Pure-play Permian operator Lilis Energy Inc. (AMEX: LLEX) said June 11 it agreed to an acreage swap set to boost the company’s core position and current net production in the Delaware Basin.
The swap is comprised of an acre-for-acre trade with an undisclosed company of about 1,500 net acres in Winkler and Loving counties, Texas. Lilis said the trade will increase the company’s gross working interest in its Texas Delaware Basin asset by up to 35%.
Overall, Mike Kelly, senior analyst with Seaport Global Securities, said he believes Lilis’ acreage swap marks “another positive step in the right direction” for the company.
So far this year, Lilis has continued to bolster its Delaware position with deals that include a $65 million acquisition that closed in March and a new crude oil gathering agreement with Salt Creek Midstream LLC in May. Lilis also recently announced “important" delineation results on its eastern acreage.