New Appalachia Producer Montage Resources Emerges From Merger

New Appalachia Producer Montage Resources Emerges From Merger

New Appalachia Producer Montage Resources Emerges From Merger

epatsy@hartene…
Fri, 03/01/2019 – 13:43

A view from a rig on Eclipse Resources’ Utica Shale operations during 2015. (Source: Mike Robinson/Hart Energy)

Eclipse Resources Corp. (NYSE: ECR) and Blue Ridge Mountain Resources Inc. completed its merger on Feb. 28 and emerged as a new Appalachian Basin producer with its sights set on cash flow neutrality.

In late August 2018, Eclipse and Blue Ridge Mountain agreed to merge in an all-stock transaction with  Blue Ridge stockholders receiving 4.4259 shares of Eclipse common stock for each share of Blue Ridge stock. At the time, the transaction was valued to be worth about $345 million.

The resulting combination, newly-dubbed Montage Resources Corp., holds about 227,000 net effective undeveloped acres currently focused on the Utica and Marcellus shales of southeast Ohio, West Virginia and North Central Pennsylvania.