Northern Oil & Gas Inc. (AMEX: NOG) said April 26 it agreed to acquire producing assets and acreage in North Dakota within the core of Williston Basin.

Salt Creek Acquisition Acreage (Source: Northern Oil & Gas Inc.)

The Bakken nonop producer entered an agreement with Salt Creek Oil and Gas LLC, a subsidiary of Deutsche Rohstoff AG, to buy the assets for $40 million cash. The acquisition will add to the company’s pro forma position in the Williston of about 143,000 net acres.

Northern’s acquisition comprises 1,319 net acres in the core of the Williston Basin that are 100% HBP and have an average net revenue interest of 86%, which the company expects will generate about $19 million of cash flow in 2018.

Operators of the assets include Hess Corp. (NYSE: HES), Whiting Petroleum Corp. (NYSE: WLL), ConocoPhillips Co. (NYSE: COP) and Statoil ASA (NYSE: STO).

“This acquisition solidifies our position as the natural consolidator of nonoperating working interests in the Williston Basin. It brings with it outstanding future drilling locations and current production, without additional general and administrative costs, demonstrating the scalability of our business model,” Northern Interim President Brandon Elliott said in a statement. “This acquisition shows not only our ability to execute on our long-term consolidation strategy but also our ability to execute on accretive deals in the best part of the Bakken fairway.”

The acquisition also includes 86 gross (6.5 net) wells currently producing, drilling or awaiting completion and an estimated 137 gross (8.2 net) wells of future drilling inventory. February estimated production from the assets was about 1,380 boe/d.

Northern said it expects to close the acquisition in roughly 40 days, subject to typical conditions, with an effective date of Jan. 1.