Back to top

Analyst Blog

This page is temporarily not available.  Please check later as it should be available shortly. If you have any questions, please email customer support at support@zacks.com or call 800-767-3771 ext.  9339.

Quicksilver Resources Inc. (KWK - Analyst Report) continues to work on its strategy to sell assets at a favorable price and utilize the proceeds for future development. The company closed its previously announced Montana asset sale on Aug 30, 2013 to Synergy Offshore LLC.

The effective date of this transaction was Jan 1, 2013. Taking into consideration $4 million of Synergy’s ratable share of production and operating expense from the effective date and the actual closing date, the net proceeds of the sale come to $42 million.

Quicksilver will utilize the proceeds to reduce amounts outstanding under its Combined Credit Agreements. As of Jun 30, 2013, the company utilized $245 million from its Combined Credit Agreements with $105 million of credit facility remaining as on that date.

The primary objective of the company is to strengthen its balance sheet. During the second quarter Quicksilver sold 25% of its Barnett Shale assets to a Tokyo Gas subsidiary for $485 million and secured a long-term development partner in the Barnett.

Apart from this move of monetizing non-core assets and roping in new partners to develop existing acreage, Quicksilver is also making capital investment to assure organic growth. In the first half of 2013, the company invested $52 million in development work and is expected to continue to do so in the second half of the year.

Quicksilver Resources Inc. currently has a Zacks Rank #3 (Hold). Meanwhile other operators in the sector having a favorable Zacks Rank are Matador Resources Company (MTDR - Snapshot Report), Range Resources Corporation (RRC - Analyst Report) and VOC Energy Trust (VOC - Snapshot Report). All of them presently carry a Zacks Rank #1 (Strong Buy).

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

Learn more

Start for as little as $4.50 per trade.

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
GENERAL FINA GFN 8.20 +5.67%
QIHOO 360 TE QIHU 91.57 +4.38%
VIPSHOP HOLD VIPS 140.01 +3.49%
INVESTMENT T ITG 19.16 +3.34%
VERTEX ENERG VTNR 7.38 +3.07%