DALLAS, May 13, 2013 (GLOBE NEWSWIRE) -- Mid-Con Energy Partners, LP (Nasdaq:MCEP) ("Mid-Con Energy" or the "Partnership") through its wholly owned subsidiary, Mid-Con Energy Properties, LLC, announced today it acquired additional interests in existing Mid-Con Energy waterfloods for approximately $28.055 million. The transaction includes a 60% working interest in Mid-Con Energy's Cushing Field and various working interests in select Southern Oklahoma waterflood units. The acquisition closed on Friday, May 10, 2013 with borrowings under the Partnership's credit facility and is subject to customary post-closing adjustments based on an effective date of February 1, 2013.
Randy Olmstead, Chief Executive Officer, commented, "Our staff continues to be successful in identifying and executing bolt-on acquisitions within our existing property base. This transaction delivers multiple benefits to the Partnership – allowing us to increase our ownership in properties we thoroughly understand, improve our operational control in the Cushing Field, and utilize our debt capacity to enhance distributable cash flow."
Highlights of the acquisition are as follows:
- Average net production of approximately 215 Boe per day
- Estimated net proved reserves of approximately 1.33 MMBoe (78% proved developed producing)
- Proved reserves categorized as approximately 98% oil on a Boe basis
- Average reserve-to-production ratio of approximately 17 years
- Pro forma for the acquisition, Mid-Con Energy owns a 97% working interest in the Cushing Field
- Mid-Con Energy acquired nominal working interests in the following Southern Oklahoma waterflood units: Battle Springs Unit, Highlands Unit and Southeast Hewitt Unit
- Expected to be immediately accretive to distributable cash flow