Samson Resources II Announces Acquisition of 33,000 Gross Acres and Associated Production in the Green River Basin, Wyoming

Samson Resources II, LLC  announced this week the acquisition of approximately 33,000 gross acres / 10,500 net acres plus working interests in 30 wells (29 operated by Samson) in the Company’s core operating area of Sweetwater County, Wyoming, with the transaction closing last Friday. Samson acquired the acreage and wells from a non-operating working interest partner for a total consideration of $15.9 million, which it funded with cash from its balance sheet. The acquired wells produce approximately 450 net barrels of oil equivalent per day. The effective date of the transaction is April 1, 2018. After the closing, Samson will own the rights to over 53,000 net acres in the Green River Basin of Wyoming.

The acquired acreage is primarily operated by Samson and consolidates Samson’s acreage position in its core development area. The acquisition increases Samson’s working interest in this important area to approximately 90 percent working interest in most operated producing and future wells.

Joseph Mills, President and Chief Executive Officer of Samson, commented,
“Samson remains focused on growing in our two core areas, the Powder River and Green River Basins of Wyoming, and this acquisition of additional acreage in the core of our Sweetwater County position will be accretive to our production and financial results as we begin our drilling program in 2018. Samson recently completed two of the best performing vertical Fort Union wells in the immediate area and we will focus on testing our downspacing plans on our Green River Basin acreage position during 2018.”

Categories: 
Regions: 
Country: