RPT-DEALTALK-U.S. companies looking to shale, this time for oil
Independent U.S. oil and gas companies are scrambling to pick up land where oil is trapped in shale formations in a bid to benefit from relatively high prices for the commodity.
Companies and investors are increasingly scouring the country for shales rich in oil and natural gas liquids rather than the gas-rich shales that had been the focus of a series of recent deals.
As a result, the Niobrara Shale in Colorado and the Bakken Shale in North Dakota have started to replace hot names like the Haynesville and Marcellus shales as the “next big thing.”
The independents have in recent years been focused on natural gas production as advances in technology like hydraulic fracturing and horizontal drilling allow them to tap natural gas trapped in these shale formations. [Read the full article]