Permian Basin-focused independent Earthstone Energy Inc. said Monday it would boost its footprint in the area with a $73.2 million acquisition.


The company is buying the assets in the Midland sub-basin from two undisclosed sellers for a mix of stock and $49.2 million in cash. The deal is expected to close in the middle of 4Q2021 with an effective date of July 1.

The properties to be acquired include 10,000 operated acres in Irion County, TX, and produced 4,400 boe/d in September. Output was 26% oil and 52% liquids, Earthstone said. Reserves include about 13.3 million boe, 58% of which is natural gas, 31% natural gas liquids, and 11% oil. 

“The acquisition of these low-operating cost, high-margin, producing assets at an attractive valuation is a nice addition to our...