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Author Topic: Banpu buys into the NE Marcellus.  (Read 1295 times)

macal

  • Posts: 8917
Banpu buys into the NE Marcellus.
« on: March 22, 2017, 07:48:57 AM »



  Banpu is buying into the NE PA. I did some calculations on one of their deals that I read about. They paid $63,000,000 for 10% of 10,000 acres held by Chief. I come up with +/- $63,000 per acre. Seems kinda high. But at $3.00 gas it would be a good return.

ghrit

  • Posts: 3133
  • Member since October 05, 2008
Re: Banpu buys into the NE Marcellus.
« Reply #1 on: March 22, 2017, 11:21:00 AM »



  Banpu is buying into the NE PA. I did some calculations on one of their deals that I read about. They paid $63,000,000 for 10% of 10,000 acres held by Chief. I come up with +/- $63,000 per acre. Seems kinda high. But at $3.00 gas it would be a good return.
Check your arithmetic.
There are two kinds of ships.  Submarines and targets.
www.survivalmonkey.com

macal

  • Posts: 8917
Re: Banpu buys into the NE Marcellus.
« Reply #2 on: March 22, 2017, 11:39:10 AM »



  10% of 10,000 is 1000 net acres.
   $63,000,000 รท 1000 is $63,000 per net acre.
   

firecutter874

  • Posts: 708
Re: Banpu buys into the NE Marcellus.
« Reply #3 on: March 22, 2017, 07:13:02 PM »
Who skipped math class?????

 handclap handclap handclap

ghrit

  • Posts: 3133
  • Member since October 05, 2008
Re: Banpu buys into the NE Marcellus.
« Reply #4 on: March 22, 2017, 08:08:30 PM »
Who skipped math class?????

 handclap handclap handclap
Well, the effect was what was wanted.  I wondered how many would automatically check matty, not to mention him checking himself.   slaplaugh
« Last Edit: March 22, 2017, 08:26:40 PM by ghrit »
There are two kinds of ships.  Submarines and targets.
www.survivalmonkey.com

riverrat

  • Posts: 1486
Re: Banpu buys into the NE Marcellus.
« Reply #5 on: March 23, 2017, 07:48:21 AM »
I was one that looked twice    simple math   but I do disagree with $3 gas making it a great deal

macal

  • Posts: 8917
Re: Banpu buys into the NE Marcellus.
« Reply #6 on: March 23, 2017, 07:59:32 AM »



  Did Aubrey do that deal from the grave?

riverrat

  • Posts: 1486
Re: Banpu buys into the NE Marcellus.
« Reply #7 on: March 23, 2017, 09:08:01 AM »
? your saying it wasn't a good deal?

macal

  • Posts: 8917
Re: Banpu buys into the NE Marcellus.
« Reply #8 on: March 23, 2017, 10:02:15 AM »



  Definite Good deal for Chief. Maybe good deal for both if pricing holds up.

Wax

  • Posts: 5953
Re: Banpu buys into the NE Marcellus.
« Reply #9 on: March 24, 2017, 05:25:26 AM »
Pocket change, for most companies. And do nothing to develop more acreage. We well have to wait for Trump to open up NY. slaplaugh slaplaugh

firecutter874

  • Posts: 708
Re: Banpu buys into the NE Marcellus.
« Reply #10 on: March 24, 2017, 07:29:08 AM »
Trump "OPEN UP NEW YORK"  slaplaugh slaplaugh slaplaugh slaplaugh

The man is President of the United  States not GOD.

firecutter

Rockdale

  • Anties
  • Posts: 6022
Re: Banpu buys into the NE Marcellus.
« Reply #11 on: March 24, 2017, 07:34:43 AM »
I was one that looked twice    simple math   but I do disagree with $3 gas making it a great deal
>>> $3 or thereabouts is probably around break even for most producers.  And of course the nationally reported futures prices are at Henry Hub which is usually about a dollar higher on average than local prices in the Marcellus region.  4 to 5 dollars would simultaneously be a very profitable level for most wells and at the same time not so high as to choke off demand.  It's a tall order at the present to get to that higher level but I think it is achievable in a reasonable time frame as natural gas continues to displace coal for electrical production and exports have the opportunity to grow exponentially by both pipeline and LNG tanker.

 


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