Article: Newfield, Exxon Mobil forming second South Texas joint venture.

Mid-size independent Newfield Exploration and super major Exxon Mobil have formed a joint venture to exploit a South Texas natural gas play, the second such arrangement the two companies have formed in the past three years.

The deal covers approximately 87,000 gross acres in South Texas covering properties in Kenedy, Brooks and Hidalgo counties. Exxon is contributing the leases, and Newfield will provide the personnel and capital, Newfield spokesman Steve Campbell told Natural Gas Week.

The three-year drilling and development program will target the Vicksburg Trend, a prolific tight natural gas sands formation that underlies much of the area. The earlier ...

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