The sale was effective as of January 1, 2010. The transaction also provides for an additional closing on certain properties subject to preferential rights to purchase held by third parties, which had not been waived or granted at closing. For the quarter ended September 30, 2009, the sold properties produced 30.6 MMcfe/d, comprised of 52% natural gas and 48% oil.
T Martin, chairman and CEO of Ellora Energy, said: “We are now in the position of having no debt and over $100m of working capital. We are committed to aggressively pursuing our efforts to maximize the value of our remaining assets in the Haynesville and Bossier Shale gas plays in East Texas as we continue to explore our strategic options.”
Headquartered in Boulder, Colorado, Ellora Energy has oil and gas assets principally located in East Texas/Louisiana in the James Lime, Haynesville and Bossier shale plays.
