Jones Energy, Inc. (NYSE:JONE) (“Jones Energy” or “the Company”) today announced the signing of a definitive purchase and sale agreement to acquire approximately 18,000 net acres primarily in southern Canadian and northern Grady Counties in Oklahoma for $136.5 million. The Company anticipates the transaction will close by the end of September, subject to completion of due diligence, satisfaction of customary closing conditions and obtaining certain consents.
- Enhances Midcontinent position with entry into one of the most coveted resource plays in the U.S.
- Approximately 70% of acreage is operated with an average working interest of approximately 50%
- Majority of acreage in oil window, which drives compelling returns
- Implied acreage value of approximately $7,600 per net acre
- Recent well results on par with the best of the STACK/SCOOP
- Multiple target zones provide significant stacked pay potential
Jonny Jones, the Company’s Founder, Chairman, and CEO, commented, “This transformative transaction gives Jones Energy a scalable footprint in one of the most coveted resource plays in the U.S. We identified this area as a primary target for Jones over a year ago and are thrilled to be acquiring assets in the heart of the STACK/SCOOP play. The acreage we are acquiring is highly operated, which puts us in a solid position to create value through our best-in-class Midcontinent operations. We truly believe that our acreage has the best attributes of both the STACK and the SCOOP plays based on our in-depth geological analysis. Recent well results on our footprint are on par with the best in the play.” Mr. Jones went on to say, “This acquisition high-grades our Midcontinent position and significantly enhances the growth outlook for Jones Energy in 2016 and beyond.”
About Jones Energy
Jones Energy, Inc. is an independent oil and natural gas company engaged in the development and acquisition of oil and natural gas properties in the Anadarko and Arkoma basins of Texas and Oklahoma. Additional information aboutJones Energy may be found on the Company’s website at: www.jonesenergy.com.