DGO To Transform With Proposed $400 Million Appalachia Acquisition
Diversified Gas & Oil, known as DGO, expects to acquire over a hundred unconventional producing gas wells in the Appalachian Basin from a proposed transaction with HG Energy.
Birmingham, Ala.-based DGO set out a couple years ago to build a position in the Appalachian Basin by acquiring conventional legacy wells to increase production and lower overhead. (Source: Hart Energy/Shutterstock.com)
Diversified Gas & Oil Plc is branching out from its conventional roots with a proposed $400 million acquisition in the Appalachian Basin from privately held HG Energy LLC.
The Birmingham, Ala.-based company, known as DGO, set out a couple years ago to build a position in the Appalachian Basin by acquiring conventional legacy wells to increase production and lower overhead.
In its latest acquisition, DGO said March 27 it expects to acquire 107 unconventional, producing gas wells close to its existing operations in Appalachia in Pennsylvania and West Virginia. The combined net production from the assets is over 20,000 barrels of oil equivalent per day.