The oil and natural gas assets, which are situated in Converse county, includes primarily undeveloped mineral leasehold positions of about 41,000 gross acres and 23,700 net acres.
Fidelity will also acquire working interests in multiple producing wells and an ongoing two rig development drilling program targeting the prolific Frontier play.
With additional production expected to be on line before closing, current net production from the assets is around 1,100boepd, 80% of which is oil.
MDU Resources president and CEO David Goodin said the firm’s oil and gas company has been seeking another world-class oil resource to complement established core assets in the Bakken in North Dakota and the Paradox Basin in Utah.
"The Powder River Basin is an area we know very well, and we have the geographic, technical and regulatory expertise to make this a long-lived production base," Goodin added.
