Mid-Con Energy Partners LP (Nasdaq:MCEP), through its wholly owned subsidiary Mid-Con Energy Properties LLC, has entered into a definitive agreement to acquire net proved oil reserves in the Eastern Shelf of the Permian Basin, which are estimated at 6.1 million barrels of oil equivalent, for an aggregate purchase price of $120 million.
In connection with the acquisition, the Partnership has secured committed bank financing to support the purchase price. The acquisition is expected to close in November, with an effective date of Sept. 1.
The Eastern Shelf acquisition includes a number of properties covering 18,000 net acres in Coke, Coleman, Fisher, Haskell, Jones, Kent, Nolan, Runnels, Stonewall, Taylor, and Tom Green counties, Texas. The Eastern Shelf comprises mature producing assets in the early stages of redevelopment that offer primary production with waterflood potential.
Mid-Con Energy will operate the Eastern Shelf properties and will hold a 96% average working interest across the acquired properties.