On August 27 Synergy Resources entered into a Purchase and Sale Agreement with an unnamed private party. Under the Agreement, Synergy will purchase 38 wells with a 27.5% working interest and 22% net revenue interest in 3,639 gross acres, 1,006 net acres of which 902 acres are located in the core of the Wattenberg Field. Synergy will be the operator of these wells. Other assets being acquired under the Agreement include interest in 9 non-operated wells and a 25% interest in a Class II disposal well. Estimated average production of the acquired wells is approximately 200 BOE/D as of July 31. Under the Agreement Synergy will pay Seller $17.5M, 75% in cash and 25% in common stock. The Agreement has an effective date of August 1 and is expected to close during the Q4.
- Mergers, Acquisitions & Takeovers