US independent Exco Resources has agreed to sell its oil and natural gas assets in south Texas' Eagle Ford shale to private equity-backed Venado Oil & Gas for $300mn.
The assets include 54,250 acres in the Texas counties of Zavala, Dimmit and Frio as well as production of 4,100 b/d of oil equivalent (boe/d), 90pc of which is crude. The deal is scheduled to close in June.
The company will use the proceeds of the sale to fund further development of the Haynesville shale, a gas-rich formation in east Texas and northern Louisiana and Exco's key operating area.
In March, Venado, an affiliate of KKR, purchased non-operated Eagle Ford assets from SM Energy. The $800mn deal included 37,500 net acres, output of 27,260 boe/d and a 12.5pc interest in the Springfield gathering system.
