Cubic Energy Inc. (NYSE: QBC) has entered into a definitive agreement to acquire proven reserves, oil & natural gas production and undeveloped leasehold interest in Leon and Robertson Counties, Texas, from Gastar Exploration Texas LP.

The acquisition price to be paid by Cubic is $46,000,000 and includes drilling rights on approximately 16,300 net acres and production of approximately 2,050 boepd (97% gas: 3% oil) using a 6:1 conversion rate. The transaction is expected to close on or before June 5, 2013, subject to customary due diligence and closing adjustments, and with a property purchase price effective Jan. 1, 2013, for purposes of allocating revenues and expenses and capital costs between GETLP and Cubic.

Calvin A. Wallen III, Cubic’s chairman, CEO and president said in a news release, “We are excited to take the first step in transitioning Cubic to a diversified oil & natural gas company. As Cubic moves forward with additional acquisitions, the East Texas Eaglebine assets will prove to be a critical first step with its upside in the oil rich Cretaceous Zone, including the Eagle Ford and Woodbine intervals. The asset also gives us great flexibility with the deeper Bossier, a prolific and highly commercial play that we have the option to develop as natural gas pricing improves.”

Cubic Energy, Inc. is an independent company engaged in the development and production of crude oil and natural gas. The company's oil and gas assets and activity are currently concentrated primarily in the Cotton Valley and Haynesville shale located in northwest Louisiana.