Jericho Oil has expanded into Oklahoma after signing a Letter of Intent (LOI) to acquire a 50% interest in the North of the state.
The company will begin build-out of its second platform, which is focused on developing and optimising legacy productive basins, upon closure of the deal.
The acquisition of the 2,050 acres will bring the company’s total acreage in the region to more than 5,800 acres.
Allen Wilson, chief executive of Jericho Oil, said: “The market’s recent turbulence has provided us an opportunity to focus our efforts on acquiring assets with good, long-term development potential at favorable pricing.
“We are excited about starting our second platform and look forward to diligencing more opportunities in Oklahoma.
“With a strong cash position and no company debt, it is our intention to continue down this path to patiently evaluate leases as they present themselves.”
Jericho said Oklahoma was a natural extension of the company’s strategy to acquire shallow, vertical, long-lived stripper oil wells within historically producing, mature oil and gas fields.
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