Civitas Resources acquires DJ Basin operator Bison Oil & Gas II for $300m
Civitas Resources has wrapped up the previously announced acquisition of Bison Oil & Gas II, a Denver-Julesburg Basin (DJ Basin) operator.
The Colorado-based oil and gas company said that the consideration for the deal was changed to reflect an all-cash transaction worth around $300 million.
Originally, the consideration was $346 million as per the agreement signed last month. It included a cash payment of $45 million, assumption of debt and other liabilities of up to $176 million plus 2.3 million of Civitas Resources’ shares.
Civitas Resources acquires DJ Basin operator Bison Oil & Gas II for $300m. Photo courtesy of drpepperscott230 from Pixabay.
The deal enables Civitas Resources to add 102 gross rural locations, of which 38 of them have been fully permitted. It is also said to boost the margins of Civitas Resources with 2022 pro forma production increase of around 9,000 BOED, made up of 75% oil and 90% liquids.
Civitas Resources was created in May 2021 through the $2.6 billion merger between Bonanza Creek Energy and Extraction Oil & Gas.