Wednesday, February 13, 2008

Fort Worth-based XTO Energy acquires $1 billion in Barnett Shale and other properties

By Pegasus News wire

FORT WORTH — XTO Energy Inc. announced today that it has entered into definitive agreements with multiple parties to acquire producing properties located in the Eastern and San Juan Regions and to purchase acreage positions in the Woodford, Fayetteville and Barnett shales for a total of about $1 billion.

Photo not provided by XTO Energy

Drilling has already begun in some of Fort Worth's more rustic areas

From the producing property transactions, XTO Energy's internal engineers estimate proved reserves to be 212 billion cubic feet of gas equivalent (Bcfe) of which approximately 60% are proved developed. These acquisitions will add about 35 million cubic feet of natural gas equivalent per day (MMcfe/d) to the Company's growing production base. In the emerging shale plays, the Company added 76,000 net acres to expand its drilling inventory.

"Our acquisitions efforts are focused and disciplined. We continue to capture long-lived producing properties in our legacy basins. In addition, we are aggressively securing leasehold acreage in the best regions of the premier plays. These acquisitions, involving over 25 transactions, add production and reserves today while expanding the Company's prolific drilling inventory for the future," stated Bob R. Simpson, Chairman and Chief Executive Officer. "Going forward, we see more consolidation opportunities in 2008. XTO is well positioned to continue to purchase 'bolt-on' properties and, by doing so, accreting long-term value. Given this key advantage, and the evolution of the financial markets, XTO will not establish a master limited partnership at this time."

"Based on our success in the Barnett, Woodford and Fayetteville plays, XTO's team has now established an expansive growth platform in the emerging shale regions. These leasehold additions, along with others in 2007, have built the core holdings to substantially grow shale production and reserves in the coming years." said Keith A. Hutton, President.

XTO Energy Inc. is a domestic natural gas producer engaged in the acquisition, exploitation and development of quality, long-lived oil and natural gas properties in the United States. Its properties are concentrated in Texas, New Mexico, Arkansas, Oklahoma, Kansas, Wyoming, Colorado, Alaska, Utah, Louisiana, Mississippi and Montana.

Source: XTO Energy

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