
Benchmark Energy II closed a $145 million acquisition of western Anadarko Basin assets in Oklahoma and Texas. (Source: Shutterstock/ Benchmark Energy)
Benchmark Energy II LLC closed an acquisition of Anadarko Basin assets from private sellers, the company said April 17.
Benchmark Energy II, a majority owned subsidiary of publicly traded Acacia Research Corp., acquired approximately 140,000 net acres in the western Anadarko Basin from Revolution Resources II, Jones Energy and several related affiliates, according to regulatory filings.
The deal, announced in February, includes 470 operated producing wells in Oklahoma and Texas. Benchmark also picked up operated and non-operating interests across 27,000 net acres in the emerging Cherokee play.
The aggregate purchase price to the sellers was $145 million in cash. Acacia’s share of the consideration, including fees, was approximately $59.9 million.
The remaining consideration was funded through revolving credit facility borrowings and $15.25 million in contributions from other Benchmark investors, Acacia said in a filing with the U.S. Securities and Exchange Commission.
The acquired assets include liquids-rich, low-decline production of approximately 6,000 boe/d. Annualized asset-level cash flows are forecast at about $45 million.
Following the deal, Benchmark’s portfolio was balanced at approximately 60% liquids and 40% natural gas.
“We are excited to work closely with the Benchmark team as they continue to execute on their strategy of acquiring mature cash flowing properties, improving operations, maximizing production, and most importantly, returning capital,” said Acacia CEO MJ McNulty Jr.
“With this transformative acquisition now closed, we look forward to continuing to identify and acquire valuable businesses at attractive valuations and deploying disciplined operating and capital allocation methods to create value for our stockholders,” McNulty Jr. said.
Benchmark sees an opportunity to enhance the new Anadarko asset with artificial lift optimization, workovers and return-to-production projects.
The latest deal came a little over four years after Revolution Resources acquired Jones Energy Inc.’s assets in Texas and Oklahoma.
Outside of energy, Acacia acquires and operates businesses in the industrial, healthcare and mature technology sectors.
RELATED
Benchmark Buys Revolution Resources’ Anadarko Assets in $145MM Deal
Recommended Reading
US Drillers Add Oil, Gas Rigs for Second Week in a Row, Baker Hughes Says
2025-02-07 - Despite this week's rig increase, Baker Hughes said the total count 6% below this time last year.
PotlatchDeltic Enters Lithium, Bromine Lease Agreement in Arkansas
2025-02-06 - PotlatchDeltic’s agreement with gives Tetra Brine Leaseco covers about 900 surface acres in Lafayette County, PotlatchDeltic says.
McDermott Completes Project Offshore East Malaysia Ahead of Schedule
2025-02-05 - McDermott International replaced a gas lift riser and installed new equipment in water depth of 1,400 m for Thailand national oil company PTTEP.
SLB: OneSubsea to Provide Equipment for Vår Energi Offshore Norway
2025-02-04 - The OneSubsea joint venture among SLB, Aker Solutions and Subsea7 will support multiple oil and gas projects on the Norwegian Continental Shelf for Vår Energi.
Resurrected Enron Hijinks Gets Serious with New Electric Business
2025-02-03 - After Enron returned as a seemingly elaborate hoax, Enron Energy Texas’ vice president told Hart Energy the company aims to deliver real electricity to consumers.
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.