By Houston Business Journal

Magnum Hunter Resources Corp. has agreed to acquire NuLoch Resources Inc. in an all-stock deal valued at $327 million.

This is the latest in a string of acquisitions by Magnum Hunter during the past month. The company said in late December that it would be acquiring some companies that operate in the Appalachian shale area.

In the latest deal, the Houston-based exploration and production company will purchase Calgary, Alberta-based NuLoch for $2.51 per share. Magnum Hunter (NYSE: MHR) will also issue about 42.8 million new shares to NuLoch shareholders, which represents about 32 percent of Magnum Hunterâ¿¿s outstanding shares.

NuLoch operates mainly in the Williston Basin and has various levels of ownership in about 67 wells located in North Dakota and Saskatchewan, Canada. Magnum Hunter already has a 43 percent working interest in 15,000 acres in the Willison Basin, according to a Bradley Davis, a company spokesman. He said most of the acreage is in Burke County, N.D.

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Copyright 2011 American City Business Journals

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