BKV Barnett recently bought most of Devon’s Barnett Shale wells. Now Banpu Power US is buying a power plant near Temple and is going to use some of the natural gas produced from the BLV wells to power the plant.
I am guessing this will not be a great deal for the royalty owners as both BKV and Banpu Power are apparently owned by the same Thailand based company (Banpu). They could sell the gas at a lower price to their related company, right? Any thoughts? I am sure similar situations have frequently happened elsewhere.