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Image courtesy of Laurent Vincenti/ Wikimedia Commons.

Total has picked up the remaining majority stake in over 200,000 Barnett shale acres from Oklahoma-based Chesapeake Energy.

Total E&P USA said Friday that it has exercised its preemption right to acquire Chesapeake’s 75 percent interests in the jointly held Barnett Shale operating area located in North Texas.

Total E&P USA has owned the remaining 25 percent in the Barnett assets since December 2009.

With the preemption, Total E&P USA will be the 100 percent owner and operator of the assets.

Properties in the proposed transaction include about 215,000 net developed and undeveloped acres, wells, leases, minerals, buildings and properties.

Associated 2016 net production for the assets is about 65,000 barrels of oil equivalent per day.

The preemption and associated transactions are expected to close in the fourth quarter of 2016.

Under the terms of the transaction, Chesapeake will pay $334 million to Williams, the gatherer and processer of 80 percent of the gas from the Barnett assets, to terminate its gathering agreement, projected Minimum Volume Commitment (MVC) shortfall payments and fees tied to the assets.

Total E&P USA will supplement Chesapeake’s payment with $420 million to Williams for a fully restructured, competitive gas gathering agreement, free of any MVC and with a Henry Hub-based gathering rate instead of a fixed per Mcf fee.

Total E&P USA will also pay $138 million to be released from three midstream capacity reservation contracts.

“With the new conditions created by the exit of Chesapeake and the associated restructuring of the midstream contracts, we believe that we can extract significant value from the substantial, well located resource base of the play by combining focused upstream operating efficiency, streamlined midstream contract management and marketing savvy through Total’s trading affiliate Total Gas & Power North America,” Total E&P USA president and CEO José Ignacio Sanz said.