Vanguard, Encore Finalize Permian Basin Acquisition
Vanguard and Encore Energy announced that on July 29, 2011 they consummated the previously announced joint acquisition of oil and natural gas producing properties from an undisclosed seller for an adjusted purchase price of $81.4 million, subject to customary post-closing adjustments. The effective date of the acquisition was May 1, 2011.
The acquired properties are all located in the Permian Basin of West Texas and include:
- Estimated total net proved reserves of 5.48 MMboe
- 70% oil and natural gas liquids
- Reserve to production ratio of approximately 15 years
- Approximately 1,000 Boe/d of net daily production
In conjunction with this acquisition, both VNR and ENP have entered into new oil and natural gas hedges covering a substantial portion of the estimated production through 2014.
- Merger Completed between Vanguard, Encore (Dec 01)
- Vanguard, Encore Finalize Permian Basin Acquisition (Aug 01)
- Vanguard to Purchase Remaining Encore Stake for $998MM (Jul 11)