Denbury Resources Inc., Dallas, (NYSE: DNR) plans to acquire the Delhi Holt-Bryant Unit in northern Louisiana from Natural Gas Systems Inc., Houston, (OTCBB: NGSY) for $50 million. Denbury will receive an initial 100% working interest and 80% net revenue interest in the unit, while Natural Gas Systems retains a 4.8% royalty interest and a 25% working interest in other depths. Denbury will also grant a 25% reversionary interest to Natural Gas Systems after Denbury has achieved $200 million in net operating revenue. The Delhi Holt-Bryant Unit is about 65 miles southwest of the recently acquired Tinsley Field, and Denbury estimates it has a net reserve potential from carbon dioxide tertiary floods of up to 30- to 40 million barrels of oil equivalent. It currently produces less than 100 barrels of light sweet oil per day.
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