Antero Resources

Antero Resources | Energy Companies

Antero’s IPO Fetches $1.57B, Company Valued at $11B!
October 10, 2013October 10, 2013

MDN told you a few weeks ago that Antero Resources, a privately-owned (and major) driller in both the Marcellus and Utica Shale, would soon float an initial public offering (IPO)–or in the parlance of the financial industry, they would soon “go public” (see Antero Resources Offers 30M Shares of Stock in IPO). Today is the day that Antero goes public and begins trading under ticker symbol AR.N. Yesterday they floated the IPO shares and the company got even more money than they had hoped for–raking in $1.57 billion (they wanted $1.4 billion).

Because of the really good IPO, the company begins its public life with a market valuation of $11 billion–with plenty of borrowing power to finance their many drilling projects in the Marcellus/Utica…
Read More “Antero’s IPO Fetches $1.57B, Company Valued at $11B!”
Antero Resources | Energy Companies

Antero Resources Offers 30M Shares of Stock in IPO
September 30, 2013September 30, 2013

Antero Resources is a major privately-owned driller operating in both the Marcellus and Utica Shale plays. Antero is aggressively pursuing both plays as well as aggressively pursuing the money they’ll need to drill in them. In early September, Antero secured a $250 million line of credit for drilling (see Antero Resources Gets Extra $250 Million Credit Line). Just two weeks ago Antero announced they were investing an extra $500 million in Marcellus/Utica drilling–this year (see Antero Ups 2013 Budget Extra $500M for Marcellus/Utica Drilling). In August, Antero announced they’re building a $525 million water pipeline from the Ohio River to their well sites (see More on that Half Billion Dollar Antero Water Pipeline in WV).

The nosebleed rate of Antero’s spending almost leaves one out of breath! So where will the company get the money to do it all? A $250M LOC won’t do the trick by itself. We know, we know! Go public. And so they are. Antero announced this morning they will offer 30 million shares they hope will raise in the neighborhood of $1.4 billion for the company. Just one word of advice to Antero: watch out for corporate raiders like Carl Icahn…
Read More “Antero Resources Offers 30M Shares of Stock in IPO”
Antero Resources | Energy Companies

Antero Ups 2013 Budget Extra $500M for Marcellus/Utica Drilling
September 19, 2013September 19, 2013

Antero Resource provided an update yesterday on their Marcellus and Utica Shale operations. Among the interesting highlights: Antero has started using longer “shorter stage lengths” (SSLs) when fracking wells–going from 150-200 feet per frack stage to an average of 350 feet per stage. They report being “encouraged” by the results. Antero also announced they’re investing an extra $500 million in their 2013 capital budget for drilling in the Marcellus and Utica…

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Antero Resources | CONSOL Energy | Energy Companies | Ohio | PDC Energy | Statewide OH

Eastern OH Shale Drillers Donate to Local Schools
September 11, 2013September 11, 2013

Several high schools in eastern Ohio have received a surprise gift: money from drillers. Antero Resources recently donated $2,500 to each of five high schools for use in their athletics programs. PDC Energy recently donated $5,000 to the Wolf Creek school. And CONSOL Energy is running a contest for select Ohio schools with a $10,000 first prize.

All of these efforts come under the umbrella of what we call “the industry gives back”…
Read More “Eastern OH Shale Drillers Donate to Local Schools”
Antero Resources | Energy Companies

Antero Resources Gets Extra $250 Million Credit Line
September 3, 2013September 3, 2013

Antero Resources was recently crowned as the driller with the most productive Utica Shale well in Ohio, a single well that will provide the company with an enormous amount of revenue (see WVU Prof Says Antero Well will Generate $300K Revenue…Per Day!). Apparently the publicity has been good for Antero, who announced today they’ve upped their line of credit at the bank–from $1.75 billion to a whopping $2 billion. So far Antero has used about $1 billion from their line of credit to finance drilling operations in the Utica and Marcellus Shale.

Must be the bankers at JPMorgan Chase and Wells Fargo were impressed with the performance of Antero’s latest wells–$250 million impressed…
Read More “Antero Resources Gets Extra $250 Million Credit Line”
Antero Resources | Energy Companies | Lease & Royalty Payments | Monroe County | Utica Shale | West Virginia

WVU Prof Says Antero Well will Generate $300K Revenue…Per Day!
August 30, 2013August 30, 2013

The Yontz 1H well may not produce at these unheard-of levels for an extended period, but heck, if a gas well is bringing in $300,000 per day in revenue, it doesn’t have to last long! That’s the staggering amount of revenue that a West Virginia University professor predicts will be produced by the monster well recently drilled by Antero Resources in Monroe County, WV (see Antero Resources Utica Well Produces Stratospheric 38.9 Mmcf/d). At the rate the gas and gas liquids are flowing from the well right now, it will bring in over $2 million per week in revenue for Antero. If royalties are 20% for the landowner, that’s $400,000 per week for the Yontz family!

With those kinds of numbers, no wonder Antero is willing to “roll the dice” and spend a half billion dollars to build a new water pipeline (see Antero Resources Rolls Dice on 1/2 Billion Dollar Marcellus Pipe)…
Read More “WVU Prof Says Antero Well will Generate $300K Revenue…Per Day!”
Antero Resources | Energy Companies | Monroe County | Ohio | Utica Shale

Antero Resources Utica Well Produces Stratospheric 38.9 Mmcf/d
August 29, 2013

Somehow the following news (now a few weeks old) slipped by our usually-good radar. Antero Resources has taken the top spot away from Gulfport Energy as having the most productive Utica Shale well in Ohio. Gulfport had what was dubbed their “alpha dog” well, the Wagner 1-H well producing 14 million cubic feet of natural gas per day (Mmcf/d). Then came Gulfport’s Shugert 1-1H, which MDN dubbed the “King of Utica Shale wells” producing a whopping 20 Mmcf/d. After that was the Shugert 1-12H well, sister well to the 1-1H. We called that one “the Emperor well” producing 28.5 Mmcf/d (see Gulfport’s New Utica Well Produces Mind-blowing 28.5 Mmcf/d!).

We’re now officially out of metaphors and labels. Antero Resources’ Yontz Utica Shale well recently saw a peak rate of a truly mind-blowing 38.9 Mmcf/d. Gulfport’s Shugert wells are in Belmont County. The Yontz well is located in Monroe County, just south of Belmont…
Read More “Antero Resources Utica Well Produces Stratospheric 38.9 Mmcf/d”
Antero Resources | Energy Companies | Hydraulic Fracturing | Industrywide Issues

Prometheus to Supply Antero Resources with LNG for Drilling Rigs
August 20, 2013August 20, 2013

In April MDN told you that Antero Resources was the second Marcellus/Utica Shale driller that would convert its drilling rigs to run on 100% liquefied natural gas, or LNG (see Antero Res 2nd Marcellus Driller to Use 100% NatGas Rig Engines). Seems Antero now has a supplier that will deliver the LNG and the necessary equipment to Antero’s drill sites to power those rigs. That supplier is Prometheus Energy Group…
Read More “Prometheus to Supply Antero Resources with LNG for Drilling Rigs”
Antero Resources | Energy Companies | Hydraulic Fracturing | Industrywide Issues | Pipelines | Ritchie County | Statewide WV | Tyler County | West Virginia

More on that Half Billion Dollar Antero Water Pipeline in WV
August 20, 2013August 20, 2013

We have a few more helpful details on Antero’s project to build an 80-mile water pipeline from the Ohio River to Tyler and Ritchie counties in West Virginia. The project has been approved and will cost Antero $525 million (that’s over half a billion). However, when complete, the new pipeline and other infrastructure Antero has and is building will reduce their cost to drill a well by $600,000. They plan to drill some 30% of their wells this year using water from this project, and 90% of the wells they drill in 2014.

More information about the project, which Antero has been tight-lipped about:
Read More “More on that Half Billion Dollar Antero Water Pipeline in WV”
Accidents | Antero Resources | Energy Companies | Harrison County | Industrywide Issues | West Virginia

Explosion at Antero Resources Drill Pad in Harrison County, WV
August 20, 2013August 20, 2013

Our sincere apologies: The explosion in Harrison County, WV is OLD news and was somehow recirculated. We pride ourselves on “getting it right” and not making these kinds of errors. This time we blew it. Again, apologies.
Antero Resources | Energy Companies | Hydraulic Fracturing | Industrywide Issues | Ohio | Pipelines | Statewide OH | Statewide WV | West Virginia

Antero Resources Rolls Dice on 1/2 Billion Dollar Marcellus Pipe
August 14, 2013August 14, 2013

According to a story in The Wall Street Journal, Antero Resources will spend half a billion dollars to construct an 80-mile pipeline in the Marcellus/Utica Shale region. But this rather expensive pipeline will not carry natural gas, gas liquids or even oil. Instead, it’s a pipeline that will deliver water from the Ohio River to some of Antero’s most active drilling locations scattered in West Virginia and Ohio–to be used for fracking.

For Antero with some 100K acres of leased land in the Marcellus, committing to half a billion dollars (the company grossed $265 million last year) is a huge roll of the dice…
Read More “Antero Resources Rolls Dice on 1/2 Billion Dollar Marcellus Pipe”
Accidents | Antero Resources | Doddridge County | Energy Companies | Industrywide Issues | West Virginia

Antero Given Green Light to Resume Drilling at WV Blast Site
August 12, 2013August 12, 2013

In early July, MDN told you about an explosion at an Antero Resources drillpad in Doddridge County, WV (see Update on Antero Well Explosion in Doddridge County, WV). Half a dozen workers were injured in the resulting fire. Sadly, two of those workers recently died from their injuries.

We now know what caused the blast: open hatches on a number of wastewater tanks that allowed gas to build up, which led to a flash fire. The WV Dept. of Environmental Protection (DEP) shut down drilling at the site after the fire to investigate. The DEP is now satisfied that Antero knows what happened and has put in place measures to prevent it from happening again, so the DEP has just lifted the “cease operations” order. Antero is now free to resume drilling at the site…
Read More “Antero Given Green Light to Resume Drilling at WV Blast Site”
Antero Resources | Energy Companies | Industrywide Issues | Reserves (Proved and Unproved)

Antero Resources: Proved Reserves Up 47% from December
July 30, 2013July 30, 2013

Major Marcellus Shale driller Antero Resources announced yesterday that their “proved reserves” are up a healthy 47% from the end of last year–to 6.3 trillion cubic feet equivalent. If you look at their 3P reserves–proved, probably and possible–the number is 27.7 trillion cubic feet. Keeping an eye on a company’s reserves is important to know how much gas they will likely produce. It’s a measure often used by stock analysts and investors, but it’s a metric worth minding for landowners too. The numbers indicate what Antero says is in the ground, how much of it is there, and how healthy the company’s balance sheet is likely to look in the coming next few years.

Antero’s announcement from yesterday, with details about what makes up the reserve number (methane, ethane, etc.):
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Antero Resources | Energy Companies | Guernsey County | Noble County | Ohio | Utica Shale

MWCD to Sell 138M Gallons of Seneca Lake Water for Utica Drilling
July 22, 2013July 22, 2013

Last February, the Muskingum Watershed Conservancy District (MWCD) signed a lease with Antero Resources to lease 6,700 acres under and around Seneca Lake. The MWCD got a $40.3 million signing bonus, plus 20% royalties (see Muskingum Watershed District Signs with Antero for $40.3M Bonus). Last week, the MWCD voted to sell up to 138 million gallons of water from Seneca Lake to Antero so they can use it in their drilling and fracking operations, making another potential $828,000.

We’ll lease you the land and sell you the water to drill it too. Cool…
Read More “MWCD to Sell 138M Gallons of Seneca Lake Water for Utica Drilling”
Antero Resources | Energy Companies

Antero Resources Expands Credit Line by $250M for More Drilling
July 17, 2013July 17, 2013

Antero Resources is a major Marcellus and Utica Shale driller, headquartered in Denver, CO. Last Friday, Antero announced they’ve upped their credit line with a banking syndicate by an additional $250 million (their full credit line is now $1.45 billion). They hint that they may expand their line of credit to the “full $1.75 billion borrowing base” in the future.

Here’s the announcement that Antero now has more cash to help with drilling in the Marcellus/Utica:
Read More “Antero Resources Expands Credit Line by $250M for More Drilling”
Antero Resources | Energy Companies | Energy Services | Industrywide Issues | Noble County | Ohio | Pipelines | Rockies Express Pipeline | Utica Shale

REX Reverses Pipeline Flow from OH for Mystery Utica Customer
July 16, 2013July 16, 2013

What a difference a year makes. Last August, RBN Energy President Rusty Braziel said the Rockies Express Pipeline (REX), which originates in Rio Blanco County, Colorado and sends gas to Monroe County, Ohio, was in danger of drying up because there’s so much shale gas coming from the Marcellus. His prescription? Turn it around and send gas the other way (see REX NatGas Pipeline Faces Stiff Competition from Marcellus). Looks like REX has taken Rusty’s advice.

In a press release issued yesterday, REX announced they have a binding agreement with an unnamed “large Utica Shale producer” who wants to use the pipeline to ship 200,000 decatherms of processed natural gas per day to the Midcontinent region of the country. That is, REX is reversing the flow for at least part of the pipeline. And who might the unnamed “mystery” producer be? We think we know…
Read More “REX Reverses Pipeline Flow from OH for Mystery Utica Customer”