The company’s total acreage position in the Permian Basin now covers approximately 98,000 net acres prospective for one or more of the deeper original targets, Canyon Sands, Strawn and Ellenburger zones, as well as for the shallower Wolfcamp Shale and Clearfork zones.
Estimates of proved and unproved reserves acquired in the acquisition exclude any reserve potential for the company’s Wolffork Shale oil resource play.
Approach Resources will fund the acquisition using its existing revolving credit facility, and the company’s borrowing base under the credit facility is $150m, with $51.1m drawn at 30 September 2010.
Approach Resources is engaged in the exploration, production and acquisition of oil and gas properties in the US.
