Gulfport Energy to buy acreage in Oklahoma's SCOOP region from Vitruvian for $1.85 bn
15 December 2016
US independent oil and natural gas company Gulfport Energy Corp yesterday struck a deal to buy acreage in Oklahoma's SCOOP region from Vitruvian II Woodford, LLC, a portfolio company of Quantum Energy Partners, for $1.85 billion.
Under the deal, Gulfport Energy will acquire approximately 46,400 net surface acres in the core of the SCOOP, including net production of approximately 183 MMcfe per day.
Gulfport Energy, based in Oklahoma, will pay $1.35 billion in cash and approximately 18.8 million in shares.
The transaction also includes 48 producing horizontal wells and an additional interest in over 150 non-operated horizontal wells.
The deal will give Gulfport Energy contiguous acreage position totaling approximately 85,000 net effective acres, which includes rights to 46,400 Woodford acres and 38,600 Springer acres, in Grady, Stephens and Garvin Counties, Oklahoma, with approximately 80 per cent held by production.
Total estimated proved reserves of the acquired assets were 1.1 Tcfe as of October 2016.
''Today is a defining day for Gulfport Energy. Combining Vitruvian's high-quality SCOOP position with our prolific Utica assets will transform our company and solidify Gulfport with core positions in two of North America's high-return natural gas basins,'' said Michael Moore, CEO of Gulfport Energy.
Gulfport Energy is an independent oil and natural gas exploration and production company with its principal producing properties located in the Utica Shale of Eastern Ohio and along the Louisiana Gulf Coast.
It also holds a sizeable acreage position in the Alberta Oil Sands in Canada through its 24.9 per cent stake in Grizzly Oil Sands ULC.