Empire Petroleum has closed on the acquisition of COERT Holdings 1 LLC’s interests in the three assets owned by Empire and located in New Mexico, the company said on Aug. 10.
The three assets in Lea County are:
- Eunice Monument South Unit A
- Eunice Monument South Unit B
- Arrowhead Grayburg Unit
The purchase price of about $6.7 million includes $5 million in cash by EEF Acquisition Co. LLC, which is a wholly owned subsidiary of Empire’s largest shareholder, Energy Evolution Master Fund Ltd.
EEF Acquisition Co. has been assigned an undivided 90% ownership interest in the assets. Empire has been granted a three-year option to purchase the interests for about $5 million.
“Since we acquired our New Mexico assets from XTO in May 2021, we have evaluated opportunities to increase our ownership position through the purchase of non-operating interests,” said Mike Morrisett, president and CEO of Empire, in a press release. “We appreciate the support of EEF in the funding of the Transaction with COERT. This structure provides Empire with additional flexibility to accelerate our targeted ongoing and future asset development programs designed to strategically grow the business and build near and long-term value for our shareholders.”
Recommended Reading
Seatrium Awarded Contract for FPSO Bound for Guyana’s Stabroek
2024-05-17 - The topsides fabrication and integration contract will be for the FPSO Jaguar, bound for the Whiptail Field in the Stabroek block offshore Guyana for Exxon Mobil.
Third Suriname Find for Petronas, Exxon Could Support 100,000 bbl/d FPSO
2024-05-17 - A recent find offshore Suriname in Block 52 by Petronas and Exxon Mobil could support a 100,000 bbl/d FPSO development, according to Wood Mackenzie.
US Drillers Add Oil, Gas Rigs for First Time in Four Weeks: Baker Hughes
2024-05-17 - The oil and gas rig count rose by one to 604 in the week to May 17.
BPX Looks to Ramp US Production Over 60% by 2030
2024-05-16 - BPX Energy is looking to boost its U.S. production over 60% by 2030 as it considers bringing online a fourth processing facility in the Permian by mid-year 2025, Clark Edwards, the company’s vice president of development, said during SUPER DUG in Fort Worth.
Empire Petroleum’s Williston Drilling Program Identifies New Zones
2024-05-16 - Empire Petroleum provided updates on its Williston Basin development drilling program in its first quarter 2024 earnings results.