Posted: Jun 22, 2012 11:07 AM
Updated: Jun 22, 2012 11:07 AM
HOUSTON (AP) Cabot Oil & Gas Corp. has announced plans to sell a minority stake in a Texas drilling operation to Osaka Gas Co. Ltd. for $250 million.
Houston-based Cabot said Friday that a subsidiary of Osaka Gas, based in Japan, will buy a 35 percent interest in developing the Pearsall Shale.
Cabot is focusing its development on 50,000 acres that it leased in the Texas counties of Atascosa, Frio, La Salle and Zavala.
Cabot says it plans to operate two rigs in the area, with drilling set to begin in July. It'll add a third rig in 2013 and a fourth in 2014.
The deal is expected to close on June 26.