Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K DATED DECEMBER 14, 2009 - CARRIZO OIL & GAS INC | form8k_121409.htm |
| EX-10.1 - ELEVENTH AMENDMENT TO CREDIT AGREEMENT - CARRIZO OIL & GAS INC | exh101.htm |
| EX-99.1 - PRESS RELEASE DATED DECEMBER 14, 2009 - CARRIZO OIL & GAS INC | exh991.htm |
Exhibit
99.2
| PRESS RELEASE | Contact: | Carrizo Oil & Gas, Inc. |
| Richard Hunter, Vice President of Investor Relations | ||
| Paul F. Boling, Chief Financial Officer | ||
| (713) 328-1000 |
CARRIZO
OIL & GAS, INC. ANNOUNCES A STRATEGIC JOINT VENTURE WITH SUMITOMO
CORPORATION IN THE BARNETT SHALE
HOUSTON, December 15, 2009
— Carrizo Oil & Gas, Inc.
(Nasdaq: CRZO) today announced the sale of an interest in a portion of
its core Barnett Shale acreage to a subsidiary of Sumitomo Corporation for $15.7
million dollars. Sumitomo has purchased on a promoted basis; a one-eighth
(12.5%) interest in 16 Carrizo Barnett drilling units, including six recently
completed wells with a current production rate net to Sumitomo of 1.25 million
cubic feet per day. As part of this agreement, Sumitomo will
participate on a promoted basis in the completion of 18 drilled wells and the
drilling and completion of twelve more wells under similar terms. In addition,
Sumitomo has the right to participate, on a promoted basis and at the same
working interest, in up to 56 future wells within these units.
S.P.
“Chip” Johnson IV, Carrizo’s President and Chief Executive Officer, commented,
“We are excited to enter into this strategic joint venture with Sumitomo
Corporation. We view Sumitomo as a strong partner that will permit us
to opportunistically accelerate drilling in our core Barnett Shale development
area. We believe that this joint venture relationship with Sumitomo
also has the potential to expand into other exciting resource plays as
well.”
After
application of the net proceeds from the transaction to repay borrowings
outstanding under our credit facility, the current outstanding balance under the
credit facility has been reduced to $187 million. This transaction has
no effect on Carrizo’s redetermined borrowing base of $350 million announced on
Monday, December 14, 2009.
About
the Company
Carrizo
Oil & Gas, Inc. is a Houston-based energy company actively engaged in the
exploration, development, exploitation, and production of oil and natural gas
primarily in the Barnett Shale in North Texas, the Marcellus Shale in
Appalachia, and in proven onshore trends along the Texas and Louisiana Gulf
Coast regions. Carrizo controls significant prospective acreage blocks and
utilizes advanced drilling and completion technology along with sophisticated
3-D seismic techniques to identify potential oil and gas drilling opportunities
and to optimize reserve recovery.
Statements
in this news release that are not historical facts, including those related to
effect and results of the joint venture, future drilling and completion and
other operations, Sumitomo’s participation in wells and expansion of the
relationship with Sumitomo, , together with future business relationships and
opportunities are forward-looking statements that are based on current
expectations. Although Carrizo believes that its expectations are based on
reasonable assumptions, it can give no assurance that these expectations will
prove correct. Important factors that could cause actual results to differ
materially from those in the forward-looking statements include actions by
Sumitomo, market and other conditions, capital needs and uses, commodity price
changes, effects of the global financial crisis on exploration activity, results
of and dependence on exploratory drilling activities, operating risks,
governmental regulation and permitting, other land issues, weather, and other
risks described in Carrizo's Form 10-K/A for the year ended December 31, 2008
and its other filings with the Securities and Exchange
Commission.