Pioneer Natural Resources Co., whose fortunes today are centered in the Permian Basin, said Tuesday it is selling more of its Eagle Ford Shale acreage to Sundance Energy Inc. for $102 million.
Sundance, a pure-play Eagle Ford operator, earlier this month bought almost 22,000 net acres and 1,800 boe/d of production from Pioneer.
In the latest deal, Sundance is buying almost 10,200 net acres in the western portion of Pioneer’s South Texas portfolio in Atoscosa, LaSalle, Live Oak and McMullen counties. Current production is 1,100 boe/d net.
The sale, set to be completed by midyear, would reduce Pioneer’s Eagle Ford holdings to about 59,000 net acres, all held by production. The remaining acreage also is to be divested, and a data room is set to open in the next week.
Pioneer has worked the Eagle Ford acreage with India’s Reliance Industries Ltd. The Dallas-based operator in February announced it would put most of its resources going forward into the Permian Basin and sell nearly all “non-Permian” projects, including in the Eagle Ford, Raton Basin and West Texas Panhandle.
According to Tudor, Pickering, Holt & Co. Inc., the latest package being sold has been marketed for a year; analysts estimated it is being sold for about $7,000/acre. Most of the acreage still to be sold by Pioneer in the Eagle Ford is in DeWitt, Karnes and Live Oak counties.