WhiteHawk expands Marcellus Shale holdings with $54mn acquisition

WhiteHawk Energy on November 15 announced the acquisition of additional Marcellus shale natural gas mineral and royalty assets for $54mn.

The acquisition increases WhiteHawk’s mineral and royalty ownership in its existing 475,000 gross acre position by 100%. Its Marcellus assets are primarily located in Washington and Greene counties, Pennsylvania.

“Since acquiring our initial mineral and royalty interests in the Marcellus Assets in 2022, the assets have performed very well and we are pleased to increase our ownership under some of the best natural gas operators in the world,” stated Daniel C. Herz, CEO of WhiteHawk.

WhiteHawk’s Marcellus assets cover approximately 475,000 gross unit acres, with production from approximately 1,315 horizontal shale wells. Additionally, WhiteHawk owns mineral and royalty interests in 72 wells-in-progress, 64 permitted wells, and nearly 900 undeveloped Marcellus locations, with additional potential from the underlying Utica shale.

As a result of the acquisition, WhiteHawk will double its net revenue interest in each well across its Marcellus assets. Approximately 95% of production, cash flow, and present value associated with the Marcellus assets are operated by EQT Corporation, Range Resources Corporation and CNX Resources Corporation.

Earlier in 2023, WhiteHawk acquired natural gas mineral and royalty assets in the Haynesville shale, covering approximately 375,000 gross unit acres. Combined, WhiteHawk currently owns interests in approximately 850,000 gross unit acres within core operating areas of the Marcellus shale and Haynesville shale, with interests in more than 2,550 producing horizontal wells.

The company’s Haynesville shale assets are being developed by Southwestern Energy, Chesapeake Energy, Aethon Energy Management and Comstock Resources.