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Tuesday, 02 December, 2008, 03:40 GMT | more >>

Swift swoops on south Texas assets



By Upstream staff 

Houston minnow Swift Energy is to buy three properties in the south Texas Maverick basin from Escondido Resources for $245 million, it said today.

Swift said the properties covered a total 82,900 acres in the Sun TSH area of La Salle County, the Briscoe Ranch area of Dimmit County and the Las Tiendas area in Webb County.

The deal is expected to close within 75 days.

Swift said the lands included total reserves estimated at about 77 billion cubic feet equivalent of which about 70% was proved developed.

Net production from the assets is about 21 million cubic feet equivalent per day, of which 50% is natural gas, 38% natural gas liquids and 12% crude oil, the company said. Swift will hold close to a 100% working interest in all the operated wells on the properties.

Swift estimates future development costs for the properties at $157.3 million. It said the deal would boost its fourth quarter production from 800 million to 1.3 billion cubic feet equivalent.

The company said it would fund the deal under its bank credit facility. It said permanent funding for the project would depend on the result of its strategic review of its New Zealand operations.


Wednesday, 05 September, 2007, 15:53 GMT  | last updated: Wednesday, 05 September, 2007, 15:53 GMT

Texas dreams: Swift Energy has bought producing assets in the Maverick basin
 

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