Comprehensive Energy Data Intelligence
Information About Energy Companies, Their Assets, Market Deals, Industry Documents and More...
Riley Permian Secures $330 Million Acquisition in Thriving New Mexico: A Strategic Move with Promising Returns04/19/2023
In a big move for Riley Permian, the company has just closed a deal to acquire top-of-the-line oil and gas assets in the heart of New Mexico. The acquisition, which was made in February, saw Riley Permian snapping up these highly sought-after resources from none other than Pecos Oil & Gas LLC for $330 million.
Exciting news from Riley Exploration Permian Inc.! The company has just announced the successful completion of its acquisition of premium oil and natural gas assets located in New Mexico. In a deal that was initially announced back in February, Riley Exploration has acquired:
- 11,700 contiguous net acres in Eddy County, New Mexico.
- Over 100 gross horizontal development drilling locations.
The acquisition, which was made from Pecos Oil & Gas LLC, an affiliate of Cibolo Energy Partners LLC, is set to significantly boost Riley Exploration's production capabilities. With a then-current production of 4,200 bbl/d (7,200 boe/d), the newly acquired assets are sure to help the company to achieve even greater success in the future.
And the best part?
Riley Exploration was able to secure this highly coveted acquisition for the bargain price of $330 million before customary purchase price adjustments. It's a smart move that's sure to pay off big time for the company and its shareholders.
Riley Exploration continues to make waves in the energy industry with its recent acquisition of prime oil and natural gas assets in New Mexico. And to finance this major deal, the company has just issued $200 million in new, senior unsecured notes.
This smart move is sure to pay off big time for Riley Exploration, as it now has the funding it needs to fully take advantage of the newly acquired assets.
Expectations: The Senior Notes will bear interest at an annual rate of 10.5% and will mature in April 2028.
Take a look at Pecos Oil & Gas LLC
Pecos Oil & Gas LLC is a dynamic energy company with a focus on developing premium oil and natural gas resources in the United States. The company has a track record of success in the industry, and it is well-known for its innovative approach to energy production, which emphasizes the use of cutting-edge technology to optimize production and reduce costs.
- The company has assets located in some of the most sought-after regions in the United States, including New Mexico and Texas.
- Pecos Oil & Gas LLC has acquired and developed more than 40,000 acres of oil and gas resources in New Mexico alone.
- The company's assets in New Mexico have a production rate of approximately 12,000 barrels of oil equivalent per day.
- Pecos Oil & Gas LLC has established strong partnerships with other leading energy companies, including Cibolo Energy Partners LLC, which is an affiliate of the company.
Before the recent acquisition, Riley Permian's assets included approximately 50,000 net acres in the Permian Basin, spanning across several counties in West Texas and southeastern New Mexico. The company has a significant presence in the Permian Basin, where it has been actively acquiring and developing assets since its inception.
If you are looking for more information about energy companies, their assets, and energy deals, please, contact our sales office email@example.com, Tel. 619-349-4970 or SCHEDULE A DEMO to learn how Rextag can help you leverage energy data for your business.
Permian Resources bolsters dominance in the Delaware Basin with strategic land acquisitions, expanding its portfolio by over 5,000 net leasehold acres and 3,000 royalty acres. In a stunning display of growth and strategic maneuvering, Permian Resources Corp., based in Midland, Texas, has made waves in the first quarter by securing a series of deals worth over $200 million in the highly sought-after Delaware Basin. This move solidifies their position as a player in the region.
Multi-Billion Dollar Deal: Ovintiv to Expand Midland Basin Portfolio with EnCap Acquisition and Exit Bakken
Ovintiv Strikes Billion-Dollar Oil Deal, Doubling Production in Permian Basin with EnCap's Black Swan, PetroLegacy, and Piedra Resources. The deal, which was approved unanimously by Ovintiv's board, is slated to close on June 30. With over $5 billion in transactions announced on April 3, Ovintiv is set to expand its oil production by snatching up 65,000 net acres in the core of the Midland Basin. The deal with EnCap will give them a strategic edge in Martin and Andrews counties, Texas, with approximately 1,050 net, 10,000-ft well locations added to their inventory.
Occidental Petroleum is looking into selling Western Midstream Partners. OXY focuses on natural gas pipelines in the U.S. and is worth around $20 billion, including its debt. This sale could help the company cut down its large debt of $18.5 billion, which grew due to buying other companies. Recently, Occidental agreed to buy CrownRock for $12 billion, adding more debt to its books. This comes after its huge $54 billion purchase of Anadarko Petroleum four years ago. The news about possibly selling Western Midstream made its shares go up by 5.7% to $30.81, reaching their highest value since July 2019. However, Occidental's shares fell by 1.6% to $59.56, as part of a wider drop among energy companies.
The Canadian oil and gas sector announced 27 M&A deals in the last quarter of 2023, totaling $4.2 billion in value. The biggest deal of the quarter was Pembina Pipeline's $2.3 billion acquisition of several companies including Alliance Pipeline and Aux Sable Canada. Compared to the previous quarter, the total value of M&A deals in Canada grew by 20% from $3.5 billion and jumped 95% compared to the same quarter the previous year. However, the number of deals dropped slightly by 4% from the previous quarter and was 23% less than the year before.
Rystad Energy predicts that the merged company of Diamondback Energy and Endeavor Energy will produce 819,500 barrels of oil per day in the Permian Basin in 2024. Rystad, an energy research and business intelligence company from Norway, expects the ExxonMobil-Pioneer Natural Resources merger to lead the Permian in total net production for the year, with a projection of nearly 1.4 million barrels per day. Notably, about 53% of this production will be oil. Chevron is set to produce slightly more than Diamondback-Endeavor, with Occidental-CrownRock following closely. ConocoPhillips ranks fifth, with a production forecast of just under 800,000 barrels per day. Chevron's production is 47% oil, while Diamondback-Endeavor and ConocoPhillips have 57% oil in their mix, and Occidental-CrownRock is just below 50%.