Jericho Oil Corporation has signed a definitive agreement to acquire a 50% working interest in producing wells and drillable leaseholds in Central Oklahoma for a total cash consideration of USD$6.50 million. The asset package is in an area complementary to Jericho Oil's existing operations in Oklahoma and represents the Company's fourth announced acquisition within Central and Northeast Oklahoma in 2015.
Central Oklahoma Acquisition Highlights:
Jericho Oil acquires 50% average working interest and will assume operatorship upon closing
The Central Oklahoma asset is comprised of ~50 producing wells and 30,000 net acres
Reserves are ~90% Proved Developed and ~80% Oil
Reserve-to-production ratio of ~8.5 years
Net Proved Developed Producing reserves of ~1.25 MMboe (625m net boe to Jericho's interest) acquired at ~$10.08 per barrel
Average 3Q15 net production of 427 boepd (213 net boepd to Jericho's interest) acquired at $30,458 per flowing Boe