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Author Topic: Devon activity  (Read 27030 times)

edwards

  • Posts: 252
Re: Devon activity
« Reply #240 on: November 19, 2013, 05:37:22 PM »
Devon Energy to buy GeoSouthern Energy for around $6B. GeoSouthern a privately held company.
                                                                                  Part of the Blackstone Private Equity Group.

GeoSouthern active drilling and leasing in Livingston County. Devon reported in 2011 having
300,000 acres leases west and southwest of Saginaw Bay. Leasehold resembled a rectangle
turned 45 degrees, centered over Gratiot county including parts of Montcalm, Ionia, Clinton, Saginaw,
Isabella, Midland, Clare, Kent, Shiawassee.

Devon Energy- Recent presentation in Houston- still have $1B of $1.6B drill carry from Sinopac.
                       Ohio Utica listed along with Michigan, Rockies and Mississippian in JV. Info on the last
                       page of Appendix A.

Devon Energy sold fifth play (Tuscaloosa Marine Shale) to Goodrich Energy earlier this year. Goodrich
stepped into the deal for Devon's 66%, Sinopac retains 33%. EnCana named the Tuscaloosa as one
of their 5 primary projects recently. Will GeoSouthern holdings in Michigan be rolled into JV? If Devon did decide to do something with Michigan acreage it would probably go like the Tuscaloosa Shale sale, but with the purchase of GeoSouthern, who knows. GeoSouthern has valuable assets in Texas as well.


isurus

  • Posts: 202
Re: Devon activity
« Reply #241 on: November 19, 2013, 08:17:36 PM »
Well, color me skeptical, but after Devon's display of ineptitude in the last go-round, I'm of the opinion that Michigan would be better off if the GeoSouthern deal falls through.

wilsontownship

  • Posts: 924
  • I am Fracky DAMMIT!
Re: Devon activity
« Reply #242 on: November 20, 2013, 01:09:00 AM »
Well, color me skeptical, but after Devon's display of ineptitude in the last go-round, I'm of the opinion that Michigan would be better off if the GeoSouthern deal falls through.

conspiracy theory alert!

or imagine that Devon's time in MI was an exploratory effort and their salt drilling was a cover.  In reality they learned enough about the MI basin to confirm its value and importance.  So they quietly withdraw making it appear the play is bust (remember Encana and CHK actions).

But behind the scenes they began planning their lease accumulation and return strategy - aha.....they buy GeoSouthern and firmly position themselves back in the MI play with a very solid mineral lease holding, database and experience.

They begin drilling in late 2014 and uncork the identified oil fields and everything busts wide open and goes gang busters!

yep, something like that............hmmmm....

wilson
Charlevoix county:  mineral owner, 40 acres, no lease.  pro-drill.  Live in AZ.

pyro-1955

  • Posts: 792
...
« Reply #243 on: November 20, 2013, 04:56:56 AM »
...
« Last Edit: June 03, 2014, 07:06:03 AM by pyro-1955 »

isurus

  • Posts: 202
Re: Devon activity
« Reply #244 on: November 20, 2013, 07:49:07 AM »
Pyro - that's excellent news.

edwards

  • Posts: 252
Re: Devon activity
« Reply #245 on: November 20, 2013, 08:15:14 PM »
THE NEW DEVON -NOVEMBER 20, 2013.

Not more than 8 days after a Devon Presentation before analysts in Houston, Devon has rolled
out another presentation on the heels of their new acquisition of GeoSouthern acreage and
current oil production in the Eagle Ford

Not sure the new Devon is looking the same as the old Devon did towards Michigan. Unlike the 11/12/13 presentation in Houston, Michigan Basin and Ohio Utica Shale are left off the slide (#20) where Devon references their 2 emerging plays: Rockies and Mississippian/Woodford Shale and their 5 core areas of concentration: Heavy Oil, Canada, Anadarko Basin, Permian Basin, Eagle Ford and Barnett Shale. Sounds a lot like what the EnCana folks just got done saying.

These dreaded words were also spoken. The $6B GeoSouthern deal will be paid for with cash on hand,
borrowing, and "proceeds from monetization of non core assets". They even state their intent to,
"Harvest non-core assets including: 1) Canadian conventionals and 2) Non-core US assets.

Q-4 2013 outlook appears they gain from the deal some oil per day, while giving up nat-gas,
NGL and BOE per day.

Devon has accumulated a lot of acreage in Michigan over the years, 400,000 ac reported (just as
Chesapeake has done-450,000 ac). There hasn't been a whisper of "Michigan for sale",
as was the case with Devon Tuscaloosa Shale and Ohio Utica Shale acreage.(one sold, the
other, Ohio/Utica not currently an active listing on ScotiaWaterous). Chesapeake holdings still
for sale.

For something a little more positive for the Michigan folks, go check out:  www.whiting.com
and click on Investor Presentations. Look at least at the first two presentations.



pyro-1955

  • Posts: 792
...
« Reply #246 on: November 21, 2013, 06:59:57 AM »
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« Last Edit: June 03, 2014, 07:05:30 AM by pyro-1955 »

edwards

  • Posts: 252
Re: Devon activity
« Reply #247 on: November 25, 2013, 10:30:08 AM »
This might be all that remains to be observed.

Greer, Schick, Yonkman, Wiley, David's Acres wells...

Noticed in these DEQ well files ( not present in State Richfield file/ no file on Wynalda).

On "devon letterhead" and DEQ "record of well plugging or change of well status form", field name
as written for above wells is-" Poker Chip UTICA"  or "Poker Chip A-1".

Devon included a Well Lifecycle log in files for above wells that was dated 9/17/2013 with the
field name- Poker Chip UTICA. First time this name shows up in files.

The Devon drilling venture in Michigan to date, now known as The Poker Chip UTICA / Poker Chip A-1 field ends up being a 4 or 5 county oil/gas exploration project in central Michigan, named for something used to make a bet. Wonder if that "Poker Chip" is a high roller chip?




pyro-1955

  • Posts: 792
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« Reply #248 on: November 25, 2013, 11:34:38 AM »
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« Last Edit: June 03, 2014, 07:05:39 AM by pyro-1955 »

hobojo

  • Posts: 597
Re: Devon activity
« Reply #249 on: December 21, 2013, 12:25:56 PM »
"Poker Chip" is a term used by a Geologist to describe very finely crystalline Black Shale partings in the A-1 Carb.....yep I've got way to much time on  my hands.

isurus

  • Posts: 202
Re: Devon activity
« Reply #250 on: December 21, 2013, 07:51:26 PM »
... the Sanilac Play was called "Sparky" initially, now it is called "Steelhead"...

And Beacon called the same play "Anderson," which I think was a play on the "Sparky" name bestowed by the Peace River Group. 

edwards

  • Posts: 252
Re: Devon activity
« Reply #251 on: July 01, 2014, 06:03:58 AM »
Devon Energy is selling all of its non-core U.S. assets to Linn Energy for $2.3B.
Areas included in sale are the Rockies, Texas, Louisiana, Wyoming, Utah, Oklahoma, Kansas.
275M cu. ft. of natural gas equivalent per day. 80% gas.

Devon earlier in the year had announced divesting all non-core company assets. Sale of
Canadian assets occurred earlier in the year. Current sale of U.S. assets (announcement
6/30/2014) does not appear to include Michigan or Ohio Utica Shale assets.
ScotiaWaterous negotiated the deal. Info on Devon and Linn websites.

wilsontownship

  • Posts: 924
  • I am Fracky DAMMIT!
Re: Devon activity
« Reply #252 on: July 01, 2014, 08:32:03 AM »
Devon Energy is selling all of its non-core U.S. assets to Linn Energy for $2.3B.
Areas included in sale are the Rockies, Texas, Louisiana, Wyoming, Utah, Oklahoma, Kansas.
275M cu. ft. of natural gas equivalent per day. 80% gas.

Devon earlier in the year had announced divesting all non-core company assets. Sale of
Canadian assets occurred earlier in the year. Current sale of U.S. assets (announcement
6/30/2014) does not appear to include Michigan or Ohio Utica Shale assets.
ScotiaWaterous negotiated the deal. Info on Devon and Linn websites.

Linn Energy does have a presence here in Michigan.  They are extremely low profile though.  But their purchase of Devon holdings and their presence in MI may set up some type of movement of Linn assuming Devon's MI holdings.  Personally, I think Devon has given up on MI.  Also, a lot, if not all, of Devon's holdings will be expiring within the next 18 months - right?

See this posting I made a couple of years ago, which links some additional info on Linn and their connection in MI.  Linn Energy appears to be a very good company, and they aren't small if they can buy Devon holdings for $2.3B!  We could really using them exploring in MI!!

http://www.naturalgasforums.com/smf/index.php/topic,16363.msg215456.html#msg215456

wilson
Charlevoix county:  mineral owner, 40 acres, no lease.  pro-drill.  Live in AZ.

Bertram

  • Posts: 94
Re: Devon activity
« Reply #253 on: July 01, 2014, 11:44:09 AM »
Wilson I also have noticed that Linn has bought a lot of Antrim Wells that are still producing over the last several years.  Some of those leases were from Aurora and did not sever the deeper rights so are held by low volume gas production.  It is a subtle acreage grab.  They are operating the antrim wells and may re stimulate some, but it gives them a lot of deeper rights as well possibly in some good areas. 

wilsontownship

  • Posts: 924
  • I am Fracky DAMMIT!
Re: Devon activity
« Reply #254 on: July 01, 2014, 02:04:47 PM »
Wilson I also have noticed that Linn has bought a lot of Antrim Wells that are still producing over the last several years.  Some of those leases were from Aurora and did not sever the deeper rights so are held by low volume gas production.  It is a subtle acreage grab.  They are operating the antrim wells and may re stimulate some, but it gives them a lot of deeper rights as well possibly in some good areas.


I love the idea that Linn is building a presence in Michigan, albeit very stealthy.  There connection with Devon may open up other Michigan deals too.  I just don't have any feeling that Devon has any further intentions with Michigan (as I tip my hat to dman!).

The other stealthy gasco in MI is Chevron who bought Atlas.  Many of the old atlas wells (antrim) also have no depth differentiation.  My minerals are just across the streem from Chevron wells and their pipeline.  Perhaps someday they will be my retirement sponsors!  oh yeah!!

Of course, other major that isn't so stealthy is Encana, so we have some big boys lurking.  The other big boys seem to have said adios.

ok, back to watching...


wilson
Charlevoix county:  mineral owner, 40 acres, no lease.  pro-drill.  Live in AZ.

 


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