2010-06-30-2010-06-28-2010-10-15

Transaction Type
Sellers
Buyers
Announce Date
Post Date
Close Date
Estimated Price
$74.0MM
Description

Acquired Niobrara interests in 24,000 acres in Goshen County, WY.

Chesapeake Energy Corp., Oklahoma City, (NYSE: CHK) has acquired certain oil assets in the Niobrara trend in Goshen County, Wyoming, from Denver-based Samson Oil & Gas Ltd. (NYSE Amex; Australia: SSN) for approximately $74 million in a three-part transaction.

In June, Chesapeake acquired 100% of Samson's working interest in the subject leases, with Samson retaining a royalty interest. Samson subsequently closed an additional portion of the sale in September for delivery of drilling permits for three state leases.

Samson has retained 17,000 net acres immediately to the north of the acquired assets in its Hawk Springs project and intends to appraise and develop the area, targeting the Niobrara, the J Sand and the Codell formations.

Chesapeake now holds 280,000 acres in the Denver-Julesberg Basin targeting the Niobrara formation. The company estimates that each well will have an EUR (estimated ultimate recovery) of more than 500,000 barrels.