Infinity Natural Resources (INR) Acquires Chase Oil's $36M Working Interest in Pennsylvania
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2d ago
0mins
Source: seekingalpha
- Acquisition Deal: Infinity Natural Resources agrees to acquire Chase Oil's working interest in the South Bend field in Pennsylvania for approximately $36 million in stock, enhancing its core dry gas assets in the Appalachian Basin.
- Production Capacity Boost: The acquired asset includes 18 producing wells that generated a net natural gas production of 14 million cubic feet per day in December 2022, with three additional wells expected to come online in H1 2026, further increasing the company's production capacity.
- Future Development Potential: Infinity also gains access to 40 additional gross Marcellus locations and 38 gross Utica locations, providing significant opportunities for future development and enhancing the company's growth outlook.
- Strategic Consolidation: This acquisition is part of Infinity's post-IPO strategy for strategic consolidation, with CEO Zack Arnold stating that the deal allows the company to utilize its equity currency for the first time to solidify its core dry gas position in Pennsylvania.
Analyst Views on INR
Wall Street analysts forecast INR stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for INR is 20.60 USD with a low forecast of 18.00 USD and a high forecast of 26.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
5 Analyst Rating
5 Buy
0 Hold
0 Sell
Strong Buy
Current: 14.340
Low
18.00
Averages
20.60
High
26.00
Current: 14.340
Low
18.00
Averages
20.60
High
26.00
About INR
Infinity Natural Resources, Inc. is an independent energy company. It is focused on the acquisition, development, and production of hydrocarbons in the Appalachian Basin. Its properties include Utica Shale Oil-Ohio, and Marcellus Shale Dry Gas and Utica Deep Dry Gas-Pennsylvania. Its activities are focused on developing its Ohio properties, which are centered in the volatile oil window of the Utica Shale. Its Pennsylvania properties are predominately located to the northeast of Pittsburgh in Westmoreland, Armstrong and Indiana counties. It has expanded its leasehold position through a series of subsequent acquisitions and has over 30,250 net surface acres with exposure to both Marcellus and Utica Shales and operates 13 producing horizontal wells and three drilled and uncompleted wells. It maintains an inventory of 120 and 66 undeveloped Marcellus and Utica locations in Pennsylvania. Its Pennsylvania acreage overlays the dry gas Utica Shale, providing 66 highly prospective locations.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
