Exxon Mobil Corp. has entered the natural gas game by purchasing player XTO Energy. The New York Times article notes
The move — a show of confidence in the future of unconventional resources — could also spur additional investment in domestic unconventional natural gas plays like the Barnett in Texas, Marcellus in Appalachia and Haynesville in Louisiana.
XTO Energy will be signing $21.6 million in contracts
for 9,000 acres of land in the Deposit area at the end of next week. From the Press & Sun-Bulletin:
On July 31 and Aug. 1, officials from XTO Energy are scheduled to sign $21.6 million in contracts with residents in the Deposit area to lease 9,000 more acres of land. That’s in addition to a $60 million deal for rights to 37,000 acres landowners signed in May. Collectively, the deals involve more than 400 property owners and are seen as harbingers of the financial boon the gas rush is expected to bring to the area.
The signing is scheduled at the Regency Hotel in Binghamton, said Jackie Root, a lease specialist who negotiated the deal.
“The company has invested a lot of money, and they want to get work done to find out whether this is going to produce like they think it is,” Root said.
