LINN Energy (OTC:LINEQ) investors probably weren't exactly sure what to make of its much anticipated deal for a portion of its acreage in the Permian Basin. It's a trade that was a bit complex, but does have an interesting strategic rationale. But at the end of the day it still left its investors wanting more as many are anticipating another deal for the rest of the acreage it's dangling before buyers. That said, while all eyes are currently on that next deal in the Permian Basin, LINN Energy might not be done trading even after it finishes up its portfolio reshuffle in the Permian Basin.
On the company's first quarter conference call CEO Mark Ellis noted that the company's position in the Mid-Continent was also an area that LINN Energy could monetize in the future. He noted that the Granite Wash area in particular was one of its higher declining areas, however, it's an area where industry peers like Chesapeake Energy (OTC:CHKA.Q) and Apache (NASDAQ:APA) are very active in drilling. Because of that he suggested that LINN Energy is likely to pursue asset trades in the Mid-Continent after it wraps up trading out of its high declining acreage in the Permian Basin.
To help investors get a better handle on LINN Energy's position in the Mid-Continent I created the slideshow below. In addition to running through LINN Energy's position in the region, the presentation also takes a look at the potential Chesapeake Energy, Apache, and others are seeing in the region and how LINN Energy could cash in on this potential.