Mitsui buys big chunk of Hawkville field

Japan’s Mitsui & Co Ltd has bought a 92% stake in an unconventional gas asset in Texas and plans to promote its gas business as a “pragmatic solution” for the energy transition. (Image: Mitsui)

Mitsui & Co.’s U.S.-based subsidiary has completed the acquisition of 92% working interest in an unconventional gas asset in Texas, U.S.A. from the operator, Silver Hill Eagle Ford E&P, LLC, a subsidiary of Silver Hill Energy Partners, LP.

This asset (a part of the Hawkville field, approx. gross 8500 acres) is in South Texas with access to the Gulf Coast industrial area, which includes liquefied natural gas (LNG) export terminals and ammonia plants. Additional gas production is expected from this asset with further development and Mitsui E&P USA LLC, a wholly-owned subsidiary of Mitsui, will develop and operate the asset, aiming for stable gas production of over 200 million cubic feet per day from the field.

Mitsui is also promoting the liquefaction and export of U.S. natural gas to global markets, and methanol production businesses using natural gas as feedstock. In addition to proactively pursuing upstream development projects, we will strengthen the natural gas value chain, including adjacent businesses, and work toward achieving further low-carbon solutions and decarbonization through the use of CCS (Carbon Capture and Storage) and other measures.

Mitsui said believes that natural gas and LNG will play an important role as a “pragmatic solution” for energy transition, and we will continue to contribute to stable energy supply, enhanced quality of life, and sustainable development of society by further promoting our global natural gas and LNG businesses.