HOUSTON (AP) -- Rosetta Resources Inc. said Friday that it reached a deal to buy property located in Texas' Permian Basin from Comstock Resources Inc. for about $768 million, marking its entry into the oil-rich area.
The Houston-based energy company said the acquisition includes more than 53,000 acres in Texas' Reeves and Gaines counties.
The Reeves County property includes more than 40,000 acres and 74 producing wells. Total current net production is about 3,300 barrels of oil equivalent per day, of which more than 73 percent is oil, the company said.
Rosetta said it expects significant growth from the assets based on estimations of nearly 800 net well locations targeting the basin's emerging Wolfbone formation.
The Gaines County portion covers more than 13,000 acres and the potential exists for multiple exploration opportunities in the area, the company said.
The sale is expected to close on or about May 15. Rosetta said it's secured an additional $700 million of committed financing and could obtain more before the deal closes.
Rosetta shares rose 82 cents, nearly 2 percent, to $50.82 in morning trading.