Sundance Energy Australia Buys Eagle Ford Shale Asset

Sundance Energy Australia Limited on Thursday said it has acquired shale oil and gas asset in Eagle Ford.

The Australia listed firm signed a sale-purchase agreement for the acquisition of approximately 5,050 net acres targeting the Eagle Ford in McMullen County, Texas for $16.0 million.

The acquisition includes 27 gross (9.6 net) wells, primarily operated by Sundance, that are expected to produce 600-700 boepd during the remainder of 2016; total proved reserves of approximately 3.0 mmboe, 1.4 mmboe of which are attributed to producing wells.

Assuming a successful close of this transaction, Sundance expects to achieve fourth quarter 2016 production of 8,600 - 9,500 boepd. The transaction, which is effective May 1, 2016, is subject to customary due diligence and closing conditions and is expected to close in late July 2016, the company stated.

Sundance Energy holds interests in prospective shale basins in the US, including the Bakken fields of North Dakota and the DJ Basin in Colorado and Wyoming. The companyh is based in Norwood, Australia.