Earthstone Energy, Inc. has paid $48 million in cash to four separate sellers for the working interests in assets it operates in southern Gonzales County, Texas.
Earthstone said it funded the Eagle Ford Acquisitions with cash on hand and borrowings under its senior secured revolving credit facility. Working interests owned by two affiliates of Titanium Exploration Partners constituted the majority of the total consideration.
“We paid an attractive price for these producing assets which we already operate and they will add 1,150 barrels of oil equivalent per day of production, with a lower decline profile compared to our current aggregate corporate decline profile,” said Robert Anderson, president and CEO of Earthstone. “While not as significant in size as the previously announced acquisitions, the Eagle Ford Acquisitions will increase oil production and positively impact our overall cash margins.”
Anderson added that Earthstone will continue seeking othe