2010-09-28-2010-06-28-2010-09-24

Transaction Type
Sellers
Buyers
Announce Date
Post Date
Close Date
Estimated Price
$6.3MM
Description

Closed final portion of oily assets in Goshen County targeting the Niobrara formation.

Samson Oil & Gas Ltd., Denver, (NYSE Amex; Australia: SSN) has closed an additional portion of its previously announced sale of certain oil assets in Goshen County, Wyoming, confirming that an additional US$6.3 million was received from the buyer, Chesapeake Energy Corp., Oklahoma City, (NYSE: CHK), in consideration for delivery of drilling permits for three state leases.

Samson expects to close the final portion of the deal by Oct. 1. The company anticipates receiving net consideration of at least US$2.2 million, and also expects to receive an additional US$1.9 million as a result of curing various title defects. The total transaction value is expected to be approximately US$74 million.

In June, Chesapeake acquired 100% of Samson's working interest in the subject leases, with Samson retaining a royalty interest across the leases. Samson has also retained 17,000 net acres immediately to the north of the acquired assets and intends to appraise and develop the area, targeting the Niobrara, the J Sand and the Codell formations.

Samson Oil & Gas has oil and gas operations in Wyoming, North Dakota, New Mexico, and Texas.