Flywheel Energy, a private oil and gas exploration and production company, acquired Southwestern Energy's Fayetteville Shale assets in 2018 and is now the operator of the largest position in the Fayetteville Shale, focusing on responsible and sustainable returns through operational excellence. 

Here's a more detailed look at Flywheel Energy and its activities in the Fayetteville Shale:

  • Acquisition: Flywheel Energy, backed by Kayne Anderson Private Energy Income Funds, acquired Southwestern Energy's Fayetteville Shale business in 2018 for nearly $1.9 billion. 

    Fayetteville Shale: The Fayetteville Shale is a prolific natural gas basin in Arkansas that requires hydraulic fracturing (fracking) to release the gas. 

    Company Focus: Flywheel Energy's focus is on responsible delivery of sustainable returns through operational excellence, with a goal of improving incrementally every day. 

    Drilling Plans: Flywheel Energy Development has filed applications to drill new horizontal wells in Cleburne County, and plans to drill five wells this year, which are the first new wells drilled by any company in the Fayetteville Shale since 2018. 

    Investment: Flywheel's total investment for the project will be $25 to $30 million. 

    Operations: Flywheel Energy operates approximately 5,000 natural gas wells, including 850 operated and approximately 4,100 non-operated, and related pipeline and processing properties across approximately 381,000 acres. 

    Headquarters: Flywheel Energy is headquartered in Oklahoma City. 

    CEO: Justin Cope is the Founder and CEO of Flywheel Energy. 

    Community Relations: Flywheel Energy has a Director of Community Relations, Andy Miller. 

    Business Model: Flywheel Energy is focused on finding a level of gas that can be maintained for 10, 20, 30, or 40 years, rather than trying to double or triple production quickly. 

    Economic Impact: The Fayetteville Shale has a significant economic impact on Arkansas, with Flywheel's operations contributing to jobs and revenue. 

    Other Activities: Flywheel Energy is also involved in other areas of the energy industry, including digital commerce and retail operations. 

https://www.flywheelenergy.com/

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Replies to This Discussion

Lots of gas in place yet to recover here with modern frac stimulation and longer length laterals

Agreed!  

According to AOGC - Flywheel has spudded the Holmes 09-10 3-5H31

Thanks, Wymon.  It will be interesting to see a new Fayetteville Shale well drilled with current tech.

Google is planning a $10 Billion Data AI center in West Memphis, Arkansas - guessing that the Fayetteville Shale will assist in furnishing natural gas for this large project.

That would be quite possible.  However all data center developers are looking hard at geothermal which they much prefer.  I don't think West Memphis would work for geothermal.

Interesting options for more gas from the Fayetteville. There will be a market for the gas - at least for local consumption. AI is always an option. Geothermal wells in that part of the country may be a bit lean as to generative capabilities (i.e. lack of deep wells and access to high subsurface temps for that generation option)

For some background history, Flywheel Energy acquired the Fayetteville from Southwestern Energy in 2018 for $1.8B with the help of Kayne Anderson.  They largely managed the basin without drilling a well until 2023 when they completed 4 wells in Cleburne County - Sec. 13, T11N-R10W, with two of their bottom hole locations in  Sec. 24, T11N-R10W;  In 2024, Stone Ridge Asset Management  acquired  the Fayetteville Shale from Flywheel Energy for $3B. and kept Flywheel as operator.  See “Excerpts” from Stone Ridge’s Dec. 28, 2025, where they expound upon the acquisition and the drilling of their first 5 pilot wells in Cleburne County.  If you read between the lines - you will see their level of excitement.   They have been very successful in their first 6 months of production with each of the 5 wells making @1 Bcf.  - Location Sec. 8, T9N-R9W (Wilson #6 & 7) with laterals extending into Sec. 32, T10N-R9W & also Sec. 5,T9N-R10W (Holmes # 1,2,3) with laterals extending into Sec. 32, T10N-R10W.

<Stone Ridge Asset Management - Dec.28, 2025 letter.docx>

Modern fracs in "mature" area - a lot of gas in place left to exploit!

Results of the 5 pilot wells (with modern completion techniques and longer laterals - compared to old legacy SWN wells) have yielded promising results:

Wilson 6-8H32 has produced 1.44 BCF in 1st year (Cleburne Co.) 

Wilson 7-8H32 has produced 1.46 BCF in 1st year (Cleburne Co.)

3 Holmes wells have produced 1 BCF (each)  in 1st year (Cleburne Co.)

So they have permitted 4 new wells as follows:

Van Buren County 

Darrell Hall 10-13-12-22H9 (11,000' lateral)

Cleburne County

Ballew 09-09 2-22H4 (14,000' lateral)

Ballew 09-09 3-22H3 (14,000' lateral

Ballew 09-09 4-22H3 (16,700' lateral)

(All 4 wells with @ TVD of 4,500)

So longer laterals and new modern completion designs are rediscovering Fayetteville Shale.  Flywheel Energy / Stone Ridge Asset Management have found the recipe and have the finances to drill these wells (2,500' - 4,500').  

Thanks for the update, Wymon.

Great seeing these results - not a surprise. 

A lot of gas in place in these rocks!

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