Natural Resources Purchases Assets in Bakken/Three Forks Play

Printer Friendly Version
Email this Page

Natural Resources Partners L.P. has entered into an agreement with Abraxas Petroleum Corporation to purchase non-operated working interests in producing oil and gas properties in the Bakken/Three Forks play. These assets are located in the Williston Basin of North Dakota and Montana.

Natural Resources will pay $35.3 million in cash for an 11 percent stake in about 13,500 acres. The assets include 120 producing wells, as well as interest in 22 wells that are in various stages of development.

"This acquisition marks NRP's strategic entry into the Bakken play and into owning non-operated working interests in oil and gas assets," said Nick Carter, president and chief operating officer of NRP in a released statement. "This adds further diversity to NRP's revenue going forward."

The company plans to fund $8.1 million in additional capital expenditures connected with these wells in 2013, a portion of which will be paid at closing, the statement added.

Closing is scheduled for the third quarter of 2013.

Abraxas plans to use the proceeds from this sale to pay down debt, the company said in a release.

“This is obviously a transformational day for Abraxas as we significantly reduce our leverage while simultaneously shifting our focus to a core operated portfolio," Bob Watson, president and CEO of Abraxas.

Abraxas is a San Antonio-based crude oil and natural gas exploration and production company with operations across the Rocky Mountain, Mid-Continent, Permian Basin and onshore Gulf Coast regions of the United States and in the province of Alberta, Canada.

Printer Friendly Version
Email this Page

WHAT DO YOU THINK?

Post a Comment Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Related Companies
Events  SUBSCRIBE TO OUR NEWSLETTER

Our Privacy Pledge
SUBSCRIBE



Most Popular Articles

From the Career Center
Jobs that may interest you
Project Mgrs & Engs, Multi - Discipline
Expertise: Project Management
Location: Texas City, TX
 
HVAC Engineering Project Manager
Expertise: Engineering Manager|Mechanical Engineering|Project Management
Location: Houston, TX
 
Sr. Technical Assistant (Leases/Land Assestment) Houston TX
Expertise: Asset Management|Landman|Lease Analyst
Location: Houston TX, TX
 
search for more jobs

Brent Crude Oil : $56.54/BBL 8.90%
Light Crude Oil : $52.53/BBL 7.72%
Natural Gas : $2.76/MMBtu 2.12%
Updated in last 24 hours