Friday, September 28, 2012
Craig Quicksilver Resources, Inc. announced Monday it has entered into an agreement with Shell Western Exploration and Production, LP — a subsidiary of Royal Dutch Shell, plc.
Quicksilver and SWEPI are exploring the viability of the Niobrara formation and have each drilled exploratory wells in Moffat and Routt counties.
The agreement outlines a joint venture to develop oil and natural gas interests in Sand Wash Basin in northwest Moffat County and establishes an Area of Mutual Interest encompassing more than 850,000 acres in the basin.
“This alliance with Shell in the Sand Wash Basin is a validation of Quicksilver’s efforts over the past two years to unlock significant oil reserves in the Niobrara shale formation,” said Quicksilver chairman Toby Darden in a news release. “We will now combine our resources to push a much larger project forward.”
According to the agreement, Quicksilver and Shell will each sign to the other a 50 percent working interest in the majority of their respective acreage in Sand Wash Basin, which totals about 330,000 acres.
Read the full story at the Craig Daily Press website.