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Permalink Reply by Samuel J. Orr on August 20, 2014 at 12:22pm

The answer is NO! They are trying to sell their Venango County acreage and all of their Northern Utica acreage and perhaps their southern Utica acrage as well. A barrel of oil sells for north of $90/ barrel. A boe (barrel of oil equivalent) of natural gas is 5500 cubic feet. With gas at $4.00/1000 cubic feet, 1 boe is worth precisely $22. The drilling rigs used to drill for oil and gas are identical. Halcon is currently drilling in the Bakken and in Mississippi where Oil is present in large quantities. If they recover some gas with the oil, the gas is just icing on the cake. It is possible the gas might even be re-injected into the well creating pressure to enhance the recovery of oil which per btu is worth roughly four times what a btu of natural gas is worth. 

Permalink Reply by jay patterson on August 21, 2014 at 3:39am

Thanks

Permalink Reply by MikeSmith on January 30, 2018 at 5:42am

What does that mean to Landowners who currently have leases with Halcon?