Zephyr Energy Plc recently reached an agreement to increase its land position in the Paradox Basin through the targeted acquisition of an additional 12,260 leased acres, which the company expects to be prospective for mid- to long-term development.

The new acreage is located on Utah School and Institutional Trust Lands Administration (SITLA) lands—the acreage position was nominated for auction by Zephyr and was secured during the most recent SITLA auction, according to a company release on July 28.

“I am thrilled to be able to bolster the scale of our Paradox project at this point in time,” commented Zephyr CEO Colin Harrington in the release. “Our team is developing a unique understanding and data set across the Paradox Basin—and we're excited about this timely opportunity to expand our operated asset base.”

A portion of the new acreage is proximal to the company’s existing Paradox acreage position, with additional new acreage located in both the historically productive Cane Creek Field and Salt Wash Field which lie to the south of Zephyr’s existing land position.

Following the closing of the acquisition of the new acreage, Zephy will operate a total of 37,613 gross acres in the Paradox Basin, the majority of which the company holds as operator with a 75% working interest. The company expects to fund the acquisition, terms of which weren’t disclosed, through existing cash resources.

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