Swift Energy Closes South Louisiana Acquisition
Swift Energy has closed the vast majority of the property interests of the previously announced acquisition from BP America Production Company with an effective date of April 1, 2006. The property interests are located in five primarily onshore South Louisiana fields: Bayou Sale, Horseshoe Bayou and Jeanerette Fields (all located in St. Mary Parish), High Island Field in Cameron Parish and Bayou Penchant Field in Terrebonne Parish.
The final purchase price of the property interests closed at this time was $157.3 million and is subject to post-closing adjustments. This acquisition was funded with approximately $49.3 million of bank borrowings under the Company's credit facility, and the balance with cash-on-hand and initial performance deposit. Swift Energy expects that this acquisition will increase its production in the fourth quarter 2006 by 0.6 to 1.0 Billion cubic feet equivalent ("Bcfe").