As per the terms of the agreement, Alamo will pay Range Kentucky Holdings in a cash plus stock deal valued at $6.775m.
The KYTX group of companies, located in Knox County, Kentucky in the midst of the Appalachian basin, is comprised of KYTX Oil & Gas, KYTX Pipeline, and KYTX Drilling Company.
The assets acquired include 71 wells located on approximately 4,040 acres, all of which are held by production, a strategic 23-mile pipeline network capable of handling up to 9,000,000mcf connected into the Delta pipeline system and a drilling company with one drilling rig, one service rig and associated well-servicing equipment.
Alamo believes the land-to-resource ratio enables 20-acre spacing, which will allow for up to 131 additional wells.
