Riley Exploration Group, LLC, headquartered in Blanchard, Oklahoma, USA announces the acquisition of a 90% equity interest in Cinco Resources, Inc. effective May 19, 2015, through a share exchange with private equity funds managed by Yorktown Energy Partners (Yorktown). Riley also received an investment from funds managed by Yorktown to acquire a working interest in a new 25,000 acre horizontal oil play in the Permian Basin, with potential for some of the lowest finding and development costs in North America. REXG was advised by Petrides & Co. LLC of New York.
The CRI acquisition and Yorktown's investment will enhance Riley's oil and gas asset portfolio, and provide Riley with high-quality growth opportunities in the Texas Gulf Coast and Permian Basins and the Oklahoma Arkoma Basin.
Riley's CEO, Bobby Riley, said: 'We have been working closely with Yorktown on a number of transactions that came together in the space of a few weeks, and resulted in our net production more than doubling, while our debt remained at zero. I believe this positions us well for substantial growth in the short and medium term and supports our goal of becoming a publicly-traded company by 2016.'