Northern Oil and Gas, Inc. Announces Closing of W Energy Acquisition
Northern Oil and Gas, Inc. (NYSE American: NOG) today announced that it
has closed on the previously announced W Energy Partners acquisition,
which is the largest acquisition in Northern’s history. The acquired
assets consist of approximately 27.2 net producing wells and 5.9 net
wells in progress, as well as approximately 10,633 core net acres in
North Dakota, which the company estimates will provide approximately
51.9 net future drilling locations.
MANAGEMENT COMMENT
“The closing of our third acquisition this year shows our unwavering
commitment to deliver on highly accretive acquisitions,” commented
Northern’s Chief Executive Officer, Brandon Elliott. “The team has
demonstrated our ability to find, fund and close deals that grow our
production, cash flow and core drilling inventory. With our recently
announced refinancing transactions, we have further strengthened our
balance sheet and lowered interest expense. With enhanced liquidity, we
have positioned the Company to continue to deliver value for all our
stakeholders.”
ACQUISITION
On October 1, 2018, Northern closed the previously announced W
Energy acquisition with a combination of cash and stock. Closing
consideration consists of approximately $114.8 million in cash and
51,476,961 shares of Northern common stock. Additional details regarding
the transaction are available in Northern’s Current Report on Form 8-K
that was filed today with the SEC.
ABOUT NORTHERN OIL AND GAS
Northern Oil and Gas, Inc. is an exploration and production company with
a core area of focus in the Williston Basin Bakken and Three Forks play
in North Dakota and Montana.
More information about Northern Oil and Gas, Inc. can be found at www.NorthernOil.com.
SAFE HARBOR
This press release contains forward-looking statements regarding future
events and future results that are subject to the safe harbors created
under the Securities Act of 1933 (the “Securities Act”) and the
Securities Exchange Act of 1934 (the “Exchange Act”). All statements
other than statements of historical facts included in this release
regarding Northern’s financial position, business strategy, plans and
objectives of management for future operations, industry conditions, and
indebtedness covenant compliance are forward-looking statements. When
used in this release, forward-looking statements are generally
accompanied by terms or phrases such as “estimate,” “project,”
“predict,” “believe,” “expect,” “continue,” “anticipate,” “target,”
“could,” “plan,” “intend,” “seek,” “goal,” “will,” “should,” “may” or
other words and similar expressions that convey the uncertainty of
future events or outcomes. Items contemplating or making assumptions
about actual or potential future sales, market size, collaborations, and
trends or operating results also constitute such forward-looking
statements.
Forward-looking statements involve inherent risks and uncertainties, and
important factors (many of which are beyond Northern’s control) that
could cause actual results to differ materially from those set forth in
the forward-looking statements, including the following: changes in
crude oil and natural gas prices, the pace of drilling and completions
activity on Northern’s properties, Northern’s ability to acquire
additional development opportunities, changes in Northern’s reserves
estimates or the value thereof, general economic or industry conditions,
nationally and/or in the communities in which Northern conducts
business, changes in the interest rate environment, legislation or
regulatory requirements, conditions of the securities markets,
Northern’s ability to raise or access capital, changes in accounting
principles, policies or guidelines, financial or political instability,
acts of war or terrorism, and other economic, competitive, governmental,
regulatory and technical factors affecting Northern’s operations,
products, services and prices.
Northern has based these forward-looking statements on its current
expectations and assumptions about future events. While management
considers these expectations and assumptions to be reasonable, they are
inherently subject to significant business, economic, competitive,
regulatory and other risks, contingencies and uncertainties, most of
which are difficult to predict and many of which are beyond Northern’s
control. Northern does not undertake any duty to update or revise any
forward-looking statements, except as may be required by the federal
securities laws.
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