The first acquisition was from a private oil and gas firm, which was Penn Virginia’s joint venture partner. The acquired leases were located primarily in Potter, Somerset and Tioga counties, including approximately 7,900 net acres with Marcellus Shale rights and approximately 23,000 net acres with deeper rights.
In connection with the acquisition, Penn Virginia granted the seller a 1.5% overriding royalty interest on the acquired acreage. After taking into account the override, Penn Virginia’s net revenue interest in the joint venture acreage is approximately 84%.
The second acquisition was from another private oil and gas firm of leases primarily in Potter County covering approximately 2,100 net acres, with rights to the Marcellus Shale and all other formations.
Penn Virginia is an independent natural gas and oil company focused on the exploration, acquisition, development and production of reserves in onshore regions of the US, including the mid-continent region, East Texas, Mississippi and the Appalachian Basin.
