Krewe Energy LLC said July 12 it recently had completed the acquisition of a vintage South Louisiana oil field that doubles the company’s size and production rate.
The privately-held E&P purchased the Timbalier Bay Field covering 8,720 acres (100% HBP) in Lafourche Parish, La., from an undisclosed company. The financial terms of the transaction weren't disclosed.
With the acquisition, Krewe Energy said it met its goal of doubling its production rate by midyear 2017. The Covington, La.-based company expects to produce 2,200 barrels of oil equivalent per day as a result of the transaction.
“With the acquisition of Timbalier Bay, we have added a world class asset to our South Louisiana asset base and have effectively doubled our company’s size," Barry Salsbury, managing partner of Krewe Energy, said in a statement.
The Timbalier Bay Field was discovered in 1938 by Gulf Oil Corp. and is one of the State of Louisiana’s top 10 fields based on cumulative production to date.
Salsbury said Krewe is now focusing on the Timbalier Bay to optimize production, reduce operating expense and initiate an internal full field study to identify additional production enhancement and future development opportunities.
Krew Energy, which is backed by Coral Reef Capital and Sage Road Capital, now owns more than 15,000 leased acres in South Louisiana. The company continues to focus on the growth and further development of its existing asset base while also seeking additional acquisitions of mature assets within its core operating area of the Gulf Coast oil and gas trend, according to its press release.
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