New Source Energy Buys Oil, Gas Properties

Transaction Type
Sellers
Buyers
Announce Date
Post Date
Estimated Price
$3.8MM
Description

Purchased additional 10% WI in 14 recently drilled wells in the Golden Lane Field.

New Source Energy Partners LP (NYSE: NSLP) acquired an additional 10% working interest in fourteen recently drilled wells in the Golden Lane Field from Scintilla LLC for US $3.8 million.

New Source Energy Parnters already owned working interests in the wells prior to the acquisition. The acquisition was financed with proceeds from borrowings under its revolving credit facility. The transaction closed on July 23 with an effective date of May 1.

“The acquisition of these properties is an incremental opportunity for New Source to increase our position in these wells at what we believe is a favorable cost,” said Krisitian Kos, president and CEO of NSLP’s general partner, in the release.

This transaction was unanimously approved by the board of directors of NSLP’s general partner, including each member of its conflicts committee.

Scintilla is controlled by David Chernicky, NSLP’s chairman.

New Source Energy Partners LP is an independent energy company engaged in the acquisition and development of oil and natural gas properties in the U.S. The company is based in Oklahoma City. New Source Energy Partners LP operates as a subsidiary of New Source Energy Corp.