Southwestern Energy Co. is buying big into northwest Colorado’s Niobrara play.
It’s looking to pump crude oil, natural gas liquids and natural gas from assets jointly owned by Texas company Quicksilver Resources Inc. and SWEPI LP, a subsidiary of global energy company Royal Dutch Shell plc.
Southwestern (NYSE: SWN), based in Houston, announced it will pay $180 million for about 312,000 net acres of mineral leases in northwest Colorado. The acreage was jointly owned by Quicksilver and SWEPI.
The deal is expected to close in the second quarter.
The moves came after the company wrote down $2 billion worth of its North American shale assets due to lackluster results.