BHP (NYSE:BHP) to Acquire Fayetteville Shale for $4.75 Billion

BHP Billiton (NYSE:BHP) said Tuesday that it had agreed to buy a substantial shale field in the United States for $4.75 billion, in the world's largest miner's first move into the U.S. shale gas business.

The shale assets form all of Chesapeake Energy Corp.'s interest in the Fayetteville shale field, in Arkansas, including the field's midstream pipeline system.

BHP said in a statement that it would fund the acquisition from cash resources.

"The acquisition is consistent with BHP Billiton's strategy of investing in large, long-life, low-cost assets with significant volume growth from future development," the Anglo-Australian company said.

"It also supports our goal of diversification by geography, customer and product," it added.

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