Isramco Inc. (NASDAQ:ISRL) said Friday is has agreed to acquire working interests in certain producing oil and natural gas properties located in Texas, New Mexico and Oklahoma for $102 million from GFB Acquisition I LP and General Electric's (NYSE:GE) GE Financial Services.
The transaction, expected to close in March, includes mainly operated oil and natural gas properties in 40 fields.
Net daily production from the properties is 600 barrels of oil and 3.5 million cubic feet of natural gas. Total net proved developed producing reserves are 2.7 million barrels of oil and 14 billion cubic feet of natural gas.
Isramco expects to fund up to 5% of the purchase price from working capital and said it will obtain third party loans to fund the rest of the purchase price.
The Bank of Nova Scotia (TSX:BNS.O) (TSX:BNS.N) (TSX:BNS.M) (TSX:BNS.J) (NYSE:BNS) (TSX:BNS) (TSX:BNS.K) agreed to provide or arrange a secured revolving credit facility, under which Isramco expects to initially borrow up to $54 million.
GFB Acquisition I LP is a Midland, Texas-based oil and gas properties operator that was formed in a partnership with GE Financial Services.
Shares of Isramco, a Houston-based oil and gas properties company closed the regular session at $42.60.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment