Goodrich Petroleum announced it is paying nearly $27 million for a two-thirds working interest in producing assets in the Tuscaloosa Marine Shale. The deal will increase the company’s holdings in the formation to roughly 320,000 acres — more than double its previous stake.
Robert Turnham is president of Goodrich. He describes the shale play as comparable to Eagle Ford in south Texas.
“It’s about 92%- 96% oil, very similar in age geologically, and we see very similar economics, but it’s early in the play.”
Turnham expects the company to ramp up production on the properties heading into next year.
“You could see us drilling with three to four rigs running before too long, and if that’s the case, we clearly will need additional employees here in Houston as well as in the field.”
The deal is expected to close by August 22.