The top three regions - Marcellus, Permian and Eagle Ford, accounted for $37.5bn in transactions or 50% of the total reported for US in 2010. The year included significant conventional transactions along with higher profile unconventional sales. Strong crude prices, new reservoir plays and technological applications stimulated Permian Basin deal flow.The Barnett and Haynesville shale areas saw reduced acreage transactions. The Barnett numbers included Chesapeake’s VPP and EnerVest’s surprising acquisition of Talon. Overall, shale plays generally see more deal flow as plays advance (Eagle Ford & Marcellus) and less deal flow (Haynesville & Barnett) as plays mature.
New plays like the Niobrara and Avalon Shale should see additional deal flow in 2011.