Kodiak Oil & Gas Corp., Denver, (NYSE: KOG) plans to acquire additional producing properties and undeveloped leaseholds in North Dakota’s Williston Basin from a private oil and gas company and its financial partners for $540 million in cash and $50 million in common shares of its stock.

The deal includes two blocks of contiguous acreage totaling some 50,000 net leasehold acres in Williams and McKenzie counties. The southernmost lands, approximately 30,000 net acres, are adjacent to the company’s core Koala project area and are contiguous to the lands acquired as part of an acquisition that closed in October.

The remaining leasehold is in northern Williams County near the Nesson Anticline in an area actively being developed. The transaction includes a working interest in 17 gross (13.5 net) operated producing wells and 10 gross (1.3 net) nonoperated wells. The acquisition also includes four gross (3.1 net) wells that have been drilled and are waiting on completion and one gross (0.6 net) well that is currently drilling ahead.

Net oil and gas production is approximately 3,500 barrels of oil equivalent (BOE) per day. Proved reserves are 19.7 million bbl. equivalent (81% oil). Pro forma, Kodiak’s total acreage position in the Williston Basin will be approximately 155,000 net acres.