Eagle Energy Trust completed the acquisition of a private oil and gas company (Privateco) with petroleum assets in Alberta’s Twining Field, the company said Aug. 20. The transaction closed at about CA$30 million. That amount included Privateco’s debts.
The transaction cost was funded through Eagle’s US$85 million credit facility. The transaction was completed through merging Privateco with a newly incorporated operating subsidiary of Eagle.
Eagle acquired an 80% working interest in petroleum producing properties in Twining Field, in one of the largest Pekisko oil pools in the Western Canadian Sedimentary Basin. Eagle said the acquisition would be immediately accretive. It will increase Eagle's current production by about 750 barrels of oil equivalent per day (boe/d) from 92 gross (48 net) wells. The portfolio contains more than 30 drilling locations. Eagle could have a 3,750 boe/d production rate for more than five years, the company said.
The company said that the undrawn portion of its existing credit facility will exceed CA$40 million.
The company updated its guidance. The 2015 capital budget of CA$16.2 million contains US$9.9 million for U.S. operations and CA$4.2 million for Canadian operations. U.S. operations include Salt Flat in Texas and Hardeman in Texas and Oklahoma.
Eagle Energy Trust is based in Calgary, Alberta.
Recommended Reading
Analyst Questions Kimmeridge’s Character, Ben Dell Responds
2024-05-02 - The analyst said that “they don’t seem to be particularly good actors.” Ben Dell, Kimmeridge Energy Partners managing partner, told Hart Energy that “our reputation is unparalleled.”
Tellurian Reports Driftwood LNG Progress Amid Low NatGas Production
2024-05-02 - Tellurian’s Driftwood LNG received an extension through 2029 with authorization from the Federal Energy Regulatory Commission and the U.S. Army Corps of Engineers.
Zeta Energy Appoints Michael Everett as COO
2024-05-02 - Prior to joining Zeta Energy, a lithium-sulfur battery developer, Michael Everett previously served as president and COO at Advanced Battery Concepts.
Shell Launches $3.5 Billion Share Buyback Program
2024-05-02 - Shell, which posted first-quarter adjusted earnings of $7.7 billion, will cancel all of the shares it buys.
Supply Disruptions Ahead as Canadian Rail Workers Vote for Strike
2024-05-01 - The union, representing more than 9,000 employees at Canadian National Railway and Canadian Pacific Kansas City, announced that 95% of its members approved of a strike, which could happen as early as May 22.