Executive Summary
Despite significant rig-count declines, Eagle Ford production declined only modestly over the twelve months ended March 2024, aided by a significant number of DUCs going into production. Reasonably steady commodity prices helped offset the basin’s production decline, allowing the region’s comp group to post favorable price increases over the review period.
Although M&A activity in the Eagle Ford plummeted over the last twelve months with only two deals announced, Dani Von Bassenheim, with Enverus Intelligence Research, notes that the Eagle Ford shale is one of a few areas that can expect increased M&A activity in 2024 as the list of attractive targets in the Permian Basin has dwindled. Bassenheim further noted that “The core of the Eagle Ford is the gift that keeps giving for operators with the best acreage.” Despite denser development, recoveries remain high in core areas.
