US-based Diversified Gas & Oil (DGO) has wrapped up a deal to by gas and oil assets from Titan Energy.
The acquisition has been funded through a $110million loan and a placing to raise $35million.
The deal increases DGO’s gross oil and gas production to 18,300 boepd, and proven reserves to 59.4 mmboe.
DGO chief executive Rusty Hutson said: “We are delighted to have successfully raised the funds required to close out this transaction.
“We are grateful to the existing and new shareholders who participated in the placing, and see the strong demand witnessed throughout the process as validation of our growth strategy and business model.
“The impact of this acquisition is truly transformational for Diversified Gas and Oil.
“It cements our position as a leading conventional player in the Appalachian Basin and materially enhances our low-cost production and predictable cash flow, both of which underpin our ability to return money to shareholders in the form of a bi-annual dividend.”
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