Extraction Oil & Gas has signed a deal to buy more than 16,000 acres in the Niobrara tight oil play from two unnamed sellers in Colorado for $177 million cash and launched a private placement of common shares to help fund the acquisition.
The asset package includes 16,800 net acres in and around the Wattenberg Field in the Denver-Julesburg basin, which the company believes can accommodate about 425 well locations and a negligible amount of current production, Extraction said.
Denver-based
