?Legacy Reserves LP, Midland, Texas, (NasdaqGS: LGCY) plans to acquire 100% of the membership interests of Pantwist LLC, from Cano Petroleum Inc., Fort Worth, Texas, (Amex: CFW) for $42.7 million in cash.
The assets include an estimated 453 BOE per day of production (72% oil and gas liquids). Proved reserves are 3.1 million BOE (100% proved developed producing). The closing was expected on Oct. 1.
Legacy also closed its acquisition of assets from Gryphon Production Co. LLC for approximately $13 million. Assets include an estimated 115 BOE per day (92% oil and gas liquids). Proved reserves are 1.6 million BOE (61% proved developed producing). The balance of the proved reserves is associated with Legacy’s plans to reactivate up to 300 available wellbores.
More than 98% of the assets from both transactions are operated and are in Carson, Gray, Hutchinson and Moore counties in the Texas Panhandle near Legacy’s existing assets.
Legacy chairman and chief executive Cary Brown says, “These acquisitions demonstrate our commitment to the Panhandle of Texas as a second core area for Legacy Reserves. The Panhandle fits our strategy to acquire long-lived reserves.”
He says Legacy will operate more than 1,000 wells and own interests in approximately 1,500 non-operated wells through the deal.
“Including the pending Pantwist acquisition, we will have acquired oil and gas properties aggregating approximately $209 million year to date, which is approaching the goal we set at the beginning of 2008,” he says.
Legacy entered into commodity swaps related to the transactions.
Recommended Reading
EQT: Non-op Marcellus Assets Pique International Buyers’ Interest
2024-07-24 - EQT Corp. is marketing interests in its upstream and midstream assets in Appalachia as the company reduces debt after a $5.45 billion acquisition of Equitrans Midstream.
Occidental Clears FTC Scrutiny to Close $12B CrownRock Deal
2024-07-18 - The waiting period for Occidental’s $12 billion acquisition of CrownRock LP under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 has expired, clearing the way for the deal to close next month.
Australian Shale Wildcatter Tamboran Spuds First 2-Well Beetaloo Pad
2024-09-02 - Tamboran investor Helmerich & Payne is drilling the 2-mile laterals, while fellow investor Liberty Energy has a frac fleet en route to complete the wells, Tamboran Resources reported.
Mach Natural Resources Sells Western Anadarko Assets in 2Q
2024-08-14 - Mach Natural Resources divested Western Anadarko acreage after making an $815 million acquisition from Paloma Partners IV last year.
Crescent, SilverBow Shareholders OK $2.1B Merger, Eye Closing July 30
2024-07-29 - Shareholders for Crescent Energy and SilverBow Resources signed off on their $2.1 billion merger—expected to create one of the largest E&Ps in the Eagle Ford Shale.
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.