Diversified Gas & Oil Plc acquired certain Cotton Valley upstream assets primarily in Louisiana from Indigo Minerals LLC, marking the addition of a new region to the portfolio of the London Stock Exchange-listed company.

The existing portfolio of Birmingham, Ala.-based Diversified comprises low-decline gas producing assets in the Appalachian Basin across West Virginia, Kentucky and Tennessee. However, the company, commonly referred to by the acronym DGO, now hopes to repeat the success of its business model, which its CEO says is proven to generate shareholder returns, in the newly established “regional focus area.”

“Our new regional focus area covers a multi-state area in a similar size footprint to Appalachia, and meets our expansion criteria in terms of asset quality, infrastructure, market dynamics, opportunity set and supportive regulatory environment,” Diversified CEO Rusty Hutson Jr. said in an April 30 company release. 

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