Lime Rock Resources has acquired properties, located in North Dakota and Texas, from Abraxas Petroleum and an undisclosed private seller, respectively, for approximately $358.5m.
As per the terms of the deal signed with Abraxas Petroleum, the company bought Williston basin properties for $87.2m. It comprises an estimated 3,500 acres in McKenzie County, North Dakota.
With this acquisition, Lime Rock Resource currently manages approximately 19,400boed of net production in North Dakota.
Lime Rock also purchased producing properties situated in Burleson, Milam, and Robertson in Texas for $271.3m.
The properties, which include 46,000 contiguous net acres, produced approximately 7,700boed as of the closing of the deal.
Lime Rock Resources vice chairman Charlie Adcock said: “With a significant on-the-ground operating capability in both Texas and North Dakota, we look forward to integrating the new assets into our existing operations, and to continue to focus on margins and low-risk development opportunities.”
Lime Rock Resources chairman and CEO Eric Mullins said: “We have been patient, acquiring only one small overriding royalty interest in the two years before this past October.
“We believe that the nearly one billion dollars of acquisitions in the last several months testifies to changing market dynamics, a robust opportunity set, and our ability to work with sellers over many months on transactions that work for all parties.”
Lime Rock Resources has invested more than $850m in asset acquisitions over the last four months.
In July 2021, the company signed a deal to buy oil and gas properties in the Delaware basin, Texas from a private seller, for $508.3m.
In September 2021, Lime Rock Resources reported a 1.1% increase in oil and gas production.