![](http://investorshub.advfn.com/images/default_ih_profile2_4848.jpg?cb=0)
Monday, December 27, 2010 11:12:32 AM
Published: Sep 7, 2010
HOUSTON – LINN Energy LLC (Nasdaq:LINE) has signed three definitive purchase agreements to acquire oil and natural gas properties located in the Wolfberry trend of the Permian Basin for a combined price of $352.2 million, subject to closing conditions. The company anticipates the acquisitions will close before the end of November 2010, and will be financed with proceeds from borrowings under its revolving credit facility.
"These acquisitions are an excellent addition to our existing Permian assets in the Wolfberry trend and a significant addition to our inventory of high-return oil projects," said Mark E. Ellis, president and CEO of LINN Energy.
"Pro forma for these transactions, LINN's Permian Basin production is approximately 10,000 barrels of oil equivalent per day. Proved reserves are more than 74 million barrels of oil equivalent, with a high liquids content of approximately 76%, and are 41% proved developed. Since our first Permian acquisition in August 2009, we have built this region into the company's second largest operating area. An important component of our organic growth will be derived from approximately 400 proved oil-focused Wolfberry drilling opportunities, which we expect will provide LINN with a five-year drilling inventory. Additionally, we expect these acquisitions to be immediately accretive to cash flow per unit upon closing."
Significant characteristics of the three acquisitions are:
• Net production of approximately 3,300 barrels of oil equivalent per day (73% oil);
• Proved reserves of approximately 30 million barrels of oil equivalent (72% oil);
• More than 230 Wolfberry drilling locations representing proved undeveloped reserves of 23 million barrels of oil equivalent; and
• Reserve life of approximately 25 years.
Glidelogic Corp. Announces Revolutionary AI-Generated Content Copyright Protection Solution • GDLG • Jul 26, 2024 12:30 PM
Southern Silver Files NI43-101 Technical Report for its Updated Preliminary Economic Assessment for the Cerro Las Minitas Project • SSV • Jul 25, 2024 8:00 AM
Greenlite Ventures Completes Agreement with No Limit Technology • GRNL • Jul 19, 2024 10:00 AM
VAYK Expects Revenue from First Airbnb Property Starting from August • VAYK • Jul 18, 2024 9:00 AM
North Bay Resources Acquires Mt. Vernon Gold Mine, Sierra County, California, with Assays up to 4.8 oz. Au per Ton • NBRI • Jul 18, 2024 9:00 AM
Nightfood Holdings Signs Letter of Intent for All-Stock Acquisition of CarryOutSupplies.com • NGTF • Jul 17, 2024 1:00 PM