PetroShale Inc. (TSXV: PSH) executed an agreement with Slawson Exploration Co. Inc. to purchase certain assets within the Stockyard Creek field, southern Williams County, N.D., from Samson Oil & Gas Ltd. (NYSE: SSN) for US $934,407, the company announced on Aug. 19.
The net asset, to the company, consists of 5.5% working interest in 106 net leased Bakken and Three Fork acres in two overlapping 1280 acre drilling units, an interest in the drilled, and yet to be completed, middle Bakken Sail & Anchor well as well as a share of the operating salt water gathering and disposal system. Upon completion of customary post-closing items, the assets acquired will be held by the company's wholly owned subsidiary PetroShale US Land 1 LLC.
As part of the transaction, Slawson Exploration will take over operatorship and commence completion of the Sail & Anchor well and begin a planned drilling program with a dedicated rig, which will include an anticipated additional three to four (gross) wells drilled by year end 2013.
"We are very pleased to be partnering with operator Slawson Exploration Co. Inc. and Samson Oil & Gas Ltd. to develop the Bakken and Three Forks formation in the Stockyard Creek field. This transaction is an illustration of PetroShale US's growth strategy in the Rocky Mountain region," said Evan Genaud, PetroShale's president and CEO, in the release.
PetroShale Inc. is based in Denver.