BP has signed an agreement with the Associated Landowners of the Ohio Valley (ALOV) to lease approximately 84,000acres in Trumbull County, Ohio in the Utica/Point Pleasant shale basin. The ALOV, a group that represents the area mineral owners, voted to approve the lease arrangement and terms of the agreement are to be executed with each landowner confidentially.
BP has a presence in Ohio, with roots dating back to 1870, currently operates the BP-Husky refinery near Toledo (a joint venture with Husky LLC), is a leading fuel marketer in the state and believes that expanding the company’s Ohio presence in the shale basin will help create jobs, boost the local economy and provide additional energy sources.
The Utica/Point Pleasant shale basin is a similar thickness to the Marcellus shale formation, a depth of 6,000feet and has the potential to deliver higher liquid rates estimated by the Ohio Department of Natural Resources at between 1.3 and 5.5billion barrels of oil and 3.8 and 15.7trillion cubic feet of natural gas.
BP’s development in the Utica/Point Pleasant shale will be added to their other current active shale positions in the Woodford, Fayetteville, Haynesville and Eagle Ford.