LAFAYETTE, La., Sept. 13, 2011 /PRNewswire/ -- PetroQuest Energy, Inc. (NYSE: PQ) today announced that the Company has closed its Mississippian Lime acquisition of 28,250 acres for an adjusted purchase price of $24,100,000. The acreage is located in Pawnee County, Oklahoma and has approximately 50 Boe/d of production and five saltwater disposal wells. Approximately 4,500 of the 28,250 acres are held by production with the remaining acreage subject to multi-year leases.
Subsequent to the closing of this acquisition, the Company sold a 50% working interest in the Pawnee County acreage for approximately $14,500,000. After completing this acquisition and subsequent sell-down, the Company has approximately 24,000 net acres in Pawnee, Grant and Kay Counties in Oklahoma and Sumner County, Kansas and expects to spud its first well targeting the Mississippian Lime near the end of the year.
"We are excited about the expansion of our footprint in the Mississippian Lime play and look forward to developing this strategic new oil focused asset," said Charles T. Goodson, Chairman, Chief Executive Officer and President. "The Mississippian Lime program has the potential to significantly enhance our liquids production profile and will be executed by our Tulsa team which has consistently delivered top-tier Woodford results."About the Company PetroQuest Energy, Inc. is an independent energy company engaged in the exploration, development, acquisition and production of oil and natural gas reserves in the Arkoma Basin, Wyoming, Texas, South Louisiana and the shallow waters of the Gulf of Mexico. PetroQuest's common stock trades on the New York Stock Exchange under the ticker PQ. Forward-Looking Statements This news release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those projected. Among those risks, trends and uncertainties are our ability to find oil and natural gas reserves that are economically recoverable, the volatility of oil and natural gas prices and significantly depressed natural gas prices since the middle of 2008, the uncertain economic conditions in the United States and globally, the declines in the values of our properties that have resulted in and may in the future result in additional ceiling test write-downs, our ability to replace reserves and sustain production, our estimate of the sufficiency of our existing capital sources, our ability to raise additional capital to fund cash requirements for future operations, the uncertainties involved in prospect development and property acquisitions or dispositions and in projecting future rates of production or future reserves, the timing of development expenditures and drilling of wells, hurricanes and other natural disasters, changes in laws and regulations as they relate to our operations, including our fracing operations in shale plays or our operations in the Gulf of Mexico, and the operating hazards attendant to the oil and gas business. In particular, careful consideration should be given to cautionary statements made in the various reports PetroQuest has filed with the Securities and Exchange Commission. PetroQuest undertakes no duty to update or revise these forward-looking statements. Click here for more information: " http://www.petroquest.com/news.html?=BizID=1690&1=1 " www.petroquest.com SOURCE PetroQuest Energy, Inc.