August 16, 2017 – Fox Business
Oilman Jim Hackett Is Back With an Oklahoma Shale Play- Update
By: Lynn Cook
Jim Hackett has found his new calling in the oil patch.
Investors this spring gave the former Anadarko Petroleum Corp. chief executive, who left the company in 2013 to get a theology degree at Harvard Divinity School, a $1 billion check, with a command to go forth and find yield.
His answer: a $3.8 billion double-play in central Oklahoma.
Mr. Hackett's Silver Run Acquisition Corp. II, backed by Riverstone Holdings LLC, announced late Wednesday that it will buy Alta Mesa Holdings LP, a private exploration and production outfit that drills in the Stack shale play due west of Oklahoma City, and Kingfisher Midstream LLC, a pipeline company that operates in the area.
The combined companies will be renamed Alta Mesa Resources Inc. and trade on the Nasdaq, with a market capitalization of $3.8 billion. Financial terms were not disclosed.
"We formed Silver Run II with the objective of acquiring low-breakeven, stacked-pay, oil-weighted assets, preferably with an integrated related midstream platform," Mr. Hackett said in a statement.
Well economics in Oklahoma's Scoop and Stack plays rate second only to the Permian Basin of West Texas and New Mexico, according to analyst Housley Carr with RBN Energy. Like the Permian, the Stack and nearby Scoop shale plays are also constrained by a lack of infrastructure to deliver oil to the market…
Read the full article here: http://www.foxbusiness.com/features/2017/08/16/oilman-jim-hackett-is-back-with-oklahoma-shale-play-update0.html
