10th Sep 2013 09:39
READING (Alliance News) - EXCO Resources Inc. (XCO) announced BG Group plc (BG.L, BRGYY.PK) has elected not to acquire 50% of the recently acquired producing and undeveloped oil and gas assets in the Haynesville shale formation.
As a result, EXCO has raised its full year 2013 adjusted EBITDA guidance from approximately $435 million to approximately $450 million.
EXCO closed the acquisition of the Haynesville assets on July 12, 2013 for a purchase price of $288 million. These assets were subject to BG Group's right to acquire a 50% interest, which was formally offered to BG Group on July 13, 2013.
Douglas Miller, EXCO's CEO, said, "With BG Group's decision not to participate, EXCO will be able to fully benefit from the Haynesville assets' strong base production and additional drilling inventory with upside development opportunities."
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