Synergy To Sell Off DJ Basin Leases For $5.7M

By Denver Business Journal

Colorado energy company Synergy Resources Corp. said Monday it has agreed to sell undeveloped oil and gas leases in northern Colorado's Denver-Julesburg Basin to an unnamed buyer for $5,654,439.

Denver- and Platteville-based based Synergy (OTCBB: SYRG) said the deal is for 2,570 net acres in Weld and Morgan counties. It said the buyer is "an independent oil and gas exploration and production company."

Synergy already has received a down payment of $565,439 and said the sale is expected to close March 31, subject to a title review.

"The sale of these leases reflects the excitement surrounding the DJ Basin," Synergy Vice President William Scaff said in a statement. "The negotiated price is substantially above our cost for the acreage."

He said the company will use the proceeds to drill and complete wells in its core area of the Wattenberg Field, where the company will still have 11,000 net acres.

On Jan. 13, Synergy announced the closing of an $18 million private stock placement that generated some $16.7 million in net proceeds.

Copyright 2011 American City Business Journals

http://www.bizjournals.com/denver/news/2011/01/24/synergy.html?ana=thestreet

Copyright bizjournals.com 2010

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