The Houston Chronicle published an article on January 30 about the Permian Basin. They stated that the basin is looking more attractive and that several oil and gas companies have recently struck deals to enter the basin and diversify production away from natural gas to oil.
Recent deals that have occurred in the Permian Basin:
- Sand Ridge closed an $800M deal to buy Permian Basin Properties from Forest Oil Corp. in December
- Concho Resources agreed to a $225M deal with private sellers for Permian Properties in November
- Linn Energy said in December it would acquire properties in the Permian and Anadarko basins for $155M
- Vanguard Natural Resources closed a $55M deal for Permian Basin Properties in January
- Berry Petroleum announced in January that it would buy Permian Basin oil properties in the Wolfberry trend for $126M
These deals demonstrate that others are willing to pay large sums for Wolfberry and Permian acreage. Lynden Energy Corp.’s (LVL) opportunity is outstanding!