Houston-based MLP Linn Energy LLC (Nasdaq: LINE) has entered into two agreements to acquire certain oil and gas properties in the Permian Basin in West Texas and New Mexico from undisclosed sellers.
Assets include proved reserves of more than 12 million BOE (86% oil; 58% proved developed). Current production is approximately 1,350 BOE per day. The reserve-life index is more than 24 years.
Upside includes approximately 180 proved infill development and low-risk optimization projects.
“These acquisitions represent a strategic entry into the Permian Basin and demonstrate our commitment to grow through accretive acquisitions. The oil properties fit well within our current portfolio of long-life, low-risk assets and we believe that the Permian Basin will provide us with numerous acquisition opportunities for future growth,” says Michael C. Linn, chairman and chief executive.
Closing, expected by October 1, will be financed with borrowings under the company’s existing credit facility. Linn holds approximately 1.7 trillion cu. ft. equivalent of proved reserves.
Recommended Reading
EQT Declares Quarterly Dividend
2024-04-18 - EQT Corp.’s dividend is payable June 1 to shareholders of record by May 8.
E&P Earnings Season Proves Up Stronger Efficiencies, Profits
2024-04-04 - The 2024 outlook for E&Ps largely surprises to the upside with conservative budgets and steady volumes.
Analyst Questions Kimmeridge’s Character, Ben Dell Responds
2024-05-02 - The analyst said that “they don’t seem to be particularly good actors.” Ben Dell, Kimmeridge Energy Partners managing partner, told Hart Energy that “our reputation is unparalleled.”
Sunoco’s $7B Acquisition of NuStar Evades Further FTC Scrutiny
2024-04-09 - The waiting period under the Hart-Scott-Rodino Antitrust Improvements Act for Sunoco’s pending acquisition of NuStar Energy has expired, bringing the deal one step closer to completion.
Kimmeridge Fast Forwards on SilverBow with Takeover Bid
2024-03-13 - Investment firm Kimmeridge Energy Management, which first asked for additional SilverBow Resources board seats, has followed up with a buyout offer. A deal would make a nearly 1 Bcfe/d Eagle Ford pureplay.