2009-03-26-2009-02-18-2009-05-28

Purchased onshore/offshore LA leases near Marsh Island, gaining 260 MMcfg, 1,890 barrels condensate proved developed (8.4 Bcfg, 2,710 barrels condensate 2P).

Matt McCarroll and Mike Moreno's privately held, Houston-based Dynamic Offshore Resources LLC has closed its acquisition of substantially all of the U.S. assets of Bayou Bend Petroleum Ltd., Vancouver, (Toronto Venture: BBP) in a deal valued at up to US$20.5 million. Dynamic Offshore paid US$12.5 million in cash at closing and may pay up to US$8 million on April 1, 2011, based on the increase in proved reserves as of Dec. 31, 2010, above a specified threshold, at a rate of US$0.20 per Mcfe. Bayou Bend, a member of the Lundin Group of Companies, holds shallow water oil and gas exploration leases near Marsh Island in Louisiana onshore and offshore the Gulf of Mexico, including a 35.6% participating interest in two areas. The company also holds several outer continental shelf exploration blocks. Production is approximately 800 net barrels of oil and gas equivalent per day. Proved developed reserves as of Feb. 1, 2007, were 260 million cubic feet of gas and 1,890 barrels of gas condensate and proved and probable reserves were 8.4 billion cubic feet of gas and 2,710 barrels condensate. Bayou Bend president Keith Hill says, "Upon closing of the transaction, the company will have a very strong cash balance exceeding C$60 million. This represents a clear advantage for Bayou Bend in these currently challenging markets and allows the company to pursue the wealth of distressed, undervalued resource opportunities available today." Canaccord Adams was advisor to Bayou Bend. In July, Dynamic Offshore received a $450-million equity commitment from New York-based private-equity firm Riverstone Holdings and New York-based global private equity firm The Carlyle Group. The company focuses on producing properties in the Gulf of Mexico.