Northern Oil & Gas (NYSE:NOG) said Tuesday it agreed to acquire non-operated interests in the Delaware Basin from a private seller for $130M in cash.
The acquired assets include ~2,100 net acres, 5.3 net producing wells, 2.1 net wells-in-process and 17.2 net undeveloped locations; the primary operator of the assets is Mewbourne Oil.
Northern (NOG) expects average production from the properties of ~2,500 boe/day (68% oil) for 2023, generating $55M of unhedged cash flow in 2023 at current strip pricing.
The acquired assets “contain high-quality, low breakeven development that is leveraged to some of NOG’s top operating partners,” President Adam Dirlam said.
Northern Oil & Gas (NOG) said recently it will seek to implement a 20% increase to its quarterly stock dividend in Q4.