Oil and gas producer Hess Corp (HES.N) will pay CONSOL Energy (CNX.N) $593 million to form a joint venture and develop CONSOL's properties in the Utica shale in Ohio, the companies said on Wednesday. The Utica shale in eastern Ohio has drawn heated interest from oil and gas companies like Chesapeake Energy Corp (CHK.N), but its potential is still a question mark because few wells have been drilled. CONSOL owns about 200,000 acres in the basin, most of which it bought last year from Dominion Resources (D.N). The new deal with Hess will give it a pretax gain of about $59 million. The companies' plan to jointly develop the assets calls for Hess to generally operate in areas that have a high liquids content. Drilling will begin in a few weeks.
Hess Corporation (Hess) is a global integrated energy company that operates in two segments: Exploration and Production (E&P), and Marketing and Refining (M&R). Shares of HES traded higher by 3.75% or $2.13/share to $58.86. In the past year, the shares have traded as low as $52.63 and as high as $87.40. On average, 4673130 shares of HES exchange hands on a given day and today's volume is recorded at 1100137.
CONSOL Energy Inc. (CONSOL Energy) is a multi-fuel energy producer and energy services provider primarily serving the electric power generation industry in the United States. Shares of CNX traded higher by 3.73% or $1.63/share to $45.28. In the past year, the shares have traded as low as $33.64 and as high as $56.32. On average, 4103780 shares of CNX exchange hands on a given day and today's volume is recorded at 3148879.
Chesapeake Energy Corporation (Chesapeake) is a producer of natural gas and oil and natural gas liquids in the United States. Shares of CHK traded higher by 2.68% or $0.83/share to $31.75. In the past year, the shares have traded as low as $20.74 and as high as $35.95. On average, 11933000 shares of CHK exchange hands on a given day and today's volume is recorded at 7796835.
Dominion Resources, Inc. (Dominion), is a producer and transporter of energy, with a portfolio of approximately 27,600 megawatts of generation, 11,000 miles of natural gas transmission, gathering and storage pipeline and 6,100 miles of electric transmission lines. Shares of D traded higher by 0.75% or $0.36/share to $48.25. In the past year, the shares have traded as low as $41.13 and as high as $50.67. On average, 3256120 shares of D exchange hands on a given day and today's volume is recorded at 1492719.
Source
