Gulfport Energy Corporation just expanded its exploration territory in the Utica play in an $83 million acquisition.
The Oklahoma City-based company announced the successful acquisition of about 4,700 net undeveloped acres in the core of the Ohio Utica. The land is located in Belmont County, Ohio and was acquired through the Ohio Oil and Gas Land Management Commission State Land Lease Sale for a total purchase price of approximately $83.0 million.
“The Ohio state land lease acquisition represents a highly strategic bolt-on to our core Utica position, adding a large, contiguous block of acreage adjacent to our existing best-in-class Utica gas inventory, further underscoring the strategic nature of this investment,” said Nick Dell’Osso, Gulfport’s President and Chief Executive Officer. “The position lies in the fairway of the highly productive, liquids-rich Utica wet gas window and offers the highest-return opportunities in our portfolio, extending our liquids runway while enhancing the depth and flexibility of our development program across commodity cycles.”
He said it also shows the company is focused on disciplined capital allocation and investing in opportunities that drive value creation.
“Our strong balance sheet enables us to execute this acquisition while maintaining financial strength and we are committed to continuing to build net asset value and delivering durable, long-term returns for our shareholders,” Dell’Osso concluded.
Belmont County is a county located in the eastern end of the U.S. state of Ohio.
Key Highlights
- Large, contiguous acquisition of approximately 4,700 net undeveloped acres secured in a highly competitive lease sale environment, adjacent to existing operations and recently acquired discretionary acreage
- High-quality core acreage position expected to drive development efficiency, unlock operational synergies and maximize utilization of existing infrastructure and midstream capacity
- Located in the highly productive, liquids-rich Utica wet gas window and represents a core, top-tier area of Gulfport’s acreage
- Adds approximately 16 net locations (normalized to 15,000’ laterals), with locations concentrated in the highest-return tier of our development opportunities
- Development expected to commence in 2027, with forecasted returns at the top end of our portfolio, highlighting the strong economic profile and immediate actionability of the acquired acreage
- Total purchase price of approximately $83.0 million equates to approximately $17,500 per net acre or $5.1 million per net location (normalized to 15,000’ laterals)
- Strong financial position supports the acquisition, funded through cash on hand and available capacity under Gulfport’s revolving credit facility
Gulfport is an independent natural gas-weighted exploration and production company focused on the exploration, acquisition and production of natural gas, crude oil and NGL in the United States with primary focus in the Appalachia and Anadarko basins. Its principal properties are located in eastern Ohio targeting the Utica and Marcellus formations and in central Oklahoma targeting the SCOOP Woodford and SCOOP Springer formations.
