Mach Natural Resources acquires Oklahoma oil, gas assets for $815 million
(WO) – Mach Natural Resources LP signed an agreement with Paloma Partners IV, LLC, to acquire certain interests in oil and gas properties, rights and related assets located in Oklahoma for a total cash consideration of $815 million. The acquisition is expected to close December 29, 2023, with an effective date of September 1, 2023.
Asset highlights include:
- Recent production of approximately 32,000 boed (23% oil, 57% liquids).
- PDP reserves of approximately 75 MMboe.
- One rig currently running in Grady County, with six additional wells expected to be completed between the effective date and closing date.
- Approximately 62,000 net acres in the Anadarko basin in Canadian, Grady, McClain, Caddo, Custer, Dewey, Blaine and Kingfisher Counties, Oklahoma, approximately 76% located in the core development area in Canadian and Grady counties.
- High-return drilling locations with over 12 years of operated inventory on a one rig program.
According to the company, the deal is in line with its disciplined acquisition strategy by acquiring PDP reserves and expansive SCOOP/STACK inventory at a discount to PDP PV103. Additionally, the deal adds one rig on newly acquired assets in addition to the current two-rig development program while remaining under 50% reinvestment rate
Mach Natural Resources LP is an independent upstream oil and gas company focused on the acquisition, development and production of oil, natural gas and NGL reserves in the Anadarko basin region of Western Oklahoma, Southern Kansas and the panhandle of Texas.
Lead image source: Mach Natural Resources