. The transaction generally covers the eastern portion of the Company's acreage position in Guernsey and northern Noble counties, which we believe has been substantially de-risked by offset industry activity. Carrizo now holds an average working interest of nearly 100% in its eastern acreage in the core condensate window of the Utica Shale play and an average 50% working interest in its remaining Utica acreage, subject to adjustment as units are formed.
In the Utica Shale, Carrizo expects to complete its first operated well, the Rector 1H in Guernsey County, Ohio, this week. The well was drilled with an effective lateral of 7,890 ft. and is being completed with 31 stages. Carrizo plans to rest the well for approximately 60 days before commencing flowback operations. Carrizo is the operator of, and has a 95% working interest in, the Rector 1H well. Carrizo plans to run a 1-rig development program in the Utica Shale beginning in 2014.You can read the entire press release by clicking here.
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