Shell enters into development agreement with Quicksilver

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— 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.

Comments

kathy foos 1 year, 11 months ago

Here is a news story from Reutor's..... Monday Aug 27 .."Text-S&P revises Quicksliver Resources out look to stable'. Denver Post...".Colorado's push to update oil and gas drilling ,irks the industry."by Bruce Finley.Thank's to our commissioner,Doug Monger for signing the letter supporting Longmont.

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Scott Wedel 1 year, 11 months ago

Hmm, will Shell expect their partner to operate and drill using the same minimum standards as Shell? If so, then the controversy with Quicksilver and monitoring wells has just been solved.

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