HomeBound Resources has completed a $4.4 million acquisition in Texas’ Midland Basin — part of the greater Permian Basin.
The acquisition spans Martin, Reagan, Lea, Glasscock and Midland counties, and includes 55 drilled wells and 106 acres of proven undeveloped reserves with roughly 50 locations at varying depths. The acquisition was made at a significant discount to its estimated pre-COVID-19 valuation and demonstrates HomeBound’s ability to acquire premium assets at a time when some energy operators are struggling due to depressed oil prices.
“At HomeBound, we understand that energy price fluctuations are inevitable and try to price these events into our acquisitions. As an opportunistic investor, we seek opportunities from distressed sellers, not distressed assets,” said Stefan Toth, CEO of HomeBound Resources. “Our value-investing strategy helps position us in a manner that can withstand volatility. Furthermore, with reduced demand brought on by COVID-
