Carrizo Oil & Gas sells Utica assets
Monday, September 18, 2017
Carrizo Oil & Gas Inc. sold its oil and natural gas assets in Ohio’s Utica Shale for $62 million to an undisclosed buyer, with the potential for an additional $15 million depending on future oil prices according to Seeking Alpha.
The company made the sale to focus on its Delaware Basin and Eagle Ford assets, which are able to deliver strong returns at low oil prices. The sale of its Utica assets is expected to be the first in a series of assets sales as Carrizo continues to narrow its focus.
The Utica Shale property included in the deal is mostly undeveloped acreage, around 25,900 net acres, in the rich condensate window. The value of these assets is mainly in future development opportunities at higher prices.
Learn more: Seeking Alpha > Carrizo sells its Utica Shale assets
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How often do royalty payments come?
Depending on the company, royalty payments can arrive monthly or quarterly.
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Yes. If you plan on selling your property, notify the gas company that is leasing your land and your realtor. They will make arrangements to allow the royalty payments to transfer to a different land owner.
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