Alpha CEO Kevin Crutchfield, eligible to join Rice Energy’s board of directors, voiced enthusiasm. “We are pleased with the value created in such a short period of time,” he said. “This achievement is testament to the quality of our Marcellus acreage and the operational excellence of the Rice Energy team.”
By committing 7,500 acres and $30 million in cash to Alpha Shale, moreover, “we believe this provides Alpha an excellent return on our investment while allowing us to retain significant upside,” he added; the property is located in Greene County near Pittsburgh.
Upon completion of the Rice IPO, Crutchfield said Alpha would add “significant” cash to its balance sheet while maintaining a “meaningful ownership position in growth opportunities presented by the combined Rice Energy platform; we will evaluate all possibilities from our Marcellus position of approximately 10,000 acres.”