EP Energy Buys 44% Of Goodrich's Eagle Ford Oil Production

Abstract

The Eagle Ford Shale's mystery buyer of 12,000 net acres is EP Energy Corp and the company is touting production, acreage and more drilling locations. On July 27, Goodrich Petroleum Corp said it had sold its Eagle Ford operations in La Salle and Frio counties, Texas, for $118 million with expectations of gaining up to $60 million in proceeds. It did not disclose the buyer. However, Goodrich filed documents July 30 with the Securities and Exchange Commission show EP Energy was the buyer. Analysts variously viewed Goodrich's sale as dilutive to its valuation and its $150 million borrowing base, and some estimated that the company appeared to receive little or no consideration for its undeveloped land.