BG Group to sell Cotton Valley assets to Exco Resources for $132.5 million
LONDON -- Natural gas firm BG Group has signed an agreement with EXCO Resources Inc to sell all its interests in the shallow, non-core, conventional producing assets and acreage in the Cotton Valley formation for $132.5 million.
These assets, covering 54,165 net leasehold acres across East Texas and North Louisiana, aren't required to be held by BG in order to hold, drill and produce the undeveloped Haynesville/Bossier formation shale reserves, which lie beneath the Cotton Valley formation.
Closing of this transaction is expected in the first quarter of 2013.
Dow Jones Newswires