Constellation Energy Partners LLC (NYSE Arca: CEP) today announced that it has acquired from a private seller, effective Nov. 1, 2010, non-operated oil properties in northern Kansas and southern Nebraska for a purchase price of approximately $5.9 million. The properties currently produce approximately 126 barrels of oil equivalent per day from 36 wells. Proved reserves are estimated to be 170,000 barrels of oil equivalent, of which approximately 81% are classified as proved developed producing. The transaction closed Dec. 21, 2010 and was funded with cash on hand.
“This transaction expands our Mid-Continent asset base while at the same time adding oil to our production mix,” said Stephen R. Brunner, President and Chief Executive Officer of Constellation Energy Partners. “We’ll continue to look for opportunities to acquire assets with similar characteristics in transactions that are accretive to our unitholders.”
Additional information about the company’s assets and production can be found in the company’s filings with the Securities and Exchange Commission and on the company’s Web site (
About the Company
Constellation Energy Partners LLC is a limited liability company focused on the acquisition, development and production of oil and natural gas properties, as well as related midstream assets.
We make statements in this news release that are considered forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934. These forward-looking statements are largely based on our expectations, which reflect estimates and assumptions made by our management. These estimates and assumptions reflect our best judgment based on currently known market conditions and other factors. Although we believe such estimates and assumptions to be reasonable, they are inherently uncertain and involve a number of risks and uncertainties that are beyond our control. In addition, management's assumptions about future events may prove to be inaccurate. Management cautions all readers that the forward-looking statements contained in this news release are not guarantees of future performance, and we cannot assure you that such statements will be realized or the forward-looking events and circumstances will occur. Actual results may differ materially from those anticipated or implied in the forward-looking statements due to factors listed in the "Risk Factors" section in our SEC filings and elsewhere in those filings. All forward-looking statements speak only as of the date of this news release. We do not intend to publicly update or revise any forward-looking statements as a result of new information, future events or otherwise. These cautionary statements qualify all forward-looking statements attributable to us or persons acting on our behalf.