Source: Osage Exploration
Osage Exploration and Development, Inc. (OTCBB:OEDV) closed an agreement whereby Slawson Exploration Company, Inc. and U.S. Energy Development Corporation have acquired 45% and 30% respectively of Osage’s Nemaha Ridge project in Oklahoma for gross consideration of $4,875,000.00 plus a 10% net carry on the first three horizontal Mississippian wells.
“We are very proud to have attracted such high quality partners for our horizontal Mississippian project,” stated Greg Franklin, Osage’s VP Exploration. “Not only do we have great financial partners, Slawson, as our Operator brings a wealth of horizontal drilling expertise having drilled over 150 Horizontal Bakken wells. I believe that the quality of our partners speaks to the quality of our project.”
Slawson Exploration Co. Inc. is a 50 year old, family owned and managed exploration firm headquartered in Wichita, KS with regional offices in Denver, Houston, and Oklahoma City. The company was founded by Don Slawson in 1957 and is currently operated by his three sons Craig Slawson, Todd Slawson and Steve Slawson.
Slawson has been notable as one of the nation’s leading wildcatters throughout its history, often ranked in the top ten in the country. They have drilled over 3500 wells and have operated in the Anadarko Basin for 35 years, in Kansas for 50 years, the Williston Basin for 30 years as well as in other basins. Slawson is a leading innovator in the Horizontal Bakken play with over 150 operated horizontal wells. In 2010 Slawson was ranked in the top 15 private oil producers in the U.S. in terms of operated volume.
U.S. Energy Development Corporation is a vertically integrated, independent oil and natural gas driller and producer. The company is consistently ranked among the Top 50 Independent Oil & Gas Drillers in the United States and is one of the largest operators in New York and Pennsylvania. U.S. Energy Development Corporation is a proven operator having drilled more than 2,500 wells over the past 30 years throughout eight states and Canada, with a current lease inventory in excess of 300,000 acres.
“This is a monumental day for Osage shareholders. Not only did we develop the idea for the project, we also acquired a significant land position that attracted top tier development partners. In this one single transaction we have allied ourselves with two exceptionally robust engineering and operating teams that compliment our own skill set and local knowledge. If one looks closely at Slawson and U.S. Energy Development Corporation, you will find that they are drillers first and foremost. The attribute they share is that they both extract the minerals from their projects with amazing efficiency and cost control. We believe this joint venture is the best possible outcome for Osage shareholders, and we are grateful to Slawson and U.S. Energy Development Corporation for demonstrating their confidence in us,” stated Kim Bradford, President and CEO.