TULSA, Okla., June 11, 2018 /PRNewswire/ -- Samson Resources II, LLC ("Samson" or the "Company") announced today the acquisition of approximately 33,000 gross acres / 10,500 net acres plus working interests in 30 wells (29 operated by Samson) in the Company's core operating area of Sweetwater County, Wyoming, with the transaction closing last Friday. Samson acquired the acreage and wells from a non-operating working interest partner for a total consideration of $15.9 million, which it funded with cash from its balance sheet. The acquired wells produce approximately 450 net barrels of oil equivalent per day. The effective date of the transaction is April 1, 2018. After the closing, Samson will own the rights to over 53,000 net acres in the Green River Basin of Wyoming.
The acquired acreage is primarily operated by Samson and consolidates Samson's acreage position in its core development area. The acquisition increases Samson's working interest in this important area to approximately 90 percent working interest in most operated producing and future wells.
Joseph Mills, President and Chief Executive Officer of Samson, commented, "Samson remains focused on growing in our two core areas, the Powder River and Green River Basins of Wyoming, and this acquisition of additional acreage in the core of our Sweetwater County position will be accretive to our production and financial results as we begin our drilling program in 2018. Samson recently completed two of the best performing vertical Fort Union wells in the immediate area and we will focus on testing our downspacing plans on our Green River Basin acreage position during 2018."
Samson is a privately held onshore exploration and production company headquartered in Tulsa, Oklahoma.
Forward-Looking Statements
In this press release, all statements that are not purely historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements may be identified by the words "believe," "expect," "anticipate," "project," plan," "estimate," intend," "potential" and other similar expressions. Forward-looking statements are based on currently available business, economic, financial and other information and reflect management's current beliefs, expectations and views with respect to future developments and their potential effects on Samson. Actual results could vary materially depending on risks and uncertainties that may affect Samson and its business. Samson's actual actions and results may differ materially from what is expressed or implied by these statements due to a variety of factors, including (a) the ability of Samson to perform well and compete effectively, (b) the impact of restrictions in Samson's Senior Credit Facility on its ability to make capital investments and pursue strategic growth opportunities, (c) the ability of Samson to continue to attract and retain qualified employees, and (d) other risks and uncertainties as disclosed by Samson in the future. Samson assumes no obligation to update any forward-looking statement made in this press release to reflect subsequent events or circumstances or actual outcomes.
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SOURCE Samson Resources II, LLC
