ARP is now one of the cheaper E&P MLPs around, especially when you take out the embedded value of the private drilling partnerships.
These gas properties appear to be 93% PDP, which means, this is simply ARP adding reserves and production without having to add a lot of overhead. Should help lower SG&A on a per mcfe basis.
Not really as excited about this deal as the Barnett deals, but I like that they are buying gas and not chasing oily projects like everyone else.
Gas may never recover to the $7/mcf levels, but I firmly believe we will see sustained $4.50/mcf with spikes towards and above $5/mcf from time to time. At these prices, liquids rich fields will be highly profitable.