BHP Biliton projects $2-bln US writedown
Eagle Ford 
HOUSTON, July 15, 2015 – BHP Billiton has reported a $2 billion post-tax write down, largely associated with the entity’s Hawkville gasfield, located in Texas. The play was acquired from Petrohawk Energy in a $12-billion, 2011 transaction. Prior to the application of tax fees, the total charge could reach as high as $2.8 billion.
The move highlights the company’s struggling US-based onshore petroleum business ventures. The current write down is one more in a series of disappointing events that has affected BHP Billiton, such as repeated impairment charges and low oil prices.
“A combination of lower prices, a better understanding of what they bought and, what is probably in hindsight, a fairly full price for the asset in the first place has conspired to form these write downs,” said Melbourne-based fund manager at Pengana Capital, Tim Schroeders as reported by MarketWatch.
The company’s July write down is the second in 2015. In February, a $328-million impairment charge of the entity’s Texas and Louisiana assets was reported. Combined, BHP Billiton has reduced the value of its oil and gas assets by around $4 billion since 2011.
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