Diversified Energy Company PLC (LSE:DEC, NYSE:DEC) told investors it has completed its acquisition of operated natural gas assets in East Texas, for a gross headline figure of $69 million.
The net price, after adjustments, was confirmed by the company as $49 million.
It adds some 70 billion cubic feet equivalent (Bcfe) of ‘proved developed producing’ (PDP) reserves, worth $89 million.
Production across the acquired assets currently amounts to about 21 million cubic feet equivalent per day (mmcfepd), representing some $19 million of estimated earnings (adjusted EBITDA) over the next twelve months.
“We are excited to announce the completion of another acquisition of high-quality, bolt-on assets within [the] East Texas region, which are immediately accretive to operations, further increase operating scale and opportunity for cost synergies,” chief executive Rusty Hutson said in a statement.
“We look forward to welcoming our new employees as Diversified leverages its experience for efficient integration, and the deployment of our Smarter Asset Management and synergies initiatives across these assets.”
The asset seller received around 2.34 million new DEC shares, representing some 4.57% of the company’s currently issued share capital.