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Diversified Energy (OTCQX:DEC) announced Wednesday that it has agreed to acquire East Texas natural gas properties and related facilities from Crescent Pass Energy in an all-stock transaction valued at approximately $106 million.
Diversified Energy (OTCQX:DEC) said the assets include 827 net PDP units. The wells, which are expected to add 38 MMcf/d of production and 170 Bcf/d of reserves, have a PV-10 value of $155 million.
The company said the asset’s production profile is highly complementary to its existing portfolio and operating strategy, with lower year-on-year production declines.
The company added that the assets also include more than 500 miles of owned pipelines and associated compression facilities, and feature additional undeveloped acreage.
“The targeted assets fit perfectly with our existing operations in East Texas and provide significant cost efficiencies,” said CEO Rusty Hutson.