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Oct. 4, 2013 /PRNewswire/ -- Sanchez Energy Corporation (NYSE: SN) ("Sanchez Energy" or the "Company"), a rapidly growing independent oil and gas company targeting onshore U.S. Gulf Coast oil resource plays with a current focus on the Eagle Ford Shale, today reported the closing of the previously announced Wycross acquisition with an effective date of
July 1, 2013. Including the
$11.0 million deposit previously paid, total consideration for the acquisition was approximately
$230.1 million, which includes the
$220.0 million purchase price and approximately
$10.1 million in normal and customary closing adjustments. The final purchase price is subject to further customary post-closing adjustments. The transaction was funded from the net proceeds of the Company's recently completed sale of approximately 11.0 million shares of common stock and
$200 million of 7.75% senior notes due 2021.
Tony Sanchez, III, President and Chief Executive Officer of Sanchez Energy, commented: "The Wycross acquisition is expected to add another high return, oil weighted asset to our Eagle Ford operations with approximately 11 MMBOE of proved reserves and 2,000 BOE/D of current production. To date, wells on this asset were drilled on 80+ acre spacing from single well pads. Once we take over operations, we plan to develop this area on 40 acre spacing and move to pad drilling to further reduce costs and to provide additional upside potential."
About Sanchez Energy Corporation
Sanchez Energy Corporation is an independent exploration and production company focused on the acquisition and development of unconventional oil resources in the onshore U.S. Gulf Coast, with a current focus on the Eagle Ford Shale where the Company has assembled approximately 140,000 net acres. The Company also has approximately 40,000 net acres targeting the Tuscaloosa Marine Shale. For more information about Sanchez Energy Corporation, please visit our website:
Forward Looking Statements
This press release contains, and our officers and representatives may from time to time make, forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical facts, included in this press release that address activities, events or developments that Sanchez Energy expects, believes or anticipates will or may occur in the future are forward-looking statements, including statements relating to successfully closing our announced acquisitions, the anticipated benefits of our acquisitions, any planned take-over of operations, future down-spacing and movement to pad drilling to further reduce costs and to provided additional upside, and other aspects of any proposed acquisitions. These statements are based on certain assumptions made by the company based on management's experience, perception of historical trends and technical analyses, current conditions, anticipated future developments and other factors believed to be appropriate and reasonable by management. When used in this press release, the words "will," "potential," "believe," "estimate," "intend," "expect," "may," "should," "anticipate," "could," "plan," "predict," "project," "profile," "model," or their negatives, other similar expressions or the statements that include those words, are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words.